Adidas Audit Checklist-List of Document  For IA/IA Follow Up/PA . 

Important notes:

1.  All documents must be available during onsite visit ; Original (not copy) document should be available during on site visit , unless stated otherwise 

2. For documents listed in both Part A and Part B, factory can choose to submit in one worksheet only. 

3.  List can be added with any document needed specific by country for each part (A, B, C, D)

A. General Document

1. Business Registration 

2. Permits and Licenses mandatory by Local Regulation

3. Tax Registration

4. Social Insurance Registration Certificate, Housing Fund Contribution Registration Certificate, Social insurance payment records, commercial insurance, and Housing Fund payment records, etc.

5. i.Employee Hand Book (Factory rules, Employee assessment 

system, Punishment and reward policy, Wage calculation policy, Employee benefits policy, Resign procedure, etc.

6. Company Profile

7. Employee Breakdown Number / Total Workforce in the factory (i.e. number employee per department, male, females, temporary, permanent, etc.) 

8. Factory Floor Plan/Emergency Layout of all areas 

9. Organization Chart (HR , HSE and  compliance team) & Job Description

10. Labor & HSE Training Document/Records for the last 6 - 12 months which include certification (if any)

B.  Labor and Other Related Document

1. Employment Files / Records (will  be randomly selected by auditor)

a. Template of Employment Contract

b. Employee register/Application form

c. Copy of employee identification card & age proof document

d. Copy of Passport / Work Permit (if any for foreign workers)

e.Juvenile workers list,Juvenile workers physical examination records

f. Copy of employees other related doc i.e. leave records, reward records, warning letter, etc. (if any)

g. Others (please list out): 

(1)Employee training need asessment, Training procedure, training plan, training records 

(2) Recruit post and hiring policy, procedures

2. Local Minimum Wage Standard/Decree;Social insurance baseline and contribution regulations; Local Work Hours Standard/Decree and/or Internal Company Wage Structure

3. Payroll & Working Hours documents/records for the last 6  to 12 months   - related to:

a. Time card / Attendance Records / Print Out of employee's time in & out

b. Overtime Request / Consent Letter

c. Waiver of Overtime Hours from Legal Authority (If any)

d. Status of Overall Working Hours Report for the last 6  to 12 months

e. Pay Slip

f. Bank Transfer Records

g.

(1)Employee monthly flow rate, employee resign records and application

(2)Salary's payment for exit workers, severance package payment, etc.

h. Bonus/other payment record (if any)

i. Others payment i.e. annual leave, festivity allowances, transport  allowance , etc. (If any, please mention)

4. Leaves Records of all kind of leaves / Summary  of Leaves Taken

5. Status of Disciplinary Records for the last 6  to 12 months (i.e. Warning Letter Log Book), Record of Verbal Warning, Written Warning, Demotion and Termination.

6. List of newly hired employees for the last 3 months  & its status (i.e. intern / trainers / probation)

7. Registration of Union / Employee Representative to local authority (if any)

8. Consent letter from employees for union dues (if any)

9. Records of Grievance system i.e. Suggestion box, hotline channels, etc. (if any)

C. Health Safety Environmental and Other Related Document

1. Updated Relevant HSE regulation

2. Permit/License for Machine/Equipment, Facility, Operator & Regular Monitoring Records

a. Boiler and operator

b. Power Generator  / Emergency Power Machine and operator

c. Forklift, Freight Lift, Compressor, Hand Lift, Welder, etc.

d. License for electrical installation, lighting conductor, etc.

e. Inspection records related to local law (i.e. fire extinguishers, emergency lights, fire alarms, smoke detectors, sprinklers, etc.)

f. Fire Safety Permit / License

g. Building Construction Certification / License

h. Environmental Certification / Disposal License and permit / Registration Report/Environment Impact Assessment (EIA) Report / Approval of Environmental Impact Assessment

i. Regular workplace monitoring : drinking water, waste water, noise, air quality  (as required by local law)  etc.

j. Hazardous waste treatment certifications, like transition records, operation permits,and Incinerator operation permit if applicable) 

3. Health &  Safety Committee / Officer Registration & Report to Local Authority

4. Health & Safety Risk Assessment Report, OH Effect-assessment or Regular assessment Report

5. Certification / License for  in house clinic and Doctor / Nurses / Paramedics / First Aider (If any) 

6. Food and Drink Service Permit,Canteen hygiene certificate, kitchen staff physical examination records/MoU with Canteen Providers (If available)

7. Accident, Incident and  Occupational Diseases Record for last 12 months

8. Copy of summary of medical check up or/and specific check up especially with employees work in hazardous condition (if any) 

9. MSDS List / Chemical Inventory (refer to attached form)

10. Fire and Evacuation Drill records within 6 months

11. OHSAS 18001 and ISO14001 if applicable

12. Labor and HSE internal audit records 

13. Water abstraction permit if applicable

14. SEA workers Hotline Poster

15. Qualified suppliers list

D. Specialized Areas (if Available)

Pregnant Employees, Person with Disability (PWD), Migrant Employees, Juvenile Employees and Outsource Employees. 

1. Permit / License related with pregnant, PWD, Migrant, Juvenile Employees and Outsource Employees ( as required by local law)

2. List of the Pregnant, PWD, Migrant, Juvenile Employees and Outsource Employees in the factory (include country of origin for migrant employees). Current job position for pregnant and juvenile; Age proof documents for Juvenile. 

3. Contract Agreement  with Recruitment Agent / Service Provider 

Adidas audit refers to Adidas's audit and inspection of its suppliers. The suppliers who passed the audit will be able to cooperate with Adidas, including human rights inspection, quality inspection and anti-terrorism inspection.

If the factory has never been in contact with the Adidas audit, what should it do?

Status: Adidas audit has been popularized, most foreign trade suppliers will be required to pass various audit certification, but many Chinese suppliers have not met the factory audit at all, and even know nothing about the audit.

Solution: In response to this situation of Chinese foreign trade suppliers, the audit consulting organization came into being, like Tranwin. It specializes in providing various inspection and consultation services for the factory. The factory inspection problems can be completely handed over to us, and it no longer needs to be personally involved.

Benefits of passing the Adidas audit:

1. It is easier for the Adidas audit to be recognized by the world's major manufacturers. The company will reduce the waste of multiple auditing manpower, powerlessness and financial resources, and improve work efficiency.

2. Passing the Adidas audit, you can gain international recognition and increase your positive competitiveness with the Zhiming brand.

3. Passing the Adidas audit can promote consumers positive feelings on the product resume.

4. Adidas audits can improve management systems and improve relationships with employees, thereby increasing productivity and increasing profits.

SCS certification is usually called SCS audit.

The main differences between SCS certification and GSV certification are as follows:

The initiators of the two are different: the SCS audit was initiated by Wal-Mart; and the GSV certification was initiated by ITS.

The details of the two are different: SCS audit and GSV certification, because the developers, starting points, etc. are different, so the content will be different. 

The subject of execution is different at the time of audit: GSV is performed by ITS, while SCS is not necessarily, it may be ITS audit, or it may be performed by other certification body.

The list of ADIDAS audit documents is here to cover three main parts: employee part, labor part, occupational health and safety.

Employee part

Employee handbook, including factory rules, factory records, such as: evaluation system for employee performance, factory reward and punishment system, salary system, employee benefits, procedures for canceling contracts, etc.

Monthly turnover rate of employees, separation list, and resignation report.

Labor part

1. Factory business license and tax registration

2. Organization chart and plan of the factory

3. The latest government documents, such as: minimum wage, social insurance regulations, comprehensive timing approval records, etc.

4. Employee handbook (including factory rules, factory records, such as: evaluation system for employee performance, factory reward and punishment system, salary system, employee benefits, procedures for canceling contracts, etc.

5. Recruitment advertising, description of the recruitment process

6. Staff training procedures, training requirements, training plans, training records, evaluation forms

7. Employee information: new employee application form, employee ID card copy and supporting documents, various leave application forms, reward and punishment records

8. Monthly turnover rate of employees, separation list, and resignation report

9. Labor contract

10. Records of young employees, such as: list of young workers, positions, medical records, etc.

11. attendance and salary records, payroll

12. Workers volunteer overtime records/documents

13. Social insurance, work injury, medical insurance and other insurance records

Occupational health and safety

1. The latest health and safety regulations

2. Factory internal health and safety policy

3. Registered security officer certificate

4. Health and Safety Coordinator and its documented job description

5. First aid training certificate or related training records

6. Fire and evacuation drill plans and related records

7. Work injury and accident record

8. Evacuation plans for all areas of the plant

9. Fire extinguisher monthly inspection record

10. Certificates of use and periodic inspection records for elevators, boilers, pressure vessels, generators, etc.

11. Restaurant hygiene permit, health certificate for restaurant staff

12. Special positions staff employment certificates, such as: electrician, boiler operators, * lathes, elevator operators, etc.

13. List of chemicals used in the factory and their MSDS/CSDS

Over the past 50 years, the amount of plastic used worldwide has increased 20-fold and is expected to double again in the next 20 years. This material is cheap and versatile, but it also brings huge environmental costs.

Compared with other materials, the recycling rate of plastics is very low. Only 14% of the world's plastics are recycled, 58% of paper recycling and 90% of steel. Plastics production accounts for 6% of global oil consumption and is expected to grow to 20% by current trajectory by 2050.

Plastics are also used in large quantities in the garment production process, mainly polyester fibers, which are favored by the garment manufacturing industry because of their fast drying and light weight. Adidas said that the use of virgin plastics will be discontinued in the production line in 2024. Prior to this year, the use of virgin plastics in offices, retail stores, warehouses and distribution centers will be banned, with an estimated 40 tons of plastics per year.

Adidas plans to use 80% marine recycled plastic bottles on the 2018 Fall/Winter UltraBOOST upper, and the Spring and Summer 2019 apparel collection will contain approximately 41% recycled polyester.

In 2015, Adidas partnered with Parley for the Oceans to make sneakers using marine waste recycling. Although it sold only 1 million pairs in 2017, Adidas expects sales to increase significantly to 5 million pairs this year.

In addition to Adidas, Starbucks also announced that it will stop using plastic straws. McDonald's is experimenting with similar projects in the UK and Ireland. IKEA is phasing out disposable plastics used in stores and restaurants, and is expected to replace recycled plastics by August 2020. About 40% of the total plastic use. IKEA has acquired a 15% stake in Morssinkhof Rymoplast, a Dutch plastics recycling plant, and Morssinkhof Rymoplast produces more than 220,000 tons of premium recycled materials annually.

The following are Adidas employment standards:

1. Environmental requirements

Business partners should continually improve the environmental performance of their production facilities and make similar requests to their business partners, suppliers and subcontractors.

This includes integrating sustainable development principles, making good use of natural resources, and adopting cleaner production and pollution prevention measures to design and develop products, materials and technologies based on sustainable development principles.

2. Salary and benefits

Wages should equal or exceed the higher of the statutory minimum wage and wages in the same industry, and should provide statutory benefits. In addition to paying for normal working hours, overtime pay should be paid in accordance with the overtime pay rate prescribed by the law of the country of manufacture. If there is no relevant legal requirement in the local area, the overtime pay rate should be higher than the hourly wage during normal working hours. Wages must meet the basic needs of employees and reasonable savings and expenses. We expect our business partners to improve their living standards and improve their quality of life by improving their pay systems, benefits programs and other services.

3. Discrimination

Business partners must not discriminate in the process of recruitment and hiring. Decisions regarding recruitment, payroll, benefits, training opportunities, assignments, promotion, rewards and punishments, and dismissal should be based solely on the employee's ability to work, and should not be based on their personal characteristics or beliefs, such as race, ethnicity, gender, Religion, age, disability, marital status, presence or absence of children, membership of trade union organizations, sexual orientation, or political proposition. In addition, business partners must take effective measures to protect foreign workers from any form of discrimination and provide appropriate support services for their special circumstances.

4. Occupational health and safety

Business partners must provide a safe and healthy work environment and promote occupational health and safety practices to prevent accidents and work injuries. This includes protection against fires, accidents and toxic items. Lighting, heating and ventilation systems must be adequately equipped. Sanitation facilities are available to employees at all times and sanitation facilities must be adequately equipped to keep them clean. Business partners should establish an occupational health and safety policy and communicate clearly to employees. If a dormitory is provided for an employee, the appeal criteria also apply to the dormitory.

5. Working hours

Employees may not be required to work more than 60 hours per week unless special circumstances include overtime work, or may be prescribed by local law below this standard. Employees must have at least 24 hours of rest every seven days. Employees must enjoy paid annual leave.

6. Forced labor

Business partners must not employ forced labor, whether it is prison labor, labor, or imprisonment, and must not be employed. Employees cannot work under forced or any form of intimidation, or use work as a means of political persecution or punishment for holding or expressing different political claims.

7. Child labor

Business partners are not allowed to hire children under the age of fifteen. If the country where the factory is located stipulates that the age of completion of compulsory education is higher than fifteen years old, children below the age of compulsory education may not be employed.

8. Freedom of association and collective bargaining

Business partners must recognize and respect the right of employees to participate and organize associations and conduct collective bargaining at their own discretion. Business partners should establish and implement labor dispute resolution mechanisms, including employee complaints. Business partners should ensure effective communication with employees and their representatives.

9. Disciplinary

Employees should enjoy respect and dignity. Employees should not be subjected to any corporal punishment, sexual harassment, psychological abuse, verbal abuse, or fines as a disciplinary measure. Business partners must publish and implement a non-retaliation policy that allows employees to express their concerns about workplace conditions directly to management or us without fear of being punished or losing their jobs.