Responsible sourcing

We work to ensure that our suppliers uphold high standards for responsible business practices and how they treat the people who work for them.

Our commitment and approach

We set high standards for our suppliers and collaborate with them to positively impact their workers, the communities in which they operate, and their own business.

Microsoft has relationships with thousands of suppliers around the globe, spanning both hardware suppliers that manufacture our devices and the components that go into them and indirect suppliers that provide everything from advertising services to building construction and maintenance.

We expect all suppliers who do business with Microsoft to uphold the human rights, labor, health and safety, environmental, and business ethics practices prescribed in our Supplier Code of Conduct. This code aligns with, and in certain cases exceeds, the Electronic Industry Citizenship Coalition’s (EICC’s) responsible supply chain standards. The Supplier Code of Conduct is included in all our contracts with suppliers and Microsoft Social and Environmental Accountability requirements are also incorporated into our contracts with hardware and packaging suppliers.

Since 2005, Microsoft’s Devices has operated an industry-leading Social and Environmental Accountability (SEA) program to ensure that our hardware and packaging suppliers conform to our Supplier Code of Conduct and additional device-related requirements for living conditions, safe working practices, and environmental, health, and safety protection.

Microsoft’s Global Procurement Group created a formal responsible sourcing function in 2013 to consolidate and enhance its responsible sourcing activities with our indirect suppliers.

We advance our responsible sourcing commitments through:

  • Analysis of risks and opportunities
  • Assurance and accountability
  • Capacity building
  • Creating shared value and advancing the Sustainable Development Goals set by the UN to improve people’s quality of life, protect the environment, and foster equitable growth.

For details about our approach please visit www.microsoft.com/en-us/responsible-sourcing


FY17 Highlights

Microsoft continues to define leadership in business and human rights, and to act as a catalyst for others who are taking action in the technology sector and beyond.

  • Social and Environmental Accountability (SEA)

    We enabled full transparency and accountability of SEA metrics in 100% of our suppliers and factories, and enabled fuller insights using Microsoft PowerBI for improving working conditions and business ethics.

    Read details of our program
  • Magnesium dust collection system for improved safety

    With our suppliers, we co-created an innovative and cost effective wet system for magnesium dust collection. It is now accepted as a compliance method to meet China Central Safety Bureau Standard AQ4272-2016 for prevention of dust explosions.

  • Worker hotline

    Our Worker Hotline program continues to provide a voice for workers to privately and safely express issues and concerns and achieve issue resolution in all our Tier 1 and select Tier 2 suppliers.

  • “Children out of Mining” program

    We continue to grow our partnership with Pact to address child labor in the Democratic Republic of the Congo. The program has received international recognition and has reduced child labor by 77 to 97 percent over the course of the project to date.

    Learn about PACT
  • Mapped key raw materials to their origins

    We completed our mapping of the origination of key raw materials that are used in our complex and global upstream supply chain, to identify and prioritize areas of risk.

  • Supplier diversity

    In FY17, Microsoft spent more than $2.6 billion with minority-, disabled-, veteran-, and woman-owned businesses, ranking among the top 20 companies globally for spending with diverse suppliers. We also expanded our supplier diversity program to businesses owned by those with disabilities and added new accessibility requirements to our Supplier Code of Conduct.


FY17 Reporting resources


Get the bigger picture

Visit these resources related to responsible sourcing across microsoft.com.

Modes of transportation used to transport materials