Each of the requirements within the code of conduct

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Unformatted text preview: their employees. The application of the code raises standards. Each of the requirements within the code of conduct helps to develop sustainable business activities. They have a positive impact on the business environment in which the suppliers operate. They also improve the experience of people working for those businesses. To monitor suppliers, IKEA regularly carries out an IWAY audit. This involves talking to employees and inspecting documents and records. IKEA visits suppliers on-site on a number of occasions to ensure that they are following the code of conduct. The code of conduct for suppliers and the work with other organisations underlines IKEA’s commitment to ‘low price but not at any price’. Although IKEA wants its customers to enjoy low prices, this should not happen at the expense of its business principles. To support sustainable partnerships with suppliers, IKEA works with other organisations. In 2000 IKEA formed a partnership with UNICEF to work on a community programme in Northern India. The aim of the work was to prevent child labour by raising awareness and addressing the root causes. IKEA has also formed a partnership with the World Wildlife Fund (WWF). IKEA and WWF have committed themselves to promoting the sustainable use of natural resources. This helps to ensure that forests can be used both now and in the future. IKEA 28962_Ikea 83 28962_Ikea 9/6/08 10:41 Page 4 www.thetimes100.co.uk For example, IKEA and WWF actions have led to: • a series of training courses for people in Russia, Bulgaria, Romania and China on responsible forest management • the development of forestry plans in China • demonstrations to managers in Latvia on the benefits of responsible forestry. All these projects show IKEA’s commitment to supporting sustainable practices. GLOSSARY Market share: total share of all products within a product category or industry. Differentiate: to emphasise the differences between the activities of one organisation and another. The tertiary sector Businesses in the tertiar...
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This note was uploaded on 09/29/2011 for the course MGT 3501 taught by Professor Chang during the Fall '10 term at Georgia Institute of Technology.

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