Do we really need another ranking table on supply chain standards?

Do we really need another ranking table on supply chain standards?

Do we really need another ranking table on supply chain standards? The answer from AccountAbility and Insight appears to be ‘yes’. So what’s different about the Gradient initiative from the host of other standards out there? First off, this isn’t standard setting. What companies will find here is a well thought-out self-assessment tool that seeks to help determine some necessary comparisons between sectors. Another important feature that Gradient brings to the debate on supply chains is the wealth of three years of consulting on how to go about incorporating labour standards into the FTSE4Good index.

What’s emerged therefore is an up-to-the-minute summary of the priority areas within advanced management approaches to social and ethical supply chain risks. A commitment to ‘living wage’ is one such indicator, as is the alignment of employee incentives to performance. This is a helpful way in for companies and stakeholders alike when trying to determine the material from the immaterial among the morass of different standards.

Another strong message from the report is the promotion of multi-stakeholder initiatives such as the Ethical Trading Initiative. This reflects the realisation that standard audits are impractical in complex supply chains such as in the agriculture industry. All in all, a helpful contribution for all those looking to develop or advance their risk assessment procedures.