CSR- 2015 Lec 15-18

C S i l ibiliCorporate Social Responsibility

Presentation

byby

Anita  ChouhanExecutive Trustee

Lecture 15‐18

Implementing, Monitoring ,p g, g ,

Measuring & Reporting on CSR.

Implementing CSR Strategies‐Steps

Current Scenario Assessment

Form CSR Core Gro p / decision making str ct reForm CSR Core Group / decision making structure

Design & implement CSR business plan

S t bl t t & l (SMART)Set measurable targets & goals (SMART)

Engage internal & external stakeholders to whom CSR commitments applycommitments apply

Develop and conduct CSR training

Monitor, Measure & Evaluate CSR initiatives/projectsMonitor, Measure & Evaluate CSR initiatives/projects

Report & Communicate (internal & external)

InstitutionalizeInstitutionalize

Planning & Strategizing

Developing a CSR strategy and policy

Operationalising the institutional mechanism

CSR PROCESSES

strategy and policy institutional mechanism

Due diligence of the implementation

Project Development1 implementationpartner

Project Approval Finalising the i h h

1

2 j pparrangement with the implementing agency

Project Implementation3

Project Implementation

Progress monitoring and reporting4

Impact measurementReport consolidation and

communication5

Critical Implementation Points

Critical Areas:Understand the relevance of CSR in organisational values and missionUnderstand the relevance of CSR in organisational values and mission, vision.Identify key stakeholders and target issues.Engage effectively with stakeholders to undertake dialogue, dataEngage effectively with stakeholders to undertake dialogue, data collection and analysis.Develop a meaningful implementation plan – timelines , KPI.Identify and prioritise key risks and opportunitiesy p y ppSecure the required internal resources and external advice to design and implement strategyDevelop supportive policies, procedures and KPI’s Monitor and evaluate performance.Communicate internally and externally. Go for Certification/external auditsBalance global standards & local cultural differences

Monitoring & Measuring ‐Introduction

Responsible & accountable to stakeholders / improves accountabilityy

CSR Initiative to be assessed & analyzed against corporate strategy – link social performance with financial performance

Measurement of CSR impact for weeding out ineffective initiatives & pursue those leading to stakeholder value maximization – social contract / license to operate/riskmaximization  social contract / license to operate/risk management

Complex task with quantitative & qualitative dimensions

Intangibles like employee loyalty, zero day , increased employee performance & productivity, customer /employee/supplier/ investor retention etcinvestor retention etc

Measurement – How & What

Focus on:l k h ld ff

Purpose:For internal complianceInternal stakeholder effects

External stakeholder effects

For internal complianceFor external reportingFor accreditations/  

External institutional effects

Measure what matters 

certifications & verificationsSelection of measurement tools

Measure fewer things better 

Communicate fewer metrics in multiple ways – value dimensions like monetary financial quantitative qualitativelike monetary, financial, quantitative, qualitative

Role of codes, principles, standards & certifications

Need for Monitoring & Measuring CSR Initiatives. 

Monitoring is the regular observation & recording of the ongoing activities of a program or project.g g f p g p j

What gets measured gets done.Importance/Benefits:pFor Internal Performance Management & External Reporting

Assess present scenario

Set clear goals

Assess impact

Check for gapsg p

Formulate future plans

Self development process

B t l & S t i ti tiBoost morale & Sustain motivation

Means to inform stakeholders

Reporting Formats

•What, Whom & How

Internal Reporting

Team briefings

External Reporting

Annual reports

Procedural notes

Training sessions

Internal maga ines

Websites

Stand alone reportsInternal magazines

Internal compliance or audit reports

External magazines

AGMs

M di tl tIntranet

Notice boards

Site locations

Media outlets

Corporate videos

Speaking platforms for seniorSite locations

Specific reports

Speaking platforms for senior managers

Some  International & National Codes, Standards, Guidelines & CertificationsStandards, Guidelines & Certifications

ILO and its conventions

OECD Guidelines for multinational Enterprises 1970OECD Guidelines for multinational Enterprises 1970

UN Millennium Development Goals

New Companies BillNew Companies Bill 

MCA’s National Voluntary Guidelines

DPE guidelines for PSU’s

UN Global Compact‐ 1999

Equator Principles, ISO 26000 

Global Reporting Initiative (Triple Bottom Line Reporting)

Certifications: SA 8000, AA1000, ISO 14000 , ISO 9000, LEED

Rating Indices: Dow Jones Sustainability Index, FTSE4 Good Index

Integrated Reporting (IIRC)

SDG Post 2015

Source: Global Compact LEAD consultations

Some examples of Mandatory CSR reportingp g

ISO 26000 – (2010) – accepted by 130 countriesISO 6000 ( 0 0) accepted by 30 countries

Financial statement Act 2008, Denmark

L Li it d Li biliti f C i A t 2007Law on Limited Liabilities of Companies Act  2007‐Indonesia

C i A t 2006 UKCompanies Act 2006 – UK

New Economic Regulations Act 2001‐ France

SA‐ JoBerg Stock Exchange  ‐ Integrated Reporting

Role of Codes & Standards

Voluntary initiativesVoluntary initiatives

Establish public/stakeholder trust

Mi i f tMinimum performance guarantee

Uniformity of process , procedures & measurement

Universal comparability

Incremental growth in complexityg p y

Sector Benchmarks, Awards

Some Sectoral Initiatives

Forest Stewardship Council : NGO founded in 1993, which promotes responsible management of the world’s forests through forest certification and product labelling

Marine Stewardship Council : Non‐profit organisation set up inMarine Stewardship Council : Non profit organisation set up in 1997 to promote sustainable fisheries and responsible fishing practices

Responsible Care : First developed in Canada in 1995 to addressResponsible Care : First developed in Canada in 1995 to address public concerns about the manufacture, distribution and use of chemicals

J i t UNEP / I d t S t I iti tiJoint UNEP / Industry Sector Initiatives

Ecolabelling

Some Ecolabels.

Th kThank youit h h @ [email protected]