For the record, due diligence is defined as the process by which companies can identify, prevent, mitigate, and report on how they manage actual and potential negative impacts (OECD Guidelines for Multinational Enterprises, Chapter II – General Policies, para. 10).
Due diligence can be included in broader enterprise risk management systems, provided that it goes beyond identifying and managing material risks to the enterprise itself, and includes the risk of harm related to the issues covered by the guidance (OECD Guidance on Due Diligence for Responsible Business Conduct – Draft 2.1, p. 8).
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