1. oilpalm.wildasia.org RSPO SCCS The Certification Audit Requirements PROFESSIONAL TRAINING SERIES SCCS M3 May 2013

2. The Certification Process in a SCC Audit

3. RSPO Supply Chain Certification Systems 2011 1. ACCREDITATION a.Requirements for Certification Bodies 2. CERTIFICATION REQUIREMENTS a.Team Competency b.Unit of Certification c.Client Application & Contract d.Assessment Planning e.Transfer of CB f.Conflict of Interest g.Public Documentation 3. CERTIFICATION PROCESS a.Onsite Assessment b.Results c.Certificate Awarded d.Surveillance

4. SCC System 1. Accreditation

5. Overview Only accredited CBs to audit and issue certificate. Currently ASI provides the accreditation service for RSPO. Interim provision allows CBs for P&C to audit supply chain systems of CPO mills.

6. Approval Process CBs possess a documented management system to handle the requirements of the SCCS CBs must conform to: ISO/IEC Guide 65:1996 General Requirements for bodies operating product certification systems or ISO 17021:2006 Conformity assessment. Requirement for bodies providing audit and certification of management systems.

7. Complaints ASI will manage complaints against a CB RSPO is notified where: ASI receives a complaint against a CB ASI unable to resolve within 60 days

8. SCC System 2. Certification Requirements

9. Team Competency

10. Overview CB is responsible for: All auditors are knowledgeable and meet SCCS requirements Defined minimum competency for lead assessors and assessment teams. At least consistent with ISO19011:2002 (Guidelines for quality and/or environmental management systems auditing)

11. General Competency Sufficient supply chain expertise to address all of the RSPO SCCS Must be fluent in the main languages relevant to the location of the assessment

12. Lead Auditors Minimum 1.Advanced post high school education degree or diploma or equivalent 2.Technical skills and qualifications related to and as necessary for the certification process, like demonstrable relevant experience in other relevant certification schemes 3.Demonstrable successful completion of a recognised lead assessor course e.g. a ISO 9000/19011 lead auditor course 4.Demonstrable successful completion of an RSPO-endorsed RSPO Supply Chain Certification Systems training course 5.Language skills suitable for verbal and written communication with the client and the client’s relevant stakeholder groups 6.Demonstrable field working experience in similar supply chains, or equivalent related to and as necessary for the certification process 7.Supervised period of training in practical auditing by a qualified lead auditor with at least 15 days audit experience in similar certification schemes (i.e. including traceability), achieving a minimum of 2 audits at different organisations.

13. Unit of Certification

14. “All operators who take legal ownership & physically handle (including receipt into storage tanks) RSPO certified sustainable oil palm products” This applies up and including the end product manufacturer: –First operator: Palm Oil Mill (BC, SG or MB only) –Last Operator: End Product Manufacturer Facility or parent company are RSPO members

15. RSPO member CPO mill SC during P&C audit CPO Mill adopts GP or SG/MB models RSPO member SCCS certifies individual facilities Allows multi-site certification Includes outsourced services covered by contracts RSPO (or GP) member Trademark & claims controlled by RSPO rules

16. RSPO Certificate issued to Central Office Central Office manages SCCS requirements ICS defines how SCCS will ensure compliance Internal Audits at least 1/annum Multi-site certification is allowed where facilities are represented by a Central Office and can operate across multiple countries.

17. Client Application and Contract

18. Overview CB informs client of RSPO, SCCS, Market Claims and other CB requirements. CB enters into a contract with SC client; contract covers specific points CB reviews company management documentation. CB to clarify areas of concern.

19. Contractual requirements CB to maintain records of agreement prior to audit Scope (SC system to be audited), duration, costs and CB/Client’s contractual obligations. Contract must include client’s rights to object (and be covered by CB procedures) and Confidentiality and Declaration of Interests

20. Assessment Planning

21. Overview CB plan consistent with ISO 19011:2012 CB plan based on SC model, existing certifications, etc CB can combine SC audits with others (e.g. food safety, quality) CB shall recognise any previous RSPO SCCS certificates

22. Transfer of Certification Body

23. Overview Once all major NC closed/financial obligations met, transfer of CB is permitted New CB will officially communicate to old CB/RSPO Old CB shall share all reports/non- conformance forms New CB uses past reports as a guide for future audits

24. Timing New CB issues Certificate after new audit Previous certificate expiry dates shall be maintained RSPO shall be informed of the new certificate

25. Conflict of Interest

26. Overview CB’s procedures must allow for independent committee (min 3 external members) to meet at least annually to review CB performance. Includes contractual obligation for auditors to declare possible/actual conflict of interest. Any breaches must be reported to CB head/RSPO. Records maintained for at least 5 years.

27. Independence Within min of 3 years … No family/personal relationships within organisation Not having been employed No consultancy services (exception for certification/verification activates)

28. Public Documentation

29. Overview CB website or RSPO website (or on request): RSPO SC Certificate of Conformance CB complaints procedure & resolution mechanisms Register of certified organisations (scope of certificates, which sites and/or processes approved)

30. SCC System 3. Certification Process

31. Onsite Assessment

32. Overview Opening meeting – as prescribed Review of management systems, inc. documented policies and procedures Operational Facility Subcontractors Records of receipt, processing and supply of certified product to buyers making claims Closing meeting – as prescribed

33. Opening Meeting Explains the Certification Process Agree on logistics for assessment Confirm access to all relevant documents/field sites/personnel/subcontractors Explains confidentiality/conflict of interest Agree timing for closing meeting

34. Contractors Independent third party (e.g., storage facility or Kernel Plant) Not take legal ownership of material SCCS compliant by signed & enforceable agreement o Includes SCCS specific requirements o Agree to meet SCCS, reporting & traceability requirements o Allows CB access

35. Rules Market Communication & Claims 2011 General terms Corporate Communication Product-related Communication Rules IP, SG & MB Rules Book & Claim Rules for combined SC Trademark Graphic Design Trademark Application Control of Claims Verified at all audits

36. Closing Meeting Explains no claims until Certificate issued Explains what actions required to issue Certificate (supported by a written statement duly signed) Detailed Records: list of participants; & description of information provided and correspondences Closing Meeting signed by Lead & senior Management rep

37. Results

38. Overview Certification Report (see Template) All NC = Major; 3 months to close or new audit required. Any NC after Certificate issued must be resolved within 1 month (or suspended/withdrawn or new audit required)

39. Suspension If objective evidence of falsely identified RSPO products = immediate suspension Supply chain customers shall be informed immediately Re-certification if issue resolved (i.e., audit or review of corrective action plan)

40. Certificate Awarded

41. Awarding Certification CB submits to RSPO within 10 days RSPO to upload certificate on RSPO website and E-trace system within 1 working week CERTIFICATE a.Certificate & Report Follows RSPO Template

42. Surveillance

43. Overview Certificate is valid for 5 years, with annual surveillances Annual Surveillance Review management system Records of volumes of certified products Market claims and communication Re-Certification audit verifies volumes over certificate period Overproduction – follow up may be required; must notify e- Trace

44. SCC System Conclusion

45. Conclusion Only approved RSPO supply chain certification bodies can audit facilities and issue a supply chain certificate. Specific rules governs how the requirements of the certification bodies and the audit process. The SCCS certificate covers all operators who legally own or physically handle RSPO certified products. Certificates are valid for 5 years, with annual surveillances.

46. Recap Pop Quiz

47. Unit of Certification How is this defined? 1.Legal ownership and physically handle (storage tanks) – up to end product manufacturer. 2.Legal ownership and physically handle (storage tanks) – mill operators. Simplified SCC requirements.

48. Certification Process What should a Lead Auditor cover in an opening? 1.Inform about the certification process, logistics, confirm access to documents, field sites and personnel 2.Explain confidentiality and conflict of interest 3.Timing of closing meeting

49. Multi-sites Integrated company 1 Head Office 4 mills 10 refineries 27 food manufacturers How many audits per annum is required?

50. Product X includes a palm-derived ingredient, 70% was sourced under RSPO SG SCCS and 25% was sourced under RSPO MB SCCS. Can the RSPO Trademark logo be used? Product Y includes a palm-derived ingredient, 70% was sourced under RSPO MB SCCS, 26% was sourced under RSPO B&C SCCS and 4% was from non-RSPO sources. Can the RSPO Trademark logo be used? Yes. SG + MB = 95% MB rules apply. No. IP + SG + MB = 70% ie < 95% But, on product communication OK. Total RSPO material > 95%. B&C rules apply.

51. Conversion rates…? SCC yields Rules on outsourcing Multi site certification Definition of Central Office What basic info required on “sales out” What if there is an overproduction CPO On a corporate website, RSPO logo and text “A member and supporter of sustainable palm oil since 2007” Refinery in Malaysia sells refined oil to customers in Rotterdam via an independent transporter with its own bulking facility. Does the transporter need to be a RSPO member? Mixing during bulking but no procedure in place, can the certificate be maintained?

52. What are the minimum requirements of an SCCS auditor? What are the core aspects of ISO19011? NEED a REFERENCE What must be covered during the closing meeting? What information must be included in the SCCS Certificate? What is the no of days to inform RSPO after the cert is issued ? If a NC is raised by a complainant to the CB 5 months after the SCCS audit, what must the CB do?

53. Questions? E: advisory@wildasia.org W: oilpalm.wildasia.org