Tag: sustainability

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Innovation in Compliance

Supply Chain and ESG – What You Need to Know: Episode 3 – The New World of Product Compliance and ESG with Cally Edgren and Devin O’Herron

 

In part 3 of the Supply Chain and ESG – What You Need to Know series, Cally Edgren and Devin O’Herron of Assent join Tom Fox to discuss product compliance and sustainability. They explore how the two worlds are starting to intersect. 

 

 

Making sure products meet regulatory requirements is what product compliance is all about. In recent years, the requirements have been changing. There used to be a focus on safety features like mechanical and electrical safety, but things changed with the RoHS Directive in 2002. That directive was meant to make sure electronic waste from third-world countries was safe. It was one of the first times a regulatory rule had more to do with sustainability than traditional product safety.

 

Manufacturers need to understand that their customers are no longer just concerned with what they hold in their hands at the end of the process – they want to make sure that their suppliers are using responsible processes. The two worlds of operations compliance and product compliance are starting to connect. As we become increasingly aware of the importance and relevance of the social and environmental costs associated with manufacturing processes and the barrier they present towards sustainability, ESG metrics represent another way of managing and measuring these externalities. 

 

Resources

Assent

 

Categories
The ESG Report

Digital Sustainability with Jed Yueh


 
Tom Fox is joined by Jed Yueh, founder and CEO of Delphix. They discuss his newest passion project with SustainableIT.org and their mission to advance global sustainability through technology and leadership. 
 

 
The Work of SustainableIT.org 
Many people believe that sustainability is somebody else’s problem to solve, but Jed makes it clear that we cannot keep thinking that way if we want to make a difference. At SustainableIT.org, they collaborate with esteemed technology leaders to drive sustainability forward across the world’s largest organizations. 
 
The Link Between Technology and ESG 
Jed tells Tom that companies must “take a hard look at how you govern technology programs so that they don’t have adverse impacts on society and the environment.” Most companies view ESG as something in-demand, and so they independently chart the course they will take on ESG initiatives. At SustainableIT.org, they create and identify the best programs that can actually digitize the way a business functions while decreasing its carbon footprint. 
 
Making an Impact
Facilitating change is not about one technology company being pro-environment. Jed names a number of SustainableIT.org’s board members, explaining how many of these great technologists work for some of the world’s biggest companies. “That’s how we can have the biggest impact,” he says. 
 
RESOURCES 
Tom Fox’s email
Jedidiah Yueh | LinkedIn | Twitter | SustainableIT.org
 

Categories
The ESG Report

Sustainability Transition and Ratings with Jagmeet Lamba and Daniel Perry


 
‘Compliance is no longer the standard. Companies want to do business with other companies whose values align with theirs.’ This is one of the main talking points in this week’s episode of The ESG Report, where Jagmeet ‘Jag’ Lamba and Daniel Perry join Tom Fox for a conversation about third-party risk management.
 

 
The Importance of Third-Party Automation 
“Companies are not islands,” says Jag, “they exist mainly with the help of partners.” As the companies grow and expand, the third-party network does too. With the compliance burden, data security/privacy burden, and now, the ESG burden that accompany all of these third parties, it’s impossible to manage without automation.
 
Reputational Damage 
Tom mentions the risk of reputational damage to one’s brand through their third parties. In Jag’s company, Certa, reputation plays a role in all of the contracts they make with their key stakeholders, therefore, any reputational issue is a breach of that contract. He advises holding your third parties to that same standard. It is no longer sufficient to be compliant, as today, employees and other companies want to do business with those whose values align with theirs. “Compliance is no longer the standard,” Jag tells listeners.
 
The Work of EcoVadis: Improving Sustainability 
ESG stands for environmental, social, and governance. The ‘S’ can also stand for sustainability, but, “Sustainability actually covers all of the pillars of ESG,” Daniel claims. 
In a company, experts are generally required to aid in making procurement decisions, but they  are probably not also experts on sustainability and ESG. His company, EcoVadis, provides a simple scorecard that tells how well, or how poorly a company is doing on key areas of sustainability, such as environment, labor and human rights, ethics, and supply chain. With these scorecards, you can start making broad, tactical decisions. By having one way of understanding the ESG of all suppliers, companies are able to implement necessary changes. 
 
The Partnership between Certa and EcoVadis 
Both Daniel and Jag detail their goals for both their clients, as well as the world of ESG, from their respective company perspectives. “The only way to have a strong ESG profile is if you also measure the ESG profile of your third parties,” is a quote from Jag that sums up this partnership quite well. 
 
RESOURCES 
Tom Fox’s email
Jagmeet Lamba | LinkedIn | Twitter | Certa
Daniel Perry | LinkedIn | Twitter | EcoVadis
 

Categories
The Compliance Life

The Compliance Life-Kim Yapchai, Make Tomorrow Better (and have some fun)


The Compliance Life details the journey to and in the role of a Chief Compliance Officer. How does one come to sit in the CCO chair? What are some of the skills a CCO needs to success navigate the compliance waters in any company? What are some of the top challenges CCOs have faced and how did they meet them? These questions and many others will be explored in this new podcast series. Over four episodes each month on The Compliance Life, I visit with one current or former CCO to explore their journey to the CCO chair. This month, my guest is Kim Yapchai, the Chief Counsel – Environmental, Social & Governance at Tenneco Inc.  This encompasses both compliance and sustainability.
Kim calls herself a “businessperson with a law degree” and she has had a distinguished career in the in-house world. She held in-house positions at Ford Motor Credit Company and Masco before moving to Whirlpool to become the company’s first Chief Compliance Officer. From there she moved to Tenneco to the CCO chair and then into her current role. Further, she is the company’s first Chief Sustainability Officer. In this role, she is working to improve transparency of information shared with stakeholders, set goals, and promote the use of that information by investors, customers, and others. Kim has received numerous awards include the prestigious Top Minds in Compliance Award from Compliance Week.
In this fourth and final episode, Kim discusses receiving the designation of Chief Sustainability Officer and how that intersects with her role as CCO. We conclude with a look at where the risk management professional and risk management profession might be in 2030 and beyond. Finally, in her role as Chief Sustainability Officer, Kim wants to work to “Make Tomorrow Better”.