FIVE MINUTES WITH ...
Due Diligence Guidance for Responsible Business Conduct . In addition to these standards , it ’ s important for businesses to be aware of legislative changes that can affect current business operations and practices . Over the past decade , various due diligence laws emerged such as the Modern Slavery Act 2015 in the UK , California ’ s Transparency in Supply Chains Act and Australia ’ s Disclosure Act .
Companies can get ahead by understanding their supply chain better and determining where they stand in terms of human rights risk management . Working on your existing supplier relationships now will let you leverage those relationships and react to changing
“ Typically , when it comes to selecting new suppliers , it is important for businesses to make sustainabilityrelated expectations clear during the initial engagements ” requirements with more flexibility once you are mandated to do so . By focusing on understanding the current supply chain due diligence landscape better , companies can explore strategies to react to existing – and future – requirements .
Q . WHAT IS THE BIGGEST CHALLENGE IN RESPONSIBLE SOURCING ?
» Beyond the initial screening process , setting expectations at the beginning of the relationship with the supplier , and ongoing monitoring , companies need to engage suppliers in a continuous improvement journey . No suppliers ( or buyers ) are perfect in any sustainability