Annex ii of oecd guidance commun icate policy t o suppliers and incorporate due diligence expectations into contracts establish traceability or chain of custody system over mineral supply chain adopt a pol y for espons ible m n al su ply chains model poli y in ann ex ii of oecd guidanc c mmuni cate poli y t supplie rs and. Oecd due diligence guidance for meaningful stakeholder. The oecds final reports on beps were issued in 2015 however, the oecd has felt that a new beps 2. Analyzing operational due diligence frameworks in fund of hedge funds abstract. The due diligence team will also need to search for information in a matter sensitive to the particular transaction e. Annex ii of oecd guidance commun icate policy t o suppliers and incorporate due diligence expectations into contracts establish traceability or chain of custody system over mineral supply. You can copy, download or print oecd content for your own use, and you can include.
Jan 29, 2019 16 03 oecd due diligence guidancemineralsedition3 1. A due diligence framework that was developed to enable companies to identify and manage conflict mineral risks in their supply chains. Direct of indirect support to nonstate armed groups. Oecd due diligence guidance for responsible supply chains of minerals from conflictaffected and highrisk areas the oecd due diligence guidance for responsible supply chains of minerals from conflictaffected and highrisk areas hereafter the guidance is the first example of a collaborative. Oecd due diligence guidance for responsible supply chains. Implementing these recommendations can help enterprises avoid and address adverse impacts related to workers. The oecd due diligence guidance for responsible supply chains of minerals from conflictaffected and highrisk areas hereafter the oecd ddg or ddg is a due diligence framework that was developed to enable companies to identify and manage conflict mineral risks in their supply chains. Download the final text of the gold supplement pdf francais. The oecd guidance including its supplements applies to. Largescale gold miners peer learning webinar 1 august, 20 for distribution.
Establish strong enterprise management systems for responsible supply chains. The structure of the guidance draws from the oecd due diligence guidance for responsible supply chains of minerals from conflictaffected and highrisk areas,7 which clarifies how the oecd guidelines apply to a specific supply chain. The oecd due diligence guidance for conflictfree mineral supply chains tyler gillard legal expert oecd investment division background oecd began work on due diligence for conflictfree supply. Mr matthew chamberlain chief executive lme 10 finsbury. The oecd due diligence guidance for responsible business conduct provides practical support to enterprises on the implementation of the oecd guidelines for multinational enterprises by providing plain language explanations of its due diligence recommendations and associated provisions. Oecd due diligence guidance for responsible supply chains of minerals from conflictaffected and highrisk areas second edition contents recommendation of the council on due diligence guidance. This checklist answers some frequently asked questions. Identify, assess and prioritise risks in the supply chain.
The 3ps framework is general in nature and can be modified by companies to meet the needs of their business. Recognized framework used to develop due diligence framework our conflict minerals process and policy are designed to conform in all material respects with the oecd guidance. This guidance is organised into three sections and supporting annexes. Active allocator, inc due diligence ramework for direct investing activeallocatorcom 4 of 25 process. Oecd due diligence guidance for responsible business conduct. Oecd due diligence guidance for responsible supply chains of minerals. Oecd due diligence guidance for responsible supply chains of. Engaging the oecd in discussion on the future of the firm. Jun 27, 2018 on june 20, at the 2018 global forum on responsible business conduct, the organization for economic cooperation and development oecd formally launched its new due diligence guidance for. Responsible business conduct project on the implementation. Human rights due diligence teaching business and human.
May 30, 2018 the recommendation was released at the oecd 2018 mcm. The guidance is expected to become the authoritative international reference on due diligence. Annually describe all due diligence efforts steps 14, e. Nov 08, 2018 engaging the oecd in discussion on the future of the firm the role of due diligence, social dialogue and corporate accountability mechanisms. This is a general guidance put out by the oecd in plain language for smes who may be looking at starting due diligence programs and creating policies as a basis for starting business dealing is a foreign market. Demystifying the due diligence framework under the oecd. The pilot also allowed companies to openly share their learnings and good practices in.
The oecd due diligence guidance for conflictfree mineral supply chains tyler gillard legal expert oecd investment division background oecd began work on due diligence for conflictfree supply chains in oct 2009 developed with the assistance of a multistakeholder working group. Mr matthew chamberlain chief executive lme 10 finsbury square. Umicore due diligence compliance report cobalt procurement 2019. This guide provides a practical framework for identifying and managing risks with regard to stakeholder engagement activities to ensure companies play a role in avoiding and addressing adverse impacts as defined in the oecd guidelines for multinational enterprises. Due diligence guidance for responsible supply chains in. Assessing and enhancing the contribution of small and. The oecd due diligence guidance for responsible mineral supply chains.
Gold supplement to the oecd due diligence guidance oecd. Oecd due diligence guidance for responsible supply chains of minerals from conflictaffected and highrisk areas second edition contents recommendation of the council on due diligence guidance for responsible supply chains of minerals from conflictaffected and highrisk areas oecd due diligence guidance for responsible supply chains of. Oecd due diligence guidance for meaningful stakeholder engagement in the extractive sector. The oecds due diligence guidance for responsible supply chains of mineral sets out a fivestep process framework for due diligence. Just in time for those forms sd and conflict minerals reports, due may 31, the oecd has posted a new edition of the oecd due diligence guidance for responsible supply chains of. Due diligence is the investigation or exercise of care that a reasonable business or person is expected to take before entering into an agreement or contract with another party, or an act with a certain standard. The guidance explains how companies should conduct diligence to avoid and address adverse impacts under the oecd. The organisation for economic cooperation and development oecd has released an updated edition of their oecd due diligence guidance for responsible supply chains of minerals from conflict.
The oecd guidance provides a detailed due diligence framework to support responsible global supply chain management of minerals and is currently the only internationally recognized framework for raw material due diligence. The oecd guidance is an internationally recognized due diligence framework consisting of a multistep, riskbased process. The oecd due diligence guidance for conflictfree mineral. Description of due diligence performed on the source and chain of custody of those conflict minerals step 1. Guidance to business enterprises on respecting human rights should indicate expected outcomes and help. Engaging the oecd in discussion on the future of the firm the role of due diligence, social dialogue and corporate accountability mechanisms. The recommendation was released at the oecd 2018 mcm. By implementing the recommendations of the oecd fao guidance companies can systematically identify, assess and mitigate potential negative impacts associated with their business. The fivestep framework for riskbased due diligence, the model supply chain policy and the. Oecd due diligence guidance for responsible supply chains of minerals from conflictaffected and highrisk areas isbn 9789264111189 20 2011 06 1 p. Oecd due diligence guidance for minerals 5step framework. Child labour risks in the minerals supply chain oecd.
Fao guidance for responsible agricultural supply chains. Due diligence is the investigation or exercise of care that a reasonable business or person is expected to take before entering into an agreement or contract with another party, or an act with a certain standard of care. Oecd releases due diligence guidance for responsible. It should advise on appropriate methods, including human rights due diligence, and how to. This oecd fao guidance and due diligence framework was developed in collaboration with supply chain experts, business, civil society, unions and policy makers. The oecd due diligence guidance for responsible supply chains of minerals from conflictaffected and highrisk areas hereafter the oecd ddg or ddg is a due diligence framework that was developed to. Oecd due diligence guidance for responsible supply chains of minerals from conflictaffected and highrisk areas 3. Ilo and oecd update their guiding principles for multinational companies two reference texts upadated.
The companys management system, referred to as the sustainable procurement framework for cobalt, is aligned with the oecd due diligence guidance for responsible supply chains of minerals from. Guidance to business enterprises on respecting human rights should indicate expected outcomes and help share best practices. Assessing and enhancing the contribution of small and medium. Establish strong enterprise management systems for responsible supply. Oecd issues new edition of oecd due diligence guidance on. The structure of the guidance draws from the oecd due diligence guidance for responsible supply chains of minerals from conflictaffected and highrisk areas,7 which clarifies how the oecd. The framework provides dfid with a consistent approach for conducting due diligence during partner assessments and selection using an. The oecd guidance provides a detailed due diligence framework to support responsible global supply chain management of minerals and is currently the only internationally recognized. Oecd watch submission for the public consultation on. The due diligence process is an essential step in the validation of an opportunity for a business. Implementing the oecd due diligence guidance for responsible. On june 20, at the 2018 global forum on responsible business conduct, the organization for economic cooperation and development oecd formally launched its new due diligence.
This guidance is for use by any company potentially sourcing minerals or metals from conflictaffected and highrisk areas. Due diligence in the context of onboarding not only includes the risk assessment before you enter into a. Recognizing the vast number of raw materials and the complexity of our supply chain, microsoft uses a riskbased approach to assess our raw material sourcing. Help grow the canadian brand and join us on october 17 for a 1hour webinar to learn more about resources. Set of legal requirements which impose on credit institutions and any person raising funds, controls aimed at identifying interlocutor and origin of its resources. Oecd due diligence guidance for meaningful stakeholder engagement in the extractive sector oecd due diligence guidance for meaningful stakeholder engagement in the. Establish strong company management systems oecd step 1 through people, policies and procedures. Download comments received during the online public consultation held from december 2016 to february 2017. Demystifying the due diligence framework under the oecd guidelines for multinational enterprises. Oecd due diligence guidance for responsible supply chains of minerals from conflictaffected and highrisk areas third edition 2. Abbvie has a crossfunctional conflict minerals strategy team that is led by the restricted substances management team and supervised by management. A due diligence framework that was developed to enable companies to identify and. Ilo revised its landmark declaration on multinational enterprises adding especially guidance on decent work while the oecd published a new guide on responsible business conduct rbc for investors on due diligences. This guidance provides 1 an overarching due diligence framework for.
Oecd and fao have developed this guidance to help enterprises observe standards of responsible business conduct and undertake due diligence along agricultural supply chains in order to ensure that. May 04, 2016 just in time for those forms sd and conflict minerals reports, due may 31, the oecd has posted a new edition of the oecd due diligence guidance for responsible supply chains of minerals from. Fao guidance for responsible agricultural supply chains oecd. Oecd due diligence guidance for minerals 5step framework for upstream and downstream supply chains. Help grow the canadian brand and join us on october 17 for a 1hour webinar to learn more about resources that can help you demystify and unpack the due diligence framework under the oecd guidelines for multinational enterprises and provide plainlanguage explanations of the oecd five steps. This guidance provides a practical framework for identifying and managing risks with regard to stakeholder engagement activities. This means, for example, a financial institution may elect to obtain a selfcertification for all preexisting accounts held by individuals consistent with the due diligence procedures for new individual accounts. Ilo revised its landmark declaration on multinational enterprises.
Principles of the oecd guidance due diligence is a dynamic, ongoing process with the. Fao guidance for responsible agricultural supply chains oecd and fao have developed this guidance to help enterprises observe standards of responsible business conduct and undertake due diligence along agricultural supply chains in order to ensure that their operations. Oecd releases due diligence guidance for responsible business. Oecd 2018 you can copy, download or print oecd content for your own use, and you can. Oecd due diligence guidance for responsible business. Download an infographic on the 5step framework for supply chains. Due diligence guidance for responsible supply chains in the. Download oecd watch submission for the public consultation on updating the oecd policy framework for investment. Key features of the oecd guidance one set of expectations a common framework for due diligence expectations throughout the entire mineral supply chain from mines until end users progressive. Quantifying the costs, benefits and risks of due diligence for responsible business conduct.
Oecdfao guidance for responsible agricultural supply chains. Oecdfao guidance for responsible agricultural supply. Structure of the oecd guidance due diligence guidance includes. Oecd due diligence guidance for responsible supply chains of minerals from conflictaffected and highrisk areas.
In addition to assessing how companies interpret and implement responsible business conduct and due diligence principles, the pilot aimed to support companies in better understanding the fivestep due. Oecd watch submission for the public consultation on updating. Oecd releases new version of due diligence guidance. Oecd due diligence guidance for minerals 5step framework for upstream and. Set of legal requirements which impose on credit institutions and any person raising funds, controls aimed at identifying interlocutor and origin of its resources the due diligence process is an. Oecd due diligence guidance for responsible supply chains of minerals from con. Abbvie has a crossfunctional conflict minerals strategy team that is led by the. The companys management system, referred to as the sustainable procurement framework for cobalt, is aligned with the oecd due diligence guidance for responsible supply chains of minerals from conflictaffected and highrisk areas oecd, 20. A structured assessment is undertaken against detailed criteria that are set out in the assessment tool.
This is a general guidance put out by the oecd in plain language for smes who may be looking at starting due diligence programs and creating policies as a basis for starting business. A due diligence check assesses the risks associated with a potential supplier. A 5step riskbased due diligence framework for all minerals from conflictaffected and highrisk areas annex i 2. Oecd issues new edition of oecd due diligence guidance. The guidance explains how companies should conduct diligence to avoid and address adverse impacts under the oecd guidelines for multinational enterprises. The oecd due diligence guidance calls on stakeholders to engage in the legalisation and formalisation of artisanal mining communities. An analysis was conducted using a sample of over 275 global hedge fund allocators of the operational due diligence frameworks in place at these organizations. The oecd due diligence guidance for responsible supply chains of minerals from conflictaffected and highrisk areas.
The oecd has developped practical actions for companies to identify and address the worst forms of child labour in mineral supply chains to help them identify, mitigate and account for the risks of child labour in their mineral supply chains. The guidance also includes an assessment framework for industry to evaluate their stakeholder engagement. The guidance is applicable to all companies large and small operating in global garment and footwear supply chains. Just in time for those forms sd and conflict minerals reports, due may 31, the oecd has posted a new edition of the oecd due diligence guidance for responsible supply chains of minerals. The oecd due diligence guidance provides detailed recommendations to help companies respect human rights and avoid contributing to conflict through their mineral purchasing decisions and practices. Microsoft responsible sourcing hardware supply chain. The oecd has requested input from oecd watch, and oecd watch welcomes the opportunity to comment on the draft updates of the pfi chapters. The purpose of the framework is to provide guidance for due diligence as the.
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