Think Human, Build Better Business

Do you have a strategy behind your marketing? Of course, you do. You wouldn’t dare launch a campaign without knowing your audience, setting measurable goals, and planning how you’ll meet them. The same goes for sales, right? Every sales team has a roadmap for closing deals, managing accounts, and driving revenue. And what about your supply chain? No doubt, you’ve taken steps to ensure efficiency, minimise costs, and mitigate risks.

So why on this beautiful blue planet would you leave human rights—one of the most critical aspects of your business—up to chance?

Do you want to risk your entire Autumn or Spring line seized and burned? It is now a real possibility across dozens of your markets if you don't have a human rights strategy.

Human rights, much like your marketing or supply chain, impact your bottom line. Whether it’s the well-being of your employees, the ethics of your suppliers, or your company's overall reputation, human rights cannot be an afterthought. It’s time to stop relying on ad hoc measures and start treating human rights with the same strategic foresight you apply to every other important area of your business.

The Risks of Ignoring Human Rights

Failing to adopt a comprehensive human rights strategy exposes your business to significant risks. Think about it you other areas of work — when there’s no clear plan in place, issues are handled on a case-by-case basis, often in a reactive and inconsistent way. What is the result? Disjoint. Failure. Chaos. With your humans, this kind of approach leaves you vulnerable to:

• Reputational Damage: A single scandal can tarnish your company’s reputation for years. Whether it’s labour violations in your supply chain or a workplace harassment issue, neglecting human rights puts your brand in jeopardy. In today’s world, where consumers demand transparency and ethical practices, a company's public image can be easily shattered if human rights abuses come to light.

• Legal Liability: Human rights violations, particularly in the workplace, can lead to irrecoverable trauma on your staff as well as costly and embarrassing lawsuits. Without a structured approach to prevent issues like discrimination, sexual harassment, bullying, or unsafe working conditions, businesses leave themselves open to litigation. And legal battles aren’t just expensive—they also drag your name through the mud. Importantly, and increasingly, your company Directors are going to be sued for their vicarious liability for human rights abuses in the extended supply chain.

• Financial Penalties: Governments worldwide are increasing scrutiny on companies’ human rights practices. From fines for non-compliance with labour laws to penalties for unethical sourcing, the financial repercussions of neglecting human rights can be severe. In the new "hard law" phase we have entered, exemplified by the EU's Forced Labour Regulation and the US' Uyghur Forced Labour Prevention Act, businesses can even face enormously damaging stock seizures or restrictions on imports and exports due to unethical practices in their supply chains.

• Supply Chain Risks: Your supply chain is only as strong as its weakest link. If one of your suppliers is caught in a human rights scandal—whether it’s child labour, forced labour, or unsafe working conditions—you could find your entire operation compromised. If your goal is supply chain resilience, acting without a human rights strategy to cover human risks is like going to a gunfight with a pencil. You risk delays, increased costs, or worse, being complicit in human rights abuses.

• Low Staff Morale and Turnover: Internally, neglecting human rights can foster a toxic work environment, leading to low morale, high turnover, and disengagement. Employees who don’t feel safe, respected, or heard won’t stick around. And in the age of Glassdoor and social media, your internal culture can quickly become public knowledge, making it even harder to attract top talent.

• Loss of Consumer Trust: Today’s consumers are more informed and socially conscious than ever before. They want to buy from brands that align with their values. If your company is linked to human rights abuses, whether through poor labour practices or unethical sourcing, you risk losing the trust and loyalty of your customers. And once trust is broken, it’s incredibly difficult to rebuild.

It is less a question of why you should do it, as why wouldn't you?

The Benefits of a Human Rights Strategy

While the risks of neglecting human rights are immense, the benefits of a proactive strategy are equally powerful. A well-crafted human rights strategy can offer your company long-term, sustainable success. Here’s how:

1. Brand Loyalty: When consumers know that a company takes human rights seriously, they’re more likely to become loyal customers. Brands that actively promote ethical practices and human rights protection can create stronger emotional connections with their audiences, which translates into long-term loyalty and advocacy. The evidence is now overwhelming about the new era of "values-led consumption".

2. Sustainability: A human rights strategy is an investment in the future. It ensures that your business operations are sustainable not only from an environmental perspective but also from a social one. Ethical treatment of workers, both within your company and throughout your supply chain, leads to a more resilient and reliable business model.

3. Employee Satisfaction and Retention: A company that prioritizes human rights creates a positive, inclusive, and safe work environment. When employees feel valued and protected, they’re more engaged, productive, and likely to stay with your company. A strong human rights strategy can reduce turnover, improve morale, and make you an employer of choice in a competitive job market.

4. Differentiation: In a crowded marketplace, standing out can be tough. But companies that take a stand on human rights set themselves apart from competitors. By making human rights central to your brand identity, you create a unique selling point that resonates with socially conscious consumers and investors alike.

5. Risk Mitigation: A comprehensive human rights strategy helps you identify potential risks before they become crises. Whether it’s vetting suppliers, ensuring compliance with labour laws, or creating a harassment-free workplace, taking a proactive approach minimises the likelihood of costly problems down the road.

6. "Ethical Integration", aka Supplier Loyalty: Collaboration on human rights fosters stronger, value-based relationships with your suppliers, leading to increased loyalty and trust throughout the supply chain. As you know, one of the most significant factors in real supply chain resilience is supplier loyalty. By aligning with business partners who share your ethical commitments, you create a supply chain that is not only efficient but also resilient, as it’s built on shared values. Workers within this extended network feel valued and supported, reducing turnover and boosting productivity at every level.

This human-centred approach to supply chain management - I call it Ethical Integration - does more than just mitigate risk; it creates a cohesive ecosystem where every link in the chain is stronger and more committed to your business goals. Over time, these closer ties result in more reliable operations, stronger partnerships, and a supply chain that actively contributes to your long-term success.

Real-World Examples

We’ve seen time and time again what happens when companies ignore human rights. Take what happened in 2020 to Malaysian company Top Glove's brand - worldwide opprobrium, entire stocks seized, import bans. fines - that faced a massive backlash when reports surfaced that some of its factories were using forced labour. The resulting media storm, as well as political and consumer outrage were swift and unforgiving, leading to plummeting sales, seizures, boycotts, and a significant drop in share price. The damage could have been avoided if the company had a clear human rights strategy in place, including regular audits of its supply chain.

In another case, we saw in 2022 more than 3 GW of solar panels held by US customs under the Uighur forced labour law. Industry insiders believe as much as 12 GW of solar modules could be prevented from entering the US market each year under this law.

Many large Western brands, including Primark, Benetton, Walmart, Mango, and The Children’s Place, were linked to factories in Rana Plaza. These companies faced widespread criticism for their failure to ensure safe working conditions in their supply chains. Consumers, activists, and NGOs accused them of prioritizing profits over worker safety.

The disaster became a symbol of the global fashion industry's negligence, resulting in a major reputational hit for these brands. There were calls to boycott brands implicated in the disaster, and this led to a broader consumer shift toward ethical fashion. Many companies felt pressured to address these concerns through public relations campaigns and by joining safety initiatives. Primark, for instance, compensated the victims' families and contributed to the Rana Plaza Trust Fund, which was established to aid survivors and the families of those who died. The costs of reparations and the implementation of safety initiatives added financial strain to several companies

Overall, solely Primark's financial costs related to Rana Plaza totalled at least $23 million, not to mention the internal costs of rejigging their operations and reconfiguring their no-longer-so-resilient supply chains. This figure reflects their compensation payments, contributions to the Rana Plaza Trust Fund, and immediate relief efforts.

In the world of Big Tech, several companies have faced significant backlash and consequences related to human rights violations. For instance, Facebook (now Meta) was at the centre of the Cambridge Analytica scandal, where data from 87 million users was exploited without consent, leading to widespread criticism and a $5 billion fine imposed by the U.S. Federal Trade Commission. This scandal not only resulted in financial penalties but also caused substantial reputational damage, as the company was seen as prioritising profits over users' privacy rights. Furthermore, Facebook was implicated in facilitating the spread of hate speech, which fuelled the ethnic cleansing of Rohingya Muslims in Myanmar, raising significant human rights concerns globally.

Amazon and Google have also come under fire for failing to address human rights issues, especially related to labour conditions in their supply chains and the deployment of AI technologies that lack sufficient oversight. Both companies have faced pressure from shareholders to improve transparency and take stronger measures to mitigate risks related to worker rights and data privacy. Amazon, for instance, has been criticised for the working conditions in its warehouses, and Google has faced backlash over privacy violations and allegations of anti-competitive behaviour.

These cases illustrate the growing pressure on Big Tech companies to integrate human rights safeguards into their operations, especially as they expand their reach into new technologies like AI and data collection. The consequences have ranged from hefty fines and consumer backlash to shareholder pressure, with calls for greater corporate accountability continuing to rise.

The Call to Action

If you care about your brand, your reputation, and your future, then caring about human rights isn’t optional - it’s essential no matter what your industry, sector, or business size. It’s time to stop thinking of human rights as an afterthought and start treating it as an integral part of your business strategy—just like marketing, sales, or supply chain management.

For a limited time, we're offering a free online consultation to help you take stock of your human rights assets and risks. We’ll work together to understand where you stand today, identify any gaps, and develop a roadmap to ensure that your business is not only compliant but leading the way in ethical practices.

Don’t wait until it’s too late. Take control of your future now—because the future of business is human.