GLOBAL CSR has carried out a study on Responsible Supply Chain Management in cooperation with Copenhagen Business School for Danida. The report – “Changing Course – A Study into Responsible Supply Chain Management” – has just been published on the Ministry of Foreign Affairs’ website.

The study introduces a new approach to supply chain management – we call this approach Responsible Supply Chain Management 3.0 (RSCM 3.0). The vision is that it should be possible for international buyers to invest and purchase goods from specific “risk-free” zones without risk of been involved in violations on standards within the ten principles of the UN Global Compact.

Shortcomings and challenges in current approaches to responsible supply chain management

International buyers, local suppliers in developing countries, public agencies, NGOs among others point out shortcomings and challenges to the current approaches to supply chain management, and it is these that are discussed in the report. In the report we examine six hypotheses about the current approaches and conclude that companies spend significant resources on monitoring and auditing risks and that SMEs often face challenges with incorporating current approaches efficiently in their supply chain.

Responsible Supply Chain Management 3.0

With reference in the current approaches to responsible supply chain management, we introduce a new approach to the area in the report, RSCM 3.0. The key point of the approach is to establish risk-free zones in specific areas in order for companies to be able to invest and purchase goods from these areas without risk of being involved in violations of the ten principles in the UN Global Compact covering human rights, labour standards, environment and anti-corruption. The risk-free zones should be established through partnership with three main entities: international purchasers, local government agencies and donors.
”At the moment companies spend a lot of money on risk management in relation to their supply chains. By establishing risk-free zones companies can have goods produced – and purchase goods – without fear of being involved in violations of e.g. human rights. In the long term companies can renounce a significant cost in this way. Moreover, it can lead to actual sustainable development and result in a ‘race to the top’ regarding protection of international standards as a parameter for competitiveness and attraction of foreign investments” CEO in GLOBAL CSR, Sune Skadegaard Thorsen.

Learn more about Responsible Supply Chain Management 

GLOBAL CSR is experts within the fields of CSR and responsible supply chain management. We offer workshops etc. on the area. For more information about responsible supply chain management and about our services please contact us on +45 44995506 or info@global-csr.com

The full report –and annex volume – can be downloaded here: