Supplier Responsibility

At the center of Dell's global supplier management program is our supply-chain management system that includes a number of core components:

Certification and Standards

International Organization for Standardization (ISO) 14001 certification — We require our suppliers to be compliant with ISO 14001, the most widely recognized standard for environmental management systems, or submit a schedule for achieving certification and obtain Dell approval.

Occupational Health and Safety Advisory Services (OHSAS) 18001 certification — We require our suppliers to be compliant with OHSAS 18001, a prominent European standard for workplace health and safety management systems, or submit a schedule for achieving certification and obtain Dell approval.

Training and Communication

Training — Dell communicates expectations during its annual supplier conference and by hosting supplier workshops that address relevant issues aligned with the code in areas, such as labor, health and safety, and environmental practices, to its suppliers.

Engagement with third parties and non-governmental organizations (NGOs) — Dell will engage with third parties and NGOs as it deems necessary to ensure the effective implementation and oversight of its supplier principles.

Correction and Enforcement

Correction — Recognizing the complexity of the world in which we do business, when suppliers fail to meet these principles, no matter the level of the supplier, Dell will collaborate with the first tier supplier to address and create an action plan to ensure future compliance. Performance against the plan to adhere to Dell's standards shall not take more than one year.

Enforcement — Dell reserves the right to terminate at any time, even before corrective plans are developed and implemented, agreements with suppliers that fail to comply with our Supplier-Commitment Policy or our Supply-Chain Management Requirements.

Top Issues in Information and Communication Technology Supply Chain

Dell recognizes the size and complexity of our supply chain, and while we are committed to addressing the top issues as defined by the Electronic Industry Code of Conduct (EICC), our efforts are made more difficult by regional differences, varying laws by country and changing suppliers. Despite these complications, full implementation of these important standards is a long-term effort that Dell is committed to.

Figure X: ICT Issues as Defined by EICC

Addressing Minerals and Extractives

The Democratic Republic of Congo holds vast resources of minerals, and many of the mines are controlled by parties that are causing serious issues in the region. The conflict focuses on the mineral-rich areas of tantalum, tin, gold and cobalt. Currently, there isn’t a reliable verification of conflict-free minerals. The electronics industry is essentially a small consumer of metals. However, some materials (such as cobalt in rechargeable batteries), when viewed holistically across all relevant industries, are used in meaningful volumes. Dell’s finished-goods manufacturing operations are many steps removed from the extraction, refining and trading of these materials. This means that companies such as ours have limited influence over the social and environmental practices in metal-extraction operations. Our ability to make improvements in these areas is most effective when we engage with the supply chain that is more directly within our sphere of influence.

Although this is a challenge where we don’t have a direct line of sight to the solution, we’re committed to being part of the industry-wide effort that is working toward a solution.

In this regard, Dell has implemented strategies to build awareness within our supplier chain.

1. Sending letters to our suppliers requesting their assistance in helping us address this challenge

2. Increasing the level of management review and oversight of this issue at Dell

3. Continuing to work on this issue with our peers in the EICC

Our purpose is not to employ bans or embargos but to help our suppliers better understand the situation in this region.

For more information, contact:
SC_SER@dell.com