Supply Chain Disclosure
On January 1, 2012, the California Transparency in Supply Chains Act of 2010 goes into effect. This new law is designed to address the difficulty of policing slavery and human trafficking crimes by requiring certain companies that do business in California disclose their efforts to eradicate such activity from their supply chains.
Embedded in RED Digital Cinema’s DNA is the belief that how we achieve success is just as important as success itself. We strive to ensure that our products are manufactured in a responsible and ethical manner. With respect to the absence of slavery and human trafficking in our supply chain, we specifically undertake the following actions:
Supply Chain Assessment
RED Digital Cinema requires that all of its suppliers to affirmatively disclose certain information relating to the manner in which it conducts its operations. Included in this process is the Supplier Social Responsibility Self-Assessment Questionnaire which touches upon a number of topics including the following:
Health & Safety;
Environmental Impact; and
Core Values & Ethics.
RED Digital Cinema then uses this information as a basis from which to conduct audits by specially trained RED Digital Cinema employees to validate the information provided.
All suppliers are subject to audits by specially trained RED Digital Cinema employees which are typically scheduled in advance. These on-site factory visits are supplemented by document reviews/desk audits.
In conducting all supplier audits, emphasis is placed on the following areas:
Management Accountability and Responsibility;
Documentation and Records;
Training and Communication; and
Corrective Action Process.
As part of our evaluation process, we require our suppliers to certify that the materials incorporated into the products comply with local regulations regarding slavery and human trafficking. In addition, all contractual agreements, including purchase order terms and conditions require our suppliers to reaffirm their commitment to compliance with local laws.
If we believe that a supplier is not in compliance with its representations, contractual commitments or legal obligations, we will provide the supplier with the opportunity to remedy any potential non-compliance through the implementation of a corrective action plan, which will include a subsequent audit by key RED Digital Cinema personnel. Should the supplier continue to fail to meet its obligations, we will seek to eliminate such supplier from our supply chain.
RED Digital Cinema places great importance in providing its employees with the resources necessary to effectively and efficiently fulfill their job responsibilities. With this in mind, all key RED Digital Cinema supply chain audit personnel receive training from Social Accountability International with an emphasis on SA8000 auditing standards as it relates to social responsibility audits.