The first steps in developing a supply chain
sustainability programme are to evaluate the business
case for action and understand the internal
and external landscape. These efforts will help
identify the highest priority supply chain issues
for the company, evaluate risks and opportunities
and build the internal support to move forward.
In addition, companies are motivated to act by
expectations that they identify and address the
impacts on people and the environment linked
to their supply chain, whether or not these pose
risks to the companies themselves. As an example,
the corporate responsibility to respect human
rights requires companies to avoid causing or
contributing to adverse human rights impacts and
to seek to prevent or mitigate any adverse human
rights impact that is directly linked to their operations,
products or services through their business
relationships. This responsibility applies at any
level of the value chain. Best practices require
companies to address risks of adverse impacts
in the supply chain from the perspective of the
rights-holders, rather than limiting the scope of
their policies and procedures to only cover those
risks that are paramount to the business