How to Develop a framework for CSR and Sustainability

AUSCHAM How to Develop a framework for CSR and Sustainability

Develop long term capacity within the various actors (NGO, MNC, academic, gov’t, and citizen) to create stable/ sustainable solutions
Provide a platform where civil sector professionals can share best practices
Conduct research, study problems, assess program, & create partnerships
Work with social entrepreneurs and NGO leaders to develop capacity
On campus research, develop student leaders, clubs, mentorships, internships
Established in 2004, Hands On China’s mission is connecting people – both locals and foreigners in Shanghai who want to become involved as volunteers in community activities with local charities who need assistance.
Coordinates volunteer opportunities for active professionals, according to their availability and personal interests
Support project partners with direct donations, fundraising planning and execution, community project design/implementation
Design and manage a variety of community relations programs for private sector partners in Shanghai – CorpWorks!
Developed the project based class Sustainability and Responsible Leaderships for 193 MBA students
To institutionally support society by leveraging its students, faculty, alumni
Improve student awareness of the social and environmental challenges in China
36 teams will conduct research, develop external partner, & present business plan

CSR in Transition Moving Past traditional definitions and appearances of “ CSR” and “Sustainability”
Changing Business Model
Paying full price of operations
Rebalancing risk / reward equation
Improving labor conditions and standards
Addressing issues of governance and exploitation
Changing Product Portfolios
Focus on quality and safety vs. price and speed
Moving away from environmentally damaging processes
Working to improve industry standards
Developing Communities
Internally and Externally
Creating core values that align with values of employees
Moving away from value system that places citizens before consumers
Positive messaging.. That could be managed

3 Core questions to understanding this questions:
What are the problem faced?
What are the causes / effects of these problems?
What needs to be done to change the current path?
What is the problem we face?
Is the problem “carbon”? Or is it the by product of problems
Is their a problem internal to the firm related to governance, labour practice, other?
Is the problem different for everyone?
What are the causes / effects of these problems?
Is the problem systemic? Contained to a BU/ business practice?
Is the problem different for everyone?
What needs to be done to change the current path?
What is the Goal?

The Facts:
Over past 4 years, Apple has had 4 newsworthy labor actions
Its own Supplier Responsibility reported a 50+ non-compliance rate
In fact, nothing has happened. No market share in US or China lost
Questions:
Are the above problems a real risk to Apple brand, and if so, how?
Is Apple responsible for forcing supplier compliance?
What are the gains of “business as usual”?
What are the risks of “business as usual”?
Could Apple’s market in China, its potentially largest market, be at risk?
Example 1: Apple
Twice Apple has had to “respond” to allegations
Reaction to date:

Core Reason for Action:
Make Money
Save Money
Spend Money
Look Good
Feel Good
Source of action:
Top-down or bottom-up
Motives for action
Global Directive
Improvement in product of service
Non-critical process improvement
Critical regulatory Change
Scale of action
Global, regional, local
Corporate vs. Business Unit
Supply Chain/ Distribution Channels impact
Speed of action
Business as usual or Crisis
Duration of action
One-off
Long term program
Process
Focus of action
People
Process
System
Determinants of a CSR Program

Champions Won’t do it
For big changes, it can only be done through executive to executive relationships
For lasting changes, it can only be done through development of internal buy in and culture change
Collaboration over coercion
Requires collaboration as, unlike an internal buy in, externals can push back
“ partners” always have options, and self preservation ultimately will rule
Higher level of compromise and increased number of steps
Communication.. Communication… communication
Clear communication of goals, partnership, and steps is a must
Any miscommunication can lead to the tabling of idea
Requires each actor build internal buy in as well
Time
Planning, rollout, and measurements require more time
Speed is determined by slowest player
Successful Roll Out

Good Programs Brand Themselves
Programs don’t have to be sexy
Programs don’t have to be innovative
Programs don’t have to win awards
Need to align core values
Need to be long term
Need to be communicated effectively

“ In the end, environmental, social and economic sustainability cannot be separated. A sustainable planet must include a sustainable human civilization – resilient human systems that respect the complicated relationships among poverty, human rights, economic development, environmental health, and human success” - Institute for the Future, 2008
Richard Brubaker , Founder
[email_address]

How to Develop a framework for CSR and Sustainability

by Collective Responsibility on Jun 26, 2010

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How to Develop a framework for CSR and Sustainability — Presentation Transcript