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The UN Global Compact
Corporate Citizenship in
The 21st Century
THE CASE FOR CC
A Simple Truth
“Corporate citizenship is not just about
how money is spent, it’s also about how
money is made.”
THE CASE FOR CC
What exactly is CC? Back to basics
• a long-term strategy to manage risks and discover
opportunities
• an alignment of business strategy and operations with
universal values.
• a potentially fundamental transformation of corporate
strategies, operations, corporate culture, relationships
• proactive strategic planning, not defensive
communication
• far more core business than philanthropy
THE CASE FOR CC
What Does it Do for my Business?
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Boost morale and productivity.
Renew and rebuild trust.
Improved risk profile.
Strengthen corporate reputation.
Improve efficiency. Reduce costs.
Discover innovation in product development.
THE UN GLOBAL COMPACT
The UN & Business – Odd Couple?
Business
United Nations
Building Markets
Profit
&
Growth
Good Governance
Environment
Global Health
Security
Peace
&
Poverty
Reduction
Deepening Interdependencies
THE UN GLOBAL COMPACT
Overview
Launched on 26 July 2000 in New York with roughly 40 businesses
“A more sustainable and inclusive global economy.”
Multi-stakeholder platform for collective action
Rooted in universally accepted conventions:
Universal Declaration of Human Rights
ILO Declaration
Rio Declaration
UN Convention Against Corruption
THE UN GLOBAL COMPACT
The 10 Principles
Human Rights
Principle 1: Businesses should support and respect the protection of internationally proclaimed
human rights; and
Principle 2: make sure that they are not complicit in human rights abuses.
Labour Standards
Principle 3: Businesses should uphold the freedom of association and the effective recognition of the
right to collective bargaining;
Principle 4: the elimination of all forms of forced and compulsory labour;
Principle 5: the effective abolition of child labour; and
Principle 6: the elimination of discrimination in respect of employment and occupation.
Environment
Principle 7: Businesses should support a precautionary approach to environmental challenges;
Principle 8: undertake initiatives to promote greater environmental responsibility; and
Principle 9: encourage the development and diffusion of environmentally friendly technologies
Anti-Corruption
Principle 10: Businesses should work against all forms of corruption, including extortion and bribery.
THE UN GLOBAL COMPACT
Vision and Mission
VISION
“A more sustainable and inclusive global economy.”
TWO COMPLEMENTARY OBJECTIVES
Make the ten principles part of
business strategy, operations and
culture everywhere.
Catalyze action in support of broad
UN goals, including the Millennium
Development Goals
Internalization
Contribution to
Development
The UN GLOBAL COMPACT
What It Is (Not)
What It Is...
What It Is NOT...
Values-based Framework to
Integrate Universal Principles into
Organizational Change
Substitute for Codes/Standards
Multi-stakeholder Network
Acting as a Platform for Learning
and Collaboration
Public Relations Initiative
Initiative Based on Internationally
Accepted Principles
Regulatory Instrument
THE UN GLOBAL COMPACT
What is expected?
Leadership Commitment (CEO)
Letter from Chief Executive to UN Secretary-General
Willingness to engage in continuous performance improvement
Setting strategic and operational goals, measuring results
Openness to dialogue and learning around critical issues
Participate in events at local (and global), engage in
stakeholder dialogue
Commitment to transparency, accountability & public disclosure.
Annual Communication on Progress (COP)
THE UN GLOBAL COMPACT
The Global Compact Today
6,200+ active business participants in 135 countries
2800+ non-business participants from civil society, labour, academia
Equal participation in developed and developing world
Equal participation from SME’s and large companies
170 of the Financial Times Global 500 companies (by market cap)
95+ active local networks around the world
THE UN GLOBAL COMPACT
Around the World
THE UN GLOBAL COMPACT
Local Networks
• Clusters of participants who have come together to
advance the UNGC and its principles a local level
• Activities:
– Identify local priorities
– Awareness-raising and recruitment
– Organize learning and dialogue events
– Produce learning materials in local languages
– Mobilize collective action
– Facilitate partnership projects in support of MDGs
– Safeguarding overall UNGC integrity
THE UN GLOBAL COMPACT
Participants over the years – including the delisted
7000
6000
5000
Africa
4000
Americas
Asia
Australasia
3000
Europe
MENA
2000
1000
0
2000
2001
2002
2003
2004
2005
2006
2007
2008
2009
2010
2011*
THE UN GLOBAL COMPACT
Networks over the years
THE UN GLOBAL COMPACT
Who are the Participants?
THE UN GLOBAL COMPACT
Integrity Measures
Communication on Progress (COP) Policy
Participants are required to submit a COP annually. Continuous failure to submit a
report leads to delisting. COPs foster: Social Vetting/Peer Review/Public Disclosure
(Market Incentives to Reward Good Performance)
The Global Compact Logo Policy
The use of the Global Compact’s name and logos are limited to certain authorized
users only. The Global Compact reserves the right to take action in the event of a
breach of this policy (e.g., revoking participant status).
Dialogue Facilitation
The Global Compact has transparent means to handle credible complaints of
systematic or egregious abuse of the initiative’s overall aims and principles.
What does responsibility mean?
GC
commitment
10 Principles
MDG
Business &
Peace
HR
Environment
Women
C4C
Children
Water
Core business
AC
Disclosure
Labour
BCtA
Philanthropy
PSI
New business models
Advocacy
Egypt status – Dec. 2011
• 62 participants (4 Academic institutions, 7 business
associations, 24 companies, 3 foundations, 5 NGO’s,
1 Public sector Co, and 18 SM’s).
• 16 non-communicating businesses.
• Established Local Network – can be formal in 2012.
GCO 2011 Update
Recent Events
• Fourth UN Private Sector Forum 2011 – New York, 20th September 2011
• Launch of the “Energy Framework for Business Action” during the
PSF
• Launch of the Secretary General’s Energy Strategy “Sustainable
Energy For All” Initiative – New York, 21st September 2011.
3 main highlights are:
• ensuring universal access to modern energy services;
• doubling the rate of improvement in energy efficiency;
• doubling the share of renewable energy in the global energy mix.
• The Second Local Networks Exchange Program held in the
Dominican Republic – 12th – 16th September 2011
New Publications
Africa-MENA Joint Regional Meeting
Network Launches
- Mexico – 28th June 2011 (Re-launched)
- Ecuador – 19th August 2011
- Iraq – 15th October 2011
- Azerbaijan – 30th November 2011
- Total todate: 99
Engagement Opportunities
What other LN do
Egypt – A series of case studies.
Kenya – National Energy Efficiency Accord
2
Netherlands – Partnering for Prosperity
Serbia – Promoting Collective Action and Policy Dialogue
The UN GLOBAL COMPACT
Germany – Assessment Tool to
Benchmark Corporate HR Management
Practices against the Guiding
Principles
Germany – Assessment Tool to Benchmark Corporate HR Management Practices
against the Guiding Principles
8
Italy – Best European Practices
Australia – Stakeholder Consultation with China LN Example of Collective
Action and Policy Dialogue
5
Japan – One Year Workshop for Young Executives
6
Sri Lanka – Sustainability Knowledge Hub
7
Peru – Report: Low carbon business opportunities
Colombia – Caring for Climate Colombia
Korea and Indonesia
36
The UN Global Compact
Update on
UN Conference on Sustainable Development
Rio+20
UN CONFERENCE ON SUSTAINABLE DEVELOPMENT – RIO+20
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20-22 June 2012 Rio de Janeiro, Brazil
Marks 20th anniversary of 1992 UN Conference on Environment and
Development (“Earth Summit”) in Rio de Janeiro and 10th anniversary of
2002 World Summit on Sustainable Development (WSSD) in Johannesburg
Highest level, including Heads of State and Government
Convened by UNCSD Secretariat within UN Department of Economic and
Social Affairs, with support from UN system
Objectives:
– Secure renewed political commitment for sustainable development
– assess the progress and remaining gaps in the implementation of the outcomes
of the major summits on sustainable development
– address new and emerging challenges
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Themes:
– A green economy in the context of sustainable development and poverty eradication
– The institutional framework for sustainable development
UN CONFERENCE ON SUSTAINABLE DEVELOPMENT – RIO+20
RIO+20 MAJOR GROUPS
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Enable all citizens to participate in UN activities and meetings on achieving
sustainable development
Consumers, workers, business persons, farmers, students, teachers, researchers,
activists, indigenous communities, other communities of interest
Global Compact is engaged in official Business and Industry Major Group as a
partner of Business Action for Sustainable Development (BASD) 2012:
– Coalition of international business groups committed to sustainable development:
• International Chamber of Commerce
• World Business Council for Sustainable Development
• UN Global Compact
• 11 international sectoral industry associations
– BASD aims to bring the constructive voice of business to Rio+20 preparatory
process
http://basd2012.org
RIO+20 CORPORATE SUSTAINABILITY FORUM
WHY?
Corporate sustainability is a fundamental contribution to sustainable development,
but we must increase the scale and quality of business activities in support of
SD to address the global sustainability challenge.
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13 – 20 June 2012, Rio de Janeiro (tbc)
Forum organized by Global Compact, in cooperation with Rio+20 Secretariat, UN
system, Global Compact Local Network Brazil
Dozens of workshops and sessions linked to Rio+20 agenda
Events hosted by Global Compact; UN Agencies, Funds and Programmes; other
partners
2,000+ participants
Objective: Strengthen the business contribution to
sustainable development globally
– Opportunity for business, industry, investors to meet
with Governments, local authorities, civil society,
UN entities
Innovation & Collaboration for the Future We Want
RIO+20 CORPORATE SUSTAINABILITY FORUM
THEMES
CROSS-CUTTING TOPICS
• Partnerships
• Energy and climate
• Innovation
• Agriculture and Food
• Transparency and disclosure
• Water
• Supply chain management
• Biodiversity
• Social development
• Good governance & anti-corruption
• Urbanization and cities
• Finance and responsible investment
• Education and research
Innovation & Collaboration for the Future We Want
RIO+20 CORPORATE SUSTAINABILITY FORUM
Engagement Opportunities:
• Taking part of Rio is an opportunity to engage in dialogues with
governments about sustainability.
• Showcase international leadership on that front.
• Showcase best practices collectively on a national level or regional
level.
• Opportunity to engage with all other LN, different stakeholders
and different platforms.
Innovation & Collaboration for the Future We Want
RIO+20 CORPORATE SUSTAINABILITY FORUM
SPONSORSHIP
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Help cover the cost of the week-long Forum
Opportunity to demonstrate commitment to corporate sustainability on a global
stage
Awarded on a first-come, first-served basis
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Sponsorship Levels
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Gold - $200,000 (17 openings)
Green - $200,000 (3)
Silver - $100,000 (12)
Transportation - $75,000 (3)
Contacts:
Claire Kells
[email protected]
Michelle Lau
[email protected]
Innovation & Collaboration for the Future We Want
RIO+20 CORPORATE SUSTAINABILITY FORUM
Innovation & Collaboration for the Future We Want
RIO+20 CORPORATE SUSTAINABILITY FORUM
MEET US IN RIO
Ensure that Rio+20 is a launching ground for widespread action
in support of corporate sustainability.
[email protected]
Innovation & Collaboration for the Future We Want
Thank You!
www.unglobalcompact.org