Global supply chains now face more pressure to protect workers, keep workplaces safe, manage environmental risks, and follow ethical business practices. For this reason, many brands and retailers use social audits to understand how their suppliers work, whether that supplier sits at the raw-material stage or further down as part of the wider supply chain.
One of the most widely used options is the SMETA audit. SMETA stands for Sedex Members’ Ethical Trade Audit. It provides a clear way to check working conditions and responsible business practices at supplier sites, and it is owned and developed by Sedex itself.
Unlike a traditional certification, SMETA does not simply give a company a pass or fail result. Instead, the audit shows areas that meet requirements, points out non-compliances, and helps suppliers create corrective actions.
In this guide, you will learn what a SMETA audit is, what a SMETA audit checklist covers, how 2-pillar and 4-pillar audits differ, how the audit process works, what it costs, how long it takes, and how SMETA differs from Sedex.
What Are SMETA Audits?
A SMETA audit is an independent social compliance assessment that checks working conditions and responsible business practices at a supplier or workplace.
The audit can cover key areas such as:
- Labour standards
- Health and safety
- Environmental performance
- Business ethics
The exact areas depend on the audit type. A 2-pillar audit focuses on labour standards and health and safety, while a 4-pillar audit also covers environment and business ethics.
SMETA uses the Ethical Trading Initiative (ETI) Base Code, International Labour Organization principles, and relevant local laws as key references for its assessments.
During an audit, the auditor does more than check company documents. The auditor can inspect the workplace, review records, speak with management, and hold confidential worker interviews. As a result, the auditor can compare written policies with actual working conditions.
Another useful part of SMETA is the Sedex platform. Suppliers can share audit information with relevant buyers, which can help reduce the need for several separate social audits.
SMETA 7: The Current Version
SMETA is not a fixed checklist. Sedex updates the method from time to time to keep up with changes in labour, sustainability, and legal needs. SMETA 7, released in 2024, is the current version and builds on the earlier 6.1 method.
Before an audit, two additions are worth knowing:
- Management Systems Assessment (MSA) — checks how well a site’s policies and controls help prevent risks.
- Collaborative Action Required (CAR) — covers issues that may be too large or complex for one supplier to fix alone. It supports action from more than one stakeholder.
In addition, sites should keep their Self-Assessment Questionnaire (SAQ) on the Sedex platform up to date. The SAQ helps with audit scope and gap checks before the auditor arrives on site.
Why Do Companies Use SMETA Audits?
Companies use SMETA audits to get an independent view of supplier conditions and supply-chain risks.
For example, a brand may want to know whether its supplier:
- pays workers correctly;
- follows working-hour rules;
- prevents child and forced labour;
- keeps the workplace safe;
- treats workers fairly;
- manages environmental duties;
- controls ethical business risks;
- checks subcontractors;
- follows local labour laws.
As a result, SMETA can help companies find problems before they become larger supply-chain risks.
It can also help suppliers meet buyer requirements. Many international brands and retailers ask suppliers to complete a social compliance audit before or during a business relationship.
What Is a SMETA Audit Checklist?
A SMETA audit checklist is a practical preparation tool. It covers the main areas an auditor may review during an assessment.
The checklist can change based on the audit scope. However, suppliers should normally prepare evidence across several key areas.
| Audit Area | What the Auditor May Review |
|---|---|
| Labour Standards | Wages, working hours, employment terms, child labour, forced labour, discrimination and worker rights |
| Health & Safety | Workplace safety, emergency procedures, hygiene, protective measures and health and safety systems |
| Environment | Waste, energy, water, chemicals, emissions, permits and environmental management |
| Business Ethics | Anti-bribery controls, ethical policies, transparency and compliance procedures |
| Management Systems | Policies, risk controls, monitoring systems and corrective actions |
| Recruitment | Recruitment practices, worker documentation and responsible recruitment |
| Right to Work | Relevant employee documentation and legal work status |
| Subcontracting & Homeworking | Controls over subcontractors and homeworkers |
| Worker Interviews | Confidential discussions about actual workplace conditions |
| Records & Documents | Payroll, attendance, contracts, policies, permits, training and other supporting evidence |
Therefore, preparing for SMETA should not mean collecting paperwork at the last minute. Instead, suppliers should make sure their daily systems, records, and workplace practices match their written policies.
What Does a SMETA Audit Check?
A SMETA assessment can check several parts of a supplier’s operation.
Labour Standards
The labour section looks at how a company treats its workers. Auditors can review wages, working hours, employment contracts, recruitment practices, discrimination, child labour, forced labour, freedom of association, and other work conditions.
Worker interviews are also important. They help auditors understand workplace conditions from the employees’ point of view.
Health and Safety
Health and safety is a core part of every standard SMETA audit.
For example, auditors may check workplace hazards, emergency plans, fire safety, hygiene facilities, safety procedures, worker training, and other steps that protect employees.
The auditor also checks whether the company has suitable systems to find and manage workplace risks.
Environmental Performance
The environmental review becomes more detailed under a 4-pillar audit.
It can cover:
- waste management;
- energy use;
- water management;
- chemicals;
- emissions;
- environmental permits;
- resource efficiency;
- environmental management systems.
As a result, this wider review helps businesses understand how supplier operations affect the environment.
Business Ethics
Business ethics forms the fourth pillar of a 4-pillar SMETA audit.
This area can check how a company manages ethical risks. It can include policies and controls related to corruption, bribery, transparency, reporting, and responsible business conduct.
What Is a SMETA 2-Pillar Audit?
A SMETA 2-pillar audit focuses on two main areas:
- Labour Standards
- Health & Safety
It can also include additional elements such as:
- Management Systems
- Entitlement to Work
- Subcontracting and Homeworking
- Responsible Recruitment
- A shortened environmental assessment
For suppliers that need a basic social compliance assessment, the 2-pillar option can provide a useful starting point.
However, the right audit type should always depend on the buyer’s requirements. If a retailer asks for a 4-pillar audit, a 2-pillar assessment may not meet that requirement.
What Is a 4-Pillar SMETA Audit?
A 4-pillar SMETA audit provides wider coverage than the 2-pillar option.
It examines:
- Labour Standards
- Health & Safety
- Environment
- Business Ethics
The 4-pillar audit keeps the two core social areas. It also adds a wider environmental review and a business ethics assessment.
For this reason, companies with wider sustainability, responsible-sourcing, or buyer-reporting needs may need the 4-pillar option.
SMETA 2-Pillar vs 4-Pillar
| Feature | SMETA 2-Pillar | SMETA 4-Pillar |
|---|---|---|
| Labour Standards | ✓ | ✓ |
| Health & Safety | ✓ | ✓ |
| Environment | Shortened assessment | Extended assessment |
| Business Ethics | Not included as a core pillar | ✓ Included |
| Overall scope | Core social compliance | Broader responsible-business assessment |
| Typical use | Baseline or buyer-specific requirement | Comprehensive buyer and sustainability requirements |
| Audit time | Often around 2 days | Often around 3 days |
| Best choice | When the buyer asks for 2-pillar | When the buyer asks for full 4-pillar coverage |
Actual audit time can vary based on the site’s size, workforce, complexity, location, and audit scope.
What Is the Difference Between SMETA and Sedex Audit?
Many people use the terms SMETA and Sedex audit in the same way. However, they do not mean exactly the same thing.
Sedex is the platform and membership organisation that helps businesses manage and share supply-chain information.
SMETA is the audit method used to check supplier working conditions and responsible business practices.
A simple way to understand the difference is:
Sedex = platform
SMETA = audit methodology
After an approved auditor completes a SMETA audit, the relevant report can be uploaded to the Sedex platform. Connected buyers can then access the information based on their Sedex relationship and permissions.
Therefore, saying that a company completed a “Sedex audit” can cause confusion. The more precise term is usually SMETA audit.
How Does a SMETA Audit Work?
The SMETA process normally follows several stages.
1. Confirm the Audit Requirement
First, the supplier should check what the buyer requires.
The buyer may specify:
- 2-pillar or 4-pillar;
- audit timing;
- audit scheduling type;
- specific supplier requirements;
- follow-up expectations.
This step helps prevent a supplier from choosing an audit scope that does not meet the customer’s needs.
2. Register With Sedex
The supplier needs to use the Sedex platform before the audit process can move forward.
After that, the supplier can provide the required site and company information, complete the Self-Assessment Questionnaire (SAQ) about its workforce and management systems, and connect with relevant customers or buyers.
3. Choose an Approved Audit Company
SMETA audits use approved Affiliate Audit Companies (AACs).
The supplier can select an approved audit company and agree on the audit scope, timing, location, and commercial terms.
4. Prepare for the Audit
Next, the supplier should carry out an internal review.
The preparation can include:
- checking employee records;
- reviewing payroll;
- checking working hours;
- updating policies;
- reviewing health and safety controls;
- checking permits;
- reviewing recruitment records;
- checking subcontractor information;
- reviewing previous findings;
- preparing evidence for corrective actions.
This preparation helps the supplier find gaps before the auditor arrives.
5. Conduct the On-Site Audit
The auditor normally starts with an opening meeting. Then, the auditor checks the site and relevant evidence.
The assessment can include:
- site inspection;
- document review;
- management interviews;
- confidential worker interviews;
- workplace observations;
- record checks;
- review of management systems.
By comparing information from different sources, the auditor can build a clearer picture of the workplace.
6. Receive the Audit Report
After the assessment, the auditor prepares the SMETA report.
The report records findings, observations, and non-compliances found during the audit.
The relevant report can then move through the Sedex platform for sharing with connected buyers.
7. Corrective Action and Follow-Up
If the auditor finds problems, the supplier needs to address them.
The supplier can create corrective actions, assign responsibility, set deadlines, and collect evidence that shows the issue has been fixed. Under SMETA 7, larger or system-wide issues may instead be logged as a Collaborative Action Required (CAR) finding. This approach brings multiple stakeholders into the process rather than leaving the fix to one supplier alone.
Where needed, a follow-up audit can check whether the supplier has closed the relevant findings.
Does SMETA Have a Pass or Fail Result?
No. SMETA does not work like a traditional pass-or-fail certification.
Instead, the audit identifies areas that meet requirements and areas that need improvement.
This difference matters because a supplier may receive non-compliances and still continue working with a buyer. In that case, the supplier must address the findings through the agreed corrective-action process.
Therefore, suppliers should focus less on “passing” and more on maintaining strong systems and fixing identified problems.
Is SMETA a Certification?
No. SMETA is an audit methodology, not a certification scheme.
A company does not receive a permanent “SMETA certificate” after completing the assessment.
Instead, the audit produces a report that records the conditions and findings at the assessed site.
For accurate communication, it is better to say:
“The supplier completed a SMETA audit.”
rather than:
“The supplier is SMETA certified.”
Who Conducts a SMETA Audit?
Sedex itself does not normally send auditors to inspect supplier sites.
Instead, approved Affiliate Audit Companies (AACs) conduct SMETA audits. These companies work within Sedex’s audit framework and follow the SMETA methodology.
Many approved audit companies also work with auditors who have relevant professional training and experience in social compliance audits.
For suppliers, choosing an appropriate approved audit company matters because the quality of the assessment affects the value of the final findings.
What Should You Prepare for a SMETA Audit?
Good preparation can make the audit easier. It can also help identify weak areas before the assessment.
A supplier should review areas such as:
Employee and Payroll Records
Prepare relevant employment contracts, employee records, payroll information, attendance records, and working-hour data.
Labour Policies
Review policies covering child labour, forced labour, discrimination, freedom of association, recruitment, wages, and working hours.
Health and Safety Records
Keep relevant risk assessments, safety procedures, emergency plans, inspection records, training records, and other health and safety evidence ready.
Environmental Records
For the relevant audit scope, prepare environmental permits, waste records, energy and water information, chemical controls, and environmental procedures.
Recruitment and Right-to-Work Information
Make sure recruitment records and right-to-work documents are accurate and complete.
Subcontractor Information
Maintain information about subcontractors and homeworkers. Also, show how the company checks their compliance.
Previous Audit Findings
If the site has completed earlier audits, review the findings and keep evidence of corrective actions.
Most importantly, suppliers should ensure that their documents match actual workplace practices. Creating paperwork only for the audit can create problems when auditors compare documents with worker interviews and site observations.
What Happens If a SMETA Audit Finds Non-Compliances?
SMETA findings give suppliers a clear view of where they need to improve.
First, the supplier should understand the issue and find out why it happened. Then, the company can create a corrective action that deals with the root cause instead of only fixing the immediate problem.
For example, if working-hour records show a repeated issue, simply changing one record may not solve the problem. The supplier may need to improve scheduling, monitoring, management controls, or staffing.
After corrective actions are in place, the supplier can provide evidence of improvement. When needed, a follow-up assessment may confirm whether the relevant findings have been closed.
How Often Should a SMETA Audit Be Conducted?
SMETA does not have one fixed audit schedule for every supplier.
The right frequency can depend on:
- supplier risk;
- previous audit findings;
- buyer requirements;
- changes in operations;
- country or industry risks;
- serious or critical findings.
For example, higher-risk suppliers may need more frequent assessments, while lower-risk suppliers may follow a longer cycle.
Because buyer requirements can differ, suppliers should confirm the expected audit frequency with their customers.
How Much Does a SMETA Audit Cost?
There is no single fixed price for every SMETA audit.
The total cost can depend on:
- audit type;
- site size;
- number of workers;
- location;
- number of buildings;
- site complexity;
- audit duration;
- travel requirements;
- additional buyer requirements;
- follow-up work.
A 4-pillar audit may require more time and resources than a 2-pillar audit because it includes wider environmental and business ethics coverage.
Usually, the audit company provides a quotation after reviewing the required scope and site details.
Therefore, suppliers should compare quotations based on the complete audit scope, rather than choosing an auditor based only on the lowest price.
How Long Does a SMETA Audit Take?
The time required depends on the size and complexity of the site and the selected audit scope.
As a general guide, SMETA 2-pillar assessments often take around two days, while 4-pillar assessments can take around three days.
However, these figures are not universal. A large factory, a complex operation, a large workforce, or extra requirements can increase the audit time.
The audit company can provide a more accurate schedule after reviewing the supplier’s details.
What Is a Sedex Virtual Assessment?
A Sedex Virtual Assessment allows an auditor to assess a workplace remotely when an in-person visit is temporarily difficult.
The auditor can use video calls and other remote methods to:
- communicate with management;
- review documents;
- observe parts of the workplace;
- conduct relevant interviews;
- examine selected workplace conditions.
However, a virtual assessment should not automatically replace physical checks when an on-site visit is possible.
An in-person audit allows the auditor to directly observe the facility and workplace conditions. Therefore, businesses should use the virtual option based on their circumstances and buyer requirements.
Announced, Semi-Announced and Unannounced Audits
SMETA audits can use different scheduling approaches.
| Audit Type | How It Works |
|---|---|
| Announced | The supplier knows the audit date in advance. |
| Semi-Announced | The audit takes place within an agreed time window rather than on one fixed disclosed date. |
| Unannounced | The supplier does not receive advance notice of the exact audit date. |
The right option depends on the buyer’s requirements and the purpose of the assessment.
What Are the Benefits of a SMETA Audit?
1. Better Supply-Chain Visibility
SMETA gives businesses a clear way to understand supplier working conditions.
Instead of relying only on supplier statements, buyers can use independent audit findings to find possible risks.
2. Reduced Duplicate Audits
A supplier can share relevant SMETA information with multiple connected buyers through Sedex.
As a result, the supplier may avoid completing several similar social audits for different customers.
3. Stronger Risk Management
Audit findings help businesses identify areas that need attention.
Companies can then focus on higher-risk suppliers and use resources where they can have the greatest impact. Many teams now pair this with automated supply chain alerts and broader AI-driven supply chain monitoring, so a compliance issue at a supplier site gets flagged internally long before the next scheduled audit.
4. Improved Worker Protection
SMETA checks issues that directly affect employees, including workplace safety, working hours, wages, discrimination, forced labour, and other employment conditions.
5. Corrective Action and Continuous Improvement
SMETA does not stop when the auditor finds a problem.
Instead, the findings can guide corrective action and help suppliers improve their systems over time.
6. Greater Buyer Confidence
A credible independent assessment can give buyers more evidence that suppliers take social compliance and responsible sourcing seriously.
SMETA vs Other Social Compliance Programmes
SMETA is one of several approaches that businesses use to review social and ethical performance.
Other programmes include amfori BSCI, SA8000, WRAP, and Higg-related assessments. However, these programmes do not all have the same purpose or structure.
For example, some programmes focus more on certain industries, while others work as certification schemes or assessment frameworks.
Therefore, suppliers should not assume that completing one programme will automatically satisfy every customer’s requirements.
The safest approach is to check the buyer’s supplier code, contract, or compliance instructions before selecting an audit.
Common SMETA Audit Mistakes to Avoid
A supplier can make the audit process harder by focusing only on paperwork.
For this reason, avoid these common mistakes:
Ignoring Worker Feedback
Workers can provide information that company records do not show. Therefore, management should not assume that documents alone tell the full story.
Preparing Only at the Last Minute
Last-minute preparation can reveal missing records or inconsistent information too late to fix properly.
Choosing the Wrong Audit Scope
If a buyer requires 4-pillar coverage, completing only a 2-pillar audit may not satisfy the requirement.
Treating SMETA as a Certificate
SMETA provides an audit report rather than a traditional certification.
Ignoring Previous Findings
Repeated findings can show that the supplier has not fixed the root cause of a problem.
Focusing Only on the Audit Day
The strongest compliance programmes operate every day. Therefore, suppliers should build systems that protect workers and manage risks on an ongoing basis.
Frequently Asked Questions About SMETA
What are SMETA audits?
SMETA audits are independent social compliance assessments that check supplier working conditions and responsible business practices. Depending on the scope, the audit can cover labour standards, health and safety, environment, and business ethics.
What is a SMETA audit checklist?
A SMETA audit checklist is a preparation framework that covers areas such as labour standards, wages, working hours, worker rights, health and safety, management systems, recruitment, subcontracting, environment, and business ethics.
What is a 4-pillar SMETA audit?
A 4-pillar SMETA audit covers Labour Standards, Health & Safety, Environment, and Business Ethics. It provides wider coverage than a 2-pillar audit.
What is the difference between SMETA and Sedex audit?
Sedex is the platform and membership organisation, while SMETA is the audit methodology. In simple terms, Sedex manages and shares supply-chain information, while SMETA provides the framework for the social audit.
Is SMETA certification mandatory?
SMETA itself is not a certification. A buyer may require a supplier to complete a SMETA audit as part of its own supplier compliance programme.
Who can conduct a SMETA audit?
Sedex-approved Affiliate Audit Companies conduct SMETA audits. Suppliers should select an approved audit company that can meet their required scope and location.
Can one SMETA audit be shared with multiple customers?
Yes. The Sedex platform allows relevant audit information to be shared with connected buyers, which can help reduce duplicate supplier audits.
Is SMETA only for factories?
No. Businesses across different sectors and supply-chain environments can use SMETA to check supplier and workplace conditions. This includes manufacturers as well as logistics companies and other service providers that sit inside a buyer’s supply chain.
What happens if a supplier has non-compliances?
The supplier should address the findings through corrective actions. The company may need to provide evidence of improvement, and a follow-up assessment may take place when required.
How long does a SMETA audit remain useful?
The right audit cycle depends on supplier risk, findings, buyer requirements, and other factors. Suppliers should follow the schedule set by their customers and risk-management programme.
Can a SMETA audit replace every other social audit?
No. Different buyers may require different audit or certification programmes. A supplier should confirm the specific requirements before assuming that SMETA can replace another programme.
Final Thoughts
A SMETA audit gives businesses a practical way to understand what happens inside their supply chains. It looks beyond policies and paperwork by combining document reviews, workplace observations, management discussions, and worker interviews.
The choice between 2-pillar and 4-pillar depends mainly on buyer expectations and the level of coverage a business needs. The 2-pillar audit focuses on labour standards and health and safety, while the 4-pillar audit adds wider environmental and business ethics assessments.
At the same time, businesses should keep one important distinction clear: Sedex is the platform, SMETA is the audit methodology, and SMETA is not a certification.
Most importantly, the real value of a SMETA audit comes from what a supplier does after the assessment. When businesses take findings seriously, address root causes, protect workers, and improve their management systems, the audit becomes more than a compliance requirement. It becomes a practical tool for creating a safer, more transparent, and more responsible supply chain.
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