UNDP & the Business SectorBureau for Resources and Strategic Partnerships UNDP and the Business...

UNDP & the Business Sector Bureau for Resources and Strategic Partnerships

UNDP and the Business Sector

A Strategic Partnership to Make Business Work for the Poor


Session Outline:

1. The “How” – process, tools

2. UNDP partnership approach

3. UNDP strategic goals and opportunities


The Partnership Process and the Tools

Policy Statement Guidelines Screening support MOU – Project Document - CSA Advisory Board / Steering Committees “Starters’ Toolkit”

General organizational instruments to facilitate & manage cooperation


UNDP Policy Statement

Tools / Instruments

Principles to navigate cooperation with business: Based on national priorities Support UNDP’s overall goals No commercial or productive activities Impartiality and no conflict of interest Transparency and coordination No special advantage or exclusivity Inclusion of all stakeholders Sufficient resources, time and capabilities from UNDP

The various types of engagement with business


…and the WHAT NOT

NO Commercial activities NO UNDP as contractor for a private

investment / tax breaks for company imports NO activities where the primary beneficiary

is the company itself DO ask yourself what is the motivation

of the company


UNDP Guidelines

Tools / Instruments

Complements SG’s Guidelines

Key elements: Screening / assessing the partner How to Define the Partnership Activity Types of agreements governing contributions Approval procedures / authorities Use of UNDP name and emblem Business ethics, Code of Conduct for UNDP staff Documenting experiences, learning Internal support units etc


Screening / assessing the partnerTools / Instruments

Child labour, forced labour Health and safety records and practices Freedom of association Discrimination and diversity Corruption Working hours Remuneration Product safety and impact Community relations Indigenous people’s rights Environmental records and practices Human Rights records and practices Overall public reputation

Inter-agency Corporate Assessment Tool - Calvert


MOU Prodoc CSA(Financial & in-kind)

General framework Standard - objectives, activities, outputs

Agreement on / use of specific contribution

Areas of cooperation Roles of partners Ref. to prodoc

Broad outline of activities

Reference to CSA Reporting

Management & coordination

Budget (contributions from all partners)

Administration / support costs

Needs gvmt signature even if 100% CS

Advertisement / use of name & logos

Legal details

Signed by:

UNDP + Partner

Signed by:

UNDP + Gvmt

Signed by:

UNDP + Partner

Tools / InstrumentsFormalizing the cooperation


Advisory Board / Steering Committees

to provide overall advice and feedback along with insight

and a deeper understanding of the business perspective

Tools / Instruments

… in general also consider:


Tools / Instruments

Strategy Development

Managing partnerships in the country office

UNDP as advocate for CSR

Using Global Compact as framework

Formalizing cooperation

Communications and media

“Starters’ Toolkit”

Practical tips to get started


Partnershipsboth an art and a science

Art:

• Insight, imagination

• Vision, creativity• ‘People skills’

• Active listening

• Personal engagement

Science:

• Knowledge, analysis,

conceptualization

• Understanding the past

• Administrative, organized

• Precise communication

• Professional detachment


Division for Business Partnerships

Overall advice, guidance and support to COs, units

Global positioning of UNDP with business, donors

Broker, guide and coordinate partnerships (global, national)

Support negotiations and partnership development

‘Knowledge Packs’ – Sharing good practice

Screening of Companies – Calvert Database

Toolkit, policies, guidelines

Support to strategy development, training

Global Compact

Growing Sustainable Business initiative

http://intra.undp.org/brsp/business/index.html

External global relationships – Internal support“Double T” strategy – deepen & widen

http://intra.undp.org/brsp/business/index.html


1) Advocacy, policy dialogues

2) Partnership projects - practice areas / MDGs

3) Facilitate sustainable investments and private delivery

of services & products

4) Support to private sector development

UNDP’s Partnership Approach

Global Compact as a platform & framework Commission on PSD Report as guide

UNDP as: • A facilitator / broker of partnerships• A partner

Types of engagement with business:


UNDP Strategic Goals & Opportunities 2004

1. ‘Commission on Private Sector and Development’

2. Strategic partnership projects

3. UNDP as a ‘broker’ of sustainable, pro-poor investments (‘Growing Sustainable Business)

4. “Mainstreaming” business partnership approach

5. Strengthen & expand Global Compact country networks



UNDP as Broker - Growing Sustainable BusinessPilots in: Ethiopia, Madagascar, Tanzania

i) Broker ‘sustainable’ business investments- New business models, large–small enterprise linkages

ii) Multi-stakeholder alliances to ensure sustainability & link to development (MDGs, PRSPs)

Investment examples: EDF / E7 – peri-urban electrification ABB – rural energy solutions Ericsson - rural telephonyTetra Pak – support dairy production

GSB and brokerage scaled up in 2004 – 2005; UNDP niche (?)


Strategic, significant partnership projects(Large scale, replicable, long-term relationships)

Examples:i) Governance, sustainable development plans -

Statoil Venezuela; BP Indonesia; Shell Nigeria

ii) Environment, biodiversity - Nexen Yemen; LPG Challenge; Multifunctional platforms (Aarhus)

iii) SME development - ChevronTexaco Angola; Supply Chains Mexico

iv) ICT - Microsoft, Cisco – Global

v) Social, environmental impact assessments - Shell, China pipeline; Aracruz/Stora Enso, Brazil



Examples of Partnership Initiatives

Global

Networking Academies in LDCs — ICT for development

Who? CISCO, UNDP, UNV, USAID

What? To meet the IT skills shortage in LDC’s by establishing

‘networking academies’ and provide training in computer

networking. Academies in 10 countries.

How? UNDP’s initial involvement started under the Asia regional

programme on ICT for development through negotiations

between UNDP - CISCO.



Ghana

ICT to the country — Mobile Telecentre To-Go

Who? Government, UNDP, 11 companies, civil society groups

What? Introduce information and communication technology to

schools, health clinics, farms, local businesses, NGOs

etc. through mobile telecentres located in a bus.

How? UNDP organized workshop to present various ICT related

initiatives and ideas. Several companies became

interested and recognized importance of ICT.



China

Social impact and poverty alleviation West–East pipeline

Who? UNDP, Shell, PetroChina, Government, Universities and various institutes

What? UNDP is undertaking social impact assessment in preparation for the construction of West-East pipeline, to ensure that social and community concerns are taken into consideration and are being addressed, and to examine how local communities along the pipeline can best benefit from the project.

How? UNDP, based on an agreement with Shell, has engaged the Government, PetroChina and various universities, development institutes and local governments to participate in the assessment exercise.



Venezuela

Governance — Human rights

Who? Government, Amnesty International, Statoil and UNDP

What? Build capacity within judiciary system on international

human rights law. Training of judges and federal

prosecutors as trainers.

How? Statoil approached UNDP for cooperation and protection of

human rights was defined as area of common interest. This

coincided with strengthened emphasis on human rights in

national judicial system.


UNDP StrategyPrivate Sector Development

Distinguish from partnerships, but convergence – partnership for private sector development

PSD, income generation, microfinance - MYFF service lines

Commission report provides direction

Main areas for UNDP private sector development:- Technical assistance, business services- Microfinance (UNCDF / SUM)- Facilitate investments- Policy advice, policy reform (emerging)



From business partner: Financial Expertise

• Training• Management • Technical

Goods, equipment Employee volunteers Employee secondment Office space Venues for events Transport

HOW?

Partnership ProjectsTypes Of Contributions


“Mainstreaming” business partnership approach

Business engagement & partnerships, a way of working

UNDP Task Force on private sector partnerships

Stronger network of focal points - practice areas, COs,

regional bureaus

‘Knowledge Packs’ - partnerships by practice area

Knowledge database – current partnerships, good practice



Execution mechanisms

Tools / Instruments

Normal UNDP projects - with business as partners NEX / DEX preferred, agency execution possible Use of cost-sharing mechanism recommended DAS (CO Admin. budget for smaller contributions) Umbrella programme model – China Project arrangements should have element of

partnership management (e.g. multistakeholder

steering committee)


Partnership phases & skills

1. Partnership explorationInternal assessment, external mapping, consultations, advocacy, positioning, networking, relationship building

2. Partnership buildingConsensus building, facilitation, negotiations, agreements, project formulation, targets - define success

3. Partnership implementation & maintenanceMonitoring, reporting, reviewing, capacity building

4. Completing projects – sustaining relationships Evaluation, replication / scale up



Internal assessment

ConsultationCommunication

Phase 1: Partnership exploration

Skills needed Key Tools

Internal assessment process:Understand incentives, negotiables, obstacles, assets

Consultation process: Identify stakeholders and partners



Do an organizational self-assessment:

What are our own interests? What are our strengths / weaknesses etc (SWOT)? Are we ready to collaborate?

- Attitudes among staff towards business Why would business want to work with us? What are the opportunities in our area? Are there any particular risks? Cost / benefit analysis





Possible criteria for selection of business partner: Environmental records & practices Human Rights records & practices Overall public reputation Child labour, forced labour Health & safety records & practices Freedom of association Discrimination and diversity Corruption Product safety and impact Community relations Indigenous people’s rights

TOOL:



Phase 2: Partnership building

- Consensus building

- Facilitation / mediation: overcoming preconceptions

- Negotiation: closing deals

- Programme formulation

Skills needed Key Tools / Tasks

-Consensus building methodology(shared visioning workshop, joint action planning etc)- Resources, roles, responsibilities- Consider use of mediator

- Partnership agreements: MOU,financial agreement, work plan, grievance mechanism etc.

- Project document



Phase 3: Partnership maintenance

- Management capacity

- Mentoring: coaching Others

- Capacity building

- Monitoring

Skills needed Key Tools / Tasks

- Communication tools

- Indicators, measurement tools, benchmarks

- Strengthen partner capacity to meet their commitments

- Partnership indicators

- Assess achievement of each partner’s objective



Phase 3: Partnership maintenance / completion

Agree on tool to track development benefits:

The development case matrix

Development success factors

Good governance

Economic development

Social & human capital

Environmental preservation

Business partnership processgains

Business contributions



Measuring partnership results and impact

Measuring for success – IBLF / Cambridge CD

IFC measurement sustainable business


ECONOMICPOLITICAL

SOCIAL

Governance

• The State provides governance framework, infrastructure and

basic social services

• CSOs advocate for groups not well represented

• Private business drives economic development

Development is an Interdependent Process with Increasingly Diffused Decision Making


Partnerships bring benefits to all partners

Potential benefits:

Increased access to resources (pooling / leverage) Increased participation – social capital! Development of human capital Better access to information Enhanced legitimacy & credibility Improved operational efficiency More effective / appropriate products & services Organizational innovation


Key lessons

Capacity building is critical – attitudes

Involve the entire office, get RR fully on-board

Understand why partners are interested

Substantive credibility attracts partners

UNDP visibility attracts partners

Be opportunistic but with principles

Focus on creating small successes – will generate

confidence and more success

PATIENCE!


Development – interdependent process complex, multi sectoral

Government Private Sector Civil Society

Economic Development

Enabling environment Rules and regulations Institutional framework

Investments Wealth and job creation

Watchdog for acceptable practices

Social Development

Social investments / infrastructure Health / education

Community investments Delivery of services

Delivery of services Identification of needs

Governance Rule of law, stability, policy framework

Economic decisions / management

Concerns of special interest groups, advocacy

Date post:	23-Dec-2015
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