Purchasing Practices

 

Research has shown that buyer purchasing practices can prevent supplier compliance with company codes of conduct and put at risk the lives and dignity of workers making apparel products.  While poor purchasing practices have led to many problems, including child labor and employee retrenchment, many of their negative effects fall into four categories.

 *     Failure to pay wages and benefits required by law and buyers' codes of conduct
 *     Use of excessive overtime, some of which may be forced
 *     Unauthorized subcontracting to unsafe facilities with poor working conditions
 *     Increase use of temporary labor making employment more precarious

Better Buying is seeking to shed light on purchasing practices so that they can be improved and factories will be better equipped to provide safe and fair conditions for workers.

Suppliers will rate seven areas of their buyers' purchasing practices, including:

 *     Planning and forecasting
 *     Design and development
 *     Cost and cost negotiation
 *     Sourcing and order placement
 *     Production management
 *     Payment and terms
 *     Management of purchasing practices

Additionally, suppliers will rate the quality of the relationship they have with their buyers.