Lockpath helps companies comply with SEC Conflict Minerals Rule
GRC pioneer provides innovative, user-friendly Keylight platform to address recent supply chain disclosure requirements
Published on June 3, 2013
OVERLAND PARK, KANSAS — Lockpath, a provider of innovative governance, risk management and compliance (GRC) solutions today announced that its Keylight™ platform can help businesses comply with the Security and Exchange Commission’s (SEC) recent conflict minerals rule, which requires companies to publicly disclose their use of conflict minerals commonly referred to as 3TG (tantalum, tin, tungsten, and gold) by May 2014.
The rule, mandated by the Dodd-Frank Wall Street Reform and Consumer Protection Act in August 2012, requires all public businesses to submit an annual conflict minerals report to the SEC if these minerals are “necessary to the functionality or production” of a product they manufacture or contract to have manufactured. Adhering to the rule requires businesses to track their entire supply chain back to the country of origin by aggregating data from multiple systems, assessing suppliers, and aggregating this data for their SEC filing. It applies to companies across a number of industries ranging from technology to healthcare, and retail to manufacturing. For instance, electronic devices such as cell phones and laptops often include these minerals, and clothing retailers frequently use tin as a stabilizing agent to make denim.
Lockpath’s Keylight platform helps companies monitor, meet, and report on cumbersome compliance issues like the conflict minerals rule. With Keylight’s Conflict Minerals Solution, companies can track their supply chains back to the source of the minerals, analyze the risk level of each third-party vendor, and report to the SEC on their conflict mineral status.
“The vast majority of businesses do not know whether or not companies in their supply chain use conflict minerals and are not prepared to meet the new reporting requirements,” said Chris Caldwell, CEO of Lockpath. “Keylight is a scalable, flexible tool that lets businesses assess their entire supply chain back to the product source to comply with the SEC’s new rule. By leveraging the Keylight solution for conflict mineral compliance, companies can engage suppliers early by providing their staff with the tools necessary to create and manage these assessments securely and successfully, and meet this upcoming deadline.”
Keylight’s Conflict Minerals Solution is an adaptable platform that enables its users to:
- Issue and manage assessments
- Present suppliers with policy and expectations before sending a formal assessment with an attached due date
- Manage the complete supplier assessment process by giving staff the tools to create and manage assessments, and providing suppliers with a secure extranet for answering assessments
- Gain complete visibility to the assessment process, including real-time metrics around assessment progress
- Segment suppliers by region, business unit or other methods under the notion that organizations have unique needs
- Score supplier assessments to indicate the risk that conflict minerals are present in their products and create findings for companies to begin the remediation process
- Address high risk suppliers
- Automatically populate risks based on supplier surveys and allow your company to track remediation of high risk suppliers
- Analyze the risks that a company’s suppliers present and determine next steps for remediation
- Classify and schedule assessments for a company’s entire supply chain and automatically issue assessments and follow-up assessments to suppliers
- Audit and report
- Build, maintain and export various reports and dashboards for executive visibility and SEC reporting
- Maintain a complete history of due diligence activities
- Refresh data in real-time so that as you are working with your auditors you can tweak information presentation and reports to suit their needs
The solution can be integrated harmoniously with existing enterprise resource planning systems already established within a company, allowing for smooth supplier relationship management. Additionally, because the solution is built on three Keylight applications, companies can use the same tools to meet regulations outside of conflict minerals. Existing customers do not need to purchase a new solution, and new customers can make a smart investment towards future compliance needs.
Lockpath is a market leader in corporate governance, risk management, regulatory compliance (GRC) and information security (InfoSec) software. The company’s flexible, scalable and fully integrated suite of applications is used by organizations to automate business processes, reduce enterprise risk and demonstrate regulatory compliance to achieve audit-ready status. Lockpath serves a client base of global organizations ranging from small and midsize companies to Fortune 10 enterprises in more than 15 industries. The company is headquartered in Overland Park, Kansas.