{"id":100122,"date":"2024-04-23T09:40:04","date_gmt":"2024-04-23T07:40:04","guid":{"rendered":"https:\/\/www.KGM Strategy.com\/?p=100122"},"modified":"2024-09-16T10:37:46","modified_gmt":"2024-09-16T08:37:46","slug":"the-impact-of-the-due-diligence-legislation-on-procurement-in-the-healthcare-industry","status":"publish","type":"post","link":"https:\/\/www.KGM Strategy.com\/en\/insights\/impact-of-the-due-diligence-legislation-on-procurement-in-the-healthcare-industry\/","title":{"rendered":"The impact of the due diligence legislation on procurement in the healthcare industry"},"content":{"rendered":"

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In anticipation of the new EU Supply Chain Law (CSDDD), the healthcare sector is demonstrating resolve: A vast majority of companies have already taken steps to comply with the recently enacted Corporate Sustainability Due Diligence Directive, according to our CSDDD survey conducted end of 2023. Many survey participants from the healthcare sector are yet skeptical about the practical implementation of the measures The survey queried over 650 decision-makers from Germany and France, with 74 operating in healthcare* companies.<\/strong><\/span><\/p>\n

Download results presentation<\/a><\/p>\n

Healthcare companies, grappling with a myriad of concerns, including shortages of manpower and supply bottlenecks, are faced with tough decisions in aligning their priorities. Despite a clear push towards financial performance, the industry is coming to terms with the necessity of addressing ESG (Environmental, Social, and Governance).\u00a0Eighty-four percent of the companies active in the healthcare sector view the EU directive on due diligence as an opportunity to align human rights and environmental protection with economics.<\/p>\n

The majority believes that compliance with the directive is achievable and have already developed measures.\u00a0Many survey participants from the healthcare sector are yet skeptical about the practical implementation of these, citing lack of capacity and unclear directive guidelines as major challenges. Consequently, healthcare companies find it difficult to identify levers to develop an effective strategy.<\/p>\n

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\n Key results for the healthcare industry\n <\/h3>\n\n
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  • 74 percent of healthcare companies believe that compliance with the directive is achievable<\/li>\n
  • The majority is yet skeptical about the practical implementation of the measures<\/li>\n
  • 82% of the survey participants anticipate that the CSDDD will incur costs, but most expect these additional expenses to be low or moderate<\/li>\n
  • Beyond the financial aspect, many respondents also see positive momentum from the enactment of the law<\/li>\n<\/ul>\n\n <\/div>\n\n \n <\/div>\n <\/div>\n<\/div>\n\n\n

    The detailed results and recommendations for action are freely available for download. You can choose among an industry-wide analysis and a presentation tailored to the healthcare industry (*Including pharma and medtech companies as well as providers):<\/p>\n

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