Lydia Boonstra
Senior Consultant
I believe that fair and sustainable supply chains are the future.
Companies operate in a world where geopolitical tensions, climate change, and stricter regulations are placing ever-increasing pressure on supply chains. To help executives navigate these challenges, we developed a Resilience Analysis. The report identifies the material strategic risks for each sector.
The analysis identifies five categories of strategic risks: environmental damage, reputational damage, dependency relationships, labor and human rights violations, and supply security.
For each sector, the report identifies the most significant risks — both globally and specifically within the Dutch context. In total, the analysis covers ten sectors, ranging from food, agriculture, and horticulture to electronics, textiles, and retail.
“Managing risks in the supply chain is no longer just a compliance issue — it’s a strategic necessity, ”writes Pieter van ’t Hoff, managing director of 2BHonest. “Freedom and stability can no longer be taken for granted — the world is no longer a rules-based system, but an environment driven by geopolitical pressures.”
Table of contents
The food chain as a vulnerable ecosystem
The food industry illustrates how risks, when combined, result in what the report calls a “perfect storm.” The sector is under pressure from climate legislation and, at the same time, is grappling with high water consumption, biodiversity loss, and growing labor issues — ranging from poor working conditions for seasonal workers in the Netherlands to systemic abuses further down the supply chain.
Furthermore, the sector’s reliance on global supply chains makes it particularly vulnerable to disruptions caused by climate change and geopolitical instability.
Cobalt and child labor in the cobalt supply chain
The electronics sector is also classified as high-risk in the analysis. The mining of cobalt — which is essential for batteries in smartphones and electric cars — takes place in part in the Democratic Republic of the Congo, where child labor and hazardous working conditions are systemic.
Furthermore, the concentration of critical minerals among a limited number of suppliers makes the supply chain geopolitically vulnerable. With the introduction of the Critical Raw Materials Act, European companies must actively monitor and diversify their dependence on these sources.
Fast fashion and microplastics
The textile industry is under pressure due to social vulnerabilities in producing countries and increasing regulation regarding circularity and microplastics. Globally, approximately 92 million metric tons of textile waste are generated each year, only a small portion of which is recycled into high-quality products.
Synthetic clothing releases hundreds of thousands of microplastic fibers with every wash, which end up in rivers and oceans. Combined with systemic labor risks — ranging from child labor to sexual harassment in factories — this makes the sector a strategic risk area that requires rigorous governance.
Transparency as a Weapon
Lydia Boonstra, a senior sustainability consultant at 2BHonest, emphasizes that the analysis is intended as a strategic starting point.“Supply chain transparency isn’t just a paper exercise. The point is for executives to understand where their greatest material risks lie and to manage them in a targeted manner.”
Van ’t Hoff adds: “The world isn’t going to become safer on its own. Companies that invest now in gaining control over their supply chains will be in a stronger position in the future — not only with regard to regulators, but also with regard to customers and investors.”
Want to see the full Resilience Analysis? You can download it here.
Would you like to learn more or discuss the best approach for your organization? Feel free to contact our expert.
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