The Corporate Sustainability Due Diligence Directive (CSDDD) specifies six steps defined by the OECD Due Diligence Guidance for Responsible Business Conduct. Companies are required to follow these steps to identify and address adverse human rights and environmental impacts in their operations. In this blog, we look at each of these steps and how to implement them in your business.
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Step 1: Embed Responsible Business Conduct into Policies & Management Systems
Start by drawing up a policy that is aligned to legal requirements, which should be endorsed by senior leadership and communicated to all relevant stakeholders.
Step 2: Identify & Assess Adverse Impacts in Operations, Supply Chains & Business Relationships
Use a holistic, evidence-based approach to identify and assess potential human rights and environmental risks in your operations, supply chain and business relationships.
Use Achilles comprehensive supply chain questionnaires, risk assessments and global risk analysis. Learn more.
Step 3: Cease, Prevent or Mitigate Adverse Impacts
It’s important to incorporate more robust methods for identifying adverse impacts linked to your operations, supply chain or business relationships. Consider using tools like audits or workforce surveys proactively.
Use Achilles international team of social and environmental auditors as part of your risk-based prevention strategy. Learn more.
Step 4: Track Implementation and Results
Track the findings of your risk assessments and prevention methods to ensure effectiveness. Monitor ongoing performance to support a continual improvement approach.
Step 5: Communicate how impacts are addressed
Report transparently and accurately on the effectiveness of your due diligence activities both internally and externally. Back up your reports with evidence-based claims and reliable data.
Use Achilles comprehensive data and analytics platform to produce your transparent and accurate annual reports. Learn more.
Step 6: Provide For or Cooperate in Remediation When Appropriate
Collaborate with your supply chain and business relationships to resolve issues, share best practices and improve performance together.
How Achilles Can Help
Achilles offers an OECD aligned, end-to-end supply chain due diligence approach. It includes comprehensive supply chain questionnaires, supply chain risk assessments, and global risk analysis by an international team of social and environmental auditors. These features can be part of your risk-based prevention strategy.
Additionally, you can track performance using Achilles online audit non-conformance modules, bespoke performance reporting and analytics dashboards. Achilles also has a comprehensive data and analytics platform to produce your transparent and accurate annual reports.
Join the Achilles network of over 500 buying organisations globally, working collaboratively to identify risk and improve supply chain performance. Speak to us to get started on your journey to CSDDD compliance confidence.