Disney audit includes below five procedures:

1. Opening Meeting - Introduction of the audit procedures, Disney Code of Conduct, Disney Ethics Policy

2. Facility Health & Safety Inspection Walk-through – The entire facility, including all production areas, warehouses, chemical storage areas, canteens, dormitories (as applicable), and all other areas of the facility

3. Documents Review - Original records and documents (as applicable per region/country)

□ Disney’s Code of Conduct

□ Business/Industry license, registration, permit, and/or certificate

□ Workplace rules or bylaws

□ Government required postings

□ List of all workers indicating full name, date of employment, date of birth, and position held in the facility

□ Personnel Files (including employment contracts)

□ Work attendance records

o Scope (12 most recent months; or at least 12 most recent months if Comprehensive/Flexible Working Hours System is applicable; or the number of months that business is in operation if business was in operation for less than 12 months)

• Timecards or timesheets

• Leave records

□ Payroll records

o Scope (apply same as work attendance records)

• Detailed payroll registers

• Piece rate records and production records

• Cancelled checks / monthly statements and records for cash payments

• Electronic fund transfer records

□ Payment verification documents (as applicable per country) for worker’s social benefits provided by government or bank

o Canceled deposit checks or other form of payment verification o Statements

□ Fire drill records, emergency evacuation plan, fire inspection reports, and fire prevention certificates

□ Health and Safety documents and training records

□ Employee annual medical examination results

□ Equipment and machinery operation certificate, license, and permit

□ Machine maintenance and inspection records

□ Material Safety Data Sheet of chemical used

□ Environmental records (as applicable per country) and list of chemicals utilized by facility

□ Other Documents (if applicable) pertaining to...

o Dormitories

o Rent/lease contracts

o Daycare/nursery

o Security agency

o Kitchen/catering services

o Labor Union/Collective Bargaining Agreement (CBA) o Subcontractors

4. Worker Discussions / Interviews - Private and confidential

5. Closing Meeting – Discussion of Corrective Action Plan Acknowledgement Report (CAPAR)

Disney factory follow-up audit requirements:

The file archive of the follow-up audit must be completed after the audit. 

The file report is at least as follows:

Previous Disney audit report

Support for previously violated documents

CAPAR (Improvement Report)

Worker interview record (if needed): check if the workers involved in the last interview are still in the factory

Supporting documents include:

Evidence of violation

Procedure to determine if the last violation was improved

Conclusion of improvement or no improvement

New Violation Discovery - Explain why it was not found in previous audits to ensure consistency of the audit, it is recommended that the auditors who participated in the first audit be conducted during the follow-up audit.

Today's Disney is far more than an industry of animated films, Disney watches, Disney jewelry, Disney girls, Disney bags, Disney household items, Disney plush toys, Disney electronics and many other industries. Since many people have grown up watching Disney's cartoons from a young age, Disney's major industries have been well received by consumers and have achieved great commercial value. And Disney's manufacturers in China are also growing. For manufacturers, how to easily and smoothly pass the Disney inspection, so that they continue to become the manufacturer of this famous international brand is one of their most concerned issues. In fact, as long as you carefully take the following three levels, it is naturally a very easy thing to audit through Disney.

The first pass: employee review:

The first point: the age of the smallest worker in the factory; it is worth noting that the manufacturer must not use child labor. If the worker is less than 15 years of age on the day of the audit (or below the legal 14 years of age set by some countries), the violation is a child labor violation.

The second point: Does the factory have procedures to help school-age children gain work experience?

The third point: whether the factory restricts the employment of workers under the age of 18.

The fourth point: what procedures are used by the factory to review the age of workers;

Fifth point: Whether all workers are voluntarily coming to work, manufacturers must not employ any forced or non-voluntary labor, whether it is prison labor, slave labor, indentured labor or other labor. The factory guarantees the way workers volunteer to go to work.

Sixth point: There are workers with special identities in the organizational structure of workers.

Seventh point: What are the basic tasks of the guard?

The eighth point: the reward and punishment system for workers;

The ninth point: the salary of workers, including the minimum salary, calculation method and payment method.

The tenth point: the welfare of the factory to employees;

The eleventh point: the working hours of workers, rest time and the company's overtime and vacation system.

Twelfth point: diet, drinking status and the living conditions of workers. The manufacturer will provide employees with a safe and healthy workplace in accordance with all relevant laws and regulations and ensure that they have at least reasonable access to drinking water and sanitation. Facilities; fire safety; and adequate lighting and ventilation. The manufacturer will also ensure that the same health and safety standards are applied when providing any housing for employees.

The second pass: safety review:

The first point: whether the fire prevention measures are in place;

The second point: the employee's safety awareness and the company's training of employees on safety knowledge;

The third pass: the issue of safe production.

The third level: the manager's review: including the number of employees managed by each supervisor, the status of the supervisor's answering questions for the employees, etc.

I believe that as long as you take care of it carefully, you will be able to pass the Disney audit.

Disney’s audit and application have the following:

1. The factory itself applies for auditing to the auditing company (provided that it is approved by Disney)---notify the factor the specific time of the audit;

2. The customer directly entrusts a third-party audit company to audit - the previous audit company will give the factory an irregular inspection scope within 3 months; now the policy changes, when the audit company receives the Disney commission, it will notify the factory to conduct a Disney audit. , but will not give the factory any time limit for inspection (unlike the factory will be informed within 90 days);

3. Sometimes Disney will also audit the factory by himself, but it is very strict!.

The audit company is only responsible for auditing the factory, reporting the report to Disney; passing the audit is determined by Disney, and Disney will not tell the audit company whether the factory has passed the audit; if the factory fails to pass the first Initial, then the next followup audit is also arranged by Disney and determines the number of audits, they have their own rigorous judging criteria.

Frequently asked question during employee interview of Disney factory audit

1. What is the age of the youngest worker in this facility?

2. Are there any work experience programs for school age children?

3. Are there restrictions for workers under 18?

4. What procedures does this facility have in place to verify the age of the employees?

5. Are all employees voluntarily working in this facility?

What procedures does this facility has to ensure employees are working voluntarily?

6. Are there any workers in this facility that are prisoners, have been assigned by the military,or any other branch of government?

7. Are employees free to leave when their work shift ends?

8. Are guards posted only for normal security reasons?

If so, what are their basic duties?

9. How are employees recruited (i.e. newspaper ad, agent, contract?)

10. How are employees disciplined for misconduct or poor performance?

11. Do you restrict employment by age, race, ethic group, religion, gender, sexual, orientation, politicalaffiliation, and/or national origin?

12. What is the lowest wage paid by this contractor for trained (i.e. production) employees?

For untrained (i.e. janitors, trainees) employees?

13. How are employees paid? (cash/check/autopay/other)

14. How is the pay rate calculated? (per hour/piece rate/per day/other)

15. Is work time documented by a timecard?

16. How often are employees paid? (hourly/weekly/monthly/other);

17. Are there any deductions from employees’ wages?

18. Does any employee owe the Company money?

19. What allowances and benefits are provided to employees in this facility?

(Housing, meals, transportation, and other allowances health care child care sick leave emergencyleave pregnancy and menstrual leave vacation religious and holiday leave and contributions for socialsecurity, life, health, worker’s compensation and other insurance coverage.)

We believe our business relationships must rest on a foundation of honesty,integrity, fairness and consistency in all our practices. Compliance with all lawsand regulations applicable to our business and upholding the highest ethicalstandards have always been fundamental goals of The Children's Place. To thatend, our Social Compliance Program is designed to promote compliance withlegal requirements, as well as ethical and socially responsible business practicesin every aspect of our business. Our commitment to supplying our customerswith high quality merchandise at prices that represent great value in themarketplace requires every person associated with The Children's Place betreated with integrity and that every product we offer is of the highest quality. Assuch, we develop business relationships with carefully selected suppliers whoshare our commitment to the highest standards of integrity.

The Corporate Compliance program is in place to ensure that all our suppliersintegrate our corporate compliance standards into their sourcing andmanufacturing practices.

Education and Training

We believe that education and training of both our own associates and oursuppliers are key factors in ensuring the successful implementation of ourcompliance program. We strongly believe in meetings and training as essentialtools to promote understanding and compliance with our requirements.

We also believe that continued communication is a critical tool for the successfulimplementation and sustainability of our program. Accordingly, we encourageour associates and suppliers to contact us for any questions or concerns withregard to the program.

Disney's factory audit procedure introduces itself and identifies the identity. If the factory does not have a Disney production code (COC), it briefly introduces the content of the code and provides them with a copy to ensure that the factory understands the purpose of the audit.

First meeting

Self-introduction and identity confirmation

If the factory does not have a Disney Production Code (COC), briefly introduce the contents of the code and provide them with a copy.

Understand the basic information of the factory, such as contact, address, telephone number, number of people, type of production product, presence or absence of alias, etc.

Ensure that the factory understands the purpose of the audit

Briefly describe the review process

Obtain the factory floor plan to ensure that all areas within the factory are inspected √ Ensure that the factory has the documents required to provide the audit at the site

 Ask management to provide a place for workers to interview

Ask management

Request a list of all chemicals used in the factory

Factory inspection

Health and safety inspection: Ensure that the working environment of the factory meets the requirements of local and production codes; ensure that the factory does not violate environmental regulations #8226Fire safety

Machine Safety

Chemical storage

First aid

Personal Protective Equipment (PPE)

Eye mask

Gloves

Earplugs

Environmental protection

1. US Environmental Protection Agency (EPA)

2. Occupational Safety and Health Administration (OSHA)

3. Air Quality Management District (AQMD)

4. Chemical exposure limits

5. Dangerous goods waste

6. Other potential hazards (air quality, wastewater treatment, pollution, recycling)

Select workers to participate in the interview

Identify whether there is any suspicious child labor

Ask a question about a suspicious situation

Workers don't work or speed up work

Vehicles entering and leaving the factory

Check the production process: Is there a subcontract?

Document review

Purpose: To ensure the legality of the operation of the plant; to ensure that the factory meets the requirements of local laws and regulations

List of documents

1. Work card or attendance record (last 12 months)

2. Payroll (last 12 months)

3. Personnel roster and employee profile

4. Labor contract

5. Social insurance receipts, rosters and certificates of conformity, etc.

6. Business license

7. Fire inspection report or certificate of conformity

8. Fire drill records, emergency evacuation plans and work injury records, etc. 9. Environmental certification documents

10. Factory regulations or employee manual

11. Government related local minimum wage regulations

12. Equipment safety permit (such as elevator use permit, kitchen hygiene permit, etc.) 13. Special worker employment certificate (such as elevator workers, electricians, kitchen hygiene permits, etc.)

14. Approval of the local labor bureau for extending overtime work

15. Juvenile workers medical examination and labor bureau registration records

16. Factory floor plan

Child labor proof

Picking a small employee during the factory inspection 

Spot check in the personnel file

Selected 25 workers interview

In the course of the interview, there is inconsistency in the cross-checking of the personnel files When the child labor is found (current or historical), the worker's job number, name, date of birth, date of entry must be registered.

Purpose of the interview

Learn about the actual operation of the factory from the worker level

Get information that is not available in other processes and the consistency of the documents in question √ Have a deeper understanding of the anomalous areas

Interview Questionnaire (EIQ)

Number of interviewed workers = 25% of the total number of workers, but no more than 25 workers expanded the number of interviews

The violations discovered require a deeper understanding, such as family work, false books, etc.

The worker’s identification document and the worker’s actual answer have a discrepancies in the selection process.

50% of workers pick during the factory inspection process

Young worker

Picking from all departments

If conditions permit, the gender ratio should be equal, racial equivalent #8226 dangerous job workers

50% of workers choose from payroll, work card and document review #8226 overtime workers

Low-wage workers

Interview must be conducted without the presence of management personnel

One-on-one talk, can't group interviews

Confidentiality

Workers involved in the interview must be informed that all interviews are confidential √ The name of the worker who reflects the problem cannot appear on the report

Interview skills

Friendly - this makes workers relax and open their minds

EIQ as a guide, but not limited to face-to-face interviews

Different countries have different problems for workers. For example, Honduras focuses on child labor, Mexico focuses on pregnancy testing, China is overtime, and Turkey has the last meeting for prayer.

Inform management that the audit has been completed

Returning borrowed documents for audit

Thanks for their support and cooperation

Interpret the problems found, answer factory questions, and Write Improvement Plan Confirmation Report (CAPAR) 

Education and provide best operational guidelines for improvement to help the factory meet the requirements of the Code

Disney's Minimum Compliance Standard MCS, which was implemented on June 1, 2016. Disney requires all plants engaged in the production of Disney-branded products to meet or maintain at least the minimum compliance standard ("MCS"). In order to reach the MCS, the factory must prove that it does not have any of the following categories of violations:

●Child labor

●Involuntary labor

● Forced and / or harassed

● Discrimination

● Severe health and safety conditions

●Freedom of association

●Subcontracting and family workers

In addition, MCS requires the factory to provide complete and accurate information, including viewing all physical locations within the facility, documentation, and individual interviews with workers.

The ILS headquarters recently adjusted the ILS auditing standards. The violations of the factory fire protection were more stringent than before, and a number of fire non-compliance were added as MCS violations. The newly added MCS violations were marked as yellow as follows. The item is an MCS violation for each item that meets the criteria. Every other violation in the "Best Practices Guide" below will be combined into one MCS violation.

"Severe health and safety conditions" include (but are not limited to) certain violations involving fire safety in the MCS, such as:

★ emergency exit lock or block

★The emergency exit did not meet the required quantity

★ Failure to conduct regular emergency evacuation drills

The following "Best Practices Guide" compiles a series of general, basic guidelines best practice guidelines for factory fire safety issues and emergency handling, compliance with MCS fire safety and emergency safety. ● Always keep all emergency exits unlocked and clean up all obstacles Things. The side hinges of the emergency exit safety door and the opening direction should be the same as the direction of the evacuation route.

● In order to ensure the rapid evacuation of all workers upstairs and downstairs, a sufficient number of exit and exit stairs (at least two) should be provided.

● Any emergency exit that cannot be opened from the outside and needs to be opened by internal devices (for example, crossbars or pushers). It should be operated without any special knowledge or skills, no additional force, no delay, no time. A key or tool is required.

● Any automatic emergency exit must remain in normal operation during a power outage, or it can be manually opened for immediate evacuation without additional force.

● Ensure that there are no waste, debris, objects, equipment or anything that may obstruct the observation of the exit and/or hinder the employee from reaching the exit quickly.

●Make sure that the evacuation path is clearly marked on the ground with the appropriate signs and that the path is clear – but narrow, without obstructions, debris or anything that might impede rapid evacuation.

● Ensure that the evacuation stairwell is open at all times, but narrow and not used to store any objects, debris or anything else that may impede rapid evacuation.

● Ensure that there are no obstacles outside the emergency exit that may impede the safety door from opening completely and that the exit is away from building structures that may restrict the flow of people to the safe area.

● Consult with local fire authorities and formulate policies and procedures for fire safety and emergency safety; assign personnel to receive fire safety and evacuation procedures, and conduct ongoing assessments of fire safety and evacuation preparations, including related training and evacuation procedures

● Develop an emergency evacuation plan, post clear signs, distinguish evacuation routes, inform and organize employees for emergency evacuation drills, and use this as part of all new employee induction training.

● Conduct emergency evacuation drills as required by law and ask the local fire department for guidance. If there is no local requirement, the entire factory exercise should be conducted at least every 6 months; the results of the exercise should be archived and evaluated for further improvement.

● Ensure that the dormitory is not used for material storage, product production and/or machine repair workshops, and should be prohibited for permanent or temporary use

● Ensure that sound and light fire alarms, smoke alarms, emergency lights and exit indicators are installed in accordance with local laws and scheduled for regular testing to maintain normal operation.

● Install a sufficient number of fire extinguishers of the correct type and normal use in accordance with local laws; conduct monthly tests to maintain normal operation.

● Ensure that any flammable and explosive objects, such as paint, solvents and portable gas pressure bottles, are stored away from heat or open flames; and organize personnel training on how to handle these materials safely.

First, let's talk about the worst results-what will possibly happen if you fail the audit?

Loss of orders, cancellation of existing orders, inclusion of blacklists, etc., bring huge economic and reputation losses to the company! These are only a small part of your loss. I will be a big obstacle for the future development of the entire enterprise. 

Let’s take a look at what the benefits of the audit will be:

(1) Establish a management system that meets international requirements, which can be internationally recognized and increase the ability to compete positively with well-known brands;

(2) Motivate consumers to establish positive emotions on products;

(3) Stabilize cooperation with purchasers and broaden new markets to lay a solid foundation for long-term development;

(4) Improve management systems and improve relationships with employees to increase productivity and increase profits;

(5) Minimize potential business risks

Therefore, if you want to gain greater competitiveness, you should choose a factory inspection! To get a good result of the factory inspection, you should choose a professional team of consultants!

Shanghai Tranwin is your ideal choice.