The German Supply Chain Due Diligence Act was passed by the German Federal Government to regulate human and labor rights violations in supply chains. As per the German Supply Chain Law, beginning on January 1, 2023, companies in Germany with 3000 or more workers will have to perform substantial supply chain due diligence by incorporating supplier risk management and compliance mechanisms within their supply chains. From January 1, 2024, businesses with over 1000 employees will also come under the scope of the Supply Chain Act, Germany.
MeRLIN's LkSG solution enables you to implement sustainable sourcing practices across the supplier ecosystem and perform the due diligence required to comply with the German Supply Chain Act. Its comprehensive features allow businesses to meet the obligations of the Act easily.
Maintain risk register to consolidate risks associated with suppliers, track and monitor them
Issue policy statements with supplier invites or publish them in supplier portal and mandate its acceptance for onboarding
Request information from supplier regarding compliance to the law using configurable surveys or questionnaires that can be associated with sourcing
Facilitate audits to supplier sites by a designated person/compliance officer who can answer to audit questions and add observations in the system
Any internal or external party can report human rights violations by anyone in the ecosystem
Analyse and track noncompliance and risk exposure using intuitive dashboards and generate reports on due diligence activities
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To know more about how MeRLIN LkSG Solution can help you ensure compliance with the German Supply Chain Act, download factsheet.