BSCI (Business Social Compliance Initiative)
The Business Social Compliance Initiative (BSCI) was officially launched on 30 November 2004. It represents a co-ordinated effort by the European retail industry to
implement a harmonized code of conduct and improve working conditions in supplier countries on a voluntary basis. The driving force behind the BSCI is the Brussels -based Foreign Trade Association (FTA), which is the association for European commerce lobbying particularly on foreign trade issues.
The benefits of the BSCI as a broad and comprehensive monitoring system for social standards in the supply chain are numerous:
Synergy effects, reduction of multiple auditing thereby reducing costs are one characteristic. Factories/companies which are being audited can improve their competitiveness through improved social standards as better working conditions and an improved management system leads to better product quality, higher productivity, fewer work accidents, less sick leave producing more highly motivated workers and lower staff turnover. The result of this is an improvement ethically, but also economically for both involved employers as well as employees. The economic advantages in this respect - in parallel taking into account the objectives to reduce excessive overtime and raise salaries where necessary, have been shown in research studies in this field. Therefore, benefits of the individual company also have a positive effect on the broad public. This is not a certification scheme.