Unveiling the Truth About Factory Audits for Water Cup Manufacturers? Walmart Audit Edition

Every cup has a story, and life has its warmth. Hello everyone, welcome to "Dong Dong's Cup Talk" Recently, our factory passed the Walmart factory audit—a new certification following previous audits by Starbucks, BMW, Huawei, Midea, Nestlé, and BSCI. This marks another fresh start for our factory. https://www.zhanyict.com/en/ProductsDetail-VB-10529.htmlAmong the inquiries we've received, many have expressed interest in learning about factory audits. We recently invited Director Li Jing, who specializes in managing audit processes at our factory, to share her insights despite her busy schedule. The following content is based on Director Li’s narration, compiled by me. Due to the extensive information, it will be divided into multiple independent articles for sharing.

Hello everyone, I'm Li Jing, and I've been working at this factory for fifteen years. Starting as a quality inspector on the production line to now overseeing factory audit affairs, I've personally witnessed the factory’s journey from its inception to becoming a supplier for multiple international brands. Our factory primarily produces stainless steel insulated cups and various plastic water bottles. https://www.zhanyict.com/en/ProductsDetail-VB-10529.htmlWe have multiple departments, including Administration, Quality Inspection, Design, Business, Finance, General Affairs, Human Resources, Technology, Product Development, Mold Manufacturing, Injection Molding, Metalworking, Packaging, and Warehouse. Over the years, I've led my team to successfully pass numerous factory audits, including those for Starbucks, Walmart, Nestlé, and BSCI. Today, I'd like to share the detailed content of these audits, hoping to help those new to factory audits avoid unnecessary detours.

2. Walmart Factory Audit

The Walmart factory audit focuses on social responsibility and supply chain security, aiming to ensure suppliers comply with ESG (Environmental, Social, https://www.zhanyict.com/en/ProductsDetail-VB-10529.htmland Governance) standards while preventing forced labor and discrimination.

Audit Content: The audit emphasizes human rights aspects, such as wage payments, working hours (no more than 60 hours per week), antiharassment policies, and fire safety facilities. It also reviews product quality and antiterrorism security (e.g., CTPAT standards). https://www.zhanyict.com/en/ProductsDetail-VB-10529.htmlThe human rights assessment involves detailed checks of employee records to ensure no falsified documentation. For example, Walmart requires all employees to sign voluntary overtime agreements and receive detailed pay stubs.

Rectification Opportunities After Failure: Typically, two rectification opportunities are granted. After the initial failure, a deadline is set for improvements. https://www.zhanyict.com/en/ProductsDetail-VB-10529.htmlIf the second attempt fails, the supplier may face order reductions.

Case Study: A factory initially failed due to blocked fire exits but passed the second audit after renovating the exits and providing employee training.

Costs: Thirdparty assistance fees range from approximately ¥20,000 to ¥40,000.

Total Investment: https://www.zhanyict.com/en/ProductsDetail-VB-10529.htmlThe total investment ranges from ¥150,000 to ¥250,000, covering safety facility upgrades and employee welfare improvements.

Standards and Focus Areas: Based on Walmart’s Ethical Standards, the audit places greater emphasis on human rights and antiterrorism security.