RFP: To study and analyze the advantages and potential risks in using contractors and subcontractors in garment and footwear factories

Request for proposal

Terms of Reference

To study and analyze the advantages and potential risks in using contractors and subcontractors in garment and footwear factories.

Background

Better Work is an innovative partnership program between the International Labour

Organizations and the International Finance Corporation. It aims to improve labour standards and competitiveness in global supply chains. Better Work involves the development of both global tools and country level programs. The focus is in on scalable and sustainable solutions which build cooperation between government, employers and workers’ organizations, and international brands.

In Vietnam, Better Work covers the garment and footwear industries. The programme follows an integrated approach which includes assessment, advisory, and training services at factory level, with industry seminars to promote cross-industry sharing and learning culture. We work with different stakeholders such as MOLISA, VGCL, VCCI, international and local brands, vendors, factories and trade associations, and other relevant organizations that work with the apparel and footwear sectors. In addition, one key component of the programme is gender. The BWV gender strategy seeks to empower women through decent work, close the gender pay gap, reduce gender-based discrimination at the workplace.

Due diligence is prominent in discourse and agenda of trading partners, both at national level and enterprise level. This process allows businesses to identify, prevent, mitigate, and account for how they address actual and potential adverse impacts of their operations and business relations on people and the planet. This involves not only the risks inside factories, but also in relations to their sub-contractors and across the supply chain.

In Vietnam’s garment industry, sub-contracting is a popular practice, not only for production but also nonproduction processes. Utilizing subcontractors brings benefits, but also underlies risks of noncompliance to labour regulations. Therefore, a study to point out and analyse the advantages, good practices and risks of using contractors by garment and footwear factories would support the programme in advising our member factories managers as well as for related parties.

Objectives:

• To have an overview the types of services which are provided by contractors/sub-contractors for garment and footwear businesses, and the scale/density of each of the service types.
• To identify the drivers for factory’s preference of subcontractors (e.g. price, lead time, capacity, processes, etc.)
• To identify brands’ requirements concerning compliance risks associated with subcontracting process.
• To identify advantages, good practices and risks which are demonstrated by the businesses in choosing, contracting with, managing, and addressing compliance related issues of their sub-contractors.

Scope of work:

• Desk review of Better Work assessment data, brand work scope/requirements, apparel industry context, and ad-hoc requirements from trading partners in supply chain management related to the due diligence, etc.)
• Conduct at an office or virtual interview with 3 brand representatives who are currently operating in Vietnam for the study inputs of their requirements and expectations, as well as cooperation standards from their contractors and sub-contractors.
• Conduct onsite Interviews and observations (by a team of at least 2 persons) at 8 factories in some areas such as Hai Phong, Bac Giang, Nam Dinh (actual work schedule might be adjusted upon the coming up situation) to purchase information inputs for the study of know-how the contractors’ services, and how they are activating upon the requirements from investors and buyers in garment and footwear industries.
• Prepare presentation materials/documents to reflect the study findings and present them in the consultation meetings with ILO/Better Work team.
• Submit draft and final reports (available in English), data, and resources to ILO/Better Work, including pictures, video clips, practical cases, method, tools, risk profiles from the target study factories.

Additional terms:

• Protect the Better Work materials as intellectual property and do not transfer the materials in any form (hard copy and soft copy) to any third party.
• Respect and follow Better Work communication guidelines, especially using consistent image of Better Work, precisely using Better Work brand name, logos, promotional materials and introduction information.

Deliverables

The overview, summary report, and presentation document to send to BW’s person in charge for review before the sharing section.

Timeline

This work is expected to start on 25/12/2023 and completed and delivered not later than 30/1/2024.

Reporting

The consultant will coordinate with Better Work staff, Mr. Nguyen Cong Trang, and report to Mr. Nguyen Dung Tien – Core service Team Leader of Better Work Hanoi Office.

Payment schedule

Payment will be made into different instalment based on deliverable completion.

Requirements

1. Expertise in conducting occupational hazard identification, risk assessment, especially first-hand knowledge on textiles, clothing, leather, and footwear manufacturing processes
2. Experience on developing occupational safety and health tools, especially technical tools of hazard identification, risk assessment, risk preventive measures for advisory and training resources.
3. Demonstrated ability to design and manage projects and measure results sufficiently.
4. Strong client and quality orientation as well as flexibility to adjust and adapt to changing project needs.
5. Proven ability to work in a team and in a multicultural environment.
6. Hands-on and action-oriented approach.

Application

The proposal must be prepared and submitted including technical proposal and Financial Offer for this Request.

The Company may also add any other documents and information to demonstrate its technical and professional capacities and competencies to fulfil the requirements as specified in this TOR.

Financial Offer specifying cost for each of the deliverables enumerated above.

How to submit application:

The Company should submit the application package via email to Mrs. Bui Thanh Thuy at [email protected]

• Application Due: Application should be submitted to ILO by 17:00 GMT+7 20 Dec 2023.
• Only submissions with complete documents stated above received by the deadline will be considered. Only shortlisted candidates will be contacted.