Company Ranking24 out of
Archer Daniels Midland Co. (ADM), one of the world’s largest agricultural commodity traders, ranks 24th out of 38 companies, disclosing less information on its forced labor policies and practices than its peers. Compared to 2016, the company improved by disclosing a process for responding to grievances as well as outcomes of its grievance mechanism. However, the company’s overall score decreased as the methodology has been strengthened, making it harder for a company to achieve the same score. The company’s score is based on disclosure of some information on all themes apart from purchasing practices. KnowTheChain identified one allegation of forced labor in the company’s supply chains. The company provides a public response to the allegation and discloses that it has stopped sourcing from two suppliers that were unwilling to improve, but it does not disclose concrete remedy outcomes for workers. The company has an opportunity to improve its performance and disclosure on the themes of purchasing practices, recruitment, and monitoring.
HOW DO THEY COMPARE?
The comparison tool allows companies' results to be easily compared. Up to two additional companies can be selected and compare against each other as shown below.
THEME & indicator score
The benchmark methodology has seven themes, selected to capture the key areas where companies need to take action to eradicate forced labour from their supply chains. The themes are comprised of a total of 12 key indicators. For each indicator, a company can score a total of 100 points.
Commitment and Governance
This theme evaluates a company's commitment to addressing forced labor, whether it discloses supply chain standards, and to what extent it has management processes and board oversight, training programs, and engagement with stakeholders on forced labor in place.
|Commitment||100 / 100|
|Supply Chain Standards||80 / 100|
|Management and Accountability||25 / 100|
|Training||25 / 100|
|Stakeholder Engagement||25 / 100|
Traceability and Risk Assessment
This theme measures the extent to which a company demonstrates an understanding of its suppliers and their workforce by disclosing relevant information (such as supplier names or sourcing countries) and assesses and discloses forced labor risks across its supply chains.
|Traceability and Supply Chain Transparency||37.5 / 100|
|Risk Assessment||25 / 100|
This theme assesses to what extent a company adopts responsible purchasing practices (such as providing price premiums and procurement incentives) and integrates supply chain standards into supplier selection and supplier contracts, and whether it cascades them down the supply chain.
|Purchasing Practices||0 / 100|
|Supplier Selection||0 / 100|
|Integration into Supplier Contracts||0 / 100|
|Cascading Standards Through the Supply Chain||0 / 100|
|Recruitment Approach||0 / 100|
|Recruitment Fees||25 / 100|
|Monitoring and Ethical Recruitment||0 / 100|
|Migrant Worker Rights||25 / 100|
This theme measures the extent to which a company engages with workers in its supply chains, enables freedom of association, and ensures access to effective and trusted grievance mechanisms.
|Communication of Policies||50 / 100|
|Worker Voice||0 / 100|
|Freedom of Association||0 / 100|
|Grievance Mechanism||50 / 100|
This theme evaluates a company's process for auditing suppliers (including whether audits include non-scheduled visits, review relevant documents such as wage slips or contracts, interview workers, and audit lower-tier suppliers) and providing disclosure on the outcomes of supplier audits.
|Auditing Process||10 / 100|
|Auditing Disclosure||/ 100|
This theme measures the extent to which a company has corrective action plan processes for non-compliant suppliers and ensures remedy is provided to workers in its supply chains who are victims of forced labor. Publicly available allegations of forced labor in a company's supply chains that occurred in the past three years, and how a company has responded to and addressed those allegations, are also assessed as part of this theme.
|Corrective Action Plans||25 / 100|
|Remedy Programs and Response to Allegations||37.5 / 100|