_preventing risks in the company (§ 6 i, iii lksg)

The company must take preventive measures once risk areas have been defined (§ 6 I, III LkSG).

• To this end, the values (risks) and, thus, the target direction must first be defined in the policy statement.

• Furthermore, guidelines, such as implementing sustainability criteria, are recommended in purchasing. For this purpose, existing policies can be built upon. An example is for example ISO 20400. 

• An intelligent contract design can have significant effects. For example, the contract defines the purchase prices over some time, delivery dates, and cost-sharing arrangements. In certain risk areas, specific terms can exacerbate or mitigate a risk. Payment terms, in particular, could prevent a supplier from facing payment difficulties, resulting in poorer working conditions. Here, analysing the situation carefully and making necessary adjustments is worthwhile. However, suppliers can also be taken along on a contractual basis, for example, by agreeing on bonus payments to achieve sustainability targets or by deciding on a joint investment to prevent human rights violations.

• All employees' necessary education and training on the defined policy statement should not be underestimated. This can be done during the onboarding of new employees but should be supplemented by regular training and education. This generally increases the employees' sensitivity to and acceptance of the company's goals.

Step 6: Prevent risks with suppliers