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Quality In, Quality Out

We know that the quality of our products depends on the health of the supply chain. Our supplier relationships are governed by a strong set of business conduct and social responsibility codes; due diligence with respect to conflict minerals; and thoughtful materials disclosure requirements.

Supplier Code of Business Conduct

Our Supplier Code of Business Conduct, which includes our Supplier Corporate Social Responsibility Standards, is referenced in our supplier agreements as a requirement of all suppliers.

To view or print the Motorola Supplier Code of Conduct in a PDF file format, please select a language from the list below:

Supplier Corporate Social Responsibility

We take a multi-pronged approach to helping our suppliers improve their Corporate Social Responsibility performance. This includes assessing and monitoring suppliers to our CSR Standards as well as providing programs to help suppliers develop the capability to improve their own performance over the long term. CSR is a factor in every sourcing decision made for every new product we design.

Monitoring and Assessment

Audit Program

Our supplier CSR audits assess compliance with the CSR Standards within in our Supplier Code of Business Conduct and local legal requirements. In addition to highlighting violations of our code, audits also raise supplier awareness of the issues and enable us to target improvements. We use pre-qualified auditors from independent 3rd party auditing firms to carry out our onsite auditing programs. The audit firms use standard audit protocols and report results using a standardized Motorola-specific rating matrix. We have an ongoing goal to audit every direct materials and final assembly supplier every 3 years (goal expanded in 2014 to include every supplier location relevant to Motorola parts and products). We also audit select indirect suppliers (e.g., outsourced service providers) using a risk-based approach.

Audit Finding Remediation

When we identify issues during an on-site audit, our process requires the supplier to develop an effective corrective action plan that addresses the root cause of the issue. The plan must specify a timely schedule for implementation - our guidelines on timing depend on the severity of the issue. We then schedule a closure verification audit within 6 to 12 months of the initial audit to verify closure of the findings identified.

Working with suppliers to improve labor and environmental conditions is crucial to our program. In most cases, we do not simply terminate contracts when issues are identified, because we believe that this can result in deteriorating conditions for workers. However, if a supplier does not meet corrective action deadlines or develop appropriate corrective action plans, we apply an escalating series of enforcement penalties if a supplier does not respond by taking necessary corrective actions.

2014 Auditing

119 on-site audits of our suppliers were conducted in 2014. We are actively working with the supplier to verify closure of the findings identified. The most common issue we find in our audits relates to working hours. To help address this, we initiated a project in 2014 in partnership with select suppliers by bringing them together with 3rd party advisors who perform a deep dive root cause analysis on suppliers’ working hours issues. Based on the initial analysis, the advisors identify and help to implement opportunities that will increase efficiency, reduce working hours, and maintain/increase worker satisfaction, which leads to reduced turnover

2015 Audit Goal

Complete audits to support the ongoing goal of auditing every direct materials and final assembly supplier every 3 years (goal expanded in 2014 to include every supplier location relevant to Motorola parts and products). Select indirect suppliers will also be audited using a risk-based approach.

Training

We deliver CSR training both to our internal employees to ensure awareness about CSR, as well as to our suppliers to help build their awareness about CSR issues.

We have developed an Android application for our internal supplier-facing employees called Supplier Eyes and Ears for Corporate Social Responsibility (SEE CSR). This app acts as a resource for supplier-facing MM employees when visiting a supplier site and provides resources on potential areas of concern for each CSR category - Labor, Ethics, Health & Safety, Environment. It includes CSR Team contact info with link to call or email immediately and a reporting mechanism when areas of concern are identified when engaging with a supplier. In 2014, we developed an open source Android and iOS app as a training resource to our supplier.

Multi-Stakeholder Engagement

Electronic Industry Citizenship Coalition (EICC)

We are promoting higher standards across the industry. Our membership in the Electronic Industry Citizenship Coalition (EICC) has enabled us to align our approach with industry best practice and contribute to change at an industry level.

Global Business Initiative on Human Rights (GBI)

Motorola Mobility was recently selected as a member of the Global Business Initiative on Human Rights (GBI), a cross sector initiative with a mission to advance human rights in a business context around the world.