MBA 292C.120 January 2010

Professor Kellie A. McElhaney

Welcome!

CSR in the News

About the Course

About the Projects

Recovering banker

Professor at Haas since 2002

Professor at University of Michigan 1995-2002

Founding Director, Center for Responsible Business

Ranked #1 in world by Financial Times

Extensive corporate consulting: Gap, HP, Nokia, Ulster Bank, eBay, Ernst & Young,

Frontline, McDonalds, Blue Cross, Statoil, Nvidia, Kimberly-Clark, Yum! Brands, Twitter, Navigant, McGraw Hill, Chevron

Research focus areas: Strategies of CSR; Branding & CSR; Women, Leadership & Sustainability

Book written called Just Good Business

4

British (but hate the rain)

11 years’ experience in public sector marketing/communications

• Transitioning to CSR (currently working in Chevron’s community engagement group)

Name

Year

Read question on your card and cold call for answer

What gives you HOPE?

Haiti Earthquake Response

USA $100M Britain $10M AT&T $6M (all from 90999 texts) Digicel $5M & satellite phone systems Canada $5M GE $2.5M Abbott $2.5M & pharma/ nutri prods UPS $1.2M & logistics China $1M Wal-Mart $600K Burger King $50K Deutsche Bank all commissions for one day C&S Wholesale Grocers 115 tons of food & water

If Goldman Sachs gave 1% of ‘09 bonus pool?

$160 M

Pepsi Drops Super Bowl Ads in Favor of Cause Marketing

First time in 23 years that the Bowl will not have ads promoting Pepsi

Last year Pepsi spent $33M advertising its brands during the game

This year, Refresh Project, $20M 2-way dialogue with viewers asking them to go to web site and

suggest ways Pepsi can contribute to social causes

Post-Copenhagen (dubbed Hopenhagen) Analysis

Deadlocked, 36 hrs remaining, Secretary Clinton announced that the U.S. would contribute $100B/yr. by 202 to help LDCs reduce emissions and adapt to climate change; developed countries $100B to LDCs by 2020

China agrees to international verification of its emission reductions

US agrees to reduce emissions 17% (05 levels) by 2020; China to reduce carbon intensity (based on GDP) 40-45%

Shift of focus to economic alliances

Markets & market mechanisms central to all efforts; using commerce & trade to create wealth, improve living standards & reduce emissions

Aid v. Commerce: Large role for private capital/ sector to replace traditionally delivered aid funding

Green Heroes Grant Program Gives Green To Those Who Do Green

Clorox, makers of Green Works® natural cleaners, to award $60,000 in grant funding to individuals, organizations and schools that are making their communities a greener place.

To find these heroes, Clorox Greenworks, with help from Jane Goodall's Roots & Shoots, her global environmental and humanitarian youth program, is launching the 2010 Green Heroes Grant Program.

Challenges for Reputation of Business Schools

If MBAs are all so clever, how come so many are now in disgrace?

If Robespierre were to ascend from hell and seek out today’s guillotine fodder, he might start with a list of those with three incriminating initials beside their names: MBA

We MBAs are haunted by the thought that the tag really stands for Mediocre But Arrogant, Mighty Big Attitude, Me Before Anyone and Management By Accident

You can draw up a list of the greatest entrepreneurs of recent history, from Larry Page and Sergey Brin of Google and Bill Gates of Microsoft, to Michael Dell, Richard Branson, Lak-shmi Mittal – and there’s not an MBA between them

About business strategy Real-world, current, emergent Fast-paced, packed in, like drinking from a fire hose Taught using multiple methods A unique learning experience Experiential, hands-on, active Something that will stay with you A lot of work with high expectations Fun!

Typical b-school course with HBS cases Traditional, straight-lecture, cut and dry, neatly packaged For the close-minded or risk-averse Good for passive non-participators in learning For those who like to skip classes For those attached to their lap tops, PDAs and cell

phones Easy

Overview of Class CSR in the News Project Issues Lecture/ Discussion Surprise Guests Review Key Points

Components of Strategic CSR

Strategic Frameworks & Systems

CSR Reporting CSR Communications CSR Metrics Corporate

Philanthropy Employee

Volunteerism

CSR Tools Corporate Green CSR & Branding Strategies of Change

Management CSR, Leadership &

Innovation Using Social

Technology Limitations of CSR

Ability to take classroom learnings & apply them immediately

Involves “teaching” strategic CSR to companies

High profile, high visibility Complex and critical Connected to overall corporate strategy Informing real practice Multi-disciplinary Conduits to internships and jobs….

Supplier Responsibility Risk Assessment Intern This is an exciting opportunity to work in a fast paced environment and assist in the development of

Apple’s Supplier Responsibility (SR) program. The intern will help define the multi-factor risk assessment process that is used to screen Apple’s suppliers. We are looking for a creative, energetic problem solver with excellent analytical and programming skills and a strong work ethic.

Job Responsibilities:

Screen and select reliable country risk ratings for labor & human rights and ethics

Conduct research and perform data analysis to determine environmental, health and safety process risk

Conduct internal research on single-source and sole-source risk

Program Apple’s Supplier Risk Assessment Tool to incorporate these and other risk factors

Assist in other Supplier Responsibility projects as needed

Supplier Responsibility Training Intern  This is an exciting opportunity to work in a fast paced environment and assist in the scaling of Apple’s

Supplier Responsibility (SR) program. The intern will help define Apple’s approach to promoting worker and management awareness of CSR throughout its supply chain. We are looking for a creative, energetic problem solver with excellent analytical, strategic thinking, facilitation and project management skills and a strong work ethic.

Job Responsibilities:

Analyze supplier data, available training content, and effective training delivery vehicles

Design implementation strategy in partnership with SR capacity building manager to build on existing SR team training initiatives currently underway

Assist in other Supplier Responsibility projects as needed

Students retain:

5% of what they hear in lecture10% of what they read and hear20% of what they see, read, and hear50% of what they discuss, see, read, and hear75% of what they do, discuss, see, read, and hear90% of what they teach to others, do, discuss, see,

read, and hear

Initial Meeting Weekly Status Reports Letter of Engagement Project Work Plan “State of Project” Meeting with GSI Interim In-Class Project Presentation “State of Project” Meeting with Instructor Final (oral) Presentation Final (written) Deliverable

18 Rabbits AMD & The Carbon Trust Autodesk Bio-Rad eBay Dow Chemical Company* Driscoll’s Microsoft (2) Southwest Airlines (2) Universal Giving

Gap, Inc. Levi Strauss & Co.* HP* Kimberly-Clark & Waste

Management* Nelson Capital

Management Rockefeller & Co. SAP The Sustainability

Consortium

Bid sheets to Hannah’s MBA mailbox by Friday at 5 pm

Project Teams Announced

Strategic CSR Defined

Read McKinsey, NYT & Kramer articles

Special Guest