The different data types collected in previous steps acquire special value when combined and made available to supply chain actors that are expected to act on that basis. Having all of the information organized and accessible in a central place is key to help supply chain actors that struggle to navigate through the proliferation of information and data sources (a challenge frequently heard from consumer goods companies, retailers and investors in carrying out their due diligence) and can be used to support the implementation of sector-wide policies.
The development of a central information system should be done under the leadership of a government or supply chain organisation, and ideally hosted by an institution within the government.
A central point of information or platform should contain territorial information as well as supply chain information, showing how companies handling a specific commodity are linked to specific subnational localities of production. Data platforms may also include adjustable parameters, such as the setting of a risk threshold, to inform policy discussions, due diligence and verification efforts.
Step 5 milestones
- Creation and regular update of a data platform (or dashboard) combining territorial and supply chain information.
- Related decision: the host institution for the platform has data sharing protocols with official data holders and other data providers, when necessary.
Examples of institutional information platform covering commodity deforestation: Indonesia (Terpercaya), Brazil, Argentina and Paraguay (Agroideal), France (SNDI platform).
Platform objectives
Depending on the context, the central information platform may fulfil different objectives:
Support to policy development
Visualising the implications of methodological choices made in steps 2 to 5 could facilitate stakeholder discussions about these choices. The Terpercaya experience shows that while stakeholders could agree on the sustainability indicators, much more discussion and negotiation followed on the performance thresholds.
Support to decisions and policy implementation
A data platform that can summarize the data can simplify the complexity associated with international commodity supply chains and be used to inform decisions by private and public actors. This may include the notification of specific risk alerts to concerned supply chain actors. Public administrations may also find other uses that go beyond a specific supply chain, such as supporting the implementation of performance-based fiscal transfers to subnational jurisdictions and targeted development investments in places in most need of support.
Market communication and competitiveness
By exposing the performance of supply chain actors, the data platform can help bring increased visibility and market differentiation to responsible market actors.
Monitoring of progress
With the data platform, actors can track the evolution of overall risks and performance across jurisdictions and report on the achievement of collective targets.
Platform information access
Another type of decision relates to the accessibility of the information. There may be different levels of access for different users in cases of sensitive or commercially confidential data. Public disclosure is not always a necessity when a trusted group of key stakeholders has access to the critical information. There are therefore two alternative approaches for the central point of information:
A fully open information system
A fully open information system that discloses as much detailed supply chain information as possible to the general public. This is particularly relevant in contexts where numerous supply chain actors are expected or required to conduct due diligence in their commodity sourcing or investment decisions.
A partially open or closed information system
A partially open or closed information system in which the detailed information is not accessible publicly, but is regularly audited and verified independently by mandated auditors and independent observers. This is particularly relevant for government regulations that provide a ‘green lane’ for specific supply chains and origins (e.g. FLEGT-licensed timber) to reduce the burden of proof on supply chain actors that have no or simplified due diligence obligations in that case.
