Sustainability, ESG & supply chain integrity

In recent years, Tedd’s work has increasingly involved sustainability, whether working on cocoa projects in West Africa or assessing ESG risks in commodity supply chains.

In recent months Kleos Advisory has become increasingly involved in sustainability issues. Tightening global standards – known by their acronym ESG (Environmental, Social & Governance) – mean that running a sustainable business is no longer purely ‘doing good for good’s sake’: it’s about compliance. You can no longer get away with box-ticking green issues or improving your image through CSR projects. ESG is becoming mainstream – for governments, businesses, investors and consumers.

Companies and institutions need to understand how sustainability issues impact their operations, who they do business with and, critically, how they track and assess the impacts they are having. This requires a different approach to operations and risk management, and many companies have yet to fully consider the implications for their business.

Kleos Advisory is well positioned to help clients tackle ESG challenges in a meaningful and useful way, drawing on the company’s wide range of expertise in global trade & supply chains, finance and fintech (notably the new generation of ‘naturetech’). Here are some recent examples of our work in this space:

  • Kleos Advisory has developed a new service offering with Africa IntegritySupply Chain Integrity Monitoring Services. SCIMS is designed to help companies operating in African markets identify threats in their supply chain, assess where they are vulnerable and help manage the risks going forward. The SCIMS service includes a snapshot of supply chain risk using our proprietary model, with the option of regular monitoring of supply chains, discreet on-the-ground investigations, strategic recommendations & anti-corruption training. Click here for an outline of the service.
  • Tedd has been working with WeESG to produce and deliver training modules on sustainability issues. These have included modules on ESG, the UN’s Strategic Development Goals (SDGs), Green Bonds, Green Finance & Renewables Finance.
  • In the second half of 2019, Tedd worked on a project for Fairtrade West Africa to improve data management systems in the cocoa value chain. A major priority was the ability to track ESG issues, notably forestry protection and child labour, both as a means of reducing abuses and of strengthening the credibility of the certification system. Below is an example of new technology being deployed in the field – a PDA for délégués (farmer representatives), pre-loaded with software, which they can use for collecting data on farms (including GPS coordinates), farmers and their families, cocoa deliveries, sales & payments.

+++++

Malick NDiaye, Director of SCINPA cocoa cooperative in Agboville, proudly displaying the PDA.