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Ethical and responsible sourcing - Coggle Diagram
Ethical and responsible sourcing
Corruption
Deception
Bribery
Embezzlement
(theft or misappropriation of funds placed in one's trust or belonging to one's employer.)
Abuse of power
6 Types of influence styles defined by Yuki and Falbe:
-Assertive ( forceful, directive, using deadlines)
-Ingratiating ( using charm and flattery)
-Upward appeal ( Requesting input for senior management)
-Coalition ( united approach with support from team members)
-Rational Persuasion-Bringing in logic and facts to clarify
Human Rights
Right to Life, liberty and personal security
Freedom from slavery
Freedom from discrimination
Freedom from torture and degrading treatment
Right to Equality
Modern Slavery
Forced labour- threat of punishment
Child Labour- illegal employment of children
Bonded Labour- a system in which lenders force their borrowers to repay loans through labour
Domestic Slavery- working in private households for little or no money
Human trafficking- exploiting individuals to work against will
Fraud
Kickbacks
( commission paid top the bribe taker for services performed)
Corrupt Influence-
ordering/accepting more than required. Approving a supplier who does not meet the standards
Collusion
- group of suppliers working together to submit multiple bids and splitting the profit
Bid Rigging
-contract informally agreed with a chosen supplier
Invoicing Fraud
Substitution
of products which are under the agreed quality standards
False Claims
Bribery
-This is usually money or gifts
-
Bribery Act was included in 2010
Offences an organisation can commit:
-offering or requesting , agreeing to receive or accepting an advantage
Bribing a foreign public official
-commercial organisation failing to prevent a bribe being paid
Anti Bribery procedures:
-Monitoring and reviewing
-Communication
-Risk assessments
-Due Diligence( documented procedures should cover and be enforced by all of the organisations within the supply chain)
How it affects the marketplace
-Markets do not function effectively
-Competition is reduced
-Transparency is reduced
-Suppliers loose business
Buyers make decisions that do not add value
-Prices are often higher