Supplier sustainability requirements apply to any supplier doing business with HP and are part of any contract with an HP legal entity that obligates the supplier to comply with HP’s Supply Chain Responsibility requirements or policies including the Supplier Code of Conduct. “Supplier” refers to any party that provides goods or services for HP’s internal use or in connection with a product that is sold, provided, or marketed by HP.
We focus our efforts where we believe we can have the greatest impact. With direct suppliers, we invest in programs that empower and protect workers, improve factory conditions, and elevate management systems. We measure performance through tools such as the sustainability scorecard, the key performance indicator (KPI) program, and audits to monitor compliance with our expectations and identify opportunities for collaboration and improvement. We also recognize that there are risks deeper in our supply chain, extending all the way to the sourcing of minerals and raw materials used to make our products. Our conflict minerals program is designed to address these risks by collecting data, fostering transparency, and encouraging responsible sourcing.
Moreover, HP has purchasing agreements or purchase order terms and conditions in place with our direct suppliers requiring them to comply with international standards and applicable laws and regulations regarding forced labor and human trafficking as specified in HP's Supplier Code of Conduct. HP's direct suppliers certify that their operations comply with the laws regarding forced labor and human trafficking through their consent to the relevant terms and conditions in their agreements with HP.
Although the terms of the Code do not specifically address "materials" that suppliers incorporate into products, HP presents the Code of Conduct as a total supply chain initiative and requires suppliers to certify, at minimum, that they require their next tier suppliers to acknowledge and implement the HP Supplier Code of Conduct and hand the HP Code down to their sub-tier suppliers. We also require suppliers to monitor the performance of their next tier suppliers against the requirements of the Code.
As part of the requirements of HP’s Supplier Code of Conduct and specialized labor standards we require suppliers to develop appropriate policies, procedures and associated documentation to adhere to our requirements and any applicable laws and regulations, including those prohibiting forced labor and human trafficking. We confirm the existence and maintenance of those management systems through our audit program.