Sustainable Corporate Practices. CSR Trends and Its Implication to Africa. Wei Dong Zhou BSR China Director. 17 Feb, 2011 Addis Ababa

Transcription

1 Sustainable Corporate Practices CSR Trends and Its Implication to Africa Wei Dong Zhou BSR China Director 17 Feb, 2011 Addis Ababa

2 What is BSR? 2

3 BSR s Global Work We have worked in more than 70 countries from 7 offices in Asia, Europe, and North America San Francisco, Beijing, Guangzhou Hong Kong, New York, Washington, Paris 3

4 Member Network: BSR s membership covers a broad range of industries Industry Focus Areas Agriculture, Food, and Beverage Consumer Products Energy Financial Services Information and Communications Technology Media and Entertainment Mining and Minerals Pharmaceuticals and Biotechnology Transportation and Logistics Travel and Tourism 4

5 Member Network: More than 290 BSR member companies Sample member companies include: Alcatel-Lucent AREVA Cisco The Coca-Cola Company COSCO Container Lines Co. Ford GE Hitachi IBM Komatsu IKEA Kraft Foods Levi Strauss & Co. Li & Fung, Ltd. Marks & Spencer McDonald s Microsoft Nike Novartis Pfizer Shell SAP Sony Sumitomo Trust & Bank Toshiba Tsing Capital Wal-Mart The Walt Disney Company Wells Fargo & Company 5

6 China & Africa: Opportunities vs Strategy 6

7 Where We Could Start? Three Topics: Responsible Chinese Foreign Direct Investment and the role of CSR Leveraging Business Partnerships/Collaboration with Government, Multilaterals The Chinese Model for Development: Lessons in Protecting Labor Rights, Human Development and the MDGs 7

8 Responsible Chinese Foreign Direct Investment and the role of CSR Define how companies can contribute to the enabling environment (sustainable growth, poverty reduction, better respect for labor rights) through responsible business practices How government, multi-lateral and company could work together to CSR promote responsible business practice? BSR experiences in China and Asia: working with companies and governments that demonstrates commitment to responsible practices, including the following: i. Ethical Tea Partnership - ETP polit project: Improving Health and Safety ii. iii. iv. BSR Local Economic Development, Energy and Extractives in Papua New Guinea and Indonesia: nomies.pdf Maximizing local business development, employment, community investment BSR Environmental Assessment, Sustainable Water work (note environmental themes in other conf. Sessions) 8

9 Leveraging Business Partnerships/Collaboration with Government, Multilaterals How companies forge partnerships with governments to support shared goals in meeting poverty reduction targets and responsible FDI, maximizing local benefits as a result of investment, and stabilize the local business environment How can partnerships be forged between companies and government around shared goals and how this contributes to the enabling environment BSR project examples include: i. Global Development Alliance, Ghana ii. iii. GTZ work in China for SMEs CSR capacity Buidling IFC Sustainable Investment Reports in China 9

10 The Chinese Model for Development: Lessons in Protecting Labor Rights, Human Development and the MDGs As Africa examines the great number of lessons China s model of successful enterprise development/poverty reduction, it must be recognized there have been labor challenges along the way. These challenges are being repeated with some Chinese investment in Africa. How Chinese companies balancing demands for growth with need for greater respect for basic labor rights, human development Labor shortages for both skilled and front-line workers High worker turnover Spike in labor disputes Poor stress management which can lead to suicide or extreme behavior Management challenges such as motivation and retention of new generation workers These efforts have both social development and business benefits creating win-wins for companies, government, and workers alike investment in human capital underlines all of these efforts. Government policies paired with business action has been successful formula. Highlight BSR experience in China HER Project China: empowering women through the workplace while meeting health MDGs through reproductive health training. Labor Relations Practitioners Program (made available through donor partnership with close relationship with Chinese government 10

11 BSR Recommendations for OECD-DAC 11

12 Stakeholder Dialogue 1) Stakeholders should capitalize on the current Chinese policy flux and increase dialogue on how Chinese business engagement in Africa can integrate responsible practices - Convene stakeholders to define a framework for Chinese CSR in Africa. Stakeholders should include African and Chinese policy makers, business leaders, civil society representatives and CSR experts. American and European stakeholder involvement could lend lessons from CSR experience.- A possible Sub-Working Group under DAC 12

13 CSR Pilot Projects 2) Chinese SOEs should carry out pilot/demonstration projects in cooperation with companies with CSR experience in Africa and other stakeholders in order to develop the business case and to gain experience in applying CSR in the Sino-African context. - Execute CSR pilot projects with state-owned Chinese extractives operations that demonstrate CSR makes a difference to the business and creates benefits for local communities and the environment. Foster collaboration between Chinese and Western companies operating in Africa, international donors and local civil society in order to implement successful pilots. Use pilots as proof points and as opportunities to incubate models of Sino-African CSR. 13

14 Leadership of Civil Society 3) African leadership and civil society should leverage the opportunity to shape Chinese economic engagement so that it contributes to sustainable development. - African civil society, business and government leadership should continue to leverage their negotiating positions to ensure Chinese business presence is more responsive to African sustainable development needs. African governments and civil society may require greater capacity to understand and navigate the challenges and opportunities that China s trade, aid and investment packages offer. 14

15 Questions & Discussion Wei Dong Zhou BSR China Country Director 15