LKSG - Glossary of frequently used terms
Most frequently used terms in the field of the German Supply Chain Due Diligence Act (Lieferkettensorgfaltspflichtengesetz,...
View moreThe German Supply Chain Due Diligence Act (Lieferkettensorgfaltspflichtengesetz, LKSG), which came into force on 01 January 2023, obliges companies based in Germany with more than 3,000 employees to check their supply chains for possible human rights violations and environmental damage and to take appropriate measures to prevent such violations. However, companies based outside Germany can also fall within the scope of the law if they operate in Germany or are involved in German supply chains.
EU legislation also requires supply chain management. There are draft laws at EU level comparable to the German Supply Chain Due Diligence Act. Furthermore, EU money laundering legislation already requires the verification of customers according to certain criteria for money laundering prevention (the so-called "know your customer principle").
Companies that do not comply will face fines and sanctions.
Compliance with the constantly changing national and international regulations is a major challenge for small and medium-sized enterprises in particular. MGCC and its partners are happy to support you with a wide range of services.
For example, use the digital solution Trustnet.Trade® of the digitalisation experts from Cargodian. The system helps SMEs to know who you are working with and prevents you from doing business with companies or individuals that pose a threat to their existence or are internationally sanctioned.
Trustnet.Trade® develops products for compliance requirements relating to:
Trustnet.Trade® clients can choose modularly from the services offered. The system also offers a web widget that can be installed on the clients' website and directly displays the status of a company.
In addition, MGCC offers audits, employee surveys, gap and risk analyses in cooperation with TÜV Süd and Blue Numbers on demand for Malaysia. We are also happy to train you in the Supply Chain Due Diligence Act according to your individual needs.
Most frequently used terms in the field of the German Supply Chain Due Diligence Act (Lieferkettensorgfaltspflichtengesetz,...
View moreDeputy Executive Director / Head of Corporate Services Department Corporate Services Department
+60-3-9235 1840 eva.langerbeck@malaysia.ahk.de