PROJECT GROWING INCLUSIVE MARKETS
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1 PROJECT GROWING INCLUSIVE MARKETS Dossier: Production and Launching Event of the Brazilian Version of the Report Creating Value for All: strategies for doing businesses with the poor
2 Project Growing Inclusive Markets Dossier: Production and Launching Event of the Brazilian Version of the Report Creating Value for All: strategies for doing businesses with the poor 1 Antecedents Since 2001, the Fundação Dom Cabral Corporate Responsibility Sustainability Center has paid attention to the development process of the implications of society/business relations and has made efforts to develop and apply knowledge that will make it feasible to effectively insert companies into sustainability themes. FDC s participation in the UNDP started when it received an invitation in July 2006 to set up a group of researchers that would write Brazilian business cases to establish a research database. 2 Preliminary negotiations Since then, FDC has produced 3 Brazilian company cases for the project: - The Natura Ekos Case: perfume essences promote sustainable development in Brazil, - Sadia Sustainable Hog Raising Program (3S Program): bringing sustainability to the supply chain, - Votorantim Paper and Pulp: planting eucalyptus in partnership with small rural producers. And it has also been present at events linked to the GIM project: - at the 2007 Academy of Management in Philadelphia; - at the Dalhousie University Project meeting in Halifax, Canada. In the latter, conversations were begun to produce the Brazilian version of the report Creating Value for All: strategies for doing business with the poor, which would be launched in July, Common interest between UNDP and FDC was established around the following points, in agreement with the New York and Brasilia offices: - to produce an integral Brazilian version in enough numbers to allow a reasonable distribution to the interested audience companies, the government, the press and organized civil society; - and hold a public launch event, promoted in (and with the participation of) academia, companies, NGOs and the government. 2
3 3 Initial activities FDC has been charged with the task of producing the Brazilian version and organizing the launch event. FDC has also obtained sponsorship from the Brazilian companies described in the cases to enable it to cover the expenses involved. Sadia, Natura, Votorantin and Banco Real were the companies that responded to the invitation. Fundação Avina and the Comitê Brasileiro do Pacto Global (Brazilian Committee for the Global Compact) associated themselves to the initiative to support the launch event. 4 The Report The Brazilian version of the report contains, besides the complete original report: - an introduction to the Brazilian version, signed by the FDC technical team; - an appendix with the translation of the Brazilian company cases, as available at the GIM Project site. The translation was contracted by FDC and underwent careful technical review. Graphic editing was carried out by FDC. 500 copies were published and distributed to those present at the launch event, to the sponsoring companies, to UNDP, and to FDC partners. About 180 copies are stored at FDC as a technical reserve. 5 The launch event On November 17, 2008, at Hotel Mercure Paulista in São Paulo, some 80 people took part in the event that started at 9 am and ended at 1 pm. Among the participants we should highlight representatives from Instituto Ethos, Instituto Akatú, Basf, Ashoka, EAESP-FGV, CCR, freelance consultants and representatives from several NGOs (presence list attached). The agenda for the event was proposed by FDC in constant consultation not only with UNDP headquarters in NYC (Austine Gasnier) but also with the Brasília office (Gianna Sagazio), which led to the event folder (attached). The following participants presented lectures and commentary: - Lucas Black (UNDP, New York), - Jorge Abrahão (acting president, IPEA, the Brazilian federal government research institute); - Vitor Seravalli (president, Global Compact Brazilian Committee), - Paulo Rocha (Fundação Avina), - Maria Raquel Grassi and Cláudio Boechat (Fundação Dom Cabral), - Paloma Cavalcanti (Sadia, responsible for the Sustainability area), - Rodolfo Gutilla (Natura, Director), - Maria José Zakia (VCP, consultant for the Sustainability area). 3
4 In his opening keynote speech, UNDP representatives Lucas Black contextualized the project. Following that, there was a roundtable with representatives from CBPG, Avina and FDC, and then there was the presentation of the Brazilian cases, which were presented by representatives from Sadia, Natura and VCP. Roundtable Lucas Black s lecture 4
5 Banner at the entrance of the auditorium 6 Promoting the event Promotion for the event concentrated on contacts with hundreds of companies and institutions on the FDC and sponsoring companies mailing lists, and it was done by sending out printed and digital invitations. Through this strategy we promoted closer links among companies and their stakeholders and made it easier for them to understand how important the event and their participation in it was. If we consider that the event was prepared for 100 participants, then the presence of some 80 people was quite representative. Press assistants from FDC and from the companies represented in the Brazilian cases were also active in the process and, working jointly with the UNDP office in New York City, they prepared texts and distributed them through several printed media. An agenda note with information on the event and a press release (see annex, at the end) detailing the cases were produced. It was defined that promotion would focus on the cases instead of using the UNDP report as a hook, as a promotion had already been carried out at the beginning of the year. The agenda note was distributed to a restricted mailing that is responsible for publishing agendas, and the press release was received by a mailing of 65 journalists. Marina Tinoco, the TV Cultura producer who is in charge of the Social Balance program, was present at the event. However, the most important journalists who write about the sector were present at the International Biofuel Seminar that was organized by the Ministry of Mines and Energy in São Paulo on the same day. Marina Tinoco remained throughout the event and also spoke with Sadia representatives. She indicated that a report on the theme could be prepared if there was news in the cases and the chance to obtain images. After the event, Ana Luiza Herzog from Exame magazine; André Trigueiro from Globonews TV and Bettina Barros from Valor Econômico were contacted, and they received the printed version of the UNDP report. 7 Conclusion We believe that these efforts were rewarded. After two years and several interactions, we have managed to achieve the result of the efforts spent on the Initiative Developing Inclusive Markets, which brought together a network of scholars from several developing countries and consultants from specialized institutions about the role the private sector plays in development. The launch event of the Brazilian version has made the subject more identifiable and clearer to the agenda of companies in Brazil, thus signaling opportunities for their business strategies. 5
6 FDC would like to thank UNDP for the chance to participate in this Initiative and to prepare the Brazilian version. It would also like to thank Banco Real, Natura, Sadia and VCP, companies that opened their doors to information research and case validation, for their sponsorship and unconditional support for this task. Cláudio Boechat and Benedito Nunes January,
7 PNUD GROWING INCLUSIVE MARKETS ATTENDANCE LIST NOVEMBER 17 TH, :30 TO 1 P.M. MERCURE HOTEL SÃO PAULO Names Institution 1. Alessandra Araújo Sei Consultoria 2. Ami Tanaka 3. Ana Carolina Evangelista Instituto Akatu 4. Ana Luiza M. Da Riva IFC 5. Ana Romanelli Fundação Avina 6. Cintia Kogeyama Sadia 7. Cláudio Bruzzi Boechat Fundação Dom Cabral 8. Davis Tenório Grupo ECO 9. Emi Tanaka 10. Fabíola Kazue Odani 11. Fabíola Zerbini FACES do Brasil 12. Fausto Amadigi Masisa 13. Frederico de Almeida Fundação Getúlio Vargas 14. Glenia Silva de Deus Itaú 15. Guilherme Bara Basf 16. Izabel Cristina Galvão da Silva 17. Jorge Abrahão de Castro IPEA 18. José Carlos de Freitas Sadia 19. Julio Ohlson Votorantim Celulose e Papel 20. Kristhian Kaminski Sadia 21. Leila Novak Instituto Papel Solidário 22. Ligia Martins Fundação Getúlio Vargas 23. Lizete Prata Associação Mundaréu 24. Lucas Black UNDP s 25. Luciana Lopes Instituto Papel Solidário 26. Mabel Minto Basf 27. Maria José Brito Zakia Votorantin Celulose e Papel 28. Maria Raquel Grassi Fundação Dom Cabral 29. Marian Nhoque Sadia 30. Marina Mattaraia CCR 31. Marta Rocha Atitude Brasil 32. Mateus Mendonça Natura 33. Matias Rath Fundação Orsa 34. Oscar Vilhena Vieira Conectas 35. Paloma Cavalcanti Sadia 36. Paulo Midlim Fundação Orsa 37. Paulo Rocha Fundação Avina 38. Rafael Sgarbi Sadia 39. Roberta Simonetti EAESP Fundação Getúlio Vargas 40. Roberto Laureano da Rocha CRUMA 41. Rodolfo Guttilla Natura 42. Rodrigo de Mello Brito 43. Ronie Maltauro Sadia 44. Suzana Barros Eletrocooperativa 45. Suzana Leal IPE 46. Tais Castelli Sadia 47. Telma Rocha Fundação Avina 48. Vagner Fachetti Sadia 49. Vanessa Oliveira Sadia 50. Vitor Seravalli Comitê Brasileiro pelo Pacto Global 51. Wellington Nogueira Doutores da Alegria 7
8 Welcome Banner 8
9 Invitation 9
10 Press Release Sustainability and organizational practice: inclusive businesses as a worldwide trend Fundação Dom Cabral presents Brazilian cases of companies that generated value and changed their relationships with communities How to develop sustainable businesses? How to generate value and at the same time reduce impact on the community? After all, can inclusive businesses be profitable? To be able to discuss these and other issues, the Fundação Dom Cabral Sustainability and Corporate Responsibility Center will present next Monday, November 17, Brazilian cases of companies that developed sustainable strategies and changed their relations with their stakeholders. Besides dealing with inclusive businesses as a trend in the practice of sustainability in organizations throughout the world, the event will show how Natura, Sadia and Votorantim Celulose e Papel (VCP) have managed to change their relations with the communities they are inserted in while generating value and businesses through practical and efficient solutions. The occasion will also serve to launch the Brazilian version of the report Creating Values for All: Strategies to Do Business with the Poor, which was developed by the United Nations Development Program (UNDP). The study is the result of an analysis of sustainable actions that made a difference and it is based on 50 cases studies from several places throughout the world. The private sector can decrease poverty and contribute to human development in many ways. The three cases that will be presented are concrete and perfect examples of how this is possible. We hope that the debate about such initiatives will result in new ways to reduce inequality in our country, states Cláudio Boechat, professor and researcher at FDC. Natura: based on a strategy of using natural raw materials from the Brazilian flora as a platform for its products, the company has opted to guarantee sustainable extraction to achieve scale at local production. It has thus developed a new business model that involves small communities, civil society organizations and local governments. All the partners involved in the production chain received profits that range from 15% to 30% of the investment made. Sadia: to reduce methane gas emissions, it developed the Sustainable Hog Raising Program. Over 3.5 thousand producers in the company s production chain were oriented so that the change would follow the Kyoto Protocol Clean Development Mechanism. Such reduction might also lead to the sales of carbon credits. Votorantim Celulose e Papel (VCP): it maintains a program to expand forest areas in Rio Grande do Sul, based on a business model that includes local communities as partners in Eucalyptus production. The company has also set up a partnership with ABN AMRO Real bank to make it easier for local farmers to obtain credit. 10
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