Proactively Manage Supply Chain Risks with CONSUST LkSG CSDDD Consulting
Use our LkSG CSDDD consulting services to meet the due diligence requirements in your supply chain in a pragmatic way. With us by your side, you can proactively manage supply chain risks while ensuring compliance with the German Supply Chain Act and the European CSDDD requirements.
UNDERSTANDING LKSG & CSDDD
What’s Behind LkSG and CSDDD
LkSG
The Supply Chain Due Diligence Act (LkSG) requires large German companies to uphold human rights and environmental standards in their supply chains. It mandates a risk assessment, preventive and remedial measures, and regular reporting. The goal is to prevent human rights violations and environmental damage throughout the entire supply chain. Sanctions may be imposed for noncompliance.
CSDDD
While the German Supply Chain Due Diligence Act (LkSG) focuses primarily on human rights and environmental risks along the supply chain, the European Corporate Sustainability Due Diligence Directive (CSDDD) imposes additional requirements on companies, such as taking climate change into account and providing broader coverage of the supply chain.
Source: BMUV
LkSG & CSDDD PROCESS
Map the Entire Process with Our LkSG CSDDD Consulting Services
CONSUST LkSG CSDDD Consulting automates your LkSG and CSDDD processes and efficiently integrates software-supported risk assessment, real-time monitoring, and standardized questionnaires. Our FramesCube software captures your supplier data, supports preventive measures, and automates reporting. This optimizes compliance, reduces risks, and increases transparency, making your company efficient and legally compliant.
1. Abstract risk analysis and prioritization of your (direct) suppliers with regard to country- and industry-specific ESG risks.
2. A detailed risk analysis and assessment of your suppliers’ ability to identify and mitigate supply chain risks using standardized questionnaires (SAQs).
3. Conduct an adequacy analysis and assess the extent of harm and ESG risk associated with your suppliers, as well as your company’s contribution to these issues and its ability to influence them.
4. Development of preventive measures to avoid potential risks and corrective actions to reduce acute risks.
5. Preparation of the required reports, including necessary analyses, lists, and key figures, e.g., for the report to the BAFA.
What do the latest developments regarding the LkSG and CSDDD mean for my company?
On July 5, 2024, the federal government published a package of measures to boost growth (“Growth Initiative—New Economic Momentum for Germany”) as part of the 2025 draft budget. Part of the package involves simplifications to the Supply Chain Due Diligence Act (LkSG). These include:
Start early anyway
Even though current developments suggest that the LkSG and the CSDDD will not become legally binding until later—and will apply to significantly fewer companies—companies should manage their supply chain risks as proactively as possible. With CONSUST LkSG CSDDD Consulting, you can enhance your expertise through our empowering approach and manage supply chain risks with the support of our proprietary FramesCube software. This way, you’ll be optimally prepared for both the LkSG and the CSDDD.
Master Supply Chain Risks with LkSG CSDDD: Consulting and Software from a Single Source
Our multi-framework-compatible ESG software, CONSUST FramesCube, enables you to save up to 75% in time and costs compared to manual data entry. It automates data collection, processing, and reporting, minimizes manual tasks, and reduces human error.
How to Efficiently Fulfill Your Due Diligence Obligations with CONSUST LkSG CSDDD Consulting
We combine profitability with sustainability.
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