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PANDORA CSR REPORT
SOURCING
During 2012, we have further developed our Responsible
Supplier Programme throughwhichwe screen and catego-
rise our suppliers, organise supplier trainings and self-as-
sessments, initiate CSR audits carried out by independent
consultants and finally ensure an ongoing dialoguewith
our suppliers to ensure that they operate in compliance
with PANDORA’s Supplier’s Code of Conduct. The pro-
gramme is described in detail inCSRReport 2011 and on
SUPPLIER ENGAGEMENT
In 2012, we have gained valuable experience in imple-
menting the programme in cooperationwith existing as
well as potential new PANDORA suppliers. This has led
us to revisit our procedures for screening and categorising
our suppliers. On top of existing screening criteria such
as business importance, product related risks, country of
production, documentedCSR capacity and the responsible
purchaser’s personal assessment, we have added additional
criteria such as our leverage and opportunity to influence
the supplier andwhich jewellerymaterials are especially
important to our key stakeholders. The introduction of
more indicators has led tomore complexity in decision
making. Therefore, in 2012we have seen that the screen-
ing process evolving from being the sole responsibility of
the responsible purchaser towards a dialogue between our
purchasers and groupCSR.
Beside the third party CSR auditsmentioned above,
our suppliers of jewellerymaterials are also visited by our
own staff that monitors the capacity of our suppliers to
deliver at the right price, the right time and in the right
quality. These supplier audits also cover health and safety
and other CSR related issues. In 2012, PANDORA Pro-
ductionThailand has initiated a project to integrate these
audits into one common system. This project is headed by
our CSR team in Bangkok.
JEWELLERY MATERIALS
Mining andprocessingof jewellerymaterials areoften
debatedwithin the industry, by civil society, bymedia andby
authorities.At PANDORAwe fully recognise thatwhile
mining andprocessing are valuable sources of income for
millions of people around theworld, they canbe associated
with severe adverse social and environmental impact.
PANDORA is operatingwith a vertically integrated value
chain, directlyhandling the vastmajorityof our jewellery
craftingoperations at our own facilities inBangkok,Thai-
land. In2012, PANDORAhas intensifiedour dialoguewith
