overlooked esg metric: supply chain sustainability

Overlooked ESG element: supply chain sustainability. This test from Electronics Supply Chain News hones into supply chain sustainability:

  • Social impact: Products and services should be ethical. Organizations must determine whether forced labor, child labor or other inhumane conditions occur at any point along the supply chain.
  • Governance impact: Numerous companies manufacture, coordinate and ship products. Do their values align with their mission statements? What do their boards of directors look like and how do they measure corporate performance?
  • Environmental impact: The farther a product travels to reach its final destination, the more fuel, temperature control and packaging are required. In turn, shipping exerts strong environmental effects.