German supply chain due diligence act, Non-financial Reporting Directive (NFRD) Directive 2014/95/EU, Timber Regulation (EU) No 995/2010 are some of the legislation in force today. They all have in common, that companies and representatives are taken accountable for what happens in their extended supply chain.

The Netherlands and France were among the first countries to introduce corresponding guidelines. The EU Mandatory Human Rights Due Diligence Directive is under development.

Legislation on mandatory corporate social responsibility (CSR) and environmental social governance (ESG) is becoming stricter and stricter as a phenomenon not limited to Europe.

Evidently this can be considered a global megatrend, companies must cope with. None of them are limited to internal processes. The holistic supply chain end-to-end comes into focus and requires attention to stay compliant.

Organizations and their business processes need re-engineering. Appropriate methods and technologies must be implemented.

Stricter legislation on supply chainis to be expected globally in coming years

Legislation on Supply Chain