Spring navigation over
Indhold start

The company's responsibility and its relationship to suppliers

The aim here is to give a brief general description of what is expected of the companies, including some of the most important concepts the companies should be familiar with. What is the extent of the responsibility? The OECD Guidelines distinguish between direct and more indirect responsibility:

Primary responsibility

First and foremost, the Guidelines state that the individual company is expected to avoid causing or contributing to adverse impacts on matters covered by the Guidelines, through their own activities, and cease or prevent such impacts when they occur.

Joint responsibility and the relationship with suppliers

In other situations, the individual company may play a more indirect role. When a company has not caused or contributed to the adverse impact, but the impact is nevertheless directly linked to its operations, products or services, the company is expected to use its leverage, acting alone or in co-operation with other entities, to influence the entity causing the adverse impact, to prevent or mitigate that impact.

The OECD Guidelines recognise that ‟there are practical limitations to the ability of enterprises to influence the conduct of their business partners. The extent of these limitations depends on sectoral, enterprise and product characteristics such as the number of suppliers or other business partners, the structure and complexity of the supply chain and the market position of the enterprise vis-à-vis its suppliers or other business partners”. (The OECD Guidelines, paragraph 14 of the Commentary on General policies).

You can read more about this subject in the chapters General Policies and Human Rights in the OECD Guidelines.