Supplier codes of conduct are implemented by a company to guarantee that its suppliers follow stipulated guidelines in the manufacture and distribution of their goods and services. The code of conduct is created to ensure that suppliers provide good working conditions and fair treatment to their workers and that the manufacturing process is ethical. It is crucial for a company to have a supplier code of conduct for two main reasons. Firstly, it ensures that the organization’s brand is not damaged due to the violation of human and environmental rights by the supplier. Secondly, it gives the company a competitive advantage since it ensures that the goods and services obtained from suppliers meet a certain required standard.

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