Find and Fight Forced Labor

The following strategies can help shippers reduce their risk of unknowingly using forced labor in their supply chain, says Danny Shields, vice president of industry relations at risk management company Avetta:

Warning signs: Determine if forced labor is part of your supply chain—at any level. Social media can help monitor what people say about your company and suppliers. Use social listening technology to identify issues early and intervene where needed. Analyze regulatory filings and databases to see which companies in your supply chain are most at risk.

Assess risks: An effective risk assessment program involves identifying critical areas and planning accordingly. The most important step is creating a strong strategy concerning contextual factors—certain geographies, industries, and forms of forced labor. This knowledge maps activities and provides assessments about partners, contractors, and suppliers who should be scrutinized further.

Audit overseas suppliers: A business can be held accountable for the actions of their contractors abroad. Audit overseas suppliers and contractors on their ethical and human rights practices, including health and safety, rates of injury, and contraction of diseases.

Prequalify contractors: Create a prequalification process for suppliers and contractors. Establish benchmarks with regional regulations and internal policies to prevent forced labor practices. The right technology can provide procurement, sustainability, and health and safety risk-based data on their suppliers.

Use technology: Nearly 58% of organizations do not use any form of technology to track second- and third-level suppliers and their relationships. Companies can use predictive analytics to evaluate supply chain activities and pinpoint areas of forced labor.

Dollar Value of the Top 5 Products at Risk of Forced Labor

  • $200.1 B Laptops, computers & mobile phones
  • $127.7 B Clothing
  • $12.9 B Fish
  • $3.6 B Cocoa
  • $2.1 B Sugar


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