Understanding the German Supply Chain Due Diligence Act (LkSG)
The German Supply Chain Due Diligence Act (LkSG), in effect from January 1, 2024, imposes strict requirements on companies with 1,000 or more employees. These companies are obligated to conduct risk analysis, due diligence, mitigation actions, and detailed reporting on human rights impacts for tier-1 suppliers and those in deeper tiers. Compliance with the LkSG demands a thorough and proactive approach to meet these stringent regulations.
EcoVadis Sustainability Intelligence Suite
EcoVadis offers a comprehensive solution to assist companies in adhering to the requirements of the German Supply Chain Due Diligence Act. With its Sustainability Intelligence Suite, EcoVadis provides the necessary tools and processes to perform risk analysis, due diligence activities, implement mitigation measures, and generate detailed reports on human rights impacts within the supply chain. This suite is designed to streamline and simplify the complex tasks required by the LkSG, ensuring companies meet the expectations set forth by the legislation.
Addressing Due Diligence and Reporting Requirements
The Sustainability Intelligence Suite from EcoVadis enables companies to navigate the complexities of the German Supply Chain Due Diligence Act efficiently. By offering a structured approach to conducting risk analysis, performing due diligence, and documenting human rights impacts, EcoVadis empowers organizations to fulfill their obligations under the LkSG effectively. The suite ensures that companies can identify, assess, and address risks within their supply chains and demonstrate compliance through transparent and in-depth reporting.