The Whirlpool Corporation Supplier Code of Conduct (“Code”) establishes the key principles under which suppliers to Whirlpool Corporation and our global subsidiaries are required to operate. The Code, (available at www.WhirlpoolCorp.com/supplier-code-of-conduct) is aligned with our values and is strongly supported by senior management.
Whirlpool’s Supplier Code of Conduct is not optional — it is a requirement for suppliers doing business with Whirlpool. We seek business relationships with reputable business partners who are committed to ethical standards and business practices compatible with our own. We strongly encourage suppliers to exceed the requirements of this Code and promote best practices and continuous improvement throughout their operations.
In 2018 we refreshed the Code to expand its requirements. Included among the changes was an expansion and retitling of the Human Trafficking and Forced Labor section, an expansion of the Corruption section to include the U.K. Bribery Act, a new International Purchases section to specify compliance with all customs, trade and export laws, and inclusion of the Ethics Hotline, available when suppliers do not wish to utilize standard communication channels to report concerns.
The Code is designed to help measure and control business risk. Scheduled audits allow Whirlpool to measure the number and severity of noncompliant events by supplier. In 2018 the scope of our audit program was expanded in China with a specific focus on environmental management and compliance, to be in step with China’s increased attention to environmental matters. Some 136 of these new environmental audits were performed during 2018, and the program was coupled with a training program to educate China suppliers and their employees on issues of air, water and waste pollution. Our environmental audits will continue in China in 2019.
Year |
NAR |
EMEA |
LAR |
ASIA-N |
ASIA-S |
Total |
---|---|---|---|---|---|---|
2016 |
17 |
10 |
31 |
114 |
12 |
184 |
2017 |
21 |
9 |
19 |
116 |
12 |
177 |
2018 |
27 |
21 |
14 |
70+136* |
9 |
277 |
*2018 specific environmental audits conducted in our suppliers located in China.
During the year, two audit reports achieved 100 percent compliance. Of the noncompliant audits, 70 percent of the proposed corrective action plans have been addressed.
The remaining 30 percent noncompliant audits are ongoing with specific action plans conducted by the suppliers with Whirlpool’s support.