In order to monitor and reduce sustainability risks within the supply chain, GF Piping Systems has signed a contract with Prewave. The company offers an Artificial Intelligence (AI)-powered risk assessment to help customers comply with the Corporate Social Responsibility Due Diligence Directive (CSDDD). The directive was launched by the European Union (EU) in June 2023.
The innovative application provider uses AI to find, check and evaluate suppliers and alerts customers based on 50 categories as soon as sustainability risks are identified.
The new directive requires EU companies to carefully monitor their social and environmental impact across the entire value chain. This includes direct and indirect suppliers, the company's own operations, as well as products and services. In this way, compliance with applicable human rights standards and environmental protection is to be ensured in order to promote a fair and sustainable global economy and responsible corporate governance.
Automated sustainability strategy
The new partnership will also enable GF Piping Systems to proactively monitor sustainability risks and receive timely notifications from the monitoring service. This will improve the risk assessment as part of the due diligence of the new GF Human Rights Due Diligence (HRDD) process. At the same time, the company's actions will be aligned with international conventions, standards and emerging legislation, creating additional transparency.
Ugo Venni, Head of Global Procurement at GF Piping Systems, comments: “We are delighted to have found such an innovative partner that utilises the latest technologies to verify suppliers' compliance with environmental standards while working with our suppliers to achieve ambitious sustainability goals throughout the supply chain.” Prewave CEO Harald Nitschinger confirms: “I am convinced that by choosing Prewave for supply chain monitoring, GF Piping Systems will be able to further automate their supplier due diligence process and extract even more value from their supplier base.”
