CSR and the ASEAN Community Jerry Bernas Program Director ASEAN CSR Network.
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Transcript of CSR and the ASEAN Community Jerry Bernas Program Director ASEAN CSR Network.
CSR and the ASEAN Community
Jerry BernasProgram Director
ASEAN CSR Network
Founding Organizations
OUR MISSION
To promote and enable responsible business conduct among businesses in ASEAN, and their stakeholders, to achieve sustainable, equitable and inclusive social, environmental and economic development.
OUR VISION
A responsible business community helping make ASEAN a better place to live for ALL
A proposed model for joint action
ASEAN Socio-Cultural Community Blueprint
Section C: Social Justice and RightsC.3. Promoting Corporate Social Responsibility (CSR)– Strategic objective: Ensure that Corporate Social
Responsibility (CSR) is incorporated in the corporate agenda and to contribute towards sustainable socio-economic development in ASEAN Member States.
ASCC ACTION POINTS1. Develop a model public policy on Corporate Social Responsibility or
legal instrument for reference of ASEAN Member States by 2010.
2. Engage the private sector to support the activities of sectoral bodies and the ASEAN Foundation, in the field of corporate social responsibility;
3. Encourage adoption and implementation of international standards on social responsibility; (i.e. ISO26000)
4. Increase awareness of Corporate Social Responsibility in ASEAN towards sustainable relations between commercial activities and communities where they are located, in particular supporting community based development.
ASEAN and CSR in summary
• Recognizes CSR as a touch point between business and other sectors
• Promotes ASEAN conformity/adherence to international standards & principles
• Identifies need to bridge the development and knowledge gap within ASEAN
Agenda
• About ACN• Understanding CSR– Related concepts and terms– Myths and Misuses– International definitions and standards– Concept of ‘Materiality’– In practice
Related concepts and terms
• Corporate Philanthropy• Community Giving/
Development• Cause-Related
Marketing• Corporate Citizenship• Corporate Responsibility• Corporate Sustainability• Ethical Business
• Responsible Business• ‘Triple Bottomline’
Approach• Corporate Accountability• Sustainability Reportingw• Creating Shared Value• Social Entrepreneurship
Myths and Misconceptions
1. CSR = Philanthropy
2. CSR is only for large corporations
“What is CSR?”
“Corporate Social Responsibility is not about how money is spent, it is about how money is made”
What is common?
• It is about business action• It is voluntary in nature (beyond basic
compliance with law)• It is applicable to all business – whether big or
small• It is about a businesses relationship with its
key stakeholders
International Principles & Standards
Global Compact Principles
Human Rights1. Businesses should support and respect
the protection of internationally proclaimed human rights;
2. Principle 2 make sure that they are not complicit in human rights abuses.
Labour3. Businesses should uphold the freedom
of association and the effective recognition of the right to collective bargaining;
4. The elimination of all forms of forced and compulsory labour;
5. The effective abolition of child labour; 6. The elimination of discrimination in
respect of employment and occupation.
Environment7. Businesses should support a
precautionary approach to environmental challenges;
8. Undertake initiatives to promote greater environmental responsibility;
9. Encourage the development and diffusion of environmentally friendly technologies.
Anti-Corruption10. Businesses should work against
corruption in all its forms, including extortion and bribery
Societyand enviroment
Stakeholders
Expectations Impacts
ImpactsInterests
Organization
Figure 2: Relationship between an organization, its stakeholders and society
Figure 3: 7 core subject
Interdependence
Holistic approach
6.4.Labour
practices
6.4.Labour
practices
6.7.Consumer
issues
6.7.Consumer
issues
6.2 Organizational
ORGANIZATION
governance
6.2 Organizational
ORGANIZATION
governance
6.8.Communityinvolvement
and development
6.8.Communityinvolvement
and development
6.6.Fair operating
practices
6.6.Fair operating
practices
6.5.The Environment
6.5.The Environment
6.3.Human rights
6.3.Human rights
No ‘one-size-fits-all’ approach
• Varying expectations from stakeholders
• Varying focus and priority areas
• Varying regulatory and competitive frameworks
Materiality
Roots in financial reporting & risk management– Investors want to know the broader context in
which the company is operating – Companies have limited resources and so must
focus on what is ‘material’
2 key considerations:– Impact– Control
Materiality applied to CSR
• Impact– Dependent on nature of business– Contextualized with area of operations– Must consider not just the risk to the company, but
also risk to the stakeholders (especially vulnerable stakeholders)
• Control (+ influence) – Extends to entire supply chain– Considers company position within an industry/sector
CSR in practiceSteps Tools
1. Top-Level Commitment Global Compact
Internal Communications
2. Strategy/ Plan of Action ISO26000, OECD Guidelines,
Stakeholder Analysis, Materiality Assessment
3. Implementation Issue- or industry-based guidances
Strategic partnerships are key
4. Reporting & Communication GRI, Integrated Reporting
Documentation; Stakeholder Feedback
5. Back to Step 1