ISO Does it have an added value?

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Anabel Hood
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1 ISO Does it have an added value? NCCR Workshop 25 November 2010 Dr. Franziska Humbert

2 Outline History and rationale of ISO Scope, definition and general principles Key concepts: supply chain, sphere of influence, due diligence and complicity Core subjects including human rights and labour practices Implementation A transparent multi-stakeholder process? A framework for CSR

3 History and Rationale ISO Consumer Committee in favour of a standard improving corporate social behaviour Industry and NGOs critical of ISO being the appropriate institution ISO on social responsibility for organisations process started in 2004 involving six stakeholder groups (industry, NGOs, labour, consumers, SSRO, government) Adopted on 12 September 2010 with support of China, India but not the US

4 Scope Guidance on social responsibility including organisational governance, human rights, labour practices, environment, fair operating practices, consumer issues, community involvement and development, implementation) Not a management standard, not for certification Not intended as a standard within the meaning of WTO law or as evidence for soft law!

5 Definition and general principles Definition on social responsibility Social responsibility and philanthropy International norms of behaviour Relativity of human rights?

6 Supply chain, sphere of influence and due diligence Organisations are responsible for negative impacts resulting from their decisions and activities within their sphere of influence, including parts of their supply chain. They are not responsible purely because they may have some influence over their relationships. When assessing its sphere of influence and determining its responsibilities, an organization should exercise due diligence to avoid contributing to negative impacts through its relationships.

7 Complicity An organization should avoid being complicit. Complicity in a non-legal sense Direct complicity Beneficial complicity: A parent company benefitting from child labour in supplier factories. Silent complicity: A company does not criticise systematic discrimination in employment law against particular groups.

8 Core subjects including human rights and labour practices All core subjects are relevant for each organisation. Comprehensive standard including community development and consumer issues All major human rights instruments are referred to. The principle of free prior informed consent is missing. The NGO definition of a living wage is missing. A high level of influence corresponds to a high level of responsibility. Home workers are part of the supply chain (children sewing footballs in Pakistan)

9 No supervisory mechanism Implementation Rather vague language lacking clear recommendations Instead, some elements mentioned in the labour chapter. Mention of social reporting and the comply or explain principle No added value but referring to voluntary initiatives However, mention of purchasing practices in chapter on fair operating practices is a major achievement and an important added value.

10 A transparent multi-stakeholder process? Multi-stakeholder process but no equal representation of stakeholders (e.g. few labour representatives) A lack of transparency Controversy on the principle of consensus, ad hoc groups, and voting

11 A framework for CSR Hot debate on possible impacts and abuses for certification issues Its potential lies in providing an accepted framework for CSR. Most important achievements are the definition and the inclusion of the concepts of sphere of influence, due diligence and complicity. Contribution to the formation of soft law A standard under WTO law?

CSR and responsible business conduct in global supply chains. 30-05-2016 Alexandra van Selm Responsible business conduct in global supply chains

CSR and responsible business conduct in global supply chains 30-05-2016 Alexandra van Selm Responsible business conduct in global supply chains Time line 2000 SER advisory report on CSR (Winst van Waarden)