AIAG Sustainability Audits

AIAG aims to achieve excellence, innovation, transparency, and performance in a sustainable manner. People and the environment are the automotive industry’s most essential resources. They strongly feel that companies should fulfill their social responsibilities and obligations to realize a healthy and harmonious development between enterprises and employees, enterprises and society, and enterprises and the environment.

As part of this, they are working together to attain the highest standards in business integrity and the social and environmental performance of the supply chain. The automotive industry supply chain has a high degree of complexity; therefore, they believe in the benefits of a common approach and message where possible.

The Automotive Sustainability Guiding Principles ("Guiding Principles") contain certain expectations towards business ethics, working conditions, human rights, health and safety, environmental leadership, and supply chain due diligence for suppliers at all tiers. They expect suppliers to uphold these standards and cascade them throughout their supply chain.

If you answered "YES" to any of the following questions, this is a must-attend session for you.

• Do you have a Company code of conduct that addresses all the following areas: Basic Human Rights, Forced / Compulsory Labor, Child Labor, Discrimination and Harassment, Freedom of Association, Health & Safety, Compensation, and Working Hours including overtime?
• Does your company have an environmental management system? Examples include ISO 14001, Responsible Care, or internal systems.
• Does your company have a written code or policy addressing corruption, including bribery, excessive gift-giving, extortion, or embezzlement?
• Is diversity (as indicated by gender, age group, ethnicity, geographic origin, etc.) reflected in your company’s governance body and employee breakdown?
• Does your company have a health & safety management system at a facility level that documents and records the needed regulatory compliance issues and conforms to company and customer requirements?
• Do you invest in community development activities in the markets you operate in or source from?

HUMAN RIGHTS

• Do you have a SUPPLIER code of conduct that specifically addresses and is consistent with the AIAG Corporate Responsibility Guidance Statements?
• Do you know the location of 100% of the supplier facilities that provide goods or services to your company?
• Does your company have a program or process in place to measure or verify the responsible Working Conditions practices of its suppliers?

ENVIRONMENTAL

• Has your company established environmental targets and reduction plans for Greenhouse gas emissions, energy, water, waste, and air emissions?
• Does your company have a system to require the purchase of recycled and/or sustainable materials and work with suppliers to use recycled and/or sustainable materials?
• Does your company have a proactive strategy to promote activities related to biodiversity (for example, land and water conservation)?

COMPLIANCE & ETHICS

• Does your company conduct periodic assessments to identify compliance and ethics risks?
• Does your company provide or encourage your suppliers to take Corporate Compliance & Ethics training? ·
• Does your company have a program or process in place to measure and verify the responsible ethical business practices of its suppliers?

DIVERSITY

• Does your company have a written code or policy on employee diversity?
• Does your company have a written code or policy on supplier diversity?
• Does your company have specific short and long-term goals and associated action plans to achieve and measure progress in diversity?

HEALTH SAFETY

• Does your company conduct facility-level Safety Audits on a routine basis with a process to track and close corrective action plans?
• Does your company promote understanding of health and safety matters through regular training and educational opportunities for employees, including new hires?
• Are employees actively involved in risk assessment and countermeasure plans for safety-related issues?

GENERAL

• Has your company conducted a materiality analysis to identify those sustainability issues most significant to your internal and external stakeholders?
• Have you established publicly available sustainable purchasing guidelines for your direct suppliers that address issues such as environmental compliance, business ethics, diversity, employment practices, and product/ingredient safety?
• Do you invest in community development activities in the markets you operate in or source from?

• Compliance Director
• Human Resource Managers
• Environmental Managers
• Plant Managers
• Sales Managers