Climate & Environment
Supply Chain Governance
Definition
Supply chain governance is the ensemble of mechanisms by which lead firms, standards bodies, buyers and regulators coordinate and control activities across supply chain tiers: contracts and codes of conduct, audits and certification, purchasing practices, traceability systems, and public regulation including due diligence laws. Governance analysis asks who sets the rules, who bears the costs, and whether value and risk are distributed fairly between tiers.
References
This reference provides supporting context for how “Supply Chain Governance” is defined and used.
Source imported for editorial provenance.
Overview
How it is used
The concept structures responsible sourcing strategy, due diligence implementation, supplier development programmes and academic analysis of value chains.
Why it matters
Supply chains have no constitution by default; governance is whatever fills that void — for better or worse.