Responsible Supply Chain Management

European enterprises are not only held more responsible for the environmental impact in their supply chains, but also for the potential negative impact on human rights and working conditions. This may have consequences for the enterprise and result in loss of reputation. For decades enterprises have conducted environmental impact assessments, but the demand for assessing and minimizing the possible effects in other fields too, is growing. 

In cooperation with SOMO and adelphi, CREM conducted a study for the European Commission into the reasons why there are still negative impacts in the supply chains of European enterprises. The study focussed on three important EU-chains, sugar, cotton and mobile phones. Twelve case studies looked at: What are the potential success factors to minimize the negative impact? Which challenges were the parties involved faced with? How did they meet these challenges and who exactly is responsible for which negative impact?

John Ruggie

On the basis of the ‘UN-Business and Human Rights Framework’, developed by John Ruggie, Harvard professor and the UN-Secretary General’s special representative on business and human rights, the obligations and responsibilities of enterprises and governments are looked at from different angles.

The study conducted by CREM and SOMO provides opportunities to apply this framework within supply chains in the field of human rights and for sustainable chain management in general. The study also gives recommendations on how to capitalize on developments in responsible supply chain management. See the summary of the “Responsible Supply Chain  Management” report below.

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