Corporate Social Responsibility yesterday, today, tomorrow

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Corporate Social Responsibility- yesterday,
today, tomorrow
ESCOBALT December 13, 2006

• Magnus Emfel
• The Academy for Worklife Ethics
• www.etikakademin.se

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The Academys mission

• Contribute to competence development in the area
  of worklife ethics
• Academic research and related activities.
• Awareness raising, participate in the public
  debate
• Meeting place (e.g. Dialogue forums, courses,
  seminars, conferences) for professionals and
  other stakeholders.
• Values base
• Humanistic perspective.
• Ethics as an individual responsibility for the
  common good.
• Insight and progress through dialogue.
• Trustees

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1. CSR yesterday2. CSR today3. CSR tomorrow
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The emergence of CSR
CSR
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CSR Pioneers
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1. CSR yesterday2. CSR today3. CSR tomorrow
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CSR definitions and concepts

• Corporate Social Responsibility (CSR)
• Corporate Responsibility (CR)
• Social Responsibility (SR)
• Corporate Citizenship
• Sustainable Development
• Code of Conduct
• Triple Bottom Line

• People Planet Profit (PPP)
• Socially Responsible Investing (SRI)
• Corporate Governance (CG)
• Fair Trade
• Social Accounting
• Balanced Need Scorecard
• Fullständig redovisningetc

the continuing commitment by business to
behave ethically and contribute to economic
development while improving the quality of life
of the workforce and their families as well as of
the local community and society at large."
World Business Council for Sustainable
Development CSR Meeting Changing Expectations,
1999
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Perspectives on CSR
Increase revenues
Globalization
Public demand
Logistics
Innovation
Businessdevelopment
Branding
Charity
New markets
Recruiting
Philantrophy
Production
Efficiency
Competencedevelopment
Internalculture
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CSR in the business community

• Adidas about social and environmental affairs
• Leadership, in social and environment terms,
  means that 'We are dedicated to socially
  responsible, safe and environmentally sustainable
  practices in the company and its supply chain,
  and to enhancing the value of our brands
• BP about climate change
• Our goal is no damage to the environment our
  challenge is to achieve this while continuing to
  deliver energy products that support growth and
  social development around the world.
• Unilever about sustainability
• We are committed to contribute to sustainable
  development. We see this as a hard-edged
  commercial imperative because we will only be
  able to maximise shareholder value and prosper in
  the long-term if we operate in a much more
  sustainable way.

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CSR strategy and positioning
Public/legalrequirements
Marketrequirements
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CSR support vs. criticism

• Pro CSR
• Saves money
• Increases producitivity
• Increases revenue
• Not just a slogan but a way of doing business
• Basis for stock valuation
• Indicator for well-managed company
• New business opportunities
• Strategic issue for the Board of Directors

• Anti CSR
• Limits the market economys ability to deliver
  higher standards of living
• Deterioration of the economy
• Stems from business critical NGOs
• Ignores profitability
• Guilt attributing
• threatens prosperity in poor countries as well
  as rich. It is likely to reduce competition and
  economic freedom and to undermine the market
  economy.

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New CSR standard ISO 26000

• Environment
• Human rights
• Labour practices
• Organisational governance
• Fair business practices
• Community involvement and social development
• Consumer issues

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ISO 26 000, core issues and subjects

• Environment
• Pollution prevention
• Prevention of global warming
• Sustainable consumption and land use
• Preservation and restoration of ecosystems and
  the natural environment
• Respect for future generations
• Human rights
• Civil and political rights
• Economics, cultural and social rights
• Fundamental labour rights
• Community rights
• Labour practices
• Labour practices
• Occupational health and safety
• Dignified working conditions
• Human resources development
• Worker as a human being
• Organisational governance
• Inclusiveness

• Fair business practices
• Promotion of ethical and transparent activities
• Promotion of free competition
• Application of fair and ethical supply and
  after-supply practices
• Respect for intellectual and other property
  rights, and respect for users interests
• Fight against corruption
• Community involvement and social development
• Development impacts
• Community involvement
• Society development
• Philanthropy
• Consumer issues
• Providing consumers with accurate and adequate
  information
• Provision and development of socially-beneficial
  services and products
• Provision and development of safe and reliable
  products and services
• Protection of consumers privacy
• www.iso.org
• www.sis.se

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CSR resources and support

• Amnesty Business Group www.amnestybusinessgroup.se
  
• Business for Social Responsibility www.bsr.org
• Business in the Community www.bitc.org.uk
• CSR Europe www.csreurope.org
• CSRwire www.csrwire.com
• Earth Charter Initiative www.earthcharter.org
• European Social Investment Forum www.eurosif.org
• Global Compact www.globalcompact.org
• Global Reporting Initiative www.globalreporting.or
  g
• 1 for the planet www.onepercentfortheplanet.org
• Social Venture Network www.svneurope.com
• World Business Council for Sustainable
  Development www.wbcsd.org

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1. CSR yesterday2. CSR today3. CSR tomorrow
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Markets of the Future
Consumption
Health
Energy
Mobility
Agriculture
World Resources Institute, United Nations
Environment Program and World Business Council
for Sustainable Development Tomorrows
Markets. Global Trends and Their Implication for
Business (2002)
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External driving forces

• Socially Responsible Investing, SRI
• is investing that is mindful of the impact
  those investments have on society. SRI
  traditionally combines investors' financial
  objectives with their concerns about social,
  environmental, ethical (SEE) and governance (G)
  issues.
• European Social Investment Forum(www.eurosif.org)

1 trillionEuropean SRI market
(2006) www.eurosif.org
31 trillionCarbon Disclosure Project
(2006) www.cdproject.net
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Sustainable business strategies

• Seeking opportunities and managing risk.

Opportunity
Risk
Forum for the Future (U.K.), Centre for
Sustainable Investment and Henderson Global
InvestorsAssessing business sustainability
(2002)
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Pioneers for the Future

• Interface Carpets (1973)
• World leader in floor tiling.
• 40 market share.
• Imitates the closed loop of natures eco-system.
• Market cap 2006, Nasdaq 823 million.
• Evergreen Solar (1994)
• Worlds largest manufacturer of modules for
  photovoltaic energy production.
• 3 million invested 1996
• Market cap 2006, Nasdaq 585 million.
• Toyota Motor Co. (1937)
• Hybrid vechicle market leader since 1997
• gt20 000 hybrid cars/year in Europe.

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Triple Logic Business Switchpower
A clean alternative for everyone.
www.triplelogic.se
www.switchpower.se
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"... CSR can be much more than a cost, a
constraint, or a charitable deed - it can be a
potent source of innovation and competitive
advantage." Michael E. Porter  Mark R. Kramer,
Harvard Business Review, December 2006
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-Thank you!
Magnus Emfel magnus.emfel_at_etikakademin.se, 46
708 585 505 The Academy for Worklife
Ethics www.etikakademin.se