Principle 3: Collaborative production planning

Principle 3 emphasises the need for collaborative production planning with suppliers to ensure purchasing practices are adjusted to avoid adverse impacts. This aligns closely with Articles 10 and 11 of the CSDDD, which require companies to proactively adapt their purchasing practices. The CSDDD stresses that businesses must not merely react to adverse impacts but must take steps to prevent them from occurring. Companies are expected to make necessary modifications to their business plans, strategies, and own operations—including purchasing practices, design, and distribution—in response to identified risks. 

Recital 46 emphasises that companies should adapt their strategies, including purchasing practices, to promote living wages and prevent human rights harm. This involves improving design and distribution practices to address potential impacts across supply chains. Recital 41 highlights the importance of considering risk factors, including company-level and geographic considerations, and conducting regular risk assessments, particularly during significant changes in operations, such as entering new markets or adopting new production methods. 

By integrating collaborative planning, companies can better understand the challenges faced by suppliers and adjust purchasing practices to prevent issues before they escalate. Recital 47 supports purchasing policies that contribute to fair wages and sustainable operations, while Recital 54 highlights shared responsibility, ensuring both companies and suppliers work together to mitigate negative impacts.