Supply Chains
Hutchies’ typical supply chain consists of 3 core tiers. We mostly engage directly with tier 1 suppliers and subcontractors, who each have their own supply chains, however in some instances we also engage directly with partners in tier 2 and very rarely tier 3.
We continue to map our supply chain to identify the locations of our suppliers, the materials or products they may use, their awareness of the MSA, and to pinpoint areas where we need to concentrate our efforts to reduce the risk of modern slavery.
Over 90% of Hutchies’ subcontractors and suppliers are based in Australia. The remaining 10% are located in China (5%), Malaysia (3%), and Central Europe (2%).
This year, we have sharpened our focus on Hutchies’ direct tier 2 offshore procurement activities, including facade glazing systems sourced from China and Malaysia. This effort involved auditing a key manufacturer in Malaysia and planning additional audits of suppliers in China later in the year.
As we continue to deepen our understanding of our supply chain and associated risk areas, we have re-evaluated our priorities, taking guidance from industry experts, clients, and the latest data from the Global Slavery Index.
Investigations into tier 2 and tier 3 spaces with our subcontractors and suppliers are ongoing, reflecting our commitment to full transparency and compliance.
Everyone affiliated with Hutchies is engaged under lawful and fair contracts directly with J Hutchinson Pty Ltd. These contracts stipulate compliance with all pertinent Australian laws, encompassing the Modern Slavery Act 2018 (Cth), Fair Work Act, WHS laws, and other applicable legislation.
#Typical Supply Chain
#Hutchies' Directly Sourced High Risk Materials
Hutchies uses the following potentially high risk materials and products in our supply chain. As part of our ongoing mapping of our supply chains, we believe many of these items, when procured directly from our preferred suppliers, pose less of a risk to modern slavery. In some instances, where materials may be produced in a country with less risk (ie Australia), but processed offshore (ie China), this increases the risk profile.
Timber
Hutchies sources from Australia
Low Risk
Facade Glazing
Hutchies sources from Malaysia & China
Medium Risk
Steel
Hutchies sources from Australia, however some may be processed offshore
Medium Risk
Concrete
Hutchies sources from Australia
Low Risk
Bricks
Hutchies sources from Australia
Low Risk
Stone
Hutchies mostly sources from Italy, but it may be processed offshore
Medium Risk
#What we're doing
Hutchies has been working with manufacturers we directly procure from. We see this as our highest risk, and the easiest to map in our supply chain, given our direct access and visibility to these suppliers.
Our in-house Procurement & Facade Glazing Teams have identified key tier 2 suppliers where we directly source these materials and developed tools and resources to work with individual suppliers to audit compliance of potential high risk manufacturing.
We have audited one of Hutchies' key facade glazing manufacturers in Malaysia, which we've covered in a case study in our 2022/23 Modern Slavery Statement.
Hutchies is aware that many products and materials may also be procured through our suppliers / subcontractors (tier 1), which we are mapping as part of our engagement with these stakeholders.
#Other Tier 2 & Tier 3 Construction Risk Sources
These countries, reported by the Global Slavery Index, represent the higher risk regions for modern slavery in Australia's construction supply chain.
China
Manufacturer and supplier of various imported goods and materials
High Risk
Vietnam
Manufacturer and supplier of furniture and garments
Medium Risk
Cambodia
Manufacturer and supplier of bricks
Medium Risk
Thailand
Manufacturer and supplier of electronics and garments
Medium Risk
Malaysia
Manufacturer and supplier of glazing and electronics
Medium Risk
India
Manufacturer and supplier of bricks, electronics and garments
High Risk
Indonesia
Manufacturer and supplier of plastics, bricks and stone
Medium Risk