Socially Responsible Sourcing in Automotive Supply Chains - The Case of Conflict Minerals at Volvo Cars

Abstract

Engaging in corporate social responsibility has become increasingly important for organisations. This has increased the focus on sourcing processes and how social and environmental aspects can be incorporated. Organisations are now taking action in an attempt to trace their use of so called conflict minerals, and to assure that their supply chain is free from them. The purpose of this thesis is to investigate how automotive manufacturers can source components potentially containing conflict minerals in a socially responsible way. This is done through a case study at an automotive manufacturer not yet affected by any regulation. The study highlights that incorporating requirements and policies into codes of conducts and/or request for quotations, traceability and collaborative measures such as sharing of information are crucial to ensure a supply chain free from conflict minerals, whereas supply chain complexity and the lack of monitoring activities constitutes barriers.