2 CONTENT GENERAL INFORMATION... 3 THE STRUCTURE OF THE UN GLOBAL COMPACT NETWORK RUSSIA... 4 ACTIVITIES AND INITIATIVES OF THE UNGC NETWORK RUSSIA... 6 NETWORK S ACTIVITIES IN THE BENEFITS OF PARTICIPATING IN THE UN GLOBAL COMPACT... 17
3 1 The UN Global Compact Leaders Summit. UN Secretary-General Ban Ki-moon and Andrei Galaev, the UNGC Board member, Chairman of Steering Committee of the UNGC Network Russia, Sakhalin Energy CEO. New York.
4 2 Printed Materials.
5 GENERAL INFORMATION Russian business takes active part in the global initiatives in the area of corporate social responsibility, primarily the United Nations Global Compact (UNGC). The official presentation of the UNGC in Russia took place in late 2001 during a round-table discussion organised by the Ministry of Foreign Affairs of Russia and by the Russian Union of Industrialists and Entrepreneurs (RUIE) in partnership with the United Nations Development Programme (UNDP) and other UN agencies in Russia. In 2008, the Russian participants of the UNGC exercised considerable structural and organisational changes, aimed at enhancing the efficiency of work. During the meeting with UN Secretary-General Ban Ki-moon top managers of Russian businesses declared their intention to launch the UN Global Compact Network in Russia (hereafter UNGC Network Russia or Network). On December 17, 2008, the UNGC Network Russia was established at the general meeting of the Russian UNGC participants. The meeting adopted a Statute which regulates operations of the Network. The meeting approved priority activities for and elected the Steering Committee. On December 2, 2010, at the annual general meeting the UNGC Network Russia participants approved signing of a Joint European based Global Compact Local Networks Declaration of the Russian UNGC participants. The number of the Russian UNGC participants is growing fast and in April 2012 has reached 57. See the link to the detailed information on the local network of the Global Compact in Russia at 3 Number of the UNGC Network Russia participants Structure of the UNGC Network Russia participants* Business - companies Business - SMEs Business associations NGOs Academic organisations Foundations Civil Society Organisations * as of April 2012
6 4 THE STRUCTURE OF THE UN GLOBAL COMPACT NETWORK RUSSIA The UN Global Compact Network Russia is a voluntary system of cooperation between Russian legal entities, signatories of the UNGC, that aims to achieve a balance of interests and the maintenance of effective joint activity on the promotion of the Ten Principles of the UNGC. The supreme management body of the UN Global Compact Network Russia is a General Meeting of the authorised representatives of the legal entities who have joined the UNGC. The General Meeting is convened by the Steering Committee at its own initiative or at the request of at least 20% participants of the UNGC Network Russia. The Steering Committee is the collegiate body for managing the local network of the UNGC in Russia. The Committee consists of nine members, including: Three permanent members one representative of the business association Russian Union of Industrialists and Entrepreneurs (RUIE), one UN representative (UNDP), and one representative of the Ministry of Economic Development of Russia. Six members elected by the General Meeting annually one NGO and five business sector Network s participants (private companies, public-private companies and state owned companies). The Chairperson of the Steering Committee is the official representative of the UNGC Network in Russia, who represents its interests in the Russian Federation, in other countries and international organisations. The Chairperson is elected by the members of the Steering Committee by the majority of votes. The Chairperson of the Steering Committee has two deputies from the Steering Committee: a representative of RUIE and a representative of UN in Russia (UNDP). The permanently functioning executive office of the UNGC Network Russia is its Secretariat, supervised by the Steering Committee. The Secretariat s main duty is to facilitate the execution and maintenance of the decisions of the General Meeting of Network s participants. Amongst the Secretariat s other responsibilities, are the following: to ensure the development and execution, including the monitoring and evaluation of the projects ratified by the Steering Committee of the Network; to provide information and technical support for the meetings of the Steering Committee and the General Meeting of the Network, as well as keep minutes of these meetings; to proof-read, organise and store reports of the Steering Committee meetings and the General Meetings of the Network; to organise all the public events of the Network; to manage continuously the online resources of the Network; to develop, print and distribute a periodical bulletin of the Network; to develop, print and distribute the Network annual report.
7 The Secretariat serves as a contact point for the GC Office. To effectively promote the UN Global Compact principles, four Network s participants volunteered to coordinate four areas of principles: Human rights a business organisation; Labour a business organisation; Environment CSO (Civil Society Organisation); Anti-corruption CSO (Civil Society Organisation). Financing No obligatory financial contribution is expected from the Network s participants. The UNGC Network Russia practices voluntary financing to support functioning of the Secretariat and the Network s activities. In addition, the Network s participants provide in-kind contribution to the Network. 5 Exhibition of non-financial reports of the UN Global Compact Network Russia participants. Moscow, December 2011.
8 ACTIVITIES AND INITIATIVES OF THE UNGC NETWORK RUSSIA Priority activities of the Network are: Implementation and integration of the Global Compact Ten Principles in the area of human rights, labour, environment and anti-corruption into activities of the Network s participants; Organisational development of the Network; Promotion of the best practices of the Network s participants and active involvement of the Russian business into the Global Compact initiative. 6 In , the UNGC Network Russia works along the following main areas of activity: 1. Implementation and integration of the Global Compact Ten Principles 1.1. Human rights Manages the risks of human rights violation in relation to company employees. Raises the effectiveness of managing companies social risks in the framework of the corporate government system Labour relations Raises companies efficiency by improving management of corporate ethics as a system of informal regulation of labour relations and its use as a tool for cost reduction, raises productivity and quality of labour, early detects and prevents abuse and conflicts in businesses. Raises the effectiveness of companies social programmes for employees and their family members considering the current social and economic situation Environmental protection Facilitates reduction of the adverse effects of industry on the environment. Facilitates encouraging the efficient energy use and resource saving without detriment to the quality of goods and services provided. Helps managing environmental risks in the companies presence territories. Participates in profile events (conferences, seminars, round tables, etc.), information and advertising events devoted to environmental protection and propagates the best practices in the area of environmental protection.
9 UN Photo/Eskinder Debebe Secretary-General Ban Ki-moon attends and speaks at Global Compact LEAD Luncheon. Davos, January Anti-corruption Raises the effectiveness of managing corporate ethics as a tool for preventing work offences, including corruption. Includes the ethical principles of doing business (due diligence), including inadmissibility of extortion and corruption in all the areas of the companies business. Uses information technologies, information resources and social advertising tools to prevent corruption. 2. Organisational development of the UN Global Compact Network Russia Holds regular and timely organisational events by the UNGC Network Russia. Ensures timely awareness of the UNGC Network Russia participants on the activities of the UN Global Compact, including the respective activities in the Russian Federation. Exchanges the project implementation experience within the Global Compact. Facilitates development and integration of the participants of the Social Charter of the Russian Business and of the UNGC Network Russia in the Russian Federation. Develops the internet information resource (the web page) of the UNGC Network Russia in Russian and English. Measures the results of the projects implemented by the participants of the UN Global Compact Network Russia in the territories of their presence. 7
10 3. Promotion of the results of the Network s participants activities and active involvement of the Russian business into the Global Compact initiative Develops and distributes printed and/or electronic information on the results of activities related to adherence to the Ten Principles of the UNGC both in Russia and in the countries of Russian businesses presence, as well as via accessible international information resources. Organises/participates in public events in Russia and in other countries aimed at promotion of the results of implemented projects; invites the participants of the UNGC Network Russia to take part in international events related to implementation of the Ten Principles of the Global Compact; profiles presentations by the top officials of the UNGC Network Russia. Enhances awareness of the results of the projects implemented by the members of the UNGC Network Russia via Russian and foreign press and electronic mass media. Holds events aimed at active involvement of the Russian business circles into the initiative and increases the number of the Russian participants of the Global Compact. Holds open Network events in the territories of the UNGC Network Russia participants presence. 8 Round table on mechanisms and practices of engagement with stakeholders Engaging Communities: Experience of Sakhalin Energy. Moscow, November 2010.
11 NETWORK S ACTIVITIES IN LEGEND: 1 Human rights 2 Labour 3 Environment 4 Anti-corruption 5 Organisational development 6 Promotion of the results Month Activities Brief description Priorities April April April March March February International seminar Analysis of experience and principles of social responsibility (Murmashi, Murmansk Oblast, Russia) UNGC Network Russia Bulletin, No 1, 2012 Publication UN Global Compact Network Russia: transition to smart growth Round table Promotion of corporate social responsibility in Russian financial community: obstacles and effective solutions (Moscow, Russia) Meeting of the Steering Committee of the UNGC Network Russia (Moscow, Russia) UN Global Compact Dilemma Game Presentation in Russia (Moscow, Russia) 2012 (as of April) Presentation Promotion of principles of social responsibility and regional development within the framework of Global Compact in Russia made at the international seminar. Update on the UN Global Compact and the Network activities (in Russian). Outline of further objectives with a view to encourage new members to join the UNGC Network Russia (in Russian) in UN in Russia Bulletin, No 2, Representatives from bank and financial institutions discussed tools of Corporate Social Responsibility promotion in Russian financial sector. The Steering Committee members adopted the Action Plan for The UNGC Network Russia and Moscow International Higher Business School MIRBIS presented UN Global Compact. Dilemma Game. The Game was recommended for further use in academic institutions, business schools and companies when teaching Corporate Social Responsibility (CSR) and business ethics. February Newsletter Devoted to activities related to the 10 th Global Compact principle (anti-corruption)
12 10 Month Activities Brief description Priorities December December December December December December November November October UNGC Network Russia Bulletin, No 3, 2011 Meeting Promotion of CSR principles and practices as a guarantee of success for Russian business (Moscow, Russia) Exhibition of non-financial reports of the UN Global Compact Network Russia participants (Moscow, Russia) Annual General Meeting of the UNGC Network Russia (Moscow, Russia) World without Corruption programme presentation for the Global Compact Network Ukraine (Kiev, Ukraine) International conference Methods to Counter Corruption for Civil Society and Private Sector (Moscow, Russia) UNGC Network Russia Brochure Global CSR Conference (Seoul, Republic of Korea) Publication The UN Global Compact in the Russian Federation: Business and Indigenous Peoples 2011 Update on the UN Global Compact and the Network activities (in Russian). The UNGC Network Russia and the Agency for Social Information hosted the meeting on development of non-financial reporting Promotion of Corporate Social Responsibility principles and practices as a guarantee of success for Russian business. Exhibition of non-financial reports of the Network participants at the Annual General Meeting. The Annual General Meeting discussed the results of 2011 and priorities for The Committee for Fighting Corruption, the UNGC Network Russia participant, presented World without Corruption programme at the annual meeting of the Global Compact Network Ukraine. The UN Global Compact Network Russia and the Committee for Fighting Corruption, with support from UNDP, organised international conference Methods to Counter Corruption for Civil Society and Private Sector. The conference was dedicated to the International Anti-Corruption Day. Brief about the Global Compact and the Network, including its concept, principles, Communication on Progress (COP) recommendations, benefits and procedures of joining the Global Compact. The Chairman of the Steering Committee presented the UNGC Network Russia vision, priorities and on-going activities at the Global Corporate Social Responsibility Conference. Material on shaping effective communication and cooperation of business and indigenous peoples in UN in Russia Bulletin, No 5,
13 Month Activities Brief description Priorities October September September July June June June Regional Meeting of Local Networks in Europe (Rome, Italy) UNGC Network Russia Bulletin, No 2, 2011 International conference UN Global Compact Russia: business and indigenous peoples (Moscow, Russia) Seminar/round-table on the 10 th UNGC principle UNGC Network Russia Bulletin, No 1, 2011 Information session Business and human rights: new UN standard (Moscow, Russia) Bi-annual General Meeting of the UNGC Network Russia (Moscow, Russia) The UNGC Network Russia representatives participated in the regional meeting of European Networks. Update on the UN Global Compact and the Network activities (in Russian). International conference UN Global Compact in Russia: business and indigenous peoples was jointly organised by the UN Global Compact Network Russia, the Public Chamber of the Russian Federation, Russian Association of Indigenous Peoples of the North, Siberia and the Far East, Sakhalin Energy and International Development Fund of Indigenous Peoples of the North Batani. The Conference participants set up a Working Group to promote best practices on business engagement with indigenous peoples, elaborated in Russia. The Committee for Fighting Corruption, the UNGC Network Russia participant conducted seminar/ round-table devoted to UN Global Compact and its principles at Oxford Summer School organized by the Moscow State University, and presented the World without Corruption programme. Update on the UN Global Compact and the Network activities (in Russian). The information session Business and human rights: new UN standard was open to non-ungc participants and devoted to the UN Guiding Principles on Business and Human Rights endorsed by the UN Council on Human Rights on its 17 th session in June The General Meeting discussed intermediate results and plans for the second half of
14 12 Month Activities Brief description Priorities June Promotion of ISO in Russia Manual on Corporate Responsibility (Moscow, Russia) The Steering Committee of the UNGC Network Russia, Russian Union of Industrialists and Entrepreneurs and Netherlands Standardisation Institute organised a meeting on corporate social responsibility and demographic policy Promotion of ISO in Russia Manual on Corporate Responsibility. June GRI Training (Moscow, Russia) The UNGC Network Russia with support of Bank Uralsib and Evolution and Philanthropy Fund organised the first open certified GRI training. May December December November October The 9 th Annual Local Networks Forum (Copenhagen, Denmark) Annual General Meeting of the UNGC Network Russia (Moscow, Russia) All-Russian Conference Social Partnership and development of civil society institutions. Experience of regions and municipalities (Moscow, Russia) Round table on mechanisms and practices of engagement with stakeholders Engaging Communities: Experience of Sakhalin Energy (Moscow, Russia) Regional Meeting of Local Networks in Europe (Brussels, Belgium) The UNGC Network Russia delegation participated in the UN Global Compact Week The Annual General Meeting discussed results achieved in 2010 and priorities for UNDP and the UNGC Network Russia coorganised and participated in All-Russian Conference Social Partnership and development of civil society institutions. Experience of regions and municipalities, held by the Ministry of Economic Development of the Russian Federation. Round table organised by the Network to introduce and discuss corporate mechanisms and practices of engagement of Sakhalin Energy with stakeholders/communities. The meeting focused on European trends in corporate social responsibility and explored new ways of enhancing synergies between the Networks in Europe. The Networks signed a joint declaration of intent on cooperation between the European based Global Compact Local Networks and the UN Global Compact
15 Month Activities Brief description Priorities July June June April Bi-annual General Meeting of the UNGC Network Russia (Moscow, Russia) UNGC Leaders Summit (New York, USA) Publication of the UNGC Network Russia brochure Corporate Social Responsibility Practices Regional Meeting of Local Networks in Eastern Europe and Central Asia (Bulgaria, Sofia) Participants discussed intermediate progress and results, organisational matters, including results of the Local Networks Forum and the UNGC Leaders Summit in New York; Report Perspectives for participation of the Russian business in Official Development Assistance in selected CIS countries and UN Global Compact Network Russia. Corporate Social Responsibility Practices brochure were presented at the meeting as well as the UNGC column in the Anti-Corruptioner magazine and Information Freedom against Corruption project. The UNGC Network Russia representatives participated in the Summit. Brochure introduces the UNGC Network Russia and Corporate Social Responsibility practices of its participants. Presentation of the single-factory towns project
16 14 Advancement and promotion of international standards ISO Guidance on social responsibility, in Russia, joint meeting of the Responsibility policy and demographic Policy RUIE Committee, the UNGC Network Russia Steering Committee and National Standards Institute Netherlands. Moscow, June 2011.
17 15 First open certified GRI training under non-financial reporting training system (standard GRI 3.1), organised by the UNGC Network Russia. Moscow, June 2011.
18 16 UN Global Compact Russia: business and indigenous peoples International conference. Moscow, September 2011.
19 THE BENEFITS OF PARTICIPATING IN THE UN GLOBAL COMPACT The UN Global Compact proposes an institutional basis for organising and developing corporate strategies of sustainable development, as well as a platform based on universal principles to stimulate innovative initiatives and partnerships of businesses with the civil society, governments and other stakeholders. Participation in the UN Global Compact: Ensures companies access to information on the opportunities and practical tools for long-term sustainable business development. Contributes to the growth in the companies local and global competitiveness by adhering to the generally accepted international principles of sustainable development and responsible business behaviour. Provides an opportunity of attracting UN experts on sustainable development from 130 countries and ensures access to the accumulated experience and knowledge of the organisations of the UN system. Contributes to raising the level of trust for businesses and improving their reputation, recognition (public image and awareness) and perception by the stakeholders, including investors, creditors, etc. Broadens companies access to investment capital, in particular, to the assets of international institutional investors, united by the Principles for Responsible Investment Initiative. Contributes to the exchange of experience and best practices of corporate social responsibility and sustainable development among businesses, the civil society and the government. Allows active and constructive dialogue with the civil society and other stakeholders and strengthens relations with the stakeholders both at the global and national levels. Provides a possibility of creating networks in partnership with other organisations and of taking a leading role in the solution of global issues. 17 Participation in the UNGC Network Russia incurs the following benefits: GRI guidelines and international standard ISO 26000: Russian participants have access to information about possibilities and practical tools that serve as the basis for long-term sustainable development. New UN standards for business and human rights: Russian participants invite UN experts and get access to accumulated experience and knowledge. Business and Indigenous Peoples : Russian participants exchange experience and best practices on corporate social responsibility and sustainable development with representatives from business community, civil society and government. World without corruption : Russian participants are engaged in active and constructive dialogue with stakeholder groups like UN agencies, civil society and government.
20 Exhibition of non-financial reports: Russian participants improve their national and international competitive advantages due to public commitment to the UN Global Compact principles, enhance credibility and reputation among stakeholders worldwide. Annual Networks Forums: the UNGC Network Russia establishes partnerships with other organisations including Asian and European Networks; strengthens relations with stakeholders at national and regional levels including CIS countries. Global Compact LEAD: Russian participants are involved in policy dialogue and take on the leadership in addressing global issues. UNGC Network Russia Bulletin: Russian participants share experience and show best practices in electronic and printed materials on quarterly basis. 18 Annual General Meeting of the UNGC Network Russia. Moscow, December 2011.
21 THE TEN PRINCIPLES HUMAN RIGHTS Principle 1: Principle 2: Businesses should support and respect the protection of internationally proclaimed human rights; and Make sure that they are not complicit in human rights abuses. LABOUR Principle 3: Principle 4: Principle 5: Principle 6: Businesses should uphold the freedom of association and the effective recognition of the right to collective bargaining; The elimination of all forms of forced and compulsory labour; The effective abolition of child labour; and The elimination of discrimination in respect of employment and occupation. ENVIRONMENT 19 Principle 7: Principle 8: Principle 9: Businesses should support a precautionary approach to environmental challenges; Undertake initiatives to promote greater environmental responsibility; and Encourage the development and diffusion of environmentally friendly technologies. ANTI-CORRUPTION Principle 10: Businesses should work against corruption in all its forms, including extortion and bribery.
22 20 UN GLOBAL COMPACT NETWORK RUSSIA Fax: +7 (495)
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