© csr asia 2011 iso 26000 richard welford csr asia

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© CSR Asia 2011 ISO 26000 Richard Welford CSR Asia www.csr-asia.com

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Page 1: © CSR Asia 2011 ISO 26000 Richard Welford CSR Asia

© CSR Asia 2011

ISO 26000

Richard Welford

CSR Asia

www.csr-asia.com

Page 2: © CSR Asia 2011 ISO 26000 Richard Welford CSR Asia

ISO26000: Now we know what CSR is not

It is not about:

1. Giving away money: Philanthropy is mentioned once

2. Planting a few trees

3. PR photo opportunities

4. Feeling good and being a caring organization

Page 3: © CSR Asia 2011 ISO 26000 Richard Welford CSR Asia

But be warned:

• It is a standard but it is for guidance only

• It is not currently certifiable• It is not only for businesses• It is an ongoing process and

not a ‘quick fix’• Use the standard to guide your

material activities and for communications

• You cannot use ISO26000 without engaging your stakeholders

Page 4: © CSR Asia 2011 ISO 26000 Richard Welford CSR Asia

The rationale for social responsibility

1. Brand and reputation

2. Attract and maintain employees, customers, clients

3. Employee commitment, morale productivity

4. Interest from investors and the financial community

5. Relationships with companies, government, the media, suppliers, peers, customers, communities

= Stakeholders!

Page 5: © CSR Asia 2011 ISO 26000 Richard Welford CSR Asia

The context

• Emphasis on sustainable development• A participative, open, stakeholder inclusive

process leading to a standard agreed by over 90 countries

• Representation from developed and developing countries, civil society organizations, labour organizations, government and business

• Global recognition and support• The ISO brand• The most definitive and wide-ranging

definition of social responsibility yet published

• A challenging standard that widens traditional definitions of responsibility

Page 6: © CSR Asia 2011 ISO 26000 Richard Welford CSR Asia

Seven principles of Social responsibility

Accountability

Transparency

Ethical behaviour

Respect forstakeholder

interests

Respect for the rule of law

Respect for international norms

of behaviour

Respect for human rights

Recognizing socialresponsibility

Seven core subjects Organizational

governance

Human rights

Labour practices

The environment

Fair operating practices

Consumer issues

Community Involvement & development

Related actions and expectations (issues)

Relationship of the organization’s

characteristics to social responsibility

Understanding the social responsibility of

the organization

Voluntary initiatives on social responsibility

Communication on social responsibility

Reviewing and improving the organisation’s actions and practices related to social

responsibility

Enhancing credibility regarding social

responsibility

Stakeholder identificationand engagement

Practices for integrating social

responsibility throughout the

organization

Integrating social responsibility into the organization

Page 7: © CSR Asia 2011 ISO 26000 Richard Welford CSR Asia

Principles: Accountability

• Accountability for its impacts on society and the environment

• The organization should accept and encourage scrutiny

• Accountability imposes an obligation to be answerable to stakeholders

Page 8: © CSR Asia 2011 ISO 26000 Richard Welford CSR Asia

Principles: Transparency

• An organization should be transparent in its decisions and activities that impact on society and the environment

• Clear, accurate and complete disclosure of policies, decision-making and activities

Page 9: © CSR Asia 2011 ISO 26000 Richard Welford CSR Asia

Principles: Ethical behaviour

• An organization should behave ethically at all times based on principles of honesty, equity and integrity

• The organization should promote ethical conduct by:– developing governance structures that promote ethical

conduct– identifying, adopting and applying its own standards of

ethical behaviour– encouraging and promoting good standards of ethical

behaviour– establishing oversight mechanisms– establishing mechanisms for reporting of violations

Page 10: © CSR Asia 2011 ISO 26000 Richard Welford CSR Asia

Principles: Respect for stakeholder interests

• An organization should respect, consider and respond to the interests of its stakeholders

• The organization should:– Identify its stakeholders– Respond to the needs of its stakeholders– Recognize the legal rights and legitimate

interests of stakeholders– Consider the views of stakeholders that may

be affected by a decision even if they have no formal role in the governance of the organization

Page 11: © CSR Asia 2011 ISO 26000 Richard Welford CSR Asia

Principles: Respect for the rule of law

• An organization should accept that respect for the rule of law is mandatory

• The organization should:– comply with legal and regulatory

requirements– ensure that is relationships and activities

fall within the intended and relevant legal framework

– remain informed of legal obligations– periodically review compliance

Page 12: © CSR Asia 2011 ISO 26000 Richard Welford CSR Asia

Principles: Respect for international norms of behaviour

• In countries where national law or its implementation does not provide for minimum environmental or social safeguards, an organization should strive to respect international norms of behaviour

• In situations of conflict with international norms of behaviour, and where not following these norms would have significant consequences, an organization should, as feasible and appropriate, review the nature of its activities and relationships within that jurisdiction

Page 13: © CSR Asia 2011 ISO 26000 Richard Welford CSR Asia

Principles: Respect for human rights

• An organization should respect human rights and recognize their importance and their universality

• Organizations should be careful not to be complicit in human rights abuses

Page 14: © CSR Asia 2011 ISO 26000 Richard Welford CSR Asia

Recognizing core subjects

Organizational governance

Human rights

Labour practices

Fair operating practices

Consumer issues

The environment

Community involvement and

development

Materiality:

Identification of relevant issues

Assess significance of impacts

Consider impacts on stakeholders and their concerns

Consider ‘sphere of influence’

Page 15: © CSR Asia 2011 ISO 26000 Richard Welford CSR Asia

Broadening the boundaries of responsibility?Community involvement and development issues

1. Community involvement and engagement

2. Education and culture

3. Employment creation and skills development

4. Technology development and access to appropriate technology

5. Wealth and income creation, poverty alleviation

6. Community and public health

7. Social investment (including philanthropy)

Page 16: © CSR Asia 2011 ISO 26000 Richard Welford CSR Asia

Not considered

Strategic focus:Including performance indicators

and measurement

Impacts clarified incommunications

Policy clarified in communications

Relevance/importance to business

Impo

rtan

ce t

o st

akeh

olde

rRecognizing core subject areas:

Materiality matrix and communications

Crucial

Little importance

Crucial

Page 17: © CSR Asia 2011 ISO 26000 Richard Welford CSR Asia

Consider your ‘sphere of influence’

Core business activities Value

chainsCommunityinteraction

Public policy &

advocacy

Page 18: © CSR Asia 2011 ISO 26000 Richard Welford CSR Asia

Communication on social responsibility

Characteristics of information relating to social responsibility

Understandable

Responsive

Accurate

Balanced

Timely

Available

Demonstrate accountability and transparency

Disclosure of information relating to social responsibility

Demonstrating how the organization meets it commitments

Raising awareness inside and outside the organization

Providing information about significant impacts

Helping to engage stakeholders

Enhancing the organization’s reputation

The role of communications in social responsibility

Page 19: © CSR Asia 2011 ISO 26000 Richard Welford CSR Asia

What are leading companies already doing?

• Understanding the expectations of ISO26000

• Training and capacity building, including all different functions, across the organization

• Assessing their own CSR strategies against ISO26000 Principles and Core Subject Areas

• Gap analysis: Strengths and weaknesses• Determining materiality of issues based on

stakeholder priorities• Aligning policies and reporting with

ISO26000

Page 20: © CSR Asia 2011 ISO 26000 Richard Welford CSR Asia

Strategic social responsibility

Capacity building (Training)

Communications(Reporting)

Validation

Strategy

Assessment

Materiality check(Materiality matrix)

Principleschecklist

Issuesevaluation

StrengthsGapsRisks

Opportunities

StakeholderReview Panel

Stakeholderengagement

Capacity building (Training)

Page 21: © CSR Asia 2011 ISO 26000 Richard Welford CSR Asia

The future:

• We now have a challenging, but workable definition of social responsibility with global credibility – this will help you define your responsibilities

• Greater links with communities and the development agenda

• Links between ISO26000, transparency and new modes of reporting and communications

• Embedding stakeholders into governance structures

• Your social responsibility activities will be judged against ISO26000

Page 22: © CSR Asia 2011 ISO 26000 Richard Welford CSR Asia

© CSR Asia 2011

Thank you!

Richard Welford

[email protected]

www.csr-asia.com