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Survey Highlights Readiness Challenges for European Companies Facing New Regulations

A recent survey by EQS Group and the University of Applied Sciences Ansbach reveals that European companies face significant challenges as they prepare for the Corporate Sustainability Due Diligence Directive (CSDDD). Major barriers identified include a lack of staff and limited supply chain transparency. With the CSDDD set for 2027, firms need to manage human rights and environmental risks across supply chains proactively. While 86% of surveyed companies are familiarizing themselves with the directive, only 30% plan to allocate additional resources to meet its requirements.

Despite confidence in managing direct operational risks, companies perceive higher risks further in their supply chains, especially regarding human rights and environmental violations. German companies also struggle with the Supply Chain Due Diligence Act, primarily due to staffing shortages. However, there's an increasing prioritization of ESG issues; 68% have integrated these considerations into their risk management processes. Experts emphasize the necessity of technological investments to overcome personnel deficits and enhance compliance efforts.

R. H.

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