Case: Trip to Taiwan provided an up-to-date overview

In 2015, Troldtekt conducted an audit of the company’s screw supplier in Taiwan. Here, Troldtekt could see through a personal inspection that the supplier meets the requirements within labour rights and human rights.

Each year, Troldtekt sells screws for a double-digit million sum. The screws are supplied by a producer in Taiwan who has signed Troldtekt’s Code of Conduct via a previous importer. After establishing direct contact with the supplier in recent years, in 2015 Troldtekt decided to conduct an audit at the factory in Taiwan.
– Most of our suppliers are in Denmark and Germany, and because they are close by we have a close dialogue, and a good sense that they live up to our Code of Conduct. We have categorised our screw supplier in Taiwan in a medium risk group, which means that we pay close attention to whether they meet our requirements, says Peer Leth, CEO of Troldtekt.

Safety and rights under control
Peer Leth travelled to Taiwan together with Flemming Østergaard, one of Troldtekt’s buyers. The two men visited the screw producer and the subcontractor who surface-treats the screws.
– We found that both employee safety and rights were at a satisfactory level. Among other things, there was an air-extraction system in production, the employees wore personal protective equipment, and there was lifting gear and other equipment for handling heavy loads, says Peer Leth.
– We also had the opportunity to join the employees for their joint lunch break, where we could observe how the right to a one-hour break in the middle of the day is complied with. In general, the visit confirmed that our supplier lives up to our Code of Conduct, and left us with the sense that improvements have generally been made by the professional businesses in Taiwan.  

Troldtekt follows up with questions

As a new initiative, suppliers who have signed Troldtekt’s Code of Conduct must answer a number of follow-up questions every four years. The eight-page-long questionnaire contains questions on compliance with the UN Global Compact’s principles, which basically fall into four categories:

• Human rights
• Labour rights
• Environment
• Anti-corruption

By answering the questions, the supplier confirms that they still live up to the requirements in the Code of Conduct. In addition, Troldtekt supplements with a personal follow-up (audits) with suppliers where this is deemed relevant.

Troldtekt categorises its suppliers in high, medium and low-risk groups on the basis of the guidance in the CSR Compass, which is backed by the Danish Ministry of Business and Growth as well as the Confederation of Danish Industry.