ESG-compliant supply chains – cooperation with IntegrityNext2023/11/24
Hamburg, 24.11.2023 - As an internationally active group of companies, we are closely linked to around 1,500 direct suppliers and several 10,000 indirect suppliers, making us part of a complex economic network. Sustainability and social responsibility are also fundamental components of the DURAG GROUP's corporate strategy - not least because we produce and sell devices for environmental measurement technology. We therefore consider supply chains to be an important lever for reducing our carbon footprint and driving forward the decarbonization of industrial processes.
We have therefore set ourselves the goal of making our supply chains more transparent with regard to important aspects such as environmental protection, human and labor rights, conflict minerals, corruption, cyber security and many more. To guarantee these ESG (Environmental Social Governance) criteria in the best possible way, our Purchasing department, together with DURAG Quality & Compliance Management, has decided to cooperate with the external provider IntegrityNext, which independently assesses our supply chains. This step is also in line with the Act on Corporate Due Diligence Obligations in Supply Chains (LkSG) against the overarching backdrop of the United Nations' Agenda 2030 and the European Union's Green Deal.
Many transformations already implemented
The LkSG has been in force in Germany for companies with 3,000 or more employees since January 1, 2023, while the law will apply to companies with 1,000 or more employees from January 1, 2024. Suppliers must therefore comply with human rights and environmental standards, while OEMs such as the DURAG GROUP must comply with increased due diligence and reporting obligations. Many of the transformation processes required for this have already been implemented - such as the establishment of a risk management system, the performance of regular risk analyses and much more.
Legally compliant supply chain for our customers
The IntegrityNext platform provides a continuously updated digital overview of our supply chains based on systematic supplier surveys, critical news monitoring and over 45 sustainability-related country risk and sector risk indicators. The results are clearly presented using traffic light logic. This allows effective measures to be taken quickly by continuing on the path with ESG-compliant partners and critically examining current situations at other suppliers that can be improved. This enables us to offer our customers the security of a legally compliant supply chain without the risk of indirect costs, which is also environmentally friendly - because depending on the industry, the proportion of upstream Scope 3 emissions can be up to 90%.