THE PSCI PRESENTS ITS ANNUAL PUBLIC AUDIT FINDINGS REPORT, PROVIDING CONTINUED INSIGHTS INTO SUPPLIER RISKS, TRENDS, AND AREAS FOR IMPROVEMENT ACROSS THE PHARMACEUTICAL AND HEALTHCARE SUPPLY CHAIN.

Pharmaceutical and healthcare companies run thousands of audits of their suppliers’ sites annually. Audits typically require between two to four days of focused, on-site effort from both the auditor and the supplier. PSCI members work together to share these audits, in support of greater transparency and valuable efficiencies that benefit both members and suppliers.

This report shares our analysis of findings from PSCI audits available on our platform. Each year, we review these in line with the PSCI Principles to identify trends, highlight improvements, and share recommendations. PSCI work with member companies, suppliers, and regional partners to turn analysis into practical guidance, training, and peer learning that suppliers can implement quickly. Overall, this analysis provides deep insight into supplier practices within the pharmaceutical and healthcare industry and suggests where collaborative efforts will have the greatest impact, guiding us on developing targeted resources and trainings.

This year’s report analyzes 2,046 findings from 228 supplier audits uploaded to the PSCI platform in 2024. These findings are categorised into 428 Governance & Management Systems findings, 26 Ethics findings, 273 Human Rights findings, 1,098 Health & Safety findings, and 221 Environment findings, offering a comprehensive overview of supplier practices and opportunities for improvement. The report includes a summary of findings across key topics, as well as a regional analysis looking at patterns across China, India, US, Western Europe, and other regions represented in this year’s uploads, presenting recommended actions for suppliers.

What’s new this year?

• A new five-year trend analysis that shows how volumes, topics and severity have changed over time. This analysis enhances our ability to monitor momentum over time and to adapt our resources to emerging risks — supporting safer work, protected rights, and reduced environmental impact throughout the value chain.

The report identifies several key challenges, including:

1. Risk management gaps: inadequate and inconsistently implemented risk management practices, particularly in business continuity planning, risk assessment methodology, and change management.
2. Contract worker treatment: some critical cases of excessive working hours or restrictions on audit access.
3. Hazardous substance handling: inadequate storage, labelling, and disposal processes for chemicals, posing risks to both the environment and worker safety.
4. Worker safety concerns: persistent issues such as explosion risks, fire safety deficiencies, insufficient use of personal protective equipment (PPE), and insufficient emergency preparedness and response.

The report reinforces the PSCI’s role as a catalyst for continuous improvement, equipping suppliers with tools and guidance to enhance practices and adapt to evolving demands.

For more details, access the full report here.

The SAQ/Audit & Audit Guidance sub-team have been working to update the Audit Guidance document, version 8, which is now available to download.

The main changes to the document are summarised below:

• Updated to align with the updated PSCI Principles and Strategy
• Inclusion of the digital Data Sharing via the PSCI Audit Platform
• Updated audit uploading requirements for full members
• Introduced online SAQ and removed reference of word version template
• Referenced the Audit Checklist as a separate resource in Chapter 10
• Added section on Managing Audit Related Issues in the appendix

If you have any questions regarding this update, please contact Miriam Davies.