SUPPLY CHAIN TRANSPARENCY AND RESPONSIBLE SOURCING
product quality , and supply chain management . In some ways , the pursuit of supply chain management objectives is at odds with the additional time , resources and change in purchasing decisions required by a responsible sourcing focus . Many companies question their ability to impact the behavior of sub-suppliers that can be many steps removed from them . Moreover , corporate policy-making and far-reaching decisions about human rights impacts had not been in the scope of responsibility of procurement teams .
Rise of the social media machine Despite the early responsible sourcing efforts , people continued to suffer not only from war and conflict but also in the course of working to sustain themselves and their families . At the same time , activists increased pressure on companies to address the human rights impacts of trade and commerce . The evidence of human rights abuses has become ever more obvious and visible . Word of mouth and still photos of dismal conditions have been replaced with television exposés and YouTube clips of children engaging in dangerous work , trafficking of laborers , and more . Consumers see the connection between the products they purchase and the labor conditions in their production . This has led NGOs to organize and individual consumers to mobilize around ethical sourcing .
The combination of notorious examples of grim working conditions , effective activism pressuring companies to change their purchasing practices , and powerful social media campaigns have now resulted in increasing expectations on companies .
Required responsible sourcing efforts start with conflict minerals .
Starting in 2012 , with the Securities and Exchange Commission ( SEC ) conflict minerals rule , US reporting companies were required to disclose the use , source and chain of custody of tin , tantalum , tungsten and gold ( conflict minerals ) from the Democratic Republic of Congo ( the DRC ) and adjoining countries . It was expected that this disclosure would “ name and shame ” companies into adopting more responsible sourcing practices .
In July 2016 , the EU adopted a framework for an EU regulation aimed at reducing the financing of
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