Showing posts with label Multi-sector partnerships. Show all posts
Showing posts with label Multi-sector partnerships. Show all posts

Tuesday, 18 August 2015

Canadian Oil Sands - lesser of several evils




Clumsy government support of Canadian Oil Sands industry is hindering the industry's development and risking its social license


The Canadian Oil Sands industry is under global pressures from social and environmental fronts.  And this is at a time of plunging global oil prices that are eroding the industry’s financial license.
Foreign governments, markets, NGOs, celebrities and others are actively protesting the operation and expansion of the industry, focused mainly on the carbon cost that is embedded in the energy from carbon-intensive production and processing methods.

It is interesting that these groups are targeting Canadian oil sands production when energy from other areas, like the Middle East, comes with unacceptable levels of human rights, conflict, military and other costs.

Few seem to be doing the calculus that would objectively compare the socio-environmental cost of Canadian oil sands and Middle Eastern energy production.  I strongly suspect that it is much easier to address the carbon and environmental impact of the oil sands than it is to address the human rights, conflict and military costs of Middle Eastern energy.

I also suspect that part of the reason that the carbon calculus versus the human rights and conflict calculus isn’t done is (at least partly) because Canadian government ‘support’ and Canada’s emergence as a climate change dawdler has helped to make the oil sands an easy international target.

The industry is in much difficulty, despite, or as a result of, a national government and regulator that has been a strong cheerleader for nearly 10 years.  It is facing global activism and opposition and has not been able to get its production to global markets.  Pipelines are stalled, and market access looks increasingly difficult.

These are directly related and have created an, at best, very tenuous social license for the industry.  The Canadian government, who is also the national regulator, has supported the industry in ways that have undermined its environmental credibility globally.

Recent revelations in the Guardian put more strain on the government’s role as an objective regulator and give fuel to opponent’s arguments.

A robust industry requires technical and economic viability as well as some level of societal acceptance.  An industry with international and global markets requires societal acceptance and an industry social license.
While individual projects and companies can, and do, develop their own project- or brand-level social license, many industries also need some level of industry social license.

In order to achieve societal acceptance (social license) industry must be seen to be making a net positive contribution to society and have an acceptable environmental risk and cost.  Notice I said ‘be seen to be making a net positive contribution.’  Perception is reality.

The oil sands is a carbon-intensive industry, and carbon and climate change are increasingly critical global issues.

In the case of the Canadian Oil Sands, there is a public perception (domestic and global) that the industry is a global environmental bad-boy.

The Canadian government’s support for the industry, including considerable tinkering with environmental regulation, coupled with the carbon-intensive nature of the industry, has given industry critics plenty of ammunition and credibility.

Canada’s increasing laggardness on the global climate change file has further eroded the perceived credibility of our environmental regulatory system, and, as a direct consequence, the trust that the Canadian and global public has in the environmental performance of key industries such as the oil sands.

If Canada wants to see the socio-economic benefits of a socially and environmentally responsible oil-sands industry, it needs to start by rethinking how it is supporting the industry and how it is engaging in the global climate change issue.

It may be counter-intuitive, but more stringent and credible environmental regulations will help the industry rather than hurt it — and, hopefully, force opponents to do the hard, but important, work of comparing the socio-environmental costs of energy from Canada’s oil sands with energy from the conflict-ridden Middle East.

Oil sands with an environmental impact that can be improved, or Middle Eastern energy with a conflict and human rights impact that is a lot more difficult to deal with?

I suspect that comparison would favor Canada’s oil sands and also push them to better address their carbon intensity — and at the same time take a small bit of fuel from the Middle East tinderbox.

Wayne Dunn is  President & Founder, CSR Training Institute and Professor of Practice in Corporate Social Responsibility, McGill University. You can sign up for the CSR Training Institute newsletter here and read more from him here.

Sunday, 29 March 2015

Who? Me? Responsible for CSR?



Shared Value requires Shared Responsibility:  Whose Responsibility is Corporate Social Responsibility?

Watching some of the discussion on corporate social responsibility it sometimes seems like governments, communities, NGOs and everyone else expects to sit back and have somebody (aka business) deliver CSR to them on a silver platter.

WRONG!!

Corporate Social Responsibility is not something a company does to or for communities, governments or others. 

To be successful and sustainable it takes a shared and collective responsibility with all stakeholders.  How could it be any other way?

Yet, far too often we see major stakeholders, governments, communities, NGOs and others, placing all the responsibility on companies, almost as if they expected them to play the role of Government (or Santa Claus). 

Sometimes too, we see companies sitting back and trying to leave the responsibility to other stakeholders, including often other companies or industries.

Neither approach will work very well.
All partners are in the same boat.
If the boat floats all will benefit.  If it sinks everyone gets wet.

Those communities and organizations that are pro-active in organizing and planning CSR activities and sharing in the responsibility with companies, will find that they simply get more value at the end of the day.  And, they will gain more capacity as well, and more ownership over their destiny.

Those companies that take the lead AND have projects where ALL stakeholders take appropriate responsibility will find that more value is created for stakeholders and shareholders.

If CSR is about aligning interests so that more benefits can flow to more stakeholders (including shareholders) how does it make sense that all responsibility should be on the company or other partner to organize and do.

Surely Shared Responsibility is where everyone should be trying to get to.

Let’s assume that through a collaborative consultation process a mining company and local community identified that improvements in education and health were priorities.

  • What is the role and responsibility of the community and local organizations?What is the role and responsibility of local government?
  • What is the role and responsibility of the Sector Ministries (Education & Health)?
  • What is the role and responsibility of the company?
  • What is the role and responsibility of NGOs and other development actors with an interest in education and healthcare?


Think about what the roles and responsibilities should be.  Then think about how the project would normally play out.

This way works:  In successful examples the various stakeholders will all play a proactive part in the overall project, exhibiting leadership, collaboration and initiative as required. 

The project is truly made up of partners, working together and through their collaboration and collective responsibility helping to achieve results that none of them could achieve on their own.

This way, not so much:  In other cases one partner (often business, but not always) is looked at to lead and take the bulk of the responsibility.  Other stakeholders sit back and expect benefits to come to them.  

Regardless of which partner, or partners are left with the bulk of the responsibility, the project won’t succeed nearly as well as if there was a collective sharing of responsibility.
Do your CSR projects sometimes end up looking like this?
Ironically, in projects where the bulk of the responsibility is left to one or two partners, they are the ones that get blamed if things don’t work perfectly. 

Is it any wonder that some get frustrated and, if they keep going, end up frustrated and cynical.

So, Whose Responsibility is Corporate Social Responsibility?

Look at any CSR projects that you are involved in. Is there a collective responsibility?

If not, why not?

And, what will you do to change that and facilitate collective responsibility.

Blaming the partners who have been carrying the responsibility probably isn’t the most productive response.  Training and encouraging all partners to accept a fair share of responsibility is a far better way to go.
 
Sharing responsibility across partners and stakeholders can drive project success and make the work more fun
 
 CSR can be an effective mechanism for creating value for society and shareholders.  But, it doesn’t work well for anyone if responsibility and ‘ownership’ is not shared amongst all stakeholders.

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To read other CSR Articles and Thoughtpieces by Wayne Dunn click here>>>

Wednesday, 11 March 2015

Tweets, posts and thoughts from the past weeks

 A collection of Tweets and Posts from the past weeks.  Some interesting (I hope!).  Some not so much.  Excuse the formatting.  Blogger doesn't seem to like cut and paste.

Global perspectives on CSR in mining. Slides from keynote to BC Mining Forum 2015 http://bit.ly/1GrzAKT

Mining schools hi-tech on social value creation! Mining industry’s painful lessons and the progress they’ve made learning them have lots to offer to hi tech as society’s expectations evolve  http://linkd.in/1D0Lpdm

Drink beer to support climate change!  Perfect plan for St. Patrick’s Day.
24 breweries sign climate change declaration. http://bit.ly/1MoAg5K @triplepundit @leonkaye

Acknowledge progress and push for more  McDonald’s To Source Antibiotic-Free Chicken in USA http://bit.ly/1G6aFfP @gmcheeseman @TriplePundit

Many stakeholders but no winners Great article on Artisanal Mining by Paul Klein in Triple Pundit http://bit.ly/1Mb3WoP 

Local Content Success.  now available in #CSR Knowledge Centre http://bit.ly/LocalCSR #PDAC2015

Dealing with growing social demands in mining  World Bank Panel @PDAC  http://bit.ly/1C3VfKW #PDAC2015

Walmart’s sustainability train is barreling down the track!  http://bit.ly/1AdvBN3  Jen Boynton  @triple Pundit  Rob Caplan  @robbyk

Stakeholder Engagement Series 
Many of you have asked that I pull together some of my recent publications that deal with stakeholder engagement into a set.  Haven’t quite done that but below you have a list of articles and links to the LinkedIn Posts.


If missing Aboriginal women is a domestic violence issue is ISIS recruiting an adolescent issue? @M_A_W_inCanada

Stakeholder engagement series. 
List of #CSR Thoughtpieces on Stakeholder Engagement from the CSR Knowledge Centre http://bit.ly/1EwKMaK  http://bit.ly/CSRknowledge

Is CSR Dead?  Dying, hibernating, irrelevant, or working just fine? http://bit.ly/CSR-Dead  @triplepundit @marcstoiber

CSR Communications
CSR Communications seems to be a hot topic right now so I thought I’d share links to some of our recent related publications.  If interested feel free to read, download and share. 
 
·       Internal CSR Communications Suck:  http://bit.ly/1Az4TSD 
·       7 strategies for engaging internal stakeholders:   http://bit.ly/1BOFGWF
·       11 mistakes to avoid in CSR Communications:  http://bit.ly/1qQMM9t
·       Eleven strategies for maximizing value from CSR:  http://bit.ly/17uzlDG  


CSR Communications seems hot. Here are 3 short publications. Good, bad & ugly  http://bit.ly/1Az4TSD  http://bit.ly/1GiJHlJ http://bit.ly/1zAvyxV

Internal CSR Communications Suck!  We need to get better at creating internal alignment.  CSR Thoughtpiece posted to Slideshare http://slidesha.re/1B0kga4

Wow Safeway! Sustainable transparent seafood. Trumping Whole Foods.  Great work   http://bit.ly/1GeDaIU @triplepundit @JenBoynton

Pay it forward Pizza! Great model. Align business, customer, social and community and make $ @mwartman1 http://bit.ly/1DE3fCS

We are really bad @ internal CSR Communications. Should align from planet to shareholder to people in company   http://linkd.in/1Edi3HM

Good CSR communications aligns the dots from planet to shareholder to people in company. @RepublicofEvry1 good example

CSR Partnerships. Theory and Practice.  Lecture & Role playing scenario.  Delivered in Nairobi Kenya, Feb 2015   http://slidesha.re/1CI5qA2

Internal CSR Communications Suck! And us CSR Pros are to blame  http://bit.ly/1Dr47e6

Sustainable Brands Seeks Entrepreneurs for Startup Business Competition bit.ly/1CHXst4 #CSR

Consumers want to see greater #CSR in the processed #food sector says @globescan consumer report @Foodanddrinkfed

4 strategies for local content success.  Local content can be the best ROI of any CSR investment.  Posted on Slideshare http://slidesha.re/1vVQUb4

Until CSR Pros speak ‘What’s in it for them’ to Finance, Ops & Engineering, CSR is a sandbox and toys in the corner of the business!

 The Rise of Sustainable Fibers in the Fashion Industry
Interesting and insightful. By Leon Kaye @ Triple Pundit  http://bit.ly/1DClOG6

Industry, Community & Engagement: Who is responsible? Lecture & Role playing scenario.  Delivered in Nairobi Kenya, Feb 2015   http://slidesha.re/17ndFII

4 strategies for local content success.  Local content can be the best ROI of any CSR investment.  New blog post http://bit.ly/1CwgBeQ

8 million tonnes of plastic dumped into oceans each year! Remember, we don’t got another planet. http://bit.ly/1vHsFNr

Industry, community & engagement. Strong, respectful & insightful dialogue on extractives and communities in Kenya. Credit @CanHCKenya @ihrb @KimothoWangui

Big business advocating stronger environmental regulations.  Can Govt keep up?
Interesting discussion in the Guardian.  http://bit.ly/1FsPepy Guardian article by @matt_gitsham

Communication is key whether you’re selling soda or social change.  Effective and appropriate communications can add societal and shareholder value to Corporate Social Responsibility efforts.. bit.ly/1DYPyuC  Interesting series in the Stanford Social Innovation Review   Also see CSR Communications: 11 mistakes to avoid  http://bit.ly/1zAvyxV

Plastic Bank: Plastic waste to $currency!  Brilliant!
Alignment of social, community, environmental and shareholder interests.

Bridgestone's Sustainability Hub: A Dialogue on Solving Survey Fatigue (for itself and others) http://bit.ly/1KweOwx Great work @bridgestone


Friday, 27 February 2015

Stakeholder Engagement Series

Stakeholder Engagement Series 

Many of you have asked that I pull together some of my recent publications that deal with stakeholder engagement into a set.  Haven’t quite done that but below you have a list of articles and links to the LinkedIn Posts.

Eleven strategies for maximizing value from CSR:  http://linkd.in/1tHnpZr



From Pariah to Exemplar: Applying the six best practices http://bit.ly/CSRAnalysis

Engaging Internal Stakeholders: Seven proven strategies http://linkd.in/1z7vQN7

 

CSR Communications: Eleven mistakes to avoidhttp://linkd.in/1yAfJHV

 

Stakeholder Engagement: Six best practiceshttp://linkd.in/1CR5yCN

 

Creating a CSR Program: in eight self-serving stepshttp://linkd.in/12viCNs

 

Stakeholder Engagement: Five common mistakeshttp://linkd.in/1yW8usQ

 

Smarter CSR Budgets: Eight steps to connect budget to valuehttp://linkd.in/1wa8W8L

 

28 Expert tips on stakeholder engagement:  LinkedIn: http://linkd.in/1vpVLtx

 

Don’t be an Altruistic Angel: Be transparent about what’s in it for youhttp://linkd.in/1yAdog0

 

13 mistakes that prevent and destroy multi-sector partnershipshttp://linkd.in/1y830NH


Stakeholder engagement is about systematically and strategically finding the common ground where 'what's in it for stakeholders meets what's in it for me'.

Sunday, 25 January 2015

CSR SWOT - discover risk, value and more




Is this your CSR?
 

CSR and Sustainability are continually getting more complex and more costly but often without a corresponding increase in value for shareholders and society. 
Sometimes it seems like it gets more complex and more costly and produces less value.


CSR budgets, requirements and external expectations have increased astronomically in recent years.

At the same time the depth and breadth of stakeholder groups and related interest has continued to grow. 

Layered on top of all this has been an ongoing increase in regulatory requirements around CSR and Sustainability and an almost immeasurable increase in voluntary standards, norms and reporting demands and expectations.

CSR and Sustainability are significant costs to modern corporations in many sectors.  And failure to ‘get it right’ is a huge risk with potentially devastating impacts on brand, projects, careers and even companies.

In many cases the cost and complexity of CSR has grown rapidly and often without an effective framework to ensure that shareholder value and societal value is optimized at both the project and the corporate level.

CSR can seem Eyes Glazing Over complex
 
As CSR has become more important it has gotten more complex,
more costly and often less efficient at producing value. 
A CSR SWOT can help discover risks and opportunities, and
help to CSR more comprehensible to key internal and external stakeholders

In my work at the corporate and project level I have often found

1.       CSR is efficient at value creation at the project level. 
At the project level CSR activities are relatively efficient at optimizing value to society and to the project.  The immediacy and discipline of social license and stakeholder interests drives discipline and focus.

CSR projects and activities at the site level (minesite, production site, factory, etc.) are normally fairly well aligned with societal and shareholder interests and enhancing overall social license.

2.       CSR is inefficient at value creation at the corporate level. 
There is seldom a corporate level strategy/framework for maximizing shareholder/corporate value from CSR activities and budgets at the project level. 

At the corporate level CSR value is more often realized across communications, social value branding, talent acquisition and retention, financial market relations, marketing and sales and other areas.

Whereas CSR and value creation at the site level is often responsive and, in some ways almost instinctive, at the corporate level it is much more nuanced and requires broader, more strategic and proactive approaches.

Few companies are efficient at fully capturing value from CSR at the corporate level.  This is somewhat ironic in that corporate level CSR value is a highly leveraged and low-risk value creation opportunity. 

For the most part the money has already been spent (at the site level) and capturing value at the corporate level is relatively low cost and high impact.



3.       CSR/Sustainability Metrics are confused and confusing. 

CSR Metrics should meet project and corporate level needs. 
Often they meet neithe
r

Corporate wide-metrics and reporting frameworks are difficult to fit to project-level needs and often simply add complexity and work without apparent project-level value. 

Metrics important for management at the project level are not understood or accepted at the corporate level, and often not even at executive levels on the project itself.



4.       CSR/Sustainability Reporting is inefficient and overwhelming.  
The reporting demands of the obligatory, regulatory-driven compliance reporting coupled with what often seems like a disconnected and confusing hodgepodge of voluntary reporting are confusing and overwhelming.

Compliance with regulatory driven reporting requirements is mandatory and can be driven by site level and host country requirements, home country requirements and the requirements of various membership organizations.

Voluntary reporting requirements are often selected somewhat randomly and companies end up complying with sets of voluntary reporting requirements that may not make sense when looked at objectively.

Too often companies end up complying with one or more voluntary requirements that simply don’t make sense when looked at through a value and efficiency lens.

Those that do often find that there is little marginal value in some of their voluntary areas and that there may be other voluntary areas where there is a much better value/cost relationship.

Even fewer look at where and how they may extract more corporate level value from their overall reporting commitments.

5.       CSR is ghettoized. 
There has been significant improvement in this area in recent years but it is still often the case that CSR is often somewhat of a bolt-on piece of the corporate structure.

Fortunately, there are increasing numbers of companies that have CSR and related interests represented at decision making levels throughout the organization


6.       Internal CSR communications & buy-in need improvement. 
While there is much improvement in de-ghettoizing CSR and integrating CSR into the corporate structure there is still much work to be done around internal communications.

Too often CSR is clearly seen as important and core to overall shareholder value by those in CSR and related functions and by the CEO.

Other functions and areas recognize that CSR is important but do not understand clearly how and why it is important to their role and the success of their work.

Those responsible for CSR often have a lot of room for improvement in internal communications and value alignment.

There is more discussion on this in Engaging internal stakeholders:  Seven proven strategies   here

7.       Confused strategy for external CSR communications.   
Few companies have invested the time and resources to develop effective CSR communication strategies at the site level or at the corporate level.

Too often CSR communications is ad-hoc and sporadic, ranging from ‘shout from the rooftops’ to ‘keep your head down and mouth shut’ strategies.  Sometime both at the same time.

Communications is a very efficient way to extract more shareholder value from CSR spending and yet too often this is literally left to whim and chance.


8.       We’ll get to it soon. 
CSR efficiency (especially efficiency at creating shareholder value) too often ends up in the important but not urgent category and simply doesn’t get done.  

Executives and managers recognize that there are inefficiencies, that there are value opportunities and that there are likely unnoticed risks and threats. 

They know that a CSR SWOT should be done.  But, the urgency of day to day demands and priorities keeps pushing this out and it doesn’t get done.


This isn’t to blame the leaders and practitioners of CSR, nor the C-suite team.  It is simply the reality of companies and leaders working hard to keep up with a dynamic and rapidly evolving field.

However, a CSR SWOT does represent an important opportunity for companies, especially in these days of economic uncertainty and increasing budgetary pressures.

A CSR SWOT can often uncover value, opportunities and risks that have developed and gone undetected as managers and executives have scrambled to keep up with the rapidly evolving CSR space in recent years.

An objective and dispassionate ‘fresh-eyes’ review will often find:
  • Opportunities for increased shareholder and societal value from existing CSR budgets and programs.
  • Opportunities for improved efficiency and effectiveness in CSR/Sustainability reporting
  •  Unnoticed risks and threats



Executives and managers who can’t find the time to undertake a CSR SWOT should look to bring in someone who can bring fresh-eyes and fresh perspectives and just do it.  

A CSR SWOT can help your organization to better support and
capture value from your CSR budgets and activities.

A CSR SWOT doesn’t have to be comprehensive to be valuable.  Most can be done, at least to a preliminary level, without travel to project sites and remote locations.

A CSR SWOT can help companies to unlock new value and better manage risks.  But, only if they actually get done and not just thought about.