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Corporate Social Responsibility…and what it means for your company
AIM-Progress Supplier Day – Dubai
23 March 2017
Boris Abramovic
Supplier Engagement Executive
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Agenda
Going beyond regulatory compliance
Implementing a CSR Management System
How EcoVadis can help your company
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CSR
What is Corporate Social Responsibility?
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Regulation & going beyond “compliance”
REGULATIONS & LAWS
LEG
AL
VO
LUN
TAR
Y
REA
CTI
VE
PR
OA
CTI
VEObjective:
Create business value
Go beyond legal requirements • Reduction in Energy Consumption • CO2/GHG Emissions • Monitoring Safety incidents• ...
14001
26000
International Standards
DO
UB
LE O
BJE
CTI
VE
CSR
Management
System
Policies
ActionsResults Objetive:
Avoid legal issues
Meet legal requirements Pollution | Bribery | Discrimination |
Local Laws
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Creating business value from PERFORMANCE
Value CreationPerformance Mgmt
RiskMgmt
Depth / Resources required
ConventionnalSelf AssessmentQuestionnaire
« Compliance »
Site Audit
CSR ratings & scorecards
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Company purchasing practices are changing
Price
Quality
On-time delivery
Sustainability
BENEFITS FOR YOUR CUSTOMERSA KEY CRITERIA FOR YOUR CUSTOMERS
Risk Management
Innovation
Cost Reduction
• Protect the brand • Supply Chain Disruption
• Improve Total Cost of Ownership • Reduce waste • Reduce consumption
• Product differenciation • Access to new markets
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Benefits of implementing CSR for YOUR company
Customers
Attract customers
Retain customers
Protect reputation & brand
Competitiveness
Competitive advantage
Operational stability
Costs
Reduce costs
Reduce energy use
Reduce waste
Increase productivity
Reduce absenteeism
Compliance
Get ahead of regulations
Counter social pressure
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Increasing adoption of sustainability standards. . .
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International Sustainability Standards
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Initiatives in Middle East
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Agenda
Going beyond regulatory compliance
Implementing a CSR Management System
How EcoVadis can help your company
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What is a Management System?
A management system is a framework of processes and
procedures used to ensure that an organization fulfills all tasks
required to achieve its objectives.
OBJECTIVE
PROCESS
PROCEDURE
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What is a Management System? About Management Systems
A few examples of international standards setting the
requirements for management systems are:
Environmental Management System
(e.g. ISO 14001)
Health and Safety Management System
(e.g. OHSAS 18001)
Quality Management
System (e.g. ISO 9001)
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Focus on Continuous ImprovementAbout Management Systems
An effective management system allows companies to
improve performance through a process of continuous improvement.
Improvement directly supports
…
efficient resource use
business continuity
risk reduction
streamlined productivityIm
pro
vem
ent
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A management system requires the adoption of indicators.
What is a CSR management system?
✓ Policies✓ Endorsement of
voluntary CSR initiatives
✓ Measures/actions✓ Level of implementation✓ Certificates/product seals
✓ Results/KPIs ✓ 360°
Policies Actions Results
The management system should be based on sustainability issues that are relevant to the sector
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What are Corporate Social Responsibility topics?
4. SUSTAINABLE
PROCUREMENTSustainable Procurement-EnvironmentSustainable Procurement-Social
3. ETHICSBribery & corruptionAnti-competitive practicesResponsible Information Management
2. SOCIALEmployee health & safetyWorkiing conditionsSocial dialogueCareer management & training
Child & forced laborFundamental human rightsDiversity & anti-harassment
1. ENVIRONMENTEnergy consumption & GHGWaterBiodiversityLocal & accidental pollution
Product useProduct end of LifeCustomer health & safetySustainabl consumption
When is Migrant and Forced Labor a key criteria? When the sector has low skilled work, high use of temporary labor
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Sector Focus : Child & Forced Labor
Risk assessments to identify
operations exposed to displaced
workers
Slavery prevention training
Whistleblower procedure to enable
access to remedy
NGO engagement (develop risk
assessment, work on remedies –
social supports locally)
High level of risk exposure due to:
• Low-skilled work associated with
manufacturing
• Exposure to displaced workers
• Weak legal systems &/or enforcement
in key manufacturing hubs
Manufacturing plastics
Actions ResultsPolicies
High level of risk exposure due to:
• Exposure to trafficked individuals
• Operations generally outside of
regulatory oversight (e.g. international
waters, country-country)
• Weak legal systems &/or inadequate
customs/port procedures
Transport & Logistics
Actions Results
Customer due diligence
(“know your customer”)
Freight due diligence (“know
what you are carrying”)
Slavery prevention training-
specific to trafficking of
persons
NGO engagement
Whistleblower procedure to
enable access to remedy
Policies
Policies showing
commitment to
prevent child,
forced and
trafficked labor
LAB
OR
& H
UM
AN
RIG
HTS
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Sector Focus : Child & Forced Labor SU
STA
INA
BLE
PR
OC
UR
EMEN
TMarketing & Design
Actions Results
Develop supplier code of conduct with
provision prohibiting child & forced labor,
excessive hours and recruitment fees
Questionnaire assessments
On-site social audits
Training of buyers in anti-slavery and
sustainability
…
Policies
Policies to source
responsible products
and from sustainable
suppliers
Low level of risk exposure due to skilled nature of work:
• Less exposure to migrant/displaced workers
• Skilled workers are aware of labor standards and laws
Risk exposure is in the supply chain
• Souring of office/IT equipment manufactured with slave labor
• Labor trafficking and abusive recruitment practices
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Agenda
Going beyond regulatory compliance
Implementing a CSR Management System
How EcoVadis can help your company
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A complex challenge
● Time-consuming ● No reliable indicators ● Not scalable ● Duplicate efforts ● No standards ● Little feedback
CO2 footprints
Buyers
Suppliers
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EcoVadis Solution
Buyers Suppliers
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Evaluation process customized to your company operations
Registrer Online
Will help to adapt the questionnaire to your
company size, sector and location f operations.
Expert Analysis
EcoVadis analyzes and
transforms your answers
into an easy-to-read
Scorecard
Document audit by a third-party with CSR experts
Data Collection
Respond to the
questionnaire and provide
supporting documents
Secure, confidential
Results Online access to your
scorecard and improvement areas
Review results, share with multiple clients, work
towards improvements
Supplier Engagement Help CenterEcoVadis provides multi-lingual support to you thoughout the entire process.
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Examples of documents collected *
In order to rate your CSR performance, EcoVadis needs evidence to demonstrate your company’s practices.
You can upload any type of document that can reflect your company’s commitment to CSR:
Any type of supporting documents: written policies, reports, action plans, certificates, etc.
All formats accepted: text, PDFs, web links, images, etc.
• ISO 14001 Certificate• Eco-label certification• CSR report• QHSE Charter• RoHS Declaration for ML600G• Internal Safety inspection report• Business code of conduct• Environmental impact assessment• Health & Safety plan• Quality Manual• Accident Incident Rate Scorecard• Supplier Audit Report (Factory X)• REACH Declaration• Employee Handbook 200X
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Scorecard Results
CSR PerformanceRating by theme of your CSR performance,
(Environment, Social, Ethics, Suppliers) on a scoring
scale out of 100
Benchmark*Allows you to compare your performance with other
companies in your industry sector
Strengths & Improvement Areas
Detailed presentation of your strong CSR practices and
your improvement areas. They are divided into 4
categories that are the four themes used in the CSR
rating (environment, social, suppliers and ethics)
360° Watch* Keep an eye on information from up to 800
stakeholders (NGOs, Trade unions…) concerning your
company
+ Corrective Action Plan
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CSR Assessment Results & Benefits
Get a clear picture of your CSR performanceWith a score out of 100 for four CSR themes
(environment, social, ethics, suppliers)
Access a Benchmark to visualize performance
compared to competitors
Prioritize actionswith a scorecard that highlights main improvement
points
Manage improvement plans directly onlineShare them with clients and get feedback
Embrace a continuous improvement processWith a yearly re-evaluation of your CSR performance
Access up-to-date information on your CSR
performance
Meet clients needsMore and more companies raise questions about
their supplier’s environmental and social
performance
Use a unique communication tool Share evaluation results with all clients directly
online
Secure
Platform
Client A
Client B
Client C
Understand Improve
Update Communicate
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http://support.ecovadis.com
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