Understanding your supply chain is becoming more and more important. Consumers demand to learn more about a product's origins and production methods amid a tightening regulatory framework. It is also important to consider sustainability guidelines on responsible business conduct, as well as mandatory regulations.
According to the Organisation for Economic Co-operation and Development (OECD) Guidelines for Multinational Enterprises, it is the company's responsibility to map risks and take appropriate measures to prevent and mitigate them. The guidelines also require companies to know more about the circumstances under which its products have been produced and where the raw materials have been sourced from.
Supply chains may therefore involve many parties, making the chain complex and unclear, and limited transparency throughout the supply chain can result in companies potentially trading and processing goods which carry social or environmental risks.
To name a few of the typical risks that we analyse, these include the chance of child or forced labour, air and water pollution, natural hazards and deforestation. In response, and to help our customers, we have developed a specific tool which helps you improve the transparency of your supply chain and meet regulatory requirements.
Contact Peterson to find out more.