for Corporate Professionals
Tools for Better Strategy, Reporting, and Performance in
Corporate Social Responsibility,
Stakeholder Engagement, and
Global Corporate Citizenship
Table of Contents
Sustainability – To meet the needs of the present without undermining the ability of future generations to meet their own needs. (Source: This is the classic definition that first appeared in the Brundtland Commission report, Our Common Future, 1987)
Triple Bottom Line – A company’s TBL is its Economic, Social, and Environmental Returns. Also known as the Three P’s (People, Planet, Profit) and the Three E’s (Economics, Environment, Equity). Core concept is that, for any one of these spheres to thrive long-term, all must thrive. Business relies on a healthy society and abundant environment. Society requires the products and services of business. The environment is safe only when people are able and willing to invest in its long-term protection. See diagram provided by Conoco-Phillips: The central overlap illustrates where the interests of each of the three bottom lines are aligned.
Corporate Social Responsibility – Business for Social Responsibility defines CSR as “achieving commercial success in ways that honor ethical values and respect people, communities, and the natural environment.” While there is no single generally accepted definition of CSR, it can be explained as a concept whereby companies integrate social and environmental concerns in their business operations and in their interaction with their stakeholders on a voluntary basis.
Stakeholder Engagement – Stakeholder engagement is a formal process of relationship management through which companies or industries engage with a set of their stakeholders in an effort to align their mutual interests, to reduce risk and advance the triple bottom line - the company's financial, social, and environmental performance.
Global Corporate Citizenship - the contribution that a company makes in global society through its core business activities, its social investment and philanthropy programs, and its engagement in public policy. That contribution is determined by the manner in which a company manages its economic, social and environmental impacts and manages its relationships with different stakeholders, in particular shareholders, employees, customers, business partners, governments, communities and future generations.
Top Standards (for Corporate Professionals)
LEED - The LEED (Leadership in Energy and Environmental Design) Green Building Rating System® is a voluntary, consensus-based national standard for developing high-performance, sustainable buildings. LEED provides a complete framework for assessing building performance and meeting sustainability goals and emphasizes state of the art strategies for sustainable site development, water savings, energy efficiency, materials selection and indoor environmental quality. LEED recognizes achievements and promotes expertise in green building through a comprehensive system offering project certification, professional accreditation, training and practical resources. (www.usgbc.org/LEED/)
GRI - Global Reporting Initiative (GRI)’s Sustainability Reporting Guidelines set a globally applicable framework for reporting the economic, environmental, and social dimensions of an organization’s activities, products, and services. It is the most widely used and internationally recognized standard for corporate sustainability measurement and reporting. (http://www.globalreporting.org)
Dow Jones Sustainability Index – Dow Jones Sustainability Index (DJSI) is described as the first global index tracking the financial performance of the leading sustainability-driven companies worldwide. Company questionnaire is designed to assess opportunities and risks deriving from economic, environmental and social activities of companies. Inclusion in the Index is a competitive process; selection is considered a mark of distinction for companies that want investors to see them as sustainability leaders. (http://www.sustainability-index.com)
FTSE4Good – The FTSE4Good Index Series was created by FTSE, a respected global financial index company based in
Smart Growth Network – The Smart Growth Network (SGN) was formed in response to increasing community concerns about the need for new ways to grow local communities while boosting the economy, protecting the environment, and enhancing community vitality. Its focus is on community engagement and development, with emphasis on integrative solutions to a mix of community issues, such as traffic, housing, jobs, sprawl and environment. Smart Growth is gaining attention recently; provides alternative to single-issue focus; engages companies and stakeholders in productive problem-solving. It is widely used by companies that seek to build strong community bonds. Numerous states and municipalities have endorsed the approach in their development strategy. (http://www.smartgrowth.org)
Equator Principles – The Equator Principles is a framework for financial institutions to manage environmental and social issues in project financing. The Principles are intended to serve as a common baseline for the implementation of individual, internal environmental and social procedures and standards for project financing activities across all industry sectors globally. The Principles were developed and adopted by IFC and 20 world’s leading banks, and quickly became a global market standard for project finance. (http://www.equator-principles.com)
Strategy/Planning/Reporting Tools
Global Citizenship 360 - Strategic planning process to measure corporate performance against the major standards, align with corporate strategic objectives, prepare GRI Report-Builders and other reports, and build team and corporate commitment. Provided by
One Report – Web-based tool to easily submit data using GRI framework to over 20 social investment organizations and research and rating institutions, such as Calvert and AccountAbility. More.
- Confronting Companies Using Shareholder Power: A Handbook on Socially-Oriented Shareholder Activism
This handbook is written for socially-conscious or mission-based investors who recognize their obligation to exercise ownership responsibility in the companies they hold. It is intended to assist investors who have long-term commitment to social issues and who are committed to using shareholder activism tools in a prudent and responsible manner. This guide can also inform public interest groups, who often serve as technical experts for shareholder activists, on the shareholder resolution process.
Peer-to-Peer Networks and Working Groups
Business Cases and Arguments For and Against
- Case Place: Database of case studies
- EPA Pollution Prevention: Pollution Prevention case studies
- SustainAbility: Database of case studies
- SustainAbility – Developing World: Case studies in developing world
- World Business Council for Sustainable Development: Database of case studies
- American Institute of Architects (AIA) Committee on the Environment (COTE): Top 10 Green Projects for 2002
- Center of Excellence for Sustainable Development:Green building success stories
- Global Green USA: Matrix of case studies highlighting environmental themes, techniques, and benefits
- Green Affordable Housing Coalition: List of residential and commercial projects in the Bay Area
- U.S. Green Building Council: Select comprehensive case studies
- Rocky Mountain Institute: Favorite green development case studies
- City of San Jose: Examples and case studies
-
U.S. Department of Energy: High Performance Buildings Database
- U.S. Environmental Agency:
- Workspace Group - Benefits of disclosure: Upstream Strategies
- Diversity Report: FPL Advisory Group
