Consider, for a moment, the supply chain that must be employed to produce and sell cups of coffee to morning commuters at a drive through service window. How many factors must the coffee bar’s analyst include in the process flow analysis?
The term “value chain” has expanded in recent years as part of the expanding attention and scope of sustainability and ESG. It now includes activities and uses that are not directly under a company’s ownership or control. Accordingly, the scope of a company’s responsibility is increasing. This is, of course, challenging for management, and controversial.
Allen CampbellNovember 22, 2023
Moody’s 2022 TCFD Report discloses environmental performance metrics in accordance with the policies and standards of the Task Force for Climate-Related Financial Disclosures. In its 47 page PDF document, Moody’s employs the phrase “Science Based” 26 times to describe its targets or standards.
Michael KratenNovember 15, 2023
Once again leveraging its position as the world’s third largest economy, the EU continues to lead the world in protecting the global environment. The EU Deforestation Regulation (EUDR), which became effective on June 29, 2023, will impact agricultural, forestry and business practices around the world.
Allen CampbellNovember 8, 2023
The 1975 summer movie Jaws portrayed a suburban New York beach community that recoiled from the assault of a voracious great white shark. Although the film was a work of fiction, a shark (in reality) seriously injured a swimmer last week near a New York City beach. It was the latest shark attack to strike the Big Apple during the…
Michael KratenNovember 1, 2023
The Fighting Against Forced Labor and Child Labor in Supply Chains Act was enacted on May 3, 2023, and becomes effective in January 2024. It requires in-scope companies and all government organizations in Canada to provide annual reports on how they manage forced labor/child labor risks – in their own operations and their product supply chains.
Allen CampbellOctober 25, 2023
The Opening Ceremony’s Parade of Nations may prove to be the most unique event of the 2024 Paris Olympics. Instead of situating the event in a stadium, the Olympic Committee will place the athletes on boats and send them down the River Seine.
Michael KratenOctober 18, 2023
Although all Americans celebrate Independence Day on July 4, those who own Apple stock may be rejoicing more than others this year. On the final trading day before the holiday weekend, Apple became the first publicly traded company to achieve a $3 trillion market value.
Michael KratenOctober 11, 2023
Over 1500 cases have been filed in courts around the world seeking relief from climate change. These cases have been based on various legal theories. A recent, highly unusual theory is that such rights are grounded in a state’s constitution. This constitutional theory has successfully argued in four noteworthy cases, one in Montana, the second in the Netherlands, the third…
Allen CampbellOctober 4, 2023
Do you remember George Orwell’s classic novel Animal Farm? In that fable of a farm that is managed by its own livestock, the pigs become the leaders of the rural community. Although that didn’t quite occur last week, a pig protection law did manage to survive a Supreme Court decision that may impact the future of sustainability regulation.
Michael KratenSeptember 27, 2023
California is enacting two mandatory climate disclosure laws – together called the California Climate Accountability Package. They have been passed in both chambers of the state legislature and now are awaiting the Governor’s signature.
Allen CampbellSeptember 20, 2023
In the 2004 film The Day After Tomorrow, a trio of meteorological “super storms” triggers a global descent into a second Ice Age. How much time do the storms need to destroy the planet? A few days to a week is all they require to wreak havoc on the world.
Michael KratenSeptember 13, 2023
There is substantial business support for Value Chain Sustainability (VCS) laws, such as the European Union’s draft Corporate Sustainability Due Diligence Directive (CSDDD). In recent weeks big companies have come together to call upon their governments to adopt and/or strengthen such legislation.
Allen CampbellSeptember 6, 2023
Two weeks ago, Arizona Governor Katie Hobbs declared a freeze on the development of certain new homes in the Phoenix suburbs. Apparently, climate change’s imposition of drought conditions on the American West is constricting the public water supply and imperiling economic growth.
Michael KratenAugust 30, 2023
This is another blog post in our series on Value Chain Sustainability. In a Nutshell: The new Corporate Sustainability Reporting Directive (CSRD) of the European Union will mandate in-scope companies to disclose “opportunities related to sustainability matters”. This is questionable public policy for many reasons and should be reconsidered.
Allen CampbellAugust 23, 2023
by Michael Kraten, PhD, CPA What is the most common complaint heard about the current state of sustainability reporting standards? It may be the bloated number of free-standing, independent, overlapping, and often conflicting standards. Regrettably, no single entity has yet emerged as the clear consensus choice for defining corporate disclosures. There were hopes, though, that this situation would have improved two weeks…
Michael KratenAugust 15, 2023
Game Changer: The European Union Corporate Sustainability Reporting Directive (CSRD) This is another blog post in our series on Value Chain Sustainability. In a Nutshell: The Corporate Sustainability Reporting Directive (CSRD) will require nearly 50,000 EU companies -- and about 11,000 non-EU companies -- to report on ESG matters. Beginning in 2024, companies will have to report, if material, on…
Allen CampbellMarch 30, 2023
French banking giant sued for financing fossil fuel companies This is another post in our series of blog posts on Value Chain Sustainability laws. Several non-governmental organizations (NGOs) filed a summons against BNP Paribas on February 23, 2023. At issue is whether the bank’s climate risk plan is inadequate, in violation of the French Duty of Vigilance law. The plaintiffs…
Allen CampbellMarch 10, 2023
This is another blog in our series of blog posts on Value Chain Sustainability laws. Germany’s landmark Act on Corporate Due Diligence Obligations in Supply Chains (“Gesetz über die unternehmerischen Sorgfaltspflichten zur Vermeidung von Menschenrechtsverletzungen in Lieferketten”) goes into effect January 1, 2023. It will apply to all companies whose head office, main branch or statutory seat is in Germany, if…
Allen CampbellDecember 28, 2022
We have been closely following the legislative progress of the EU draft Directive on Corporate Sustainability Due Diligence (“CSDD”). Please see our previous posts on the subject of Value Chain Sustainability. The legislation took a big step forward on November 30, 2022, when the Council of the European Union (the “Council”) adopted a “negotiating position” on the European Commission’s CSDD…
Allen CampbellDecember 21, 2022
We have been following value chain legislation that is moving forward in the legislative process in the European Union. It was originally called Mandatory Due Diligence (“MDD”) and has been renamed Corporate Sustainability Due Diligence (“CSDD”). We reported on MDD in two previous blogs posts.
Allen CampbellAugust 2, 2022
By Allen Campbell, Founder and CEO McAlan Published on the website of World Trade Center, Palm Beach Have you heard about Expected European Union Mandatory Due Diligence (EUMDD)? Based on high-minded ethical principles, impending EUMDD legislation will be revolutionary. It will introduce new compliance burdens, and also provide new opportunities for business success. Read the Full Article Here
Allen CampbellJanuary 13, 2022
Getting Ready for EUMDD By Allen Campbell, JD Published in CPA Journal, January, 2022 U.S. business owners and their accounting professionals may be surprised to learn about a proposed European legal regime that will have a major impact on global business. Their surprise might turn to shock when they learn that businesses they own or serve will become subject to legal…
Allen CampbellJanuary 7, 2022
This is our first blog post focused on the COVID-19 pandemic, and it deals with the three dimensions to surviving and thriving any crisis: the well-being of your organization, the well-being of yourself, and the well-being of your people. Thus our Survive and Thrive workbook is uniquely divided into two parts: Business Resilience and Personal Resilience. Business Resilience is the…
Allen CampbellSeptember 17, 2021