An introduction to Corporate Responsibility

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An introduction toCorporate Responsibility

• Peter Rogan
• Director, Alatheia

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Peter Rogan

• 15 years experience of managing corporate
  responsibility issues
• Wide-ranging experience of delivering best
  practice corporate responsibility programmes
• Previously Head of Corporate Responsibility for
  the Co-op
• Most accountable retailer (Retail Week 2005)
• Shortlisted for Best Sustainability Report (ACCA
  2004 and 2005)
• Rated best CSR communication strategy (MORI NGO
  Survey 2004)
• Alatheia helps organisations take advantage of
  the opportunities that adopting a more
  responsible approach to business can provide
• Provides strategic advice and practical support
  to deliver tailored corporate responsibility
  programmes that are designed to improve
  performance and support wider commercial
  objectives.

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Corporate responsibility its all around us
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Evolution of corporate responsibility
Business Operations
Supply Chain
Community involvement

• Charitable gifts.
• Community investment.
• Commercial initiatives in the community.

• Benefits from core activities.
• Goods/services provided.
• Job creation.
• Environment
• Health Safety

• Push ethics through value chain.
• Partnering with suppliers, distributors and
  customers.

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Underlying principles of corporate responsibility

• An exploration of the way business makes money,
  not how it spends it, and how this impacts on
  society
• Corporate Responsibility covers a broad range of
  issues economic, social and environmental
• Fundamentally Corporate Responsibility is part
  of the corporate governance debate

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A definition
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Who decides whats important?
Clients
Customers
Employees
Suppliers
Communities
Investors
NGOs
Organisation
Pressure Groups
Government
Public Authorities
Regulators
Educational Institutions
Trade Bodies
Opinion Formers
Competitors
Media
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Emerging best practice!!
Emerging best practice
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Why should I be interested?
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Impact on financial returns

• Oil and Gas top half outperforms by 17
• Food and Drugs top half outperforms by 25
• House Builders top half outperforms by 17
• Paper and Forestry top half outperforms by 43
• (source cazenove)

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Managing Corporate Responsibility
Indicators
Informal management system
Formal management system
Policy
KPIs Indicator 1Member economic
involvement Indicator 2Member democratic
participation Indicator 3Participation of
employees and members in training and education
schemes Indicator 4Staff injury and absentee
rates Indicator 5Staff profile - gender and
ethnicity () Indicator 6Customer satisfaction
() Indicator 7Consideration of ethical issues
in procurement and investment decisions Indicator
8Investment in community and co-operativeinitia
tives as a proportion of profit before tax
() Indicator 9Net carbon dioxide (CO2)
emissions arising from operations
(tonnes) Indicator 10Waste recycled/reused as a
proportion of total waste arisings ()
Reporting
Annual objectives and planning
Organisation and implementation
Management Review
Control and auditing
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Improving performance and generating good news
stories
Policy
Reporting
Annual objectives and planning
Improvement strategies
Organisation and implementation
Management Review
Control and auditing
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Corporate responsibility covers a diverse range
of issues, such as...

• Financial Performance
• Investments capital/RD
• Employee compensation
• Taxes
• Government subsidies
• Bribery/corruption
• Intellectual property/patents
• Licence to operate

Economic

• Climate change
• Emissions/Discharges
• Waste
• Materials consumption
• Water Use
• Energy use
• Soil Depletion/Ag practices
• Land Use
• Biodiversity
• GMOs

• Human Health
• Workplace Conditions
• Human Rights
• Health Safety
• Access to Healthcare
• Community Involvement
• Capacity Building
• Diversity
• Work/Life Balance
• Privacy

Environmental
Social
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Environment
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Social
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Economic

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TEN things to do today!
Recycle printer and toner cartridges www.actionaid
recycling.org.uk
01
Buy and use fairly traded products eg tea and
coffee www.fairtrade.org.uk
02
Reduce your business travel, plan journeys use
public transport www.gmpte.com
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Set up a payroll giving scheme for your
staff www.payrollgivinggrants.org.uk
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Make sure lights, computers and other equipment
are switched off at the mains www.green-office.org
.uk
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Pay suppliers and creditors on time www.payontime.
co.uk
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Turn office heating down by a few
degrees www.energyhelpline.com
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Replace all lighting with low energy light
bulbs www.netregs.gov.uk
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Print double sided where possible dont print
emails unless you need to www.envirowise.gov.uk
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Consider introducing flexible working for your
staff www.flexibility.co.uk
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Helping your business profit from a sustainable
future

• Questions?