Prada’s “Zero Tolerance” Approach

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Prada’s “Zero Tolerance” Approach

This week, Prada disclosed that it had ended relationships with 222 suppliers over the past five years, following tougher audits, tighter controls across its production chain, and the adoption of a “zerotolerance” approach to irregularities: measures taken amid growing scrutiny of the Made in Italy supply chain. From an ESG standpoint,
the case shows that sustainability in Italy has moved beyond rhetoric and into practical risk management, with real commercial consequences. Supply chains have become a key risk area, suppliers that cannot demonstrate compliance and effective internal controls risk losing contracts, damaging their reputation, and facing regulatory scrutiny or sanctions

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