Diginex, in collaboration with Coca-Cola, has just launched its new ESG supply chain traceability tool-diginexLUMEN. Reckitt is also involved in the collaboration.
Diginex is a startup that uses blockchain technology.
The plan is for the blockchain tool to help fight forced labor and human rights violation internationally as part of the global supply chains.
Diginex worked with the US Ministry of Labour and discovered that over 160 million children are doing child labor which is against their rights and that 25 million adults and children around the world are involved in forced labor.
The blockchain solution from Diginex relies on a continuous data collection method that increases the transparency in supply chain management. The solution deals especially with multi-stakeholder engagement in order to reach the objectives and it relies on blockchain technology to put together the information it collects and create a report on the potential risk levels of ESG compliance in institutions.
The CEO of Diginex, Mark Blick, declared:
“ESG products and services have primarily focused on the ‘environmental’ and ‘governance’ aspects to date – the ‘social’ aspect has been harder to address. diginexLUMEN is here to change that by setting a new standard for supply chain due diligence. The granular insight that diginexLUMEN gives brands has the power to transform the lives of millions of people currently stripped of their employment rights and working in potentially harmful conditions.”
Indeed, it is known that supply chain management has been exploiting the labor force for decades, with a recent report on cobalt mining (a mineral used for creating electrical batteries) reconfirming the news. The report also revealed that underage labor is used in cobalt mines around the world, especially in Congo, which is the main cobalt exporter country in the world.