Supply Chain, Corruption and ESG: How To Manage The Everchanging Supply Chain?

Supply chain compliance is emerging as one of the most important aspects of any ESG program. The need to correctly disclose, to selecting suppliers and using appropriate long-term agreements, every business must understand and document the environmental, social and governance aspects of its supply chain to avoid protect itself against fines, regulatory action, and most importantly reputational damage.

Earlier in June this year the European Parliament voted in favour of amendments to the proposal of The EU Corporate Sustainability Due Diligence Directive (CSDDD). With implementation of the bill expected n 2024, it is deemed as a landmark legislation regarding the strengthening of human rights. The CSDDD will require companies to monitor their supply chains for the risk of violations of human and environmental rights.

‘Crucially, the version backed by the parliament attempts to address some of the barriers victims face when trying to access justice for harms caused by companies. For example, it will allow courts in EU member states to order a company suspected of causing harm to disclose evidence’. – Amnesty International Policy Advisor on Business and Human Rights, Hannah Storey

• The Norwegian Transparency Act (NTA) came into effect in July 2022. Companies are required to carry out due diligence activities to ensure they are operating responsibly, respecting both human rights and decent working conditions.
• Examining the purpose and effectiveness of the CSDDD and NTA
• Consequences and penalties for companies who fail to comply.
• Determining the differences and implementation between Germany’s Supply Chain Due
• How to best understand your supply chain?
• What are the issues in third party suppliers / brokers?
• Discover issues with high-risk markets.

• Mapping all direct suppliers and business partners:
• The importance of Supply Chain mapping to create transparency and visibility to meet legal requirements.

• Exploring how the ESG supply chain management is at substantial risk and what can be done to mitigate it.

• Self-reporting measures – what should be done if you discover you have not been compliant within the supply chain.

• Consequences as getting it wrong in many jurisdictions can result in significant fines and exposure to litigation or regulatory action.