0 Products and Guest Experiences Built on Fairness and Equity Introduction Environmental Social Governance Indexes and Glossary Social Overview Product quality and safety Inside Social Supporting Our Team Members Board and Workplace Diversity Products and Guest Experiences Built on Fairness and Equity Serving and Strengthening Communities The safety and quality of our products are the foundation of the trust our guests place in our business, and we are committed to offering brands meeting Target’s quality and compliance expectations. By 2025, we plan for 100% of our owned brands — in addition to our owned brand limited-edition and brand partnerships — to adhere to Target’s already established sustainability standards. Key enablers for overall progress toward this goal include our food safety, quality and regulatory (FSQR) teams, which oversee food and essentials. All products must meet regulatory, safety and quality standards. Our product safety and quality assurance (PSQA) team manages non-food quality and safety, with a focus on regulatory compliance and performance requirements. As a company, we are active members of the Retail Industry Leaders Association (RILA) , the National Retail Federation (NRF) , The Toy Association and other product-specific groups for non-food products, while food compliance team members have membership of the National Environmental Health Association (NEHA) , the Food Industry Association (FMI), the Consumer Brands Association (CBA) and the International Association for Food Protection (IAFP). General merchandise Target’s PSQA team helps protect our guests by requiring that our owned brand products meet mandatory safety standards, and we frequently require owned brand vendors to exceed regulatory requirements and support our responsible sourcing efforts by validating compliance to our Restricted Substances List. PSQA is also responsible for ensuring federal regulatory compliance of national brand products where Target is the importer of record. We expect our vendors of owned and national brand products to comply with our manufacturing and quality processes. Our product safety and quality program is incorporated at every stage of the product life cycle of our owned brand products. These products must pass all testing before they are approved for shipment. Food Product recalls We monitor the safety and quality of our food products through holistic food safety and quality management, from auditing vendor factories and fields to inspecting our supply chain facilities and stores. When we learn about a concern with one of our products, we investigate and, when necessary, remove it from sale. If a product is recalled, our processes require the in-store and online product to be locked and not to be sold. Multiple communication methods are in place to directly contact consumers about a recall. Read more about food, safety, quality and compliance on our website. Product quality and safety Metric FY2021 FY2020 FY2019 Number of vendor factories (countries) producing owned brand foods Number of Global Food Safety Initiative-certified food factories 980 (29) 925 (27) 821 (23) Number of factories (countries) producing owned brand non-food products 1,704 (30) 1,601 (37) 1,990 (35) Number of factory evaluations Target conducted Food 1,487 1,505 1,201 Non-food 1,480 758 1,649 Number of product test reports for owned brand products conducted by independent third-party labs 31,627 29,750 32,633 Number of product inspections of owned brand products conducted by Target team members and independent third parties 33,527 40,093 43,899 2022 Target ESG Report 43
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