Responsible Sourcing for Business Success

SourceAsia

Business Risk - Potential Impacts

Financial

 

• Legal costs

• Penalties, compensations

• Communications

• Re-sourcing

• Access to capital

• share value

 

Reputational

 

• Market brand

• Customer loyalty

• Investor confidence

• Public and consumer trust

• Employee retention, motivation

• Recruitment strengths

• Media and NGO pressure

 

Legal

 

• Product import compliance

• Pirate goods

• Patents, licences, IPR

• Bribery and corruption

• Business ethics, fraud

• Human rights

Commercial

 

• Business interruption

• Loss of market share

• Re-sourcing

• Brand value

 

There is a wide range of potential business impacts associated with your sourcing or investment activities. They need to be looked at systematically. Just as important, however, is to take an overview of what level of risk is acceptable strategically.