Supply Chain Management
Companies are taking increasing responsibility for what happens in their supply chain. They are held more and more accountable for unethical practices by third parties and are expected to intervene to improve their suppliers’ standards when necessary. At the same time, it is important that your suppliers are reassured that you, as their customer, will treat them fairly (e.g. paying them on time), and you both recognise the positives of mutual benefit.
The Small Business Commissioner offers advice and support to smaller organisations that wish to make a complaint about payment issues concerning their larger business customers.
IBE Guidance
- Conduct thorough due diligence when seeking new suppliers and partners. The aim should be to select suppliers whose core values and commitment to ethical business matches your own.
- Manage supplier relationships with respect, honesty and integrity whatever the size of the transaction or length of the relationship, to your mutual benefit.
- Encourage suppliers and other business partners to adopt the same or similarly high standards of ethical behaviour when engaging with third parties. You can find further guidance on how to do this effectively in the section of this Toolkit called All you need to know about Ethical Due Diligence (EDD).
Subject Matter Expert Resources
- Transparency International is the global civil society organisation leading the fight against corruption. Their UK Chapter developed some guidance on managing third parties and minimising the related bribery risks.