Asda Programme Transition - Frequently Asked Questions

Why is the programme evolving?

Asda is updating its programme to focus on mitigating and managing risk, maintaining

compliance and drive continuous improvement, as we move away from the Walmart Global

Programme.

What are some of the key changes?

Key changes to the programme include:

- Clear lines of accountability for suppliers to self-manage via Self-Assessment

Questionnaires

How is this different to the Walmart programme?

The Walmart programme required suppliers to undergo audits based on country level risk only

with ongoing cadence determined by a colour graded audit assessment. The new Asda

Responsible Sourcing programme will be initiated with a supplier self-assessment providing

risk visibility to Asda without automatically first requiring an audit. Suppliers will need to be a

SEDEX member and complete the SEDEX Self-Assessment Questionnaire (SAQ) to 100%.

This will inform the risk score which determines the next step which could be audits and /or

training or ongoing 6 monthly maintenance to updated site SAQ information. This approach

team).

When do these changes come into effect?

We will be transitioning to the Asda programme from the 19th May 2021.

What should I stop/start doing from this date?

START doing the following:

- Read and understand the Standards, Transparency policy and Supply Chain Monitoring

Requirements and Guidelines.

- Understand the audit programme’s expectations and requirements.

- If an existing SEDEX member – link to the Asda applicable codes and update your SAQ.

What is SEDEX?

SEDEX (Supplier Ethical Data Exchange) is one of the world's leading ethical trade

membership organisations, working with businesses to improve working conditions in global

supply chains. They provide an online platform, tools and services to help businesses operate

responsibly and sustainably, protect workers and source ethically.

If I am not already a member, do I need join SEDEX immediately?

For those suppliers who are not already members of SEDEX, we aim for end September 2021

for suppliers to join, link their facilities and complete the Self-Assessment Questionnaires. If

this poses a challenge, please talk to us about specific timelines.

membership type is required. The cost of adding a site (B membership) to the SEDEX platform

is £100 per site. For suppliers that are not currently members of SEDEX, full details of pricing

are available at http://www.sedexglobal.com/join-sedex/pricing/.

If you are not already a member, there is an initial one-time set-up cost and associated

membership fee that is based on your annual turnover. If you have any queries relating to your

membership fees, please speak with SEDEX directly.

Can Asda request the relationship in Sedex? *Added 28.05.21

We expect suppliers to initiate the Sedex relationship and link all facilities to their profile. If

you experience issues please contact Sedex directly or

responsiblesourcingqueries@asda.co.uk who will assist.

link to both. Following this please complete the SAQ and make sure all audits are visible to

Asda;

- Asda General Merchandise - ZC414283949

- George - ZC1086103

- IPL (International Procurement and Logistics) - ZC4175422

- Asda Grocery - ZC1069018

- Asda GNFR - ZC4175399

Existing Members: Link your supplier account (directly to Asda) AND sites (directly to you

and indirectly to Asda) to the correct SEDEX code as above ensuring that site relationships

Should suppliers experience difficulties with anything related to SEDEX there are local SEDEX

helpdesk numbers:

What does ‘Transparency’ mean?

Transparency is the method for suppliers to share their facility audit information with Asda,

including demonstrating compliance and continuous improvement. This enables the

Responsible Sourcing team to approve facilities for order placement to the buying teams.

What risk ratings will Asda use? *Added 28.05.21

These will be reviewed periodically. As our data improves and we better understand the risks

subsequent partial audits may be required to remediate any non-conformances identified

line with the specified timeframes and they must notify Asda Responsible Sourcing within 48

hours of their audit should any Business Critical and / or Critical findings be found.

How will I know when my sites require an audit?

The Asda Responsible Sourcing team will contact suppliers required to submit an Audit.

How much does an audit cost?

Asda is not involved in determining the cost of 3

party audits. Audit fees are primarily set by

audit firms and will vary depending on the firm selected, facility location, number of workers

and other factors. We therefore suggest suppliers acquire quotations from APSCA approved

audit firms and negotiate as necessary.

to social and ethical supply chain issues and recognises and rewards suppliers with the right

attitude to Responsible Sourcing.

What will happen to Retail Link and Factory Audit System?

You will be adding and maintaining your sites directly onto Asda systems, this will no longer

be required for Responsible Sourcing, and your primary connection with Asda for Responsible

Sourcing audit information will be via SEDEX.

Will we still need to use Retail Link? *Added 28.05.21

The business will still utilise retail Link and generate factory IDs for the listing of new lines

and placement of orders.

The key change will be for facilities in scope for the Transparency policy, the facility will need

to meet the requirements (e.g. Join Sedex, link to the correct business area(s) and ensure

the facility has completed their Sedex SAQ.) before it will be activated by Responsible

All facilities that supply Disney products under the “Direct To Retail (DTRT)" process to Asda

must still submit a Disney compliant audit on an annual basis to comply with the Disney Facility

and Merchandise Authorization (FAMA) certification.

What if I have a facility in Bangladesh?

All Bangladesh facilities require an additional Structural, Electrical and Fire safety audit under

Nirapon.

If you have any queries, please contact the following:

George Apparel suppliers please contact Indira.C[email protected]k

GNFR suppliers please contact ResponsibleSourcingQueries@asda.co.uk

All other suppliers please contact your sourcing manager

What if I still supply Walmart, or Asda via Walmart Global Sourcing (WGS)?

Asda Standards for Suppliers