The European Agenda for CSR. Beatriz Berruga Garcia CSR Europe

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1 The European Agenda for CSR Beatriz Berruga Garcia CSR Europe

2 CSR Europe Corporate Members

3 CSR Europe National Partner Network

4 CSR Europe A Platform For... Connecting companies to share and further develop best practice on CSR Innovating collaborative projects between business and stakeholders Shaping the business and political agenda on sustainability and competitiveness

5 Complex Global Business Environment

6 Global Challenges... Copenhagen Consensus 2008

7 International Perspectives UN Global Compact ISO OECD Guidelines UN Human Rights Norms Global Reporting Initiative European Alliance for CSR National legislation...

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9 Official definitions A concept whereby companies integrate social and environmental concerns in their business operations and in their interaction with their stakeholders on a voluntary basis (European Commission) Economic Business strategy Social Environmental Stakeholders

10 Why CSR? Increase sales Attract resources (capital & talent) Enhance trust and reputation Reduce costs Avoid risks Create opportunities

11 Corporate Examples- Saving Costs

12 Corporate Examples- Avoid Risks

13 Corporate Examples- Creating Opportunities

14 Linking CSR & Competitiveness EC: European Competitiveness Report 2008 CSR has a positive impact on firms competitiveness, especially in HR, risk and reputation management, innovation The relationship between CSR and competitiveness appears to be getting stronger E.g. trend towards generation of new business value from innovations that address societal problems

15 EU leadership Key CSR Developments Delors Appeal Business leadership 1995 Lisbon Summit I Lisbon Summit V 1st EU Communication nd EU Communication 2006 EU Multistakeholder Forum European Alliance for CSR European Business Campaign on CSR 2010 Business Roadmap EABIS-2003 Creation CSR Europe 1st European Business Convention on CSR Launch of the European Marketplace & Roadmap for competitive and sustainable enterprise

16 The European Multi-stakeholder Forum Objective: bring together different stakeholder to understand what is being done and debate on priorities NGOs formed Alliance for Corporate Justice February persons from key stakeholder groups, including employers and business representatives, trade unions, investors, academics, civil society organisations and public authorities.

17 The European Alliance for CSR A new political approach to CSR Based on a dual commitment from the European Commission and enterprises Supported by over 200 companies and 70 business organisations Overall coordination by CSR Europe, BUSINESSEUROPE, UEAPME

18 The European Alliance on CSR 10 Key Thematic Areas Innovation in sustainable products & technologies Helping SMEs to flourish and grow Integration of CSR in all business operations Skills for employability Diversity & equal opportunities Improving working conditions, esp. in supply chains Innovation in the environmental field Proactive dialogue and stakeholder engagement Transparency & communications Operating outside EU borders

19 The European Alliance on CSR Engaging Exchange & disseminate CSR Practices Engage in thematic CSR Laboratories Participate in High Level Meetings with other business leaders and European Commissioners Support the European Multistakeholder Forum on CSR Engage with universities and business schools to promote research and education on CSR

20 The European Alliance on CSR CSR Laboratories What is a CSR Laboratory? Open coalitions of cooperation, bringing together interested companies ready to tackle a range of CSR issues in the form of laboratory meetings in order to explore and to develop joint operational projects, in partnership with relevant experts and stakeholders and with the backing of the European Commission. Key elements Business driven Stakeholder & EU involvement Action-oriented Testing solutions

21 The European Alliance on CSR CSR Laboratories 20 Laboratories launched in companies Cross-sectoral approach companies in each Laboratory 60 stakeholder organisations Several European Commission services

22 The European Alliance on CSR The Results

23 The European Alliance on CSR Access the Toolbox 20 tools & 650 CSR best practices on toolbox European Toolbox Roadshow

24 The Toolbox Proactive Stakeholder Engagement Stakeholder mapping & prioritisation Stakeholder panels Tips for engaging with different stakeholder groups

25 The Toolbox Supply Chain Management

26 The Toolbox Sustainable Marketing Guide, toolkit, online game

27 Today and Tomorrow CSR is good in good times, but an undeniable must to cope with bad times. The link between CSR and innovation is exciting and demonstrates the business potential, which is underestimated up to now. Günter Verheugen, Vice-President of the European Commission, December 2008

28 The EU as the Global Leader EU 69 % of sustainability experts expect the EU to play a major role in advancing sustainability over the next 5 years UNEP ISO OECD UNDP Expectations for the EU have risen steadily since first survey in 1994 * * GlobeScan Survey of Sustainability Experts

29 National Examples FRANCE Listed companies report on CSR under NRE law (2001) Grenelle Environment Forum 2007: new five-way dialogue Social inclusion, diversity... EASTERN EUROPE Gov t involvement diverse; foreign MNCs often key drivers; limited NGO & media pressure Key topics: community involvement, corporate governance, public-private partnerships, welfare... UK Business, gov. and strong civil society reinforce each other as drivers of CSR Gov. SD strategy (2005), Sustainable procurement action plan (2007) GERMANY Strict requirements for environmental reporting Labour laws & corporate governance regulations Demographic change NETHERLANDS Gov. policy on public procurement 100% SPP by 2012 NORDIC COUNTRIES Scandinavian welfare state system Sweden: state owned companies to file sustainability reports (2009) Norway: new law 40% women board members in listed companies (2008) Denmark: CSR strategy (2008)

30 The EU agenda going forward The Multi-stakeholder Forum Results: EC ESG Workshops on CSR (companies, investors, trade unions and NGOs) Liability through EU legislation For Human Rights infringements in the supply chain New Commission coming in Enterprise 2020

31 The message from President Barroso We need a new culture of ethics and responsibility. This is essential not just to restore the brand image of particular enterprises but to restore people's faith in the market economy itself. People still want markets but they want markets with a conscience. José Manuel Barroso, President of the European Commission (Speech at CSR Europe s General Assembly, Brussels, 11 June 2009

32 Closing Remarks I believe that we have come to a point now where sustainability and corporate responsibility is not only central to business strategy but will increasingly become a critical driver of business growth. I believe that how well and how quickly businesses respond to this agenda will determine which companies succeed and which will fail in the next few decades. Patrick Cescau, Group CEO, Unilever, 25 May 2007