Supply Chain Management

CK Hutchison’s diversified businesses are supported by a wide range of suppliers and contractors. The Group understands the importance of collaboration with its business partners in delivering sustainable value to its stakeholders.

Sourcing Responsibly and Engaging Suppliers
The Group addresses supply chain challenges through risk management, responsible sourcing, supplier engagement and oversight.

Approach to supply chain management
The Group’s procurement activities follow a set of fair and transparent tendering process. It requires the tenderers to declare any conflict of interest and take a firm stance against fraud and misconduct. Supplier relationships will be suspended or terminated if contravention is found.

CK Hutchison aspires to bring positive influence in the business community by setting expectations in ESG related matters with its key suppliers.

Taking the Retail division as an example, ASW has been upholding the Business Social Compliance Initiative (“BSCI”) Code of Conduct since 2008. With a goal to drive compliance, fair business practices and environmental performance, suppliers have been invited to acknowledge and endorse the BSCI Code of Conduct. Over 800 factories across the world have participated in the regular compliance audit programme also since its launch in 2008.

Delivering Safe and Quality Products and Services
ASW builds trust with its customers from the get-go, starting with managing the reputation of own-brand products. Its five-step process guides the own-brand development cycle at the business unit level.

ASW provides guidance to suppliers of non-own-brand retail products to help them meet its expectations on product safety and quality requirements. Additionally, ASW works with its suppliers towards more sustainable and responsible products; for details please refer to the Section “Commitment to Our Environment”.