5 reasons you cant ignore_web

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Page 1: 5 Reasons You Cant Ignore_web

8/11/2019 5 Reasons You Cant Ignore_web

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8/11/2019 5 Reasons You Cant Ignore_web

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 A brief look at the five reasons why you should NOT ignore the

conflict minerals legislation:

1. Continued conflict – The first reason to consider is that con-tinued sourcing from the Democratic Republic of Congo willonly result in continued conflict in the region. The mining and

sale of minerals from the region don’t go to the impoverishedwho do the work. Instead, the profits are distributed among therebel groups, militia, Congolese National Army and unscrupu-lous governments of the surrounding nations who help shipthe minerals out of the country. It is the duty of the developednations as well as businesses around the world to show theirsupport for the people of the DRC and stop this conflict.

2. Liability  – The mines are mostly based in remote areaswhere the locally oppressed people face starvation and acutepoverty. To top it all, they are also subject to horrific violence,which is the weapon the rebel groups use to force them intolabor. Human rights abuse and atrocities include rape, mass kill-ings, child labor, inhuman hours with bare minimum wages, ornone at all. Violence is a sword that continuously hangs overtheir heads. It’s sad that an area so rich and diverse in its re-sources should be so violated that its indigenous populationcannot benefit from it. But unless the conflicts and the atroci-ties stop, there is no hope for change. Think about it this way,would you willingly be an accessory to a crime in your everydaylife? Obviously not. So why should you not be liable for the hei-nous crimes committed in the DRC?

3. Corporate social responsibility – As a corporation, thereare times to think beyond profit. Unless there is a designated

social responsibility chapter in your organization, there will belittle room for improvement in the long run. When it comesto DRC and the conflict minerals legislation, non-compliance

LiveSource is the MFG.com cloud-based sourcing tool thatcombines the power of advanced supplier management with theglobal reach of the world’s largest manufacturing marketplace.LiveSource helps companies discover, collaborate and workwith qualified global suppliers, resulting in smarter spending,reduced product costs, shorter delivery times, and a more

flexible supply chain.

would mean that a corporation is simply shirking their sociresponsibility. The ripple effect of the violence in the regiowould eventually be felt even in the developed nations. Itthe indiscriminate looting of the rich natural resources, quetionable smuggling rings, continued atrocities on local poplace and the relentless violent atmosphere that simply mak

this a significant social issue.

4. Direct supply chain route – Minerals shipped out of thCongo are typically sent to Asia through various shady ancircuitous routes. Within the entire operation, there is not onstage that is 100% reliable. Once the minerals reach the location where it will be incorporated into telecommunicatioor electronic products the products are then shipped all ovthe world. While this process leaves room for a significaprofit margin, you have to stop and think at what cost? Fone, continuing this supply channel will lead to more coflicts in the DRC. Secondly, this may be the nudge needed begin evaluating and proposing a more direct supply charoute that can then lead to more domestic jobs.

5. Act now or repent – Harsh as it sounds, if companies cotinue to resist the conflict minerals legislation, repentancould be in their immediate future. The law has newly passewhich means there will be a period of time where they woout the kinks. Make suggestions rather than protesting anresisting. See the bigger picture. With increasing awareneof the conflict in the DRC, there will be more laws coming ineffect to contain this violence. Ignoring the problem will nmake it go away. If companies don’t act now to work on rereating their supply chain, they could soon face total ban

operations. Focusing on profits today could result in a complete shutdown tomorrow.

www.livesource.com | [email protected] | +1 877.866.5