Best Buy Fiscal Year 2022 ESG Report | 62 Responsible sourcing . Best Buy is not only a retailer, but we also manufacture private label (or Exclusive Brands) products. We partner with 187 factories on the design, production and testing of these products, and we also partner with them to ensure they meet our expectations for safe workplaces where workers are treated fairly. Through our Responsible Sourcing program, we seek to mitigate risk, enhance our partnership with these private label suppliers, and create value for all stakeholders. We are active members of the RBA, which allows us to partner with many of the brands we sell, including Apple, Intel, Microsoft, and Samsung. Collectively, we embrace a common Supplier Code of Conduct and audit methodology that creates business value by improving working conditions and environmental practices in the supply chain. Our Supplier Code of Conduct is publicly available for current and potential suppliers via our partner portal: Partners.BestBuy.com . All our vendor contracts require adherence to our Supplier Code of Conduct. Additionally, we engage with internal cross-functional teams including sourcing, engineering, and supply chain, to promote awareness of our program and deepen the integration of the work into all functions of our private label business. Our Responsible Sourcing program for our private label suppliers consists of a five-step process, working closely with our suppliers to manufacture quality products while ensuring workers are treated fairly in a safe environment. Best Buy Exclusive Brands 1. Code introduction Before working with new suppliers, we provide an in-depth training on our code and program, including our expectations on critical risks such as human trafficking and forced labor. We also conduct a third-party audit of their facilities, which includes environmental and human rights screening criteria. When conducting pre-contract screenings, we identify non- conformance and require the supplier to take corrective action. If there is a priority non-conformance, it must be addressed immediately. Suppliers that are unwilling or unable to address priority violations are rejected. 2. Self-reporting Existing suppliers assess their performance against the code by completing an annual self-assessment questionnaire (SAQ). In FY22, we achieved a 100-percent completion rate for SAQs.
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