SEDEX

Supplier Ethical Data Exchange

What is SEDEX? What is SMETA?

SEDEX is a non-profit membership organisation dedicated to driving improvements in ethical and responsible business practices in global supply chains. Over 60,000 organizations from over 180 countries have joined SEDEX, making SEDEX the largest collaborative platform for sharing ethical supply chain data, thus providing an innovative and effective supply chain management solution.

Whereas, SMETA (Sedex Members Ethical Trade Audit) is the audit methodology created by the Sedex membership which is a compilation of good practice in ethical audit technique. SMETA helps auditors conduct high quality audits that encompass all aspects of responsible business practice. SMETA has been developed to provide guidance for both 2-Pillar and 4-Pillar audits:

SMETA 2-Pillar audit comprises:

Labour Standards
Health and Safety
Additional Elements:
Universal Rights covering UNGP
Management Systems
Entitlement to Work
Subcontracting and Homeworking

SMETA 4-Pillar audit contains in addition:

Environment (extended) – this replaces the Environment (shortened) section detailed above
Business Ethics

SMETA 2-Pillar audit comprises:

Labour Standards
Health and Safety
Additional Elements:
Universal Rights covering UNGP
Management Systems
Entitlement to Work
Subcontracting and Homeworking

SMETA 4-Pillar audit contains in addition:

Environment (extended) – this replaces the Environment (shortened) section detailed above
Business Ethics

Why join SEDEX? Who needs SEDEX?

By becoming member of SEDEX, it gives businesses credibility for meeting the business ethical conducts, hence it reduces the burden of business by having to face multiple audits obtaining certifications. Besides, SEDEX member gains reputation for operating their businesses responsibly and ethically, hence attracting customers and investments.

SEDEX supports businesses of every size, scale and sector.

Benefits of SEDEX

Reduce audit fatigue by providing one format for audits that is widely accepted
Comply with Malaysian and international human rights legislations
Promote environmental, health and safety practices
Provide confidence on ethical performance to non-government organizations and custo

Why join SEDEX? Who needs SEDEX?

By becoming member of SEDEX, it gives businesses credibility for meeting the business ethical conducts, hence it reduces the burden of business by having to face multiple audits obtaining certifications. Besides, SEDEX member gains reputation for operating their businesses responsibly and ethically, hence attracting customers and investments.

SEDEX supports businesses of every size, scale and sector.

Benefits of SEDEX

Reduce audit fatigue by providing one format for audits that is widely accepted
Comply with Malaysian and international human rights legislations
Promote environmental, health and safety practices
Provide confidence on ethical performance to non-government organizations and custo

How Can Flexly Consulting Help?

The Top 10 Must-Knows Before Doing Sedex SMETA Audits

01
Why is my buyer asking for a SMETA Audit?

It is to ensure that ethical and responsible business practices are upheld within your supply chain. By undergoing a SMETA audit, your company demonstrates a commitment to transparency, social responsibility, and ethical sourcing, which aligns with your buyer’s values and helps build trust and accountability throughout the supply chain.

02
How can my company join the Sedex database?

Becoming part of the Sedex database involves conducting a SMETA audit within your organization. Upon achieving a successful audit outcome, you’ll have the opportunity to register on the Sedex platform. This allows you to share your SMETA audit reports with fellow members and customers, fostering transparency and ethical business practices. As part of the process, you will also be required to complete a self-evaluation form and determine your membership category.

03
What categories are there for Sedex-registered companies?

Sedex offers different membership categories based on your organization’s profile and scope of operations. These categories include:

  1. A: Buyer Member: Organizations that primarily purchase goods or services and wish to engage suppliers in responsible sourcing practices.
  2. AB: Buyer/Supplier Member: Companies that both purchase and supply products/services and seek to uphold ethical standards across their entire supply chain.
  3. B: Supplier Member: Suppliers that provide products/services to other organizations and are committed to ethical and responsible practices.
04
What are the advantages of joining the Sedex database?
  • Global Recognition: Membership in Sedex demonstrates your commitment to ethical trade
  • Collaboration Opportunities: Collaborate on initiatives to drive positive change in supply chain sustainability.
  • Risk Mitigation: Identify potential risks within your supply chain, allowing for proactive measures to mitigate risks and ensure compliance.
05
What’s the difference between a 2-pillar audit and a 4-pillar audit?
2-Pillar Audit 4-Pillar Audit
Key Areas Assessed Working conditions Working conditions
Fair wages Fair wages
Employee rights Employee rights
Health and safety practices Health and safety practices
Additional Focus N/A Environmental performance (e.g., resource conservation, waste management)
Business ethics (e.g., anti-bribery practices, responsible business conduct)
06
Can I use Sedex Logo on my products after the SMETA Audit?

No, it’s not permissible to feature the Sedex logo on your product as Sedex is not intended for product certification. Instead, Sedex involves an audit process that results in the creation of an audit report

07
How can Sedex SMETA Audit benefit my company's ethical and responsible sourcing practices?

Sedex SMETA Audit enhances transparency, reputation, and working conditions. It mitigates risks, boosts competitiveness, and aligns with global trends. SMETA promotes responsible practices, legal compliance, and collaborative growth, contributing to a positive impact on your organization and society.

09
How can an experienced Sedex SMETA consultant assist my company throughout the audit process?
  • Preparation and Planning: Consultants help you prepare for the audit by assessing your current practices, identifying gaps, and developing a comprehensive action plan to address areas of improvement.
  • Document Preparation: Consultants assist in creating and organizing the necessary documentation, ensuring that records, policies, and procedures are in place and ready for review.
  • Training and Education: Consultants provide training to your team, enhancing their understanding of Sedex requirements, ethical principles, and the audit process, fostering a culture of compliance.
  • Audit Support: During the audit, consultants offer guidance, address auditor queries, and ensure a smooth and efficient assessment, minimizing disruptions to your operation
  • Post-Audit Improvement: Consultants assist in analyzing audit findings, helping your company prioritize and implement recommended changes for sustained ethical and responsible practices.
10
Will I get a Sedex Certificate after the Sedex Audit?

Certainly, you will not receive a certificate following a SMETA audit. The outcome of a SMETA audit leads to the generation of an audit report, which is subsequently uploaded onto the Sedex platform.

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No Upfront Payment Required.
We are a registered HRD Corp training provider, all of our certification training is claimable under HRD Corp SBL Khas scheme.

01
Who is HRD Corp?

Human Resource Development Corporation (HRDCORP), or previously known as Human Resource Development Fund (HRDF) is an agency under the purview of the Ministry of Human Resources Malaysia governed by the Pembangunan Sumber Manusia Berhad Act 2001 (PSMB Act 2001).

02
Who is eligible to attend training using the HRDCORP / HRDF fund?

All registered employers with HRDF and have paid the levy for the first month of registration are liable to apply for the training grant, subjected to the existing rate of financial assistance and terms and conditions.