Leaves

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UNIDO CDP SDC CSR Project At Global
Compact Society, India Monthly Meeting 23rd May
2008
Namit Mutreja
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UNIDO CDP SDC CSR Project

• Objective
• Developmental
• To further enable a greater number of SMEs in
  developing countries
• and transition economies improve their overall
  competitiveness in a
• socially responsible way, and, therefore
  integrate more successfully
• and sustainably into national and international
  supply chains.
• Immediate
• To explore and start addressing the reasons
  behind seemingly low
• Level of participation of SMEs in the CSR
  movement.

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UNIDO CDP SDC CSR ProjectCornerstones of this
approach

• Appreciative enquiry helps build trust and build
  on small successes, otherwise difficult if
  followed confrontationist path
• It however does not mean to condone all the wrong
  doings in the cluster. Keep the bigger focus in
  picture but tackle it when it becomes feasible
• Multi-stakeholder participation Convergence,
  Building on each others strengths
• Aggregation can help tackle issues around common
  product, common cultural background, issues
  common to the local community

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UNIDO CDP SDC CSR Project

• Research on ESR Issues
• National/ International Research papers
• SME clusters and Responsible Competitiveness in
  Developing countries by Accountability (UK)
• Dynamics of Social Responsibility in Small
  Medium Enterprises SME clusters, by UNIDO,
  Delhi (India).
• Mapping of more clusters to have broader
  understanding - Mapping methodology, Hypothesis
  and Questionnaire developed.
• 5 clusters in India (Trichy, Moradabad, Kalady,
  Jalandhar and Ludhiana)
• 3 cluster abroad ( Senegal, Ecuador,
  Sialkot-Pakistan)

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UNIDO CDP SDC CSR Project

• Action Research
• Jalandhar Sports Goods Cluster
• CDP with ESR application
• Collective ESR initiative - SGFI
• Philanthropy- Ad-hoc to Systematization
• Trichy Fabrication Cluster
• Multi-stakeholder Initiative on Improving Health
  Safety of workers working in Trichy Fabrication
  Cluster. - BHELSIA BHEL SUZLONUNIDO USP
  How Large buyer can be a driver of ESR/CSR
• Rourkela- Sponge Iron Induction Clusters
•  Multi-stakeholder initiative for Peripheral
  development of Rourkela Cluster - LBIPDS
  District Administration Local Community UNIDO
  USP- How voluntarily the private sector can
  collectively work on CSR/ ESR for peripheral
  development

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UNIDO CDP SDC CSR Project

• Action Research
• Ludhiana Garment Cluster
• Dialogue between Accreditation body,
  international buyers and MSMEs
• Improved communication on issues, challenges and
  expectations
• A Workshop on Social Responsibility for Business
  was held on 20th and 21sr February, 08 in
  Ludhiana- -APPEAL WRAPVFC UNIDO GAPMS
  Primark
• Engagement between MSME , Accreditation body,
  international buyers
• Establish a CSR Cell within APPEAL Resource
  Centre for ESR understanding and implementation.

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UNIDO CDP SDC CSR Project

• Research on ESR Infusing Factors
• Role of Corporate sector and Large buyers having
  SMEs in their Supply Chain
• Role of FIs SME Credit Rating Agencies in
  Shaping ESR in SME clusters
• Role of B-Schools in preparing young managers
  having understanding of ESR in SME clusters
• Role of Government - Mapping of Different Govt.
  schemes focused on ESR.
• Role of SME associations /VOs/ NGOs -Promoting
  collective ESR

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Other Initiative under the Project

• National Consultative Council
• ESR Score card for clusters to help benchmark
  the cluster and its progress over time
• Capacity Building of MSME Association Executives
• Energy Mapping
• Rourkela- Sponge Iron and Induction furnance
• Jalandhar- inflatable ball, wood based and
  Protective equipment
• Social Impact assessment Jalandhar Sports good
• Economic Impact Assessment- Jalandhar Sports
  Goods
• Website- www.weplayfair.com

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UNIDO CDP SDC CSR Project Possible Outcome
from the Project

• ESR mainstreaming in SME Cluster Development
  Methodology Re-orientation of Existing
  Methodology with ESR approach.
• A training toolkit prepared for training cluster
  development agents to take up ESR development
  agenda in cluster along with economic development
  
• New Approaches
• New Methodologies and
• New Competencies

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Multi-stakeholder initiative on Improving
Health Safety of workers in Trichy Fabrication
Cluster BHELSIA / UNIDO / BHEL / SUZLON
Namit Mutreja
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Background of Trichy Initiative

• Heavy Engg. Fabrication cluster in Trichy,
  Tamilnadu hosts about 400 firms employing about
  20,000 workers with a turnover of about Rs.
  2000/- Cr.
• Health Safety has been rated as the top
  priority because of the nature of work in
  fabrication- handling heavy metal sheets bars,
  welding, grinding, heat treatment, painting etc
  which are dangerous and hazardous in nature and
  has led to Injuries, disabilities and sometime
  fatal accidents
• Individually firms are not able to solve the
  problem because of floating population of
  workers so a collective initiative under local
  association BHELSIA (BHEL small and medium
  industries association)
• How a large buyer can energise the Enterprise
  Social Responsibility (ESR) of MSMEs placed in
  their value chain

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Objective of H S programme.

• Main Objective of the program is to set up a
  system under BHELSSIA to diagnose the CSR issues
  and address them effectively.
• Health and Safety is rated as the most important
  issue so for the first year, so in the pilot
  phase, the project shall target 25 firms from the
  Trichy cluster and work with their management as
  well as manpower contractors with following
  objectives
• To give awareness and training on health and
  safety
• To identify and try out some in house process
  innovation which minimises the risks involved in
  the fabrication process.
• To disseminated the best practices.
• To establish a monitoring system (both internal
  and external).

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Partners of the projects

• BHELSIA coordination implementation
• UNIDO Facilitator, funding knowledge
  partner monitoring
• BHEL Buyer, knowledge partner, motivator and
  sharing their infrastructure ( OHS
  Institute) monitoring
• SUZLON - Buyer, funding, knowledge partner,
  motivator, monitoring
• Govt. - Knowledge partner, monitoring

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Budget Sharing Matrix
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Action plan
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Action plan..Cont.
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Action plan.cont
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What a Firm need to do

• Appoint a Safety Stewards
• Financial commitment on monthly basis
• Prepare list of contractors and their workers
  Send safety stewards for 40 Hours training ( half
  day 10 sessions)
• Organise in house awareness training workshops
  with contractors workers through safety
  stewards- weekly basis.
• Provide proper PPEs
• Record keeping of training programmes and also
  effectiveness of the same.( log book etc)
• Try out innovative methods of Risk minimization
  on the shop floor, ( 5S etc)
• Take part in monthly assessment and monitoring
  carried out by BHELSIA CSR team.

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www.weplayfair.comaction research Thank you