VAUDE has a great interest in long-term relationships with producers. Frequently changing producers to obtain more favorable prices doesn’t correspond with our company philosophy. For VAUDE, it is important that the producers have an understanding of our VAUDE values and quality standards. We achieve this through many years of collaboration based on mutual trust. This foundation creates the conditions for open, constructive collaboration that helps us to shape and improve sustainable processes at the production sites.
During the lockdown when our specialist retailers were closed, we deliberately did not cancel any orders for goods, but worked with our partners and suppliers to jointly cope with the inevitable slump in sales. For example, we collaborated to redefine delivery dates and payment targets, always under the premise that both sides would be able to successfully bear the changes. VAUDE is highly committed to responsibility and fairness in the supply chain and relies on long-term partnerships with its producers and suppliers.At the beginning of the pandemic when our specialist retailers were closed, we deliberately did not cancel any orders for goods, but worked with our partners and suppliers to jointly cope with the inevitable slump in sales. For example, we collaborated to redefine delivery dates and payment targets, always under the premise that both sides would be able to successfully bear the changes. VAUDE is highly committed to responsibility and fairness in the supply chain and relies on long-term partnerships with its producers and suppliers. Find out more here.
We require early, detailed and binding planning of quantities from our sales department. The more accurate our volume forecasts, the better the producer can plan and the less overtime is incurred during production.
Prices are negotiated and established very early with the producer. This usually happens during the product development phase based on cost breakdowns. In the cost break down, the producer records exactly what materials are used, what they cost, and other relevant costs incurred for product manufacturing.
After each season, we evaluate the producers' data with regard to adherence to deadlines, delivery, quality, quantity, working conditions, etc. and then discuss any improvement measures that may prove necessary.
Some of your VAUDE products will continue to be manufactured right here at our Manufaktur production facility at the company headquarters in Tettnang-Obereisenbach as well as elsewhere in Europe. However, the majority of all outdoor products, however, are made in Asia.
* Presentation of our manufacturers within the FW scope
VAUDE worked with ten producers in Europe during the period under review. They accounted for over 13% of the total expenditure for our products. Over 10% were products made here in southern Germany at our Manufaktur production facility.
However, the majority of our products are manufactured by external contractors. VAUDE traditionally maintains business relationships based on partnership and always works directly with all producers. The majority of our producers' production facilities are located in Vietnam.
In high risk countries, the likelihood that labor standards or laws will be violated is greater than in non-risk countries. In these countries, institutions (such as trade unions, employee organizations, labor legislation, supervision systems) that guarantee compliance with labor standards either don't exist or don't function well. Fair Wear categorizes all Asian countries as high risk. In Europe the countries of Bulgaria, Italy and Romania are also considered high risk.
VAUDE has achieved Fair Wear’s Leader Status. Fair Wear requires that its members have at least 90 % of its factories audited.At VAUDE it is important it to have complete transparency. Therefore, all producers in high risk countries have been audited. Due to the pandemic, not all planned audits could be carried out in 2020 and 2021, but these were completed in 2022. VAUDE works with the producers on action plans for implementing corrections. Using the information from the audits and other external sources, we conducted a detailed risk analysis in 2022 for the countries in which we produce. Read more here
Myanmar, like all Asian countries, is considered to be high risk. However, Fair Wear has additional requirements for Myanmar that are more stringent. Read more here
In general, producers in non-risk countries are not audited because the risks are much lower. Nevertheless, due to our new risk-based approach, we audited two production sites in Portugal. The audits were carried out by an independent company that conducts audits as part of Fair Wear’s social standards. In addition, they are also regularly visited by our employees in non-risk countries.