FACTORY ASSESSMENT METHODOLOGY
Factory inspectors formulate strategies and inspection methodologies specific to their region/country. Typically, this involves:

  • Visually inspecting factories
  • Examining payroll and timecards going back at least three months
  • Evaluating personnel records. (We review around 10% of active worker files and 5% of inactive worker files)
  • Reviewing social security and pension fund carriers for the last 6 months
  • Assessing factory policies & procedures
  • Interviewing managers & supervisors
  • Interviewing workers and worker representatives confidentially, both on- and off-site
  • Responding to worker complaints
  • Testing air quality
  • Cross-checking information sources
  • Looking for patterns of injuries or illnesses that may result from factory operations
  • Assessing completion of remediation steps from the last visit
  • Investigating third-party allegations
  • Summarizing findings for factory management and Reebok

Face-to-face interaction between our human rights field staff and workers is a cornerstone of this process. Earning workers’ trust is of paramount concern because in some factories workers fear the risk of demotions or termination if they reveal human rights abuses. Wherever possible, we take measures to protect workers from being penalized for informing us of an abuse. In all cases, our field staff protects worker confidentiality.

In preparation for audits, our field staff will:

  • Consult with local non-governmental organizations (NGOs) that understand common noncompliance and have built relationships with workers
  • Consult with compliance teams of other brands that use the factory to understand the history of compliance performance
  • Review reports of previous audits conducted at the factory in order to understand the factory’s compliance history and identify areas requiring verification

Typically, first visits to a factory are conducted on an announced basis. This is done in order to:

  • Educate factory ownership and management about what to expect during an audit
  • Determine that the audit date does not conflict with other activities
in the factory
  • Ensure that a senior manager is present for the opening and closing meetings to establish a full understanding of, commitments to and deadlines for remediation
  • Confirm that required documentation is available to us
  • Provide the sourcing units with the opportunity to be present

Later visits can be announced or unannounced. Unannounced visits may take place at any time. In 2005, approximately 42% of all audits were unannounced. This is because of the large number of new factories, where initial audits are announced. Reebok determines the need for unannounced visits on a case-by-case basis, as well as through random selection in a particular geographic area. Factors we use to make a determination on whether an unannounced audit is needed include:

  • The degree and seriousness of a factory’s noncompliance issues
  • The level of transparency of a factory’s practices in previous audits
  • Reports from either workers or outside sources that indicate hidden or serious problems at a factory