How to start your COP (Global Compact Network Belgium workshop 6 may 2010)

COP SEMINAR

6 May 2010

UN Global Compact Network Belgium

Global Compact Network Belgium6/5/2010

1

Welcome

Iris Van der Veken

Chairman UN Global Compact


2

Agenda

• Welcome: brief update

• Introduction speaker by Stephan Vanhaverbeke

• Session on the challenge of implementing COP

• Case Study Rosy Blue

• Discussion – Q&A


3

United Nations Global Compact

The United Nations Global Compact is the world’s largest

voluntary corporate citizenship initiative which is committed to

aligning the operations and strategies for all type of

organizations with the universally accepted principles of the

UN covering human rights, environmental protection, labour

standards and anti-corruption.

4

What is United Nations Global Compact?

04/08/23Global Compact Network Belgium



5

Principle 1: Businesses should support and respect the protection of internationally proclaimed human rights, andPrinciple 2: Businesses should make sure they are not complicit in human rights abuses.

Human rights

Principle 3: Businesses should uphold the freedom of association and the effective recognition of the right to collective bargaining;

Principle 4: Businesses should uphold the elimination of all forms of forced and compulsory labour;

Principle 5: Businesses should uphold the effective abolition of child labour; andPrinciple 6: Businesses should uphold the elimination of discrimination in respect of

employment and occupation.

Labour standards

Principle 7: Businesses should support a precautionary approach to environmental challenges; Principle 8: Businesses should undertake initiatives to promote greater environmental

responsibility; and Principle 9: Businesses should encourage the development and diffusion of environmentally

friendly technologies.

Environment

Anti-corruption

Principle 10: Businesses should work against corruption in all its forms, including extortion and bribery.

Main Objectives of our Network

• Global Compact Network Belgium (GCNB)

• Connect the current Belgian participants to the global network

• Incorporate CSR practices based on the 4 pillars of UNGC with other initiatives: joined efforts

• Improve CSR reporting standards


6

Promote a culture of compliance and the rule of law by providing systematic ways to help improve day-to-day conduct of business

Current Status Participants GCNB


7

By end 2011 we aim to

increase our membership

by at least 15 %

Activities Q2 planned

• Today: COP Workshop

• May 11th: Workshop Human Rights in cooperation with KAURI

12.30 – 16.00, Location ONDD, Montoyerstraat, 3000 Brussel

• June 1st: Launch new website

• June 24-25th: Leaders Summit New York

• July 5 or 6th: Debriefing and update of the results of the Summit to

all the Belgian participants; date & location to be confirmed


8

COP as part of your CSR implementation strategy


9

COMMIT

MEASURE

IMPLEMENT

COMMUNICATE

DEFINE

ASSESS

About COP – Communication on progress

• Format for COP is flexible, but 3 key elements

– Statement by the CEO: clear commitment

– Description of practical actions

• During the first five years of participation, each COP must address

at least two of the UN Global Compact’s four principle issue areas,

while all four must be addressed after five years.

– Measurement of outcomes

• Identify targets

• Define performance indicators

04/08/2310Global Compact Network Belgium

Notable COP

Since 2004 to highlight and recognize outstanding

Communications on Progress (COP) with respect to the

quality and comprehensiveness of the information they

provide.


11

COP Workshop by Yves Garenne


12

13Global Compact Network Belgium05/04/10

Sustainable business

• Needs strategy including CSR

• “Sustainable development” compliant

• Stakeholder dialogue capabilities

• Value chain control

• Long term commitment

• An evaluation system

13


The 3 systems

14

Finance

Operations CSR

© Ecophanie


Sustainable business

15

Vision / mission

Strategic review

Market input

Stakeholder needs Stakeholder map

Sphere of influence

SD risks assessment

Goals / Action plan

CEO and board values

CEO and board values

CSR Toolbo

x

© Ecophanie


CSR toolbox

Repository Repository

Guidelines Guidelines

Standards Standards

Management Management systemsystem

Insurance Insurance protocolsprotocols

ReportingReportingMethodologyMethodologyCommitmeCommitmentnt

GRIGRIGRIGRI

AA1000AA1000

ISO14000, ISO22000, ISO14000, ISO22000, OHSAS18000...OHSAS18000...

Global Global CompacCompac

tt

Global Global CompacCompac

tt

SA8000SA8000

ISO26000ISO26000ISO26000ISO26000

SD21000SD21000

ILOILO

OECDOECD

Agenda 21Agenda 21

© Ecophanie



17

Principle 1: Businesses should support and respect the protection of internationally proclaimed human rights, andPrinciple 2: Businesses should make sure they are not complicit in human rights abuses.

Human rights

Principle 3: Businesses should uphold the freedom of association and the effective recognition of the right to collective bargaining;

Principle 4: Businesses should uphold the elimination of all forms of forced and compulsory labour;

Principle 5: Businesses should uphold the effective abolition of child labour; andPrinciple 6: Businesses should uphold the elimination of discrimination in respect of

employment and occupation.

Labour standards

Principle 7: Businesses should support a precautionary approach to environmental challenges; Principle 8: Businesses should undertake initiatives to promote greater environmental

responsibility; and Principle 9: Businesses should encourage the development and diffusion of environmentally

friendly technologies.

Environment

Anti-corruption

Principle 10: Businesses should work against corruption in all its forms, including extortion and bribery.


Global compact does'n'donts

• It is not a communication tool

• It is the result of a strategic approach and one of the output of the strategic process

• Be ambitious but realistic

• Do not misuse transparency and communication

18


Communication On Progress

• Looks like a mountain ?

• Identify the key stakeholders inside your sphere of influence (ISO26000)

• Stakeholder dialogue

• Keep it simple, it’s just an output of your self assessment system

• BtoC or BtoB adaptation

19


Useful or not ?

20

Values

Business

CEO and Board value

system consistency

Customer expectation

s

Address UN MDG’s

Public equity : sustainable index ?

Private equity : SRI investors of LBO ?

Profit


SEC guidelines and warnings

“These [GRI] and other reporting mechanisms can provide important information to investors outside of disclosure documents filed with the Commission. Although much of this reporting is provided voluntarily, registrants should be aware that some of the information they may be reporting pursuant to these mechanisms also may be required to be disclosed in filings made with the Commission pursuant to existing disclosure requirements.”

SECURITIES AND EXCHANGE COMMISSION (Commission Guidance Regarding Disclosure Related to Climate Change) 2 february 2010

21


Basic COP

22


Basic COP

• Content– Global compact implementation

– Ideally strategies and action plans

– Encouragement to use GRI guidelines

• Format– Preferably, integrated in CSR report or annual report

– Written in the Stakeholders’ languages

– Web based COP are welcome

23


Basic COP (Cont’d)

• Minimum requirements– CEO Statement

– During the first 5 years : activities or policies for at least 2 of the 4 issues (human rights, labour, environment, anti-corruption)

– After 5 years : full implementation of the 4 issues. Otherwise you’ll have to explain…

– Measurement of outcomes (targets, KPI, measure outcomes)

24


Basic COP sharing

• Stakeholders– A formal sharing with internal and external stakeholders

• Global compact1. Submit electronic version

2. Acceptance

3. Publication on GC website

• Deadline– One year to publish the 1st COP

– Then 90 days, if necessary, to provide the missing information

25


Basic COP Sanctions

• Sanctions– Fail to meet the COP deadline => “non communicating”

participants

– After one year of “non communicating” : publicly delisted

26


Notable COP

27


Notable COP Program

• At least : basic COP requirements• Statement for GC Support, at least 3 criteria among :

– CEO statement or chairman– Statement is part of COP, not stand-alone– Reasons and/or benefits for GC Support– Statement is linked with major actions / outcomes in

implementing the Global Compact principles and/or with major actions and outcomes in undertaking partnership projects.

– Description of active participation at UN Global Compact events or in local networks and/or support for the initiative was expressed in public interviews or public speeches

28


Notable COP Program (Cont’d)

• Clear and detailed description of practical actions taken in implementing the UN Global Compact principles and/or in undertaking partnership projects in support of broader UN goals (a minimum of four criteria must be met in this category).

– Commitments and actions are linked to business relevance of UN Global Compact principles (“materiality”).

– Reflection on the company’s sphere of influence, such as supply chain, customers, local communities, etc. and reporting boundary.

– UN Global Compact principles are reflected in management systems, such as policy and strategy documents, monitoring system and daily processes.

– Actions are integrated into core business processes (not a stand-alone project, not philanthropic).

– Actions are fully described in a way that allows readers to learn from and replicate them (e.g. no bullet point or check box descriptions).

– A future plan of action (for the following year) has been outlined.– Description of partnership projects in support of broad UN goals

29



• Measurement of outcomes that allows for checking progress (a minimum of four criteria must be met in this category).

– Performance indicators are clearly defined or a full set of standard indicators is used (GRI, Ethos institute etc.).

– Performance is shown for several years, allowing to check progress.

– Performance is compared to peer companies or industry sector average.

– The report presents positive and negative aspects of the organization’s performance to enable a reasoned assessment of overall performance.

– Targets for the following year(s) are specified.

– The business case is made, i.e. activities and outcomes are linked to financial data.

– Performance relates to the ten principles of the UN Global Compact, even if the emphasis is placed in the implementation of some specific principles.

30



• Reporting process ensures reliability, clarity and timeliness of information and includes stakeholder dialogue (a minimum of three criteria must be met in this category).

– Assurance: Information and processes used in the preparation of the COPs are externally assured by peer review, stakeholder audits/consultations, in-depth third party assurance based on standards, etc.

– Dissemination and stakeholder engagement: COP is actively shared with relevant stakeholders such as employees, shareholders, suppliers, customers, local communities, financial analysts, civil society organizations etc. and special efforts for stakeholder engagement are described.

– Clarity of COP: Information is made available in a manner that is understandable and accessible to stakeholders using the report.

– Timeliness of COP: The publication of the COP is aligned with the sustainability reporting schedule or the COP is posted on the UN Global Compact website no later than six months after the end of reporting period.

31


GRI and Global Compact

32


GRI history

33


GRI, a definition

A reporting system based on the core

issues of sustainable development :

environment, social and governance

(eventually culture…)

34


What is GRI ?

• Comprehensive set of guidelines

• Multi-stakeholder community

• Global credibility and acceptance

• Widely-used

35


Report criteria

Report content Materiality Stakeholder Commitment Contextual / boundaries Comprehensive

Quality insurance Balance Benchmark Precision Timeliness (3 years) Reliability Clarity

36


Application levels

37

Management Management approachapproach

Performance indicatorPerformance indicator

C C+ B B+ A A+C C+ B B+ A A+

NADMA for

each indicator

DMA for each

indicator

At least 10 At least 20All the core indicators

(41)

+ third party audit


The indicators’ rules

• Materiality

• Boundaries

• Growth tolerance

• Timeliness over 3 years

• Long term commitment

• And a reliable BI…

38


GRI procedure

39

Goals / Action plan

Stakeholders' needs

GoalsKPI

Continuous Improvement

Stakeholder dialogue

Rosy Blue Case Study

Our Corporate Structure

Group Associates CEO

Audit Committee

Corporate Affairs Committee

AML &Anti-Corruption

Committee

CSR Advisory Board

Family CouncilBelgium

India

UAE

USA

Hong Kong

Israel

Japan

South Africa

Thailand

Sri Lanka

Armenia

China

Russia

Luxembourg

Personal Advisorto the CEO

Group Executive Management

Manager Corporate Affairs

Global

Global AML Compliance

Manager

“To be a global leader in creating and fulfilling consumer desire for diamonds.”

Vision & Corporate Philosophy

We value fair and transparent business practices.

We deliver trust throughout the supply chain.

We contribute to society where we work and live while

respecting the local customs and cultures.

We promote diversity, accountability and human

rights.

We continue to build health & safety programs –

taking that extra step.

We acknowledge the seriousness of global

environmental issues and act to protect the

environment.

Our Core Values

Accountability

IntegrityDiversity

44

Our global presence - 14 countries

45

Our people

Current business model

RETAILER

Since we are client of the 4 main mining houses, we are among the largest buyers of rough diamonds in the market in terms of rough purchases.

Sources of Rough Diamonds

• CRITICAL consumers• Diamonds are an ever lasting symbol of

LOVE – EMOTIONS – TRUST • It provides store of VALUE• CONTINUED CONSUMER CONFIDENCE in our products

is essential• It’s all about doing things RIGHT!

48

Within every change there is an opportunity for dynamics

49

Diamonds and intangible value

• Our today’s ACTIONS will BUILD tomorrow• The Industry has EVOLVED in the last decade• Gone are the days of CONFLICT DIAMONDS – that inflicted

human pain – 180 degrees turn around• The Industry can take GREAT PRIDE in its ACHIEVEMENTS• At a very early stage RB REVIEWED

all our business activities and processes.• Today: throughout the supply chain we are adopting MODERN

ETHICAL STANDARDS

50

Rosy Blue Commitment

General CSR Initiatives

• UN Global Compact

Industry wide Initiatives

• Responsible Jewellery Council

Proprietary Corporate Initiatives

• Rosy Blue Internal CSR Model• Best Practice Principles• Business Excellence Model• Wal-Mart

National Laws and Regulations

International Laws and RegulationsKimberley Process & System of Warranties

CONSUMER CONFIDENCEVoluntary Initiatives

ONGOING COMMITMENT

51

Key Initiatives

Business responsibilities

Social responsibilities

Environmental responsibilities

Product integrity

• De Beers Best Practice Principles • Rio Tinto Business Excellence Model• Wal-Mart• Responsible Jewelry Council• United Nations Global Compact• Rosy Blue Compliance model

52

Key Initiatives

Signifying our COMMITMENT to operate in RESPONSIBLE and SUSTAINABLE manner

53


ROSY BLUE SIGNSUN GLOBAL COMPACT200

8

ACTIONS:• JUNE 2008: ROSY BLUE SIGNED THE UN GLOBAL COMPACT• December 10th 2008: Rosy Blue supports the

60TH ANNIVERSARY OF THE UNIVERSAL DECLARATION OF HUMAN RIGHTS

• April 29th 2009: 2008 CSR Report is SUBMITTED as COP (Communication on Progress) on the UN Global Compact site

• May 1st 2009: RECOGNIZED as COP• Second CSR Report June 18th 2010

54


55

Global Corporate Compliance Team

Local CSR-AML Compliance Officers

North America (1)

Europe (3)

Africa (2)

Asia (9)

Global Corporate Affairs Committee (5)

Manager Corporate Affairs Global

CEO

Executive Management

Group Associates

Global AMLCompliance

Manager

Global Corporate Affairs Department (4)

56

FOLLOW UP

REPORTING COMMUNICATION & IMPLEMENTATION

PLANNING

Continuousfollow up

Rosy BlueCSR Strategy

Dedicated Group Associates & Group

Executive Mananagement

Implementation of Corrective Actions

Rosy Blue Standards

Report to the Group Associates &

Group Executive Management

Corrective Actions

Global Corporate Affairs Department

Documentation review + Pre audit ‑

on site‑Implementation

Local CSR-AML Compliance

Officers

Global Corporate

Affairs Department

Annual CSR Report

Answer Compliance Questions

Follow up on Legislation

Collect Data & Statistics

Organize Seminars &

Training Sessions

Top downBottom up

Communication

Develop Training Manuals

Develop & Update Policies & Procedures

External Communication

Strengthening the

compliance model

57

CSR information management system

58

Key Performance IndicatorsQuantifiable and measurable results

Environment

Long term strategy

CSR Business Partners

Workplace Health & Safety

Community

• CSR VISION announced• CSR EXTRANET developed across the Group• INTERNAL CONTROL SYSTEM through documentation

review and pre-audit on-site visits• MEMBERSHIP UN GLOBAL COMPACT• Rosy Blue E-TRAINING ACADEMY established

59

Main achievements in 2008-2009

• ACTIVE INVOLVEMENT in RJC• STRONG AWARENESS programme on HEALTH &

SAFETY• START AWARENESS programme ON ENVIRONMENTAL

IMPACT• REVISED CODE OF CONDUCT and all policies and

procedures• CSR TRAINING across the Group

60


• EXTERNAL CSR ADVISORY BOARD established– Mr. Thomas Leysen

Chairman Umicore, Chairman of the Federation of Enterprises in Belgium– Baron Luc Bertrand, Chief Executive Officer, Ackermans & van Haaren– Mr. Sonjoy Chatterjee, Director, ICICI Bank– Mr. Tony Phillips, Former Chief Executive Officer, Barloworld

• REVIEW MEETING APRIL 3RD External CSR Advisory Board – UAMS – CEO, COO, CFO Rosy Blue

• FIRST CSR REPORT ROSY BLUE GROUP published May 4th

• COP UNITED NATIONS

61


62

Internal CSR auditsINTERNAL ON-SITE AUDITS

2007 2008

BELGIUM

USA

ARMENIA

CHINA

HONG KONG

THAILAND

SRI LANKA

RUSSIA

SOUTH AFRICA

INDIA

ISRAEL

JAPAN

UAE

ON-SITE INTERNAL AUDITS Company tour + checklist Process & procedure control

AML procedure Know Your Customer procedure Cash transactions procedure Business records relevant to AML/CFT compliance Kimberley process and System of Warranties procedure Declaration on invoices Disclosure procedure Procedure to contractors Employment practices Health & Safety practices Human Rights practices Open communication Environmental Practices

Documentation review: supporting documents Interviews with Management and staff Training records Conclusion audit Corrective Actions Follow up

63

Internal CSR audit reporting

PLAN

NIN

G

CSR Corporate Extranet

Group Associates

Develop & update Policies & Procedures CSR initiatives

Global Corporate Affairs Department

Collect Data & Statistics

Follow up CSR Market

Information

Facilitation by local CSR-AML compliance officer

Upload supporting documents

Verification documentation by Corporate Team

Compliant Corrective actions

Pre-audit visitsOffices & factories

Report to Group Executive

Management


Management &Group

Associates

Follow up Legislation

Training, Research &

Development

Follow up on corrective

actions

Final report issued by Group

Associates

Compliant Corrective actions

External audits


Management


Management &Group

Associates

Follow up on corrective

actions

Final report issued by Group

Associates

Group Associates review

PRE-

AUD

ITRE

PORT

ING

MA

NAG

EMEN

T RE

VIEW

64

External CSR audits by SGS

BELGIUM

USA

ARMENIA

CHINA

HONG KONG

THAILAND

SRI LANKA

RUSSIA

SOUTH AFRICA

INDIA

ISRAEL

JAPAN

UAE

CSR AUDITS ON-SITE ASSESSMENT

2005/2006 2007 2008

4INF

2INF

3INF

CSR AUDITS EXTERNAL DESKTOP REVIEW

2005/2006 2007 2008

1INF

5INF

1INF 2INF

4INF 4INF

1INF

“Rosy Blue have been an active participant of the BPP programme since its inception in 2005. NO MATERIAL BREACHES

HAVE BEEN FOUND TO DATE and they are COMPLIANT with the requirements of this programme, having taken

PROMPT ACTION to close out any issues found in our sample assessments.“

Mrs. Effie Marinos

CSR Solutions Manager - EAME

65

SGS

• Time of global ECONOMIC UPHEAVAL and UNCERTAINTY

• Eventhough we are in TOUGH ECONOMICAL TIMES and facing enormous PRESSURE TO CONTROL COSTS, we will CONTINUE TO MOVE FORWARD in compliance – CSR IS A LONG TERM ENDEAVOR

• AVOID DUPLICATION IN REPORTING!

Challenges Ahead

• QUANTIFIABLE and MEASURABLE results• A major challenge is to WORK CLOSELY with ALL OUR

STAKEHOLDERS throughout the SUPPLY CHAIN to focus on CSR and EVOLVE to sustainable development.

• Together we can achieve a more SUSTAINABLE FUTURE

WE WELCOME YOUR [email protected]

Challenges Ahead

Time for Group Discussion


68

Connecting to the Global Compact

www.unglobalcompact.org

www.globalcompact.be


69

Thank you for your attention

Date post:	01-Nov-2014
Category:	Business
Upload:	global-compact-network-belgium
View:	1,709 times
Download:	3 times