Carsten Ingerslev October 23. 2009
Strategic CSR and the government action plan
Extractive Industries Conference October 23. 2009
Carsten Ingerslev Head of Division, Centre for CSRDanish Commerce and Companies Agency
Carsten Ingerslev October 23. 2009
About us?
Danish Commerce and Companies Agency (DCCA) – part of the Danish Ministry of Economic and Business Affairs
Danish Government Centre for CSR supports Danish Business – in particular SME’s – to use CSR as a business opportunity
Danish Government Centre for CSR is responsible for implementing the government action plan on CSR
Carsten Ingerslev October 23. 2009
Agenda
1. Demand for CSR
2. Strategic CSR
3. The government action plan/initiatives SRI
4. Legislation
Carsten Ingerslev October 23. 2009
2. Demand for CSR
In General
Globalized business means globalized responsibilities
Specifically
An increasing performance paramenter– 6 in 10 Danish companies experience demands from customers on CSR.
– 8 in 10 Danish companies expect increasing demands on CSR in the future.
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Carsten Ingerslev October 23. 2009
Potentiel advantages
–Reduce the Companys cost-level–Improve the Companys ability to recruite employees–Improve the Consumers perception of the Company–Improve possibillities to attract finance/funding–Driver for change/innovation
(European Commission Competitiveness Report 2008)
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Carsten Ingerslev October 23. 2009
3. Strategic CSR
Integrate CSR into the companys core business concept.
Synergy between business demands and society needs.
Balancing the companys chain of values against the competitive context to benefit society and the company the most.
Goal: To go beyond best practice, differentiating from rivals and attracting customers while serving society.
(Ref. Porter & Kramer 2006)
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Carsten Ingerslev October 23. 2009
Three Stages of CSR
CSRas
ValueCreation
CSR as
Risk Management
CSRas
Corporate Philanthropy
Compliance Medium to High Strategic and
Operational Impact
Fundamental Strategic and Operational Impact
InnovationSustainable Business Models
Provide funding and skills
Little Strategic or Operational Impact
Strategic CSR
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Carsten Ingerslev October 23. 2009
4. Why the action plan?
Improving Danish companies capacity of dealing with global social and environmental challenges
Responsibility as competitiveness: Investing in the future
An unexploited potential – 7 in 10 companies engage in CSR to some extent– 22 pct. Of Danish companies engage in CSR reporting
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Carsten Ingerslev October 23. 20099
The government actionplan
Ambition
Denmark and Danish companies should be internationally recognized for responsible growth
30 initiatives - 4 areas of engagement
1. Propagate of Strategic CSR
2. Promote CSR through government activities
3. Company responsibilities and Climate
4. Branding Denmark on responsible growth
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Carsten Ingerslev October 23. 2009
Initiatives in the action plan
• Udbredelse af forretningsdrevet samfundsansvar
(12 initiativer)
2. Fremme af virksomheders samfundsansvar gennem statens aktiviteter
(12 initiativer)
• Erhvervslivets klimaansvar (3 initiativer)
• Markedsføring af Danmark for ansvarlig vækst (3 initiativer)
•Opfordre virksomheder og investorer til at arbejde med samfundsansvar
•Oplysningskrav (1. større virksomheder 2. institutionelle investorer og investeringsforeninger)
•Rådet for Samfundsansvar
•Kampagneaktiviteter
•Konference ”Danish Busniess innovating ofr World Challenges”
•Etablering af vidensnetværk
•Fremskridtrapport GC/PRI
•Rådgive virksomheder gennem danske repræsentationer
•Undersøgelse af forbrugernes indkøb
• Rådgivning om innovation og samfundsansvar regionale væksthuse
•Fællesstatslige indkøbsaftaler
•Vejledning for statens indkøbere
•Dialog med kommuner og regioner
•Lovkrav for statslige aktieselskaber
•Statslige aktieselskabser og GC
•Vækstfonden, EKF, IFU, IØ tilslutning til PRI/GC
•Konference i udviklingslande
•Udbredelse af forretningsdrevet samfundsansvar gennem det regionale erhvervsfremmesystem
•Internationale investeringsbankers inddragelse af samfundsansvar
•Opfordre til, at klimansvar indgår i vrksomheders rapportering om samfundsansvar i deres ledelsesberetning (jf. lovkrav under indsatsomr. 1)
•Klimakompasset (i samarbejde med DI)
•Initiativ til fire partnerskaber: Investrorer, etailhandlen, byggeriet og søfartsområdet
•Markedsføre danske redskaber og kompetencer inden for samfundsansvar
•Afholdelse af internationalt topmøde i 2010 (ISO 26000)
•International konference om ansvarlige investeringer (Princeton)
Carsten Ingerslev October 23. 2009
Initiative: Responsible Investment
International conference on the profitability of Responsible Investment in collaboration with Princeton University
(November 14.-15. 2008)
Participants: Leading scientists in the fields of economy and professional investors working with Responsible Investment.
Results are noted in a research agenda, pointing out future areas of interests and engagement
Collaboration with PRI
Carsten Ingerslev October 23. 2009
Principles for Responsible Investment” (PRI)
UN-backed investor-initiative, comprising 6 principles for Responsible Investment:
1 We will incorporate ESG issues into investment analysis and decision-making processes.
2 We will be active owners and incorporate ESG issues into our ownership policies and practices.
3 We will seek appropriate disclosure on ESG issues by the entities in which we invest.
4 We will promote acceptance and implementation of the Principles within the investment industry.
5 We will work together to enhance our effectiveness in implementing the Principles.
6 We will each report on our activities and progress towards implementing the Principles.
Carsten Ingerslev October 23. 2009
5. Section 99a of the Danish Financial Statements Act ”The requirement for a business to report on its
policies on corporate social responsibility”
- Who is to report?
- What is the report to address?
- Where to report?
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Carsten Ingerslev October 23. 2009
Who is to report
Large businesses in accounting class C and D – equivalent to:
– A balance sum of 143 mio. kr. – A revenue of 286 mio. kr. – 250 employees
Acounting class D: Listed companies and public limited companies
Subsidiaries are exemptet, if parent company reports on their behalf
Carsten Ingerslev October 23. 2009
What is the report to address?
1. The companys policies on CSR, including: guidelines, objectives and strategies
2. How the company translates its CSR policies into action
3. The companys opinion on the results achieved due to its work on CSR
Carsten Ingerslev October 23. 2009
Where to report
The report on CSR is to be included in the managements review or as an appendix to the review
- It may alternatively be published in a supplementary review in the annual report or on the business website
- If an individual report is up to standard it may refer to it instead
- Members of UN Global Compact or UN PRI, may refer to COP instead
Carsten Ingerslev October 23. 2009
Reporting and communicating
Transparency is essensial:
If a company wants to be publicily recognized
If a company wants to reap the full benefit of its efforts
If the company wants to engage its stakehodlers
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