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Ambadi Enterprises Awarded SA 8000 Certification

On January 1, 2005 Ambadi Enterprises was the proud recipient of the Social Accountability 8000 (SA 8000) certification for implementing the internationally defined Human Rights Management Systems. Ambadi Enterprises is the first company in the carpet industry to be certified by UL, USA, and is one among only 70 companies in India to receive this certification. The other companies are from diverse industries like accessories, agriculture, apparel, automotives, building materials, business services, chemicals, construction, consulting, energy, household appliances, metals, textiles and transportation. On January 1, 2005, around 500 units were certified for SA 8000 from 40 countries, representing 51 industry groups.

With this certification, Ambadi Enterprises has set itself as a benchmark for other companies in the Indian carpet industry. Broadly, the carpet industry here is unorganised and vendors run their units with little knowledge of legal compliance relating to human rights and issues relating to the health and safety of the workers. Ambadi Enterprises has been successful in implementing a rigorous discipline up to tier II of the supply chain and adhering to values of respecting and practicing human rights requirements as laid down in SA 8000. With globalisation comes a need to stand out among the rest, to be globally accepted, and the team at Ambadi Enterprises decided that the SA 8000 certification would be the right strategic tool for its global positioning.

Underwrites Laboratories in India audited the company for eleven days, inspecting Ambadi Enterprises' six locations. They also audited the supply chain to check the company's efforts to educate the suppliers for effective implementation of SA 8000.

The implementation has been well received from front line people at vendor premises. Minimum wages of the vendors were reviewed and brought at par with the local laws. Good health and safety measures and a suitable working environment including providing potable drinking water at the supplier premise, made a positive impact on the productivity of these units. Great efforts have been made to educate the suppliers and motivate them to comply with SA 8000 norms. This has also inspired the suppliers to invest in their units, to upgrade to an extent that they are able to showcase their areas to the customers of Ambadi Enterprises. This partnership will without doubt prove to be a success.

With the SA 8000 certification, Ambadi's customers can be confident that:
The products supplied from the enterprise are free from child labour
The Ambadi enterprise adheres to all legal requirements relating to working hours, wage, and health and safety systems.

The efforts for the SA certification started in May 2003 and it was implemented in all its locations — Cannanore, Erode, Warangal, Varanasi, Panipat and Gurgaon. All the activities related to the implementation for certification were carried out under the leadership and guidance of Mr. R. Eswaran, Head of Operation. Kudos to him and the Ambadi personnel team who were involved throughout its implementation.
 
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