• Journal of Korean Society of Industrial and Systems Engineering
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• v.47 no.1
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• pp.51-59
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• 2024

Recently, ESG management has become a global trend, receiving increasing attention from stakeholders such as consumers, investors, and governments, as regulations related to ESG disclosure and supply chain due diligence have been strengthened since the United Nations Principles of Responsible Investment (UN PRI) was announced in 2006. ESG is an acronym for the environment (E), social (S), and governance (G) and is accepted as a key factor for the continuous survival and growth of a company. As a result, there are over 600 ESG management evaluation indicators operated domestically and internationally, and numerous global initiatives have emerged. Korea's Ministry of Trade, Industry and Energy also announced "K-ESG Guidelines (December 2011)" and "K-ESG Guidelines for Supply Chain Response (December 22)" to help SMEs introduce ESG management and respond to supply chain due diligence. However, small-scale manufacturing companies with poor financial, human resources, and technological capabilities face significant challenges in introducing ESG management. Accordingly, this study aims to examine the current status of ESG management adoption in small-scale manufacturing companies with less than 150 people in Korea and propose activation plan ESG management based on the diagnostic requirements of the "Supply Chain Response K-ESG Guidelines."

• Korea Trade Review
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• v.48 no.3
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• pp.1-22
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• 2023

Many major country have struggled to build a block of the secondary battery industry supply chain by considering their interests first. And their supply chain due diligence agreement mandates due diligence on human rights and environmental risks that may occur throughout the supply chain. So the integrated approach called supply chain ESG is needed. But there isn't to be a global standard for ESG yet. And the disclosure standards for each country are different, adding to companies' confusion. In this perspective, to present guidelines for establishing a supply chain ESG management strategy accompanied by Korean SMEs, this study presents environmental evaluation indicators of global secondary battery supply chain ESG customized for Korean SMEs and then performs weight analysis using AHP methodology. Through this, this study aims to suggest implications for accepting sustainability within the supply chain of Korean SMEs by presenting indicators to be considered first among environmental evaluation indicators in preparation for ESG due diligence of the global secondary battery supply chain.

• Journal of Korea Trade
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• v.24 no.1
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• pp.59-81
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• 2020

Purpose - This study analyzes the scope of due diligence and risks of banks and K-Sure in trade finance covered by EFF focusing on Moneual case, one of the latest and biggest trade finance fraud cases in Korea. Also, we suggest anti-fraud measures in trade finance on the part of banks and K-Sure in order to give them a desirable way of due diligence and reasonable risk management of export insurance. Design/methodology - Based on Moneual case of trade finance fraud, this study employs the methodology of an extended literature review and analysis of court decisions. Findings - Seoul High Court of Korea failed to decide whether K-Sure was wholly obliged to pay the insurance against the banks' EFF claims, but issued a compulsory mediation order, judging that both the banks and K-Sure were responsible by 50:50. The court may have judged that both the parties had lacked their due diligence in the trade finance. It is quite difficult for trade finance providers to manually investigate whether the transaction is suspected of trade finance fraud, so digitalization of trade finance which can facilitate the prevention and detection of trade fraud needs to be realized quickly. Since there has been no international rule available for open account trade finance up till now, clearly stipulated EFF terms on the exporter's genuine export obligation might have protected K-Sure from the disaster. Originality/value - This study investigates the due diligence of the banks and K-Sure in Moneual case which few researchers have considered, to the best of our knowledge. This study also suggests several practical methods (including block chain) to prevent complicating trade finance fraud amid increasing use of an open account, and further offers reasonable risk management of EFF employing international factoring rule which is also related to problematic open account trade finance.

• Journal of Korea Society of Industrial Information Systems
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• v.27 no.5
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• pp.145-156
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• 2022

In recent years, as there is growing concern with ESG (Environmental, Social, and Governance), the strategic direction of business management is changing from maximizing shareholders wealth to maximizing stakeholders value. ESG is reshaping a corporation's supply chain management strategies. The purpose of this study is to explore the ESG challenges in supply chain management. As a result of network text analysis and topic modeling analysis on 3226 news articles, 'Suppliers', 'Sustainability', 'Shared Growth' 'Carbon Neutral', 'Safety and Health', 'Responsible Business Alliance', 'Supply Chain Due Diligence Law' were identified as the main issue. Since ESG initiatives in the supply chain are not limited to the efforts of individual firms, future research should focus on figuring out what difficulties and challenges exist in the diffusion of ESG practices along multi-tiered supply chains, and how to overcome them.