Sustainability Management and Social Responsibility in the Value Chain

Supply Chain Sustainability: A Must Have for Today’s Competitive Business Environment

“…Historically, many company supply chain initiatives did not make reference to or act in accordance with any standardized thresholds, which made it difficult to evaluate the level of sustainability of the company. These issues took on added importance in the 1990's as multinational companies out-sourced much of their production capacity to subcontractors in developing countries (Dathe, et al, 2022).…”

“…Recognizing that there was a universal problem in the lack of generally accepted sustainability principles and standards, the United Nations specifically addressed the issue. In 1999, the then secretary general of the UN, Kofi Annan, spoke to the World Economic forum in Davos, Switzerland, about the need for a new global compact for business (Dathe, et al, 2022). What resulted from the conference and discussions that occurred therein has become known as the United Nations Global Compact (UNGC or Global Compact).…”

“…Anti-Corruption: Businesses should work against corruption in all its forms, including extortion and bribery (Podrecca, et al, 2021). The Global Compact was designed as a voluntary initiative but requiring member organizations to make a clear statement of support of and include some references in its annual report (or other publicly facing communication) on the progress such member is making on internalizing the principals within its own operations (Dathe, et al, 2022). A company's failure to issue such reports on an annual basis will result in the company being delisted from the compact (Dathe, et al, 2022).…”