Kumi analysis of the conflict minerals policies of over 300 companies has found that only 5% were aligned to the recommendations for company policy content set out in the OECD Guidance. We discuss how the detailed insights emerging from the OECD Alignment Assessment project can help companies to strengthen their due diligence and responsible sourcing practices.
Battery Supply Chain Series - Part 1
With 2017 being increasingly seen as a watershed year for electric vehicles, the pressure is on to develop responsible supply chains for battery materials. Cobalt, in particular, is under heavy scrutiny. Companies need to establish effective risk management controls to avoid being caught out by some underestimated and poorly understood risk factors. But there are also significant benefits to be realised from responsible cobalt sourcing practices.
Kumi's Battery Supply Chain Series will offer some perspectives on the significant social and environmental issues associated with the minerals used to manufacture lithium-ion batteries. We will discuss how companies may manage the significant social and environmental risks that could impact their business. We will also highlight how responsible sourcing practices in this supply chain may also create commercial opportunities.
The support Kumi has been providing to the OECD in delivering the Alignment Assessment project has given us unique insights into the current state of due diligence practices across global supply chains for conflict minerals. We are now using these insights to inform and strengthen the services we provide to our clients.
The draft methodology for assessing the alignment of industry programmes with the OECD Due Diligence Guidance for Responsible Mineral Supply Chains has now been published. This post provides an overview of the structure and design of what is likely to become an important resource for industry programmes working to address the issue of conflict minerals.
A new global standard has been published by the OECD that can legitimately claim to represent consensus on how companies should assess and respond to the risks of social and environmental impacts in agricultural supply chains. Investors, producers and consumers of agricultural commodities should take note.
In September, Andrew Britton from Kumi presented to the inaugural Africa-Dubai Precious Metals Forum held in Accra, Ghana, on the contributions that the gold mining industry can make to international development. He reflects on his discussions with gold producers, traders and refiners on some of the challenges facing the industry.
Sustainability certification schemes for commodities such as tea, cotton or palm oil can add value as a recognised means of managing social and environmental risks in companies' supply chains. But is this enough? As a recent BBC investigation has highlighted, companies need to ensure they also understand the limitations to such schemes.