How can you use sustainability data to identify human rights risks in your supply chain?
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Human rights are a crucial aspect of sustainability, as they reflect the social and ethical impacts of business activities on people and communities. However, many companies face challenges in identifying and managing human rights risks in their complex and global supply chains. How can you use sustainability data to help you address this issue? In this article, you will learn about some of the sources and methods of sustainability data that can help you assess and monitor human rights risks in your supply chain.
Sustainability data encompasses any information that relates to the environmental, social, and governance (ESG) performance of a company or its suppliers. Sources of such data can provide insights into human rights issues, such as public reports and disclosures, third-party assessments and ratings, stakeholder feedback and complaints, as well as media and social media. For example, annual reports, sustainability reports, human rights reports, and disclosures to initiatives like the Global Reporting Initiative (GRI), the UN Global Compact, or the Sustainable Development Goals (SDGs). Additionally, audits, certifications, benchmarks, and ratings from organizations like the Fair Labor Association (FLA), the Ethical Trading Initiative (ETI), or the Corporate Human Rights Benchmark (CHRB). Furthermore, surveys, interviews, reviews, and complaints from workers, customers, communities, civil society, and regulators. Lastly, news articles, blogs, podcasts, videos, and social media posts that cover relevant topics and events related to human rights and sustainability.
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Vajk Barabas
Sustainability Reporting | 🌱 ESG | CSRD | EHS
Sustainability data is a treasure trove of insights for responsible businesses. It provides a holistic view of their ESG performance and guides improvements. By leveraging various sources, from reports to stakeholder feedback, companies can better navigate the complex landscape of sustainability and human rights, fostering transparency, accountability, and positive change.
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Nishant Parekh
Rebuilding society, sustainably and circularly.
Don’t forget country reports by International Labour Organization (ILO) and World Bank (WB). These are rich sources. Understanding Human Rights issues at a country / specific location is also critical in addressing them. There several sectors where limited research/data is available. Next to data, also, rely on good stakeholder dialogue.
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Sustainability data sources can provide valuable information, but they also have limitations and biases. Therefore, it's important to use appropriate methods to analyze and interpret the data. This includes checking the source, scope, frequency, accuracy, and validity of the data, as well as considering the context, purpose, and agenda of the data provider. Additionally, you need to compare and aggregate the data from different sources and perspectives to get a comprehensive view of the human rights situation. Relevant indicators, metrics, and standards should be used to measure and evaluate the data. Furthermore, it's essential to visualize and communicate the data in a clear way to inform and engage stakeholders. Storytelling, narratives, and case studies should be used to illustrate the data and highlight the human impacts.
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Lorela Chia
Founder & Managing Director, GR8 Dreams Sdn Bhd
Incorporating sustainability data into human rights due diligence is not just a strategic move, but a moral imperative. It reflects a deep understanding that the prosperity of a business is inextricably linked to the well-being of its workforce and the communities it touches. This holistic approach underscores a forward-thinking leadership style that views human rights not as compliance issues, but as core to a business's value proposition. It's crucial, however, to maintain a rigorous and transparent data collection process. Leverage technology for real-time data collection and advanced analytics, to uncover patterns indicative of human rights risks. Use the data to engage stakeholders, build trust, and continuously improve.
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Anurag Awasthi
Head - New Business Solutions @Techspian | Former - EY, PwC |Sustainability X Inclusion X Technology|
The sources to capture data can be brought with use of various methods like - surveying - user interviews - digital sources It must also be concrete enough to draw out synergistic use of data to reflect the right factors in analysis.
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Conducting a human rights risk assessment for your supply chain is one of the main applications of sustainability data. This process involves identifying, prioritizing, and addressing potential and actual adverse human rights impacts of your business activities on suppliers and their workers. Doing so can help you comply with legal and ethical obligations, enhance your reputation among stakeholders, reduce operational and reputational risks and costs, improve supplier relationships and performance, and create positive social value and impact.
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Liviu Ghiuzan 李勇
💡 Results-driven Senior Leader | Driving Excellence in Quality Management, Technical Development & Manufacturing Efficiency | CSR and Sustainability | Leading Industry Transformations
Promoting and safeguarding human rights within organizations is a critical responsibility. Achieving this involves clear communication, adherence to regulations, ongoing assessments, and stakeholder engagement. Transparent Communication: Foster trust through open and honest dialogue with all stakeholders. Clear Codes and Policies: Establish well-defined guidelines for human rights commitment and responsibility. Regulatory Compliance: Ensure adherence to local and international human rights regulations and laws. Ongoing Assessment and Stakeholder Engagement: Continuously review and improve policies, engaging with stakeholders and holding supply chain partners to the same standards.
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Vajk Barabas
Sustainability Reporting | 🌱 ESG | CSRD | EHS
Conducting human rights risk assessments in the supply chain is not just a compliance requirement but an ethical imperative. It's an opportunity to be a responsible corporate citizen, protect human rights, and build trust with stakeholders. By identifying and addressing risks, businesses can create a more equitable and sustainable future while ensuring the well-being of workers worldwide.
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A human rights risk management strategy is an essential application of sustainability data. This plan of action is designed to prevent, mitigate, and remedy the human rights risks and impacts identified in your assessment. It involves setting clear policies and objectives for human rights and sustainability, developing codes of conduct and standards for suppliers, providing training and capacity building, establishing key performance indicators and targets, engaging with stakeholders, reporting and disclosing progress, and providing grievance mechanisms and remediation processes. All of these components are necessary to ensure a successful human rights risk management strategy.
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Vajk Barabas
Sustainability Reporting | 🌱 ESG | CSRD | EHS
A robust human rights risk management strategy is not just a checkbox; it's a moral commitment and a smart business move. By setting clear standards, investing in education, and creating transparent reporting mechanisms, companies can minimize risks, foster a culture of respect, and demonstrate their dedication to ethical and sustainable operations. Such strategies are vital in our interconnected world, where social responsibility matters as much as the bottom line.
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Fiona T.
🌎 Global Audit and Risk Business Partner | The G in ESG | Passionate about sustainability, human-centred design, digital transformation and mental wellness
One way to put human rights risk management higher up on the agenda, would be to remind management that human right violations pose a reputational risk. It would also be a good idea to send senior management for regular ethics leadership training.
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A final application of sustainability data is to conduct a human rights risk review for your supply chain. This process evaluates and improves the effectiveness and efficiency of your human rights risk assessment and management, helping you identify any gaps, weaknesses, or challenges. Furthermore, it enables you to learn from successes and failures, adapt to changing circumstances, innovate new solutions, and update policies and practices. Using sustainability data to identify and manage human rights risks in your supply chain is not only a moral and legal duty but also a strategic and competitive advantage. It can enhance your ESG performance, stakeholder relations, and social impact.
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Vajk Barabas
Sustainability Reporting | 🌱 ESG | CSRD | EHS
Conducting regular reviews of human rights risk management in your supply chain is a proactive and strategic move. It's not just about compliance; it's an opportunity to learn, adapt, and innovate. By using sustainability data to fine-tune your practices, you can strengthen your ethical foundations and stay ahead in a world where responsible business is a key differentiator. It's not just the right thing to do; it's the smart thing to do.
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Gwenaelle Gerard
CEO de ResponSable | Mejoramos las relaciones que tienen las empresas industriales con sus grupos de interés a través de estrategias de RSE | Responsabilidad Social Empresarial | Riesgos ESG
Utilizar la tecnología y la automatización puede ser de gran ayuda para recopilar, analizar y monitorear datos de sostenibilidad de manera más eficiente. En ResponSable usamos distintos niveles de auditoría de la cadena de valor. Esto puede facilitar la identificación temprana de riesgos y la implementación de acciones correctivas de manera oportuna. Tengamos que claro que es esencial ir más allá de un examen superficial y realizar un análisis profundo y comprensivo de los riesgos para los derechos humanos en toda la cadena de suministro. Esto implica no solo identificar, sino también entender las raíces de los problemas para poder implementar soluciones efectivas y duraderas.
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Vajk Barabas
Sustainability Reporting | 🌱 ESG | CSRD | EHS
One powerful way to foster sustainability is through education and awareness. By equipping individuals with the knowledge and understanding of sustainable practices, we empower them to make informed choices and influence their communities and organizations. Education is a catalyst for change, driving innovation and progress toward a more sustainable future. Let's invest in teaching the principles of sustainability to create a generation of conscious, responsible global citizens.
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Fiona T.
🌎 Global Audit and Risk Business Partner | The G in ESG | Passionate about sustainability, human-centred design, digital transformation and mental wellness
Other sources that could guide your approach include the UN Guiding Principles on Business and Human Rights (UNGPs) and the Human Rights Indicators for Business, an open source database of 1000 indicators enables companies and stakeholders to assess corporate policies, procedures and practices on human rights.
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