Updated OECD Guidelines for Responsible Business Conduct

Knowing about potential and actual CSR risks in your value chain is part of acting responsibly as a business. The OECD (Organisation for Economic Co-operation and Development) has written guidelines that help businesses to understand what responsible business conduct entails through a process called due diligence. More information can be found here. Governments expect companies to know where their products come from and that CSR risks in value chains are prevented or mitigated. This process will be formalised in a European Union directive called CSDDD: Corporate Sustainability Due Diligence Directive, expected in 2024.

There are different steps businesses are expected to take in the process of due diligence:

1.      Embed responsible business conduct into policies & management systems;

2.     Identify & assess adverse impacts in operations, supply chains & business relationships;

3.     Cease, prevent or mitigate adverse impacts;

4.     Track implementation and results;

5.     Communicate how impacts are addressed;

6.     Provide for or cooperate in remediation when appropriate.

These steps have been made more practical in the due diligence guidance of the OECD, which has been updated in June 2023. Read more here about the OECD Due Diligence Guidelines for Responsible Business Conduct.

The OECD has worked out multiple sector guidelines which gives a more practical view on how to start implementing due diligence in business. Read about the sector specific guidelines here.

Do you want to learn more about implementing due diligence in your company? Take a look at the OECD e-learning Academy on Responsible Business Conduct.

More information about guidelines for responsible business conduct can be found on this page from SECO.