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Chapter 19: CVS: “Fired Up” about Social Responsibility: 19-6d Suppliers Book Title: Business Ethics: Ethical Decision Making and Cases Printed By: Kennisha Holloman (kholloman@grantham.edu) © 2019 Cengage Learning, Cengage Learning

19-6d Suppliers

CVS has developed a commitment called Prescription for a Better World, which

encompasses its Code of Conduct, Supplier Ethics Policy, Supplier Diversity, and Supplier

Audit Program to promote integrity, accountability, and diversity. These programs work to

ensure that human rights are respected throughout the entire supply chain. In developing

these policies, CVS used principles initiated by the International Labor Organization and the

United Nations’ Universal Declaration of Human Rights. The human rights framework

guides all suppliers of CVS to avoid unethical and illegal practices such as child labor,

human trafficking, discrimination, and dangerous workplace conditions.

The Supplier Audit Program is a risk-based assessment conducted by multiple third parties

to evaluate workplace conditions, including labor, wages and hours, health and safety,

management system and environment, as well as operational, financial, and legal risks, to

assure that employees’ rights are not being violated. This program was fully expanded to

factories in countries considered to be at high risk for such violations, and it is in the process

of implementing full social audits for subcontractors in these areas. In addition, CVS works

with globally recognized organizations including Worldwide Responsible Accredited

Production (WRAP) and Social Accountability International (SAI) to ensure its

measurements are relevant and effective. Finally, partnerships with Intertek’s CSV program

maintains the company’s certification status with the U.S. Customs-Trade Partnership

against Terrorism (C-TPAT) program to ensure the quality of products made in countries

such as China.

Chapter 19: CVS: “Fired Up” about Social Responsibility: 19-6d Suppliers Book Title: Business Ethics: Ethical Decision Making and Cases Printed By: Kennisha Holloman (kholloman@grantham.edu) © 2019 Cengage Learning, Cengage Learning

© 2020 Cengage Learning Inc. All rights reserved. No part of this work may by reproduced or used in any form or by any means - graphic, electronic, or mechanical, or in any other manner - without the written permission of the copyright holder.