Multi-Sector CSR Partnerships: Industry, NGO, Development Agency collaboration on development
Multi-sector CSR partnerships can drive organizational
successes and value creation. Yet why do
so
many fail to start or start and fail?
Natural Partnerships
– Unnatural Partners. Business, NGOs
and development agencies might have natural partnership opportunities but organizational
history and the often conflicting perspectives of internal and external
stakeholders can make these partnerships hard to realize. Far too often they start and fail, or even
fail to start.
The private sector is playing an increasingly
important role in development. Companies
from all sectors, including especially the extractive and fast-moving consumer
goods sectors, are investing in development initiatives in areas such as
education, health, poverty alleviation and livelihoods, environment, gender
equality and overall development partnerships.
These businesses strive to
positively impact these areas at the community, local and national levels,
recognizing that doing so is good for their business in many ways (or else why
would they do it) and also good for the communities and countries in which they
work.
The impact areas of these private sector social
responsibility investments closely maps the impact areas outlined in the Millennium
Development Goals (MDGs) and anticipated impact areas of the Sustainable
Development Goals (SDGs).
The MDGs and SDGs serve to
guide the development activities of the member countries of the United Nations
and the vast majority of development NGOs and organizations. Every member country approved the MDGs at a
special Millennium Session of the United Nations. Official Development Agencies (ODA), national
governments, multi-lateral and international organizations and NGOs focus
development efforts on MDG/SDG focus areas such as education, health, poverty
alleviation and livelihoods, environment and gender equality
While the various private,
public and civil society organizations noted above approach development with a
focus on common areas and themes, they often bring unique skills, experience
and capacities to the work. Coupled with
the natural diversity of their organizations this should/could add a lot of
value to development efforts. The synergies
seem natural.
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They seem like natural partnerships
In many cases this focus on common themes and
areas appear complimentary and synergistic, at first glance, would seem to
naturally invite partnerships and collaboration and the various sectors (e.g.,
ODA agencies, private sector companies, NGOs, etc.) even have stated goals of
collaborating with each other in support of their development efforts.
Simple logic would suggest
that collaboration would result in efficiencies and more and better development
impact per dollar spent or effort expended for all parties.
That government, NGOs and
industry would see a more and better impact for their spending and their
efforts.
Yet, the reality is that,
while there are notable exceptions, this collaboration is not easy to
achieve.
Natural Partnerships are too often held back by
seemingly unnatural partners
Whether on an individual
project level or a strategic organizational level these natural partnership
opportunities too often do not result in effective partnerships. Value is lost for the organizations involved
but the real price is paid by their community partners who do not receive the
full impact that they could have received had these natural partners found an
effective way to collaborate.
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Value is lost by communities and all stakeholders when
natural partners can't bridge the chasm that separates them
|
The good news is that
progress is being made. There is
increasing collaboration amongst business, NGOs and development agencies.
ODA Agencies such as Germany’s
GIZ, America’s USAID, Canada’s DFATD (formerly CIDA) and many others are
developing and implementing programs that enable co-investing in development with
private sector partners.
NGOs such as Care, World
Vision, WUSC, Cordaid and many others are actively working to find productive
ways of partnering with industry on CSR and development programs.
Companies such as Golden Star,
Kosmos, Tullow, Newmont, Kinross, IAMGold and many others are working with NGOs
and development agencies.
There are some great examples
of success – for example see From Pariah to Exemplar: CSR &
Stakeholder Engagement in Six Best Practices (here) for an analysis of a 2001 CIDA, Placer Dome, World Bank
and various NGO partnership that was credited with ‘changing the social face of
the South African mining industry’.
An early success and
yet, the progress is, in my opinion, too slow.
Development Agencies often have approval and operational criteria
that is slow, cumbersome and makes the cost of the partnership way too
high.
NGOs too often struggle with fully embracing the value of
partnering with the private sector and communicating that value effectively to
their internal and external stakeholders, including especially individual and
organizational donors.
Businesses struggle to accept and adapt to the execution speed,
launch processes and reporting requirements of ODA agencies and NGO partners.
Much more can be done, and should be done.
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The CSR Training Institute is interested to learn more about
the successes and failures of Multi-sector CSR partnerships in the space where
business meets society.
If you have a case study that you’d like to share please
contact us (info@csrtraininginstitute.com)
and we may be able to work with you to develop and publish your case study.
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