Global Supply Chain Governance: The Search for ‘What Works’

Abstract

This article critically discusses the developing legislative framework for Corporate Social Responsibility (CSR) in global supply chains in the ‘home states’ of transnational corporations, that is, the countries where these companies are incorporated and have their headquarters. The article focuses on the interaction of private and public governance by examining how legislation can steer companies’ use of private CSR instruments such as Codes of Conduct. Following a critical review of empirical data relating to the Supplier Codes of Conduct of the top 30 listed German companies (DAX30), recent examples of ‘home state’ legislation of CSR are assessed. The article shows that most of these laws are not very stringent. The article argues that a hybrid regulatory approach towards CSR in global supply chains is necessary.