Commentary Ch. IV Paragraph 50

Paragraph 5 recommends that enterprises carry out human rights due diligence. The process entails assessing actual and potential human rights impacts, integrating and acting upon the findings, tracking responses as well as communicating how impacts are addressed. Human rights due diligence can be included within broader enterprise risk management systems, provided that it goes beyond simply identifying and managing material risks to the enterprise itself to include the risks to rights-holders. It is an on-going exercise, recognising that human rights risks may change over time as the enterprise’s operations and operating context evolve. Complementary guidance on due diligence, including in relation to supply chains, and appropriate responses to risks arising in supply chains are provided under paragraphs A.11 to A.13 of the Chapter on General Policies and their Commentaries. In addition, further guidance has been developed for specific sectors and risk issues, as well as at a cross-sectoral level through the OECD Due Diligence Guidance on Responsible Business Conduct. Conducting human rights due diligence may involve considering distinct and intersecting risks, including those related to individual characteristics or to vulnerable or marginalised groups. Meaningful stakeholder engagement is important in this regard and considering ways to maximise sustainable development outcomes for such groups may also be relevant.