People have been mapping supply chains as long as they’ve been making maps. But traditional maps only provide a summary view - they don't show how supply chains change in real time. Modern supply chain mapping is the process of engaging across companies and suppliers to document the exact source of every material, every process and every shipment involved in bringing goods to market. Accurate supply chain mapping only became possible with the rise of online maps and the social web. The first online supply chain mapping platform was developed at the Massachusetts Institute of Technology in 2008 (the underlying open source technology is the basis for Sourcemap).

The concept of supply chain transparency was virtually unknown 15 years ago, yet today it commands the attention of mid- and senior-level managers across a broad spectrum of companies and industries.

The reasons for this increased interest are clear: Companies are under pressure from governments, consumers, NGOs, and other stakeholders to divulge more information about their supply chains, and the reputational cost of failing to meet these demands can be high. For example, food companies are facing more demand for supply-chain-related information about ingredients, food fraud, animal welfare, and child labor. Less clear, however, is how to define transparency in a supply chain context and the extent to which companies should pursue it: an MIT study that mapped definitions of supply chain transparency related to labor practices in the apparel industry found vastly different definitions across organizations.

Companies are under increased pressure from governments and regulators to ensure that their products are compliant with human rights and environmental standards. The only way for companies to ensure their supply chains are "clean" is by mapping their supply chains down the raw materials using auditable, verifiable data. Check out Sourcemap's fact sheet on due diligence for forced labor in supply chains to learn more.

Governments are cracking down on supply chain imports around the world. In the United States, Customs and Border Protection has issued Withhold Release Orders for goods originating from parts of the world with a high risk of forced or child labor. Similarly, across Europe supply chain laws including Germany's Supply Chain Due Diligence Act will require companies to disclose the source of their raw materials and ensure that they are not contributing to environmental risk or abuses of human rights.