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Edco Inc. case study
InTouch and Edco Inc.
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Edco has been a premier manufacturer of cubic zirconia rings and jewelry, add-a-link charms, and hair ornaments since 1954. Edco’s clients include many recognizable names in the resort, fashion, tourist and gift industries, but Disney is a standout.
Disney has made corporate social responsibility a top priority in their global operations for years. Today, Disney’s International Labor Standards program is administered by a dedicated staff of approximately 75 professionals in 12 countries around the world. In order for Edco to continue producing Disney licensed merchandise, it is absolutely essential that all of Edco’s suppliers meet or exceed the requirements of the Disney ILS program.
Edco chose to partner with InTouch to continuously evaluate their suppliers for compliance with Disney’s standards. InTouch compliance experts have developed an audit criterion that is specially designed to address the core tenants of the ILS program. In addition to this criterion, InTouch conducts each audit with a supplemental set of checkpoints that are used to determine the production capabilities and quality control procedures exhibited by each of Edco’s suppliers.
Currently, InTouch is monitoring compliance at 4 independent manufacturers that supply Edco with various Disney licensed merchandise. At each facility, InTouch investigates social compliance standards as well as the factory’s adherence to Disney’s strict chemical management guidelines. At the conclusion of each audit, a detailed Corrective Action Plan is compiled on-site with the factory management.
Each issue of non-compliance with Disney’s ILS program standards is documented, and paired with guidelines on how they can be resolved.
A full audit report as well as the Corrective Action Plan (CAP) is then submitted to Edco, allowing them to track the overall compliance levels at each of their facilities over time. InTouch follows up regularly with each supplier to ensure that CAPs are being implemented in a timely manner. Follow-up and full re-audits are scheduled regularly to ensure that each facility is capable of passing their next official Disney audit. To date, the Edco suppliers under InTouch monitoring have yet to fail a single Disney audit, and continue to produce licensed merchandise for Edco uninterrupted.
