Fundamentals of CSR

Corporate Social Responsibility

Business Responsibility

Corporate CitizenshipSu

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04/10/23 1

Webinar for NGOsConducted by: Soumitra Ghosh (Founder CEO, CSO Partners)

Conceptual framework of business responsibilityOverview of international standards and normsRole of NGOs/CSOs in business responsibility Case review

CSR Perspectives

CSR Perspectives

Viewing CSR in a wider context of ‘responsibility ‘

CSR motivation

Source: Wikipedia

Source: UNESCAP (United Nations Economic and Social Commission for Asia and the Pacific ) Publication

Business Responsibility perspective

……is not just an international phenomena

NVG perspective

Business Responsibility

Companies Act perspective

Conceptual framework of business responsibilityOverview of international standards and normsRole of NGOs/CSOs in business responsibility Case review

International Accountability Standards (IAS)

Types of IAS

Principal Based

-Broadly defined principles with regard to social and environmental problems- Used as a guideline for action and starting point for dialog

Certification Based

-Involve certification, verification and monitoring against predefined criteria-degree of assurance that stated standards are actually being met

Reporting Standard Based

-A comprehensive and standardized frameworks for economic, social and environmental reporting- Foster transparency and accountability while at the same time enables comparisons

Process Based

-It focus on the question of how corporate accountability can be achieved- IT offers essential managerial guidance on how corporate accountability can be achieved

Soruce: Dirk Ulrich Gilbert, Andreas Rasche and Sandra Waddock

Principle Based

-UN Global Compact-OECD Guidelines-CERES

Certification Based

-SA 8000- ISO 14001

Process Based

-AA 1000-ISO 26000

Reporting Standard Based-GRI-BBA’s Forge Standard-CERES (Facility Reporting Project)-Green House Gas Protocol for Project Accounting

Types of IAS

IAS

GRI (Global Reporting Initiative)

Facility Reporting Project (A CERES Project)

Forge standard and green house gas protocol

Reporting formats - National

Reporting formats – Companies Act

Reporting formats – Companies Act

Reporting formats – Companies Act

Conceptual framework of business responsibilityOverview of international standards and normsRole of NGOs/CSOs in business responsibility Case review

Emergence of NGOs in BR arena

Emergence of NGOs in BR arena

Emergence of NGOs in BR arena

Role of NGOs in CSR

Activist

Resource agency

Franchisee

Policy influencer

Market enablerConsumers’

Voice

Advisor

Implementer

Norm setter

Conceptual framework of business responsibilityOverview of international standards and normsRole of NGOs/CSOs in business responsibility NGO Campaigns

Nike and changed labour policy

• In 1991 – a report was published on working conditions and wage levels at Nike’s Indonesian factories

• Initial response was resistance, arguing that it could not be held accountable for conditions in factories that it did not own

• In 1993 ‘Press for Change’ an NGO dedicated to raising awareness of labor conditions and wages in Nike’s overseas plants

• A wave of media attention and harsh criticism of Nike’s practices followed

Nike and changed labour policy

• In 1998 Nike announced a number of reforms, including raising the minimum ages of sneaker and apparel workers to 18 and 16, respectively, adopting U.S. clean air

• Shortly after, Nike became significantly more involved in both formal and informal attempts to address labor conditions abroad

• It took an active role in forming the Fair Labor Association (FLA), an entity designed to audit, monitor and enforce working conditions in member factories around the world

Source: The Power of Activism – Debora L Spar

• Data revealed that in 2007 60% of India’s children and 41–60% of women aged 15–49 were iron deficient

• Partnership between Naandi, Britania and GAIN– Naandi – Had an MOU with the government of Andhra for the

mid day meal scheme and by 2007 was feeding 5 lakh children– Britania –Leading food company and its biscuits had a

penetration of 60% of the homes– GAIN – a swiss foundation that built partnerships between the

public and private sector, enabling innovative solutions to improve nutrition on a large scale by providing financial and technical support

Public private partnership for delivering nutrition through fortification

• Britannia partnered with the Naandi Foundation to bring iron-fortified biscuits to 150,000 children in the Indian state of Andhra Pradesh through Naandi’s midday meal program

• Global Alliance for Improved Nutrition (GAIN) had made it possible to procure the biscuits from Britannia at cost

• Britannia followed this with micronutrient fortification including other commercial biscuit brands

Public private partnership for delivering nutrition through fortification

Source: Business Innovation to Combat Malnutrition – Case study

For further clarifications and guidanceplease contact:

soumitra.ghosh@csopartners.org.in