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Regional Dissemination Meeting
Province of Bologna
September 25th, 2013
Italy and Emilia-Romagna CSR framework
Italy
socio-economic frame
National and international
occurences
Economic, environmental, social
and financial crisis
Globalization processes
Population’s growing old
Emigrants and immigrants flows
Italy socio-economic frame
Tourism
Machinery
Iron and Steel
Chemicals
Food
processing
Textiles
Motor
Vehicles
Clothing
Footwear
Ceramics
GDP 2012: industrial sector 26.7% agriculture 2% service industry 71.3%
Industrial sector is mostly concerned with:
Italy socio-economic frame
Smaller number of global corporations than other
economies of comparable size
Productive processes are commonly fragmented and
clustered in several industrial districts
The country was the world's 8th largest exporter in 2011
Italian economic fabric consists mainly of SMEs (99,7% of active
industrial enterprises has less than 250 employers)
SMEs employ more than 81% of actively working people,
particularly in the service industry (approximately 49%).
SMEs are quite often family-run
Among SMEs, 81,7% are micro enterprises
Italy CSR framework evolution
CSR ranges from philantropy
to Corporate citizenship
Italy CSR framework
Laws and regulamentations
Legislative Decree n.460 (12-4-1997) “Reorganisation of the tax regulations
for non- commercial and non-profit organizations of social utility”
Law n.342 (11-21/2000) “Fiscal measures”
Joint return Italy-UK (4-29-2003) on CSR
Memorandum of understanding between Unioncamere and Ministry of
Labour and Social Welfare (11-27-2003)
Memorandum of understanding between ANCL (national association labour
consultant) and Ministry of Labour and Social Welfare (11-27-2003)
Memorandum of understanding between Assolombarda and Ministry of
Labour and Social Welfare (6-9-2004)
Memorandum of understanding between Confapi and Ministry of Labour
and Social Welfare (6-9-2004)
Memorandum of understanding between FederAmbiente and Ministry of
Labour and Social Welfare (3-23-2005)
Regional legislation and rules (acknowledgement of EU requests and
input on CSR)
EU CSR policy
Green Paper (July 2001)’Promoting a European framework for
Corporate Social Responsibility’
CSR is defined as “a concept whereby companies integrate social
and environmental concerns in their business operations and
in their interaction with their stakeholders on a voluntary basis”
Communication from the Commission concerning Corporate Social
Responsibility, (July 2002)
‘Corporate Social Responsibility: ‘A business contribution to
Sustainable Development’
Communication from the Commission concerning Corporate Social
Responsibility, (March 2006)
‘Implementing the partnership for growth and jobs: making europe
a pole of excellence on corporate social responsibility’
In October 2011 the European Commission published a new policy
on CSR (A renewed EU strategy 2011-14 for CSR)
CSR is ‘The responsibility of enterprises for their impacts on
society’
International CSR standard
most implemented in Italy
SA 8000 Social Accountability International
Sustainability Report Guidelines (GRI)
AA1000 AccountAbility 1000
ISO 26000
ISO 14001
EMAS
Social Audit
Social label
OHSAS 18001
Italy CSR framework Public initiatives
CSR – SC (Corporate Social Responsibility-Social Commitment)
project (Ministry of Welfare 2002)
Based on voluntary CSR approach and the promotion of CSR
across national socio-economic system
Third European Conference on CSR (Ministry of Welfare - Venice, 14
November 2003), Italian multi-stakeholder Forum for Corporate Social
Responsibility
Initiative aimed at encouraging the dissemination of CSR between
businesses and Italian organizations
Italy CSR framework
Private-Public initiatives
Q-RES project – Quality of the ethic-social responsibility
Supported and promoted by Centre for Ethics, Law and Economics -
LIUC University of Castellanza (1999)
CSR award
Province of Modena and Chamber of commerce in partnership with
Università of Modena and Reggio Emilia, Banca Etica, FocusLab
ORSADATA CSR Observatory
Sodalitas (in collaboration with ISVI and Impronta Etica)
Sodalitas Social Award
“Dal dire al fare” CSR exhibition
Milano Metropoli Development agency, BIC la Fucina, Koinetica
Social Value Award
Mani Tese, Action Aid, Arci, AI Italia,
Fondazione Banca Etica, Ucodep, Movimento Consumatori
Italy CSR culture
Increasing number of consumers aware of sustainability issues.
In particular 44% of consumers in 2013, compared to 38% in 2012,
are willing to pay more for product/services made by companies
that reinforced CSR programmes
In UE such percentage is on average around 36%
Source: Nielsen Global survey on CSR carried out in may 2013 on a sample of 29.000 interviewed online in
58 countries
SMEs and CSR in Italy: what’s going on?
Companies socially involved: diminishing in number, raised
invested funds
Why companies invest in CSR: ethical purposes and
corporate image
Funded initiatives: rising attention to the employers
SMEs and CSR: for 67% of them CSR makes relationship with
employers stronger
Ethical code: over 50% of the companies have adopted it
Internal stakeholders: focus on workplace quality and safety
External stakeholders (local community): sponsorships and
charity
Environmental committment: alternative energy sources
Source: SMEs CSR workshop 2010 – Faculty of Economics – University ‘Carlo Bo’ - Urbino
5° national report SWG for Socialis Observatory “Corporate Social engagement in Italy“ - 2012
CSR effectiveness measurement: it’s still little common
Internal communication: 27% of companies invest on it but don’t get
employers involved
Most used medium for CSR activities: Internet
Dissemination of CSR principles among employers:
Intranet + Social report
SMEs weakeness factors:
Scarce economic resources
Instinctive management
lack of incentives
SMEs and CSR in Italy: what’s going on?
Source: SMEs CSR workshop 2010 – Faculty of Economics – University ‘Carlo Bo’ - Urbino
5° national report SWG for Socialis Observatory “Corporate Social engagement in Italy“ - 2012
Emilia-Romagna socio-economic features
According to the Regional Innovation
Scoreboard Emilia- Romagna’s got
an innovation performance score
medium-high
Social Capital is region-spread in
terms of civicness and social
engagement
Emilia-Romagna
Emilia-Romagna has one of the highest european GDP: 30.493
eur (ISTAT 2009) exceeding 27% of the EU average
In 2013 unemployment rate raised up to 9.4%, compared to 7.1%
of 2012
Less than 30 aged unemployment rate 17.4% (2013)
Enterprises operating in the region are approximately 400.000,
mostly SMEs (99,1% - less than 20 employers 97%)
Productive system is mainly arranged in local production systems
and (differently from national trend) networked industrial
districts, based on the region-spread presence of small companies
(mostly family-run) and cooperative system
Production pattern is characterized by a high quality
manufacturing attitude and strong industrial vocation: Parma
(Barilla and Parmalat), Reggio Emilia, Modena and Bologna (Ducati,
Ferrari, Italjet, Moto Morini, Maserati, Lamborghini)
Industrial sectors widely ranged (chemicals in Ravenna,
mechanic in central Emilia, textiles, electronics, ceramic districts in
Modena surroundings, logistics in Piacenza)
Well developed, also, sea tourism and tourism in art cities,
especially from abroad
E-R economic framework
Regional law n.21/2005 about Workplace conditions
Norms for promotion and development of mutual cooperation in E-R
(L.R. 6/2006)
New Productive Activities Programme 2013-2015 meant to support
CSR
CSR resolution issued by Regional Committee on july 7°°°° 2011
by which Region committes itself in leading a nation-wide
innovative CSR policy through public-private partnerships
Memorandum of Understanding between Region of E-R and Ministry
of Economic Develpment to promote economic growth
and SMEs sustainable competitiveness
E-R public initiatives to support CSR
E-R CSR public-private initiatives
CSR Award Province of Modena (by Province of Modena and
Chamber of Commerce)
CSR in the industrial districts - Surveys 2004, 2008 (by Focus
Lab and Province of Modena)
Impronta Etica dissemination initiatives
Ugo Project (by Cise – Chamber of commerce)
Sinopsis Lab researches
Knowledge and the approach to CSR by SMEs is generally weak,
mostly intuitive and unefficiently organized
Dissemination can be considered still insufficient
CSR is often meant as an additional cost and not as an opportunity
Insufficient development of an entrepreneurial culture of CSR
SMEs hardly understand the competitive surplus that might result from
activation of a sustainability strategy.
Frequently, SMEs in this area are included in an industry production
chain where competitive criteria is still represented by the
price
CSR activities are often ‘unaware’
Insufficient attention paid to external stakeholders
Top management and/or the owner/entrepreneur play a key role in
the implementation of CSR strategy
CSR culture regional framework
Desur survey output
Source: Region of Emilia-Romagna Triennal productive activities programme 2012-2014 Report on CSR
CSR culture regional framework
Desur survey output
Main CSR focus among those internationally recognized, are:
Work quality/Human resources
Local project sponsorship
Social accounting
Environmental innovation
Work safety
Conciliation daily time and job
However, to be mentioned also several innovative experiences in
new CSR fields, such as:
Supply chain involvement
Stakeholder engagement techniques
Work-life balance activities
Co-planning in collaboration with non-profit’s
Home-work sustainable mobility
Social entrepreneurship support
CSR culture regional framework
Desur survey output
Majority of SMEs still mean CSR as a philantropic activity
CSR is not about
HOW COMPANIES SPEND MONEY
CSR is about
HOW COMPANIES MAKE PROFIT
Thank you for your attention
Umberto Mezzacapo - CesCoCom
Studies Center on Consumption and Communication
Department of Sociology and Business Law
University of Bologna

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Regional CSR Framework Meeting

  • 1. Regional Dissemination Meeting Province of Bologna September 25th, 2013 Italy and Emilia-Romagna CSR framework
  • 2. Italy socio-economic frame National and international occurences Economic, environmental, social and financial crisis Globalization processes Population’s growing old Emigrants and immigrants flows
  • 3. Italy socio-economic frame Tourism Machinery Iron and Steel Chemicals Food processing Textiles Motor Vehicles Clothing Footwear Ceramics GDP 2012: industrial sector 26.7% agriculture 2% service industry 71.3% Industrial sector is mostly concerned with:
  • 4. Italy socio-economic frame Smaller number of global corporations than other economies of comparable size Productive processes are commonly fragmented and clustered in several industrial districts The country was the world's 8th largest exporter in 2011 Italian economic fabric consists mainly of SMEs (99,7% of active industrial enterprises has less than 250 employers) SMEs employ more than 81% of actively working people, particularly in the service industry (approximately 49%). SMEs are quite often family-run Among SMEs, 81,7% are micro enterprises
  • 5. Italy CSR framework evolution CSR ranges from philantropy to Corporate citizenship
  • 6. Italy CSR framework Laws and regulamentations Legislative Decree n.460 (12-4-1997) “Reorganisation of the tax regulations for non- commercial and non-profit organizations of social utility” Law n.342 (11-21/2000) “Fiscal measures” Joint return Italy-UK (4-29-2003) on CSR Memorandum of understanding between Unioncamere and Ministry of Labour and Social Welfare (11-27-2003) Memorandum of understanding between ANCL (national association labour consultant) and Ministry of Labour and Social Welfare (11-27-2003) Memorandum of understanding between Assolombarda and Ministry of Labour and Social Welfare (6-9-2004) Memorandum of understanding between Confapi and Ministry of Labour and Social Welfare (6-9-2004) Memorandum of understanding between FederAmbiente and Ministry of Labour and Social Welfare (3-23-2005) Regional legislation and rules (acknowledgement of EU requests and input on CSR)
  • 7. EU CSR policy Green Paper (July 2001)’Promoting a European framework for Corporate Social Responsibility’ CSR is defined as “a concept whereby companies integrate social and environmental concerns in their business operations and in their interaction with their stakeholders on a voluntary basis” Communication from the Commission concerning Corporate Social Responsibility, (July 2002) ‘Corporate Social Responsibility: ‘A business contribution to Sustainable Development’ Communication from the Commission concerning Corporate Social Responsibility, (March 2006) ‘Implementing the partnership for growth and jobs: making europe a pole of excellence on corporate social responsibility’ In October 2011 the European Commission published a new policy on CSR (A renewed EU strategy 2011-14 for CSR) CSR is ‘The responsibility of enterprises for their impacts on society’
  • 8. International CSR standard most implemented in Italy SA 8000 Social Accountability International Sustainability Report Guidelines (GRI) AA1000 AccountAbility 1000 ISO 26000 ISO 14001 EMAS Social Audit Social label OHSAS 18001
  • 9. Italy CSR framework Public initiatives CSR – SC (Corporate Social Responsibility-Social Commitment) project (Ministry of Welfare 2002) Based on voluntary CSR approach and the promotion of CSR across national socio-economic system Third European Conference on CSR (Ministry of Welfare - Venice, 14 November 2003), Italian multi-stakeholder Forum for Corporate Social Responsibility Initiative aimed at encouraging the dissemination of CSR between businesses and Italian organizations
  • 10. Italy CSR framework Private-Public initiatives Q-RES project – Quality of the ethic-social responsibility Supported and promoted by Centre for Ethics, Law and Economics - LIUC University of Castellanza (1999) CSR award Province of Modena and Chamber of commerce in partnership with Università of Modena and Reggio Emilia, Banca Etica, FocusLab ORSADATA CSR Observatory Sodalitas (in collaboration with ISVI and Impronta Etica) Sodalitas Social Award “Dal dire al fare” CSR exhibition Milano Metropoli Development agency, BIC la Fucina, Koinetica Social Value Award Mani Tese, Action Aid, Arci, AI Italia, Fondazione Banca Etica, Ucodep, Movimento Consumatori
  • 11. Italy CSR culture Increasing number of consumers aware of sustainability issues. In particular 44% of consumers in 2013, compared to 38% in 2012, are willing to pay more for product/services made by companies that reinforced CSR programmes In UE such percentage is on average around 36% Source: Nielsen Global survey on CSR carried out in may 2013 on a sample of 29.000 interviewed online in 58 countries
  • 12. SMEs and CSR in Italy: what’s going on? Companies socially involved: diminishing in number, raised invested funds Why companies invest in CSR: ethical purposes and corporate image Funded initiatives: rising attention to the employers SMEs and CSR: for 67% of them CSR makes relationship with employers stronger Ethical code: over 50% of the companies have adopted it Internal stakeholders: focus on workplace quality and safety External stakeholders (local community): sponsorships and charity Environmental committment: alternative energy sources Source: SMEs CSR workshop 2010 – Faculty of Economics – University ‘Carlo Bo’ - Urbino 5° national report SWG for Socialis Observatory “Corporate Social engagement in Italy“ - 2012
  • 13. CSR effectiveness measurement: it’s still little common Internal communication: 27% of companies invest on it but don’t get employers involved Most used medium for CSR activities: Internet Dissemination of CSR principles among employers: Intranet + Social report SMEs weakeness factors: Scarce economic resources Instinctive management lack of incentives SMEs and CSR in Italy: what’s going on? Source: SMEs CSR workshop 2010 – Faculty of Economics – University ‘Carlo Bo’ - Urbino 5° national report SWG for Socialis Observatory “Corporate Social engagement in Italy“ - 2012
  • 14. Emilia-Romagna socio-economic features According to the Regional Innovation Scoreboard Emilia- Romagna’s got an innovation performance score medium-high Social Capital is region-spread in terms of civicness and social engagement Emilia-Romagna Emilia-Romagna has one of the highest european GDP: 30.493 eur (ISTAT 2009) exceeding 27% of the EU average In 2013 unemployment rate raised up to 9.4%, compared to 7.1% of 2012 Less than 30 aged unemployment rate 17.4% (2013) Enterprises operating in the region are approximately 400.000, mostly SMEs (99,1% - less than 20 employers 97%)
  • 15. Productive system is mainly arranged in local production systems and (differently from national trend) networked industrial districts, based on the region-spread presence of small companies (mostly family-run) and cooperative system Production pattern is characterized by a high quality manufacturing attitude and strong industrial vocation: Parma (Barilla and Parmalat), Reggio Emilia, Modena and Bologna (Ducati, Ferrari, Italjet, Moto Morini, Maserati, Lamborghini) Industrial sectors widely ranged (chemicals in Ravenna, mechanic in central Emilia, textiles, electronics, ceramic districts in Modena surroundings, logistics in Piacenza) Well developed, also, sea tourism and tourism in art cities, especially from abroad E-R economic framework
  • 16. Regional law n.21/2005 about Workplace conditions Norms for promotion and development of mutual cooperation in E-R (L.R. 6/2006) New Productive Activities Programme 2013-2015 meant to support CSR CSR resolution issued by Regional Committee on july 7°°°° 2011 by which Region committes itself in leading a nation-wide innovative CSR policy through public-private partnerships Memorandum of Understanding between Region of E-R and Ministry of Economic Develpment to promote economic growth and SMEs sustainable competitiveness E-R public initiatives to support CSR
  • 17. E-R CSR public-private initiatives CSR Award Province of Modena (by Province of Modena and Chamber of Commerce) CSR in the industrial districts - Surveys 2004, 2008 (by Focus Lab and Province of Modena) Impronta Etica dissemination initiatives Ugo Project (by Cise – Chamber of commerce) Sinopsis Lab researches
  • 18. Knowledge and the approach to CSR by SMEs is generally weak, mostly intuitive and unefficiently organized Dissemination can be considered still insufficient CSR is often meant as an additional cost and not as an opportunity Insufficient development of an entrepreneurial culture of CSR SMEs hardly understand the competitive surplus that might result from activation of a sustainability strategy. Frequently, SMEs in this area are included in an industry production chain where competitive criteria is still represented by the price CSR activities are often ‘unaware’ Insufficient attention paid to external stakeholders Top management and/or the owner/entrepreneur play a key role in the implementation of CSR strategy CSR culture regional framework Desur survey output
  • 19. Source: Region of Emilia-Romagna Triennal productive activities programme 2012-2014 Report on CSR CSR culture regional framework Desur survey output Main CSR focus among those internationally recognized, are: Work quality/Human resources Local project sponsorship Social accounting Environmental innovation Work safety Conciliation daily time and job However, to be mentioned also several innovative experiences in new CSR fields, such as: Supply chain involvement Stakeholder engagement techniques Work-life balance activities Co-planning in collaboration with non-profit’s Home-work sustainable mobility Social entrepreneurship support
  • 20. CSR culture regional framework Desur survey output Majority of SMEs still mean CSR as a philantropic activity CSR is not about HOW COMPANIES SPEND MONEY CSR is about HOW COMPANIES MAKE PROFIT
  • 21. Thank you for your attention Umberto Mezzacapo - CesCoCom Studies Center on Consumption and Communication Department of Sociology and Business Law University of Bologna