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Effectively Mitigating Adverse Human Rights and Environmental Impacts in Textile Supply Chains: Enhancing Brand-Supplier Collaboration in Preparation for the Corporate Sustainability Due Diligence Directive

Schlosser, Theresa Maria Karolina LU (2025) In IIIEE Master Thesis IMEM01 20251
The International Institute for Industrial Environmental Economics
Abstract (Swedish)
Adverse human rights and environmental impacts frequently occur in textile supply chains, posing severe risks of reputation to brands. For years, voluntary due diligence standards have aimed to make brands understand that they must take responsibility for these adverse impacts and that mitigating these risks is in their own interest. However, this approach has proven largely ineffective. Consequently, mandatory legislation such as the Corporate Sustainability Due Diligence Directive was introduced to enforce due diligence practices across companies based and operating in the European Union. To comply with the directive, brands must effectively communicate human rights and environmental requirements to their suppliers and secure their... (More)
Adverse human rights and environmental impacts frequently occur in textile supply chains, posing severe risks of reputation to brands. For years, voluntary due diligence standards have aimed to make brands understand that they must take responsibility for these adverse impacts and that mitigating these risks is in their own interest. However, this approach has proven largely ineffective. Consequently, mandatory legislation such as the Corporate Sustainability Due Diligence Directive was introduced to enforce due diligence practices across companies based and operating in the European Union. To comply with the directive, brands must effectively communicate human rights and environmental requirements to their suppliers and secure their commitment to implementation. Despite its importance, limited research has explored how brands communicate these requirements, particularly from the supplier perspective. Addressing this gap, this thesis examines how brands and suppliers can prepare for human rights and environmental due diligence (HREDD) implementation. A qualitative approach was adopted, involving 14 interviews as well as five webinars. The findings were analysed using a framework based on agency and communication channel theory. They reveal that the communication and collaboration in brand-supplier relationships need further adaptation to facilitate the implementation of HREDD processes. To build trust, enhance comprehension, and gain insight into the specific risks suppliers face, which are often individual and shaped by external factors, more extensive, bidirectional, and regular face-to-face communication is essential. Furthermore, while bargaining power has proven effective in implementing HREDD-related requirements, brands should also focus on convincing suppliers of the benefits of these measures. Additionally, brands should adopt a value-sharing approach. As suppliers are motivated by economic interests, brands could achieve benefits by offering financial support or incentives, especially as many suppliers otherwise do not have the financial capacity to implement the required measures. (Less)
Please use this url to cite or link to this publication:
author
Schlosser, Theresa Maria Karolina LU
supervisor
organization
course
IMEM01 20251
year
type
H2 - Master's Degree (Two Years)
subject
keywords
Human Rights and Environmental Due Diligence, Corporate Sustainability, Buyer-Supplier Collaboration, Communication
publication/series
IIIEE Master Thesis
report number
2025:18
ISSN
1401-9191
language
English
id
9209579
date added to LUP
2025-08-12 14:22:27
date last changed
2025-08-12 14:22:27
@misc{9209579,
  abstract     = {{Adverse human rights and environmental impacts frequently occur in textile supply chains, posing severe risks of reputation to brands. For years, voluntary due diligence standards have aimed to make brands understand that they must take responsibility for these adverse impacts and that mitigating these risks is in their own interest. However, this approach has proven largely ineffective. Consequently, mandatory legislation such as the Corporate Sustainability Due Diligence Directive was introduced to enforce due diligence practices across companies based and operating in the European Union. To comply with the directive, brands must effectively communicate human rights and environmental requirements to their suppliers and secure their commitment to implementation. Despite its importance, limited research has explored how brands communicate these requirements, particularly from the supplier perspective. Addressing this gap, this thesis examines how brands and suppliers can prepare for human rights and environmental due diligence (HREDD) implementation. A qualitative approach was adopted, involving 14 interviews as well as five webinars. The findings were analysed using a framework based on agency and communication channel theory. They reveal that the communication and collaboration in brand-supplier relationships need further adaptation to facilitate the implementation of HREDD processes. To build trust, enhance comprehension, and gain insight into the specific risks suppliers face, which are often individual and shaped by external factors, more extensive, bidirectional, and regular face-to-face communication is essential. Furthermore, while bargaining power has proven effective in implementing HREDD-related requirements, brands should also focus on convincing suppliers of the benefits of these measures. Additionally, brands should adopt a value-sharing approach. As suppliers are motivated by economic interests, brands could achieve benefits by offering financial support or incentives, especially as many suppliers otherwise do not have the financial capacity to implement the required measures.}},
  author       = {{Schlosser, Theresa Maria Karolina}},
  issn         = {{1401-9191}},
  language     = {{eng}},
  note         = {{Student Paper}},
  series       = {{IIIEE Master Thesis}},
  title        = {{Effectively Mitigating Adverse Human Rights and Environmental Impacts in Textile Supply Chains: Enhancing Brand-Supplier Collaboration in Preparation for the Corporate Sustainability Due Diligence Directive}},
  year         = {{2025}},
}