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    We hold our suppliers to the highest standards

    We assess our suppliers against the industry standard formulated by the EICC (Electronic Industry Citizenship Coalition) and captured in the Philips Supplier Sustainability Declaration.


    The Philips Lighting Supplier Sustainability Declaration (SSD) covers labor and human rights, worker health and safety, environmental impact, ethics, and management systems.  In line with the requirements of the UK Modern Slavery Act and the California Transparency in Supply Chains Act, the SSD explicitly covers articles on Freely Chosen Employment. The Declaration also requires suppliers to cascade the EICC Code – as a total supply chain initiative – down to their next-tier suppliers.

    Audit and Training Program

    We monitor supplier compliance with the Declaration through a system of regular audits, which are performed by an independent audit firm. If non-conformances are identified, we require the supplier to draw up a corrective action plan. Philips sustainability experts support the supplier, for instance by providing training or sharing best practices. We monitor the implementation of corrective action plans until all major non-conformances are resolved. Full-scope audits are conducted in a 3-year cycle. For high risk suppliers we have an annual verification cycle, performed by our own Sustainability Experts.


    If we notice a delay in the implementation of a corrective action plan, we apply a stratified approach for consequence management. In exceptional cases where a supplier is unwilling to improve, we end the business relationship.


    To prevent audit fatigue and limit the burden of audit preparation and follow-up at a single supplier site, Philips has agreed with some of the other EICC members to share audit results. This eliminates the need for multiple audits and enables a stronger focus on corrective actions and their follow-up.