Factory Audit
An on-site assessment of a supplier's factory by a buyer or third party covering social, quality or security standards.
A factory audit is an on-site assessment of a supplier's factory by a brand, retailer or third party, verifying whether the factory meets the buyer's or a standard's requirements on social responsibility, capacity, quality or security. Passing an audit is often the entry ticket into Western buyers' or marketplaces' supply chains.
Common types include social/ethical audits such as amfori BSCI, Sedex's SMETA methodology, SA8000 and WRAP (covering working hours, wages, child/forced labour, health and safety), quality/capacity audits, and supply-chain security audits (e.g. C-TPAT). Note that amfori BSCI and Sedex/SMETA produce audit reports uploaded to their respective platforms rather than 'certificates', and SMETA and BSCI do not automatically recognize each other.
For Chinese exporters: find out the exact standard and version your customer requires in advance. Working-hour and wage records, fire/safety, and chemical management are frequent non-conformities. Do not falsify records or keep 'double books'—being caught leads to immediate disqualification and blacklisting. Audits are usually graded by outcome and typically require a corrective action plan (CAP) and re-audit within a deadline. Follow each scheme's official documentation for exact requirements.
FAQ
- What is the difference between BSCI and Sedex/SMETA?
- BSCI is managed by amfori and common among EU buyers; SMETA is the audit methodology provided by Sedex and very widely used. Both produce audit reports rather than certificates and do not automatically recognize each other, so prepare for the scheme your customer specifies.
- What if the factory fails the audit?
- Audits usually list non-conformities and require a corrective action plan (CAP) within a deadline, followed by a re-audit. The key is to fix the real issues and keep evidence rather than fabricate—being caught faking results leads to disqualification and blacklisting.
- Do I get a certificate after passing?
- BSCI and SMETA do not issue certificates; they generate audit reports uploaded to a platform for customers to view. Schemes like SA8000 and WRAP do issue certificates. It depends on the scheme your customer requires.
Related terms
Sources: https://www.amfori.org/en/solutions/social/about-bsci · https://www.sedex.com/our-services/smeta-audit/