Enterprise 2020 Supporting European Business Implement the UN Framework and Guiding Principles

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Enterprise 2020 Supporting European Business Implement the UN Framework and Guiding Principles Connect Share Innovate www.csreurope.org

Who we are leading network for CSR in Europe (reaching +3800 companies across Europe) +75 Corporate members + 30 National partners

What is CSR Europe? What do we do? Platform for practical change Share and further develop CSR best practices with peers enhance business contribution to a sustainable society Thought leadership through practice platform and action Implementation of projects that practically change business practices Multipartner approach in all of its activities Collaborate and co-build solutions with stakeholders in several topic areas Strong relationships with EU, EABIS, NGOs, sector organisations and other experts Largest CSR Network in Europe +30 National Partners and a global network of regional partners Providing added value to members Benefit from benchmarking and research services to support your company s CSR strategy and initatives Receive regular information updates on news and events and share your company news Benefit from our account management system your personal account manager supports 3 in maximising your membership benefits

Understanding of what is needed and what we can do Service Delivery Model E2020 company (3) Business innovation projects (2) Best practice sharing & tool development (1) Insight: EU & other expectations (4) Visibility and dissemination Companies NPOs EU relations Sector relations NGO relations EABIS & experts Global regional partners

Enterprise 2020 A Business contribution EU policy objectives Connect Share Innovate www.csreurope.org

CSR Europe s Vision of Enterprise 2020 The company of the future, Enterprise 2020, operates profitably through mainstreamed responsibility and transparency, and innovates solutions for the planet and its people, in close cooperation with all stakeholders. Together they lead the transformation towards a smart, sustainable and inclusive society

Enterprise 2020: Smart, Sustainable and Inclusive REQUIREMENTS Focus on mid- and long term business growth Complex partnerships & collaboration Social innovation Capability to measure & manage Governance Integration in business planning Incentive = new ideas, business models, products & services that resolve existing sustainability challenges

Collaborative Projects 13 collaborative projects were launched under Enterprise 2020 in 2010 1. Sustainable supply chains 2. Value at Base-of-the Pyramid 3. Active ageing 4. Health literacy 5. Financial capabilities / education 6. Demographic change 7. Valuing Non Financ. Performance 8. Enabling technologies for environm. 9. Science in schools 10. Energy & environment. managem. 11. CSR in State owned companies 12. Community footprint 13. EU Employee volunteering Award Focus topics 2011-2013 Project management with companies & NPOs 1. ESG disclosure and reporting 2. Ageing & demographic change 3. Bottom-of-the-pyramid 4. Health & well-being 5. Supply chain & human rights 6. Financial capabilities Continued support to other collaborative projects (focus = communication)

European Commission Context Sustainable Supply Chains, Business and Human Rights Connect Share Innovate www.csreurope.org

EU Strategy on CSR 2011-2014 An Agenda for Action Commission s Proposals (30 in total) One proposal on Enterprise 2020 11 to better align European and global approaches on CSR + 5 to enhance CSR visibility & good practice 4 to enhance market reward for CSR 4 to improve trust and company disclosure 3 to integrate CSR in education, training & research 2 to encourage & benchmark national action plans 1 to develop a good practice guide on self and co-regulation The Communication states (p8, line 15): CSR Europe s Enterprise 2020 initiative is an example of business leadership that is particularly relevant to EU policy objectives. The European Commission will help: to review Enterprise 2020 initial results by end 2012 to define Enterprise 2020 next steps

EU Strategy on CSR 2011-2014 CSR Europe s Enterprise 2020 Sustainable Supply Chains, Business and Human Rights EU Communication on CSR Invite European large enterprises to make a commitment to take account of at least one of the following when developing their CSR approach: UNGC; OECD guidelines; ISO 26000 Invite European-based Multinationals to make a commitment to respect the ILO Tripartite Declaration European Enterprises expected to respect HR defined by UN Guiding Principles

EU Strategy on CSR 2011-2014 CSR Europe s Enterprise 2020 Sustainable Supply Chains, Business and Human Rights Base of the Pyramid (BOP) EU Communication on CSR Process involving companies & EU delegations to understand business challenges in partner countries where the state fails to meet its duty to protect human rights EC to develop business guidance on human rights EC to monitor the commitments by European large enterprises (beyond 1000 employees) to take account of international recognised principles & guidelines + ISO 26000 EU will search for synergies with enterprises developing inclusive business models that target the poor as consumers, producers and distributors

Enterprise 2020 Collaborative Project Sustainable Supply Chains, Business and Human Rights Connect Share Innovate www.csreurope.org

External expertise from Project Leaders

Project Goals Identify and share best practice, leverage expertise and synergies to develop tools that support businesses implementation of HR Raise awareness and foster dialogue to address the challenges and identify solutions towards implementing SSC, HR Project Approach Given the breadth of this project, a two-fold work stream approach is being taken to allow for clearer focus on the objectives and outputs/deliverables o Work-stream 1: Sustainable Supply Chains o Work-stream 2: Business and Human Rights

Sustainable supply chains Working hours Compensation Supplier capacity building Buying practices Integrating human rights into sustainable supply chain practices Business challenges 2 nd Dec w/shop outcomes Business and human rights The business case for human rights implementation HR training and capacity building The scope and implementation of access to remedy and grievance mechanisms Collaborative and common approach on social dialogue at a supplier national govt. level that involves buyer country key stakeholders e.g. companies, EU representatives of trade/policy Realising HR opportunities creating shared value v/s HR risks Cost and complexity of the internal governance, systems and processes needed More constructive dialogue with and awareness of stakeholders on what business is already doing and trying to do to address human rights

Work-stream 1: Sustainable supply chains Objectives Activities (2011 2012) Deliverables Promote best practice exchange at a global level Ongoing compilation and visibility on good sustainable supply chain initiatives CSRe/UNGC global website on sustainable supply chains Raise awareness and identify solutions to key (hot) topics on sustainable supply chain issues Webinar series: i) Critical issues and their implications to business ii) Good practices how are companies addressing these issues iii) Integrate the international dimension of the issue and solutions Issue Insights based on the webinar series Work with sector organisations to promote sustainable supply chains Collaboration with sectors to support/ implement CSR in the supply chain: i) Sector-specific meeting 20 th Jan 2012 ii) Project exploration + implementation (2012-2013) Business innovation project (support practical change projects)

Work-stream 2: Business and human rights Objectives Activities (2011 2012) Deliverables Create understanding of the business implications of key international and EU frameworks on BHR Workshop (2 nd Dec) - Expectations and implications of BHR frameworks to business UN Guiding Principles, ISO 26000, OECD guidelines, ILO Tripartite Issue Insight - BHR related frameworks and their implications on business Support companies in implementing the UN Guiding Principles on BHR in their operations Foster dialogue between business and stakeholders on business challenges and solutions to implementing HR in their operations Workshops to identify, share company good practices and develop practical tools based these good practice examples to implement HR Business and stakeholder dialogue session business, NGOs, policy makers BHR Manual (each workshop gives output in good practice examples and practical tools/ methodology giving content to the manual) Business policy recommendations

Key Next Steps European Commission will be developing sector specific and SME human rights implementation guidances A wide range of guidances and tools already exist and are being developed to address business HRts policy, assessment, due diligence Action: CSR Europe s collaborative project should address a niche focus to support implementing the UNGPs e.g. training/capacity building; grievance mechanisms Human Rights Council have been tasked to promote respect for human rights by business Action: Make contact with this expert group to introduce the collaborative project and where it can contribute, support, add value to the expert group s work The project s (niche) focus should be identified and the project plan/activities revised for project implementation in 2012 Action: Revise project plan and activities for approval by project leaders late Jan 2012

For more information, please contact Susan Njoroge: sn@csreurope.org Connect Share Innovate www.csreurope.org 20