Globalization offers Swiss companies numerous opportunities, but also poses risks along the international supply chain, such as corruption or non-compliance with human rights and environmental standards, so-called ESG risks (Environment, Social & Governance). Companies are increasingly expected to assume their ESG responsibilies along the entire international supply chain.

With growing public pressure, the legal framework is also becoming stricter. In Switzerland, for example, the "Ordinance on the Due Diligence and Transparency of Minerals and Metals from Conflict-Affected Areas and Child Labor" (DDTrO), the indirect counter-proposal to the Responsible Business Initiative, has come into force. Other European countries have also issued similar regulations on corporate due diligence in recent years. Among other things, these new regulations require companies to set up a grievance mechanism through which all stakeholders along the international supply chain can report violations of ESG standards. However, the practical implementation of a grievance mechanism for the international supply chain poses major challenges for Swiss companies that source abroad.

The project therefore aims to develop a research-based, innovative software, consulting and training solution tailored to intercultural requirements.

Discussions with established customers and experts have shown that Swiss companies sourcing abroad have few tried and tested processes in place that enable external stakeholders to report ESG-related grievances arising in the international supply chain directly to the company. In addition, companies have no expertise on how to implement an external grievance mechanism in an intercultural context.
The aim of this project is to develop a research-based, innovative software, consulting and training solution for grievance management in the international supply chains of Swiss companies. 

Specifically, the following deliverables are being developed:

(A) Best-Practice Model (BPM) and Benchmarking
Guidance on implementing a grievance mechanism in international supply chains, with a focus on emerging markets and developing countries, including science-based benchmarks, comparative measures and KPIs to monitor effectiveness.

(B) Software solution (prototype)
The requirements identified in the BPM are translated into an innovative, software-based solution that manages the entire grievance process, from communication, selection of grievance channels, risk analysis, remedial measures and ESG reporting/controlling.

(C) Consulting and training concept
Based on the findings, a research-based consulting and training concept will be developed.

The grievance mechanism is being developed and tested with the help of the project partners.