{"id":19279,"date":"2022-08-22T10:15:19","date_gmt":"2022-08-22T10:15:19","guid":{"rendered":"https:\/\/crigroup.com\/?p=19279"},"modified":"2024-01-15T09:04:40","modified_gmt":"2024-01-15T09:04:40","slug":"supply-chain-due-diligence-act-new-risk-management-reporting-duties-for-german-businesses","status":"publish","type":"post","link":"https:\/\/crigroup.com\/ar\/supply-chain-due-diligence-act-new-risk-management-reporting-duties-for-german-businesses\/","title":{"rendered":"Supply Chain Due Diligence Act: New Risk Management & Reporting Duties for German Businesses"},"content":{"rendered":"

This article looks at the Supply Chain Due Diligence Act (LkSG) that applies to companies operating or trading in Germany and will enter into force on 1 January 2023.<\/p>\n

The new German law, known as the Supply Chain Due Diligence Act (LkSG, short for Lieferkettensorgfaltspflichtengesetz in German) imposes due diligence obligations on environmental protection and on human rights, with all businesses having to introduce iterative and ongoing, or in certain circumstances ad hoc, due diligence processes specified by the Act.<\/p>\n

Identification and management of an organisation\u2019s supply chain and the risks that come with it require the implementation of due diligence processes.<\/p>\n

The term \u201csupply chain\u201d refers to all products\/services of a business, including all manufacturing and services, in Germany and\/or abroad, from the extraction of raw materials to their delivery to the end customer.<\/p>\n

Furthermore, due diligence processes should implement the following criteria:\u00a0<\/p>\n