1. 1. Doing Your Part Presented by Wayne Dunn President & Founder, CSR Training Institute Former Prof. of Practice in CSR (McGill University) wayne@csrtraininginstitute.com Taatheer 2017 The Address Dubai Marina May 16, 2017 Dubai, UAE Incorporating the SDGs into your organizations strategy
2. 2. Who/What is Canadian based with global delivery (focus on Americas, Gulf Region and Africa) Social Responsibility Partner: Free Zones of the Future Trained hundreds of executives, leaders and practitioners in CSR Strategy and Practice Focus on CSR strategy, Value Creation and Impact Public programs and customized corporate and organizational programs Consulting and strategic assignments National/regional partnerships in UAE, Bahrain, Ghana, Greece, Zambia, East Africa, India Wayne Dunn Founder & President of CSR Training Institute Master of Science in Management, Stanford Business School Stanford University Sloan Fellow Former Professor of Practice in CSR, McGill University Entrepreneur & Organizational Strategist Social Responsibility Leader: Free Zones of the Future Chairman, Taatheer 2016 25+ years of practical CSR experience (40+ countries, every continent, public and private sector) Frequent speaker on strategy and sustainability at events worldwide Numerous awards (1st private sector winner of World Bank Development Innovation Award, Stanford Case Study, etc.) Advisor to corporations, governments, NGOs and international organizations worldwide Consulted across industries, geographies and sectors on Strategy, CSR, Sustainability and Operations CSR Awards Jury duty throughout MENA & Africa Taatheer 2017 CSR Bootcamps (Impact Measurement / Reporting & Communications
3. 3. Agenda & Objectives Agenda Growing performance pressures on business (social, environmental financial) Also applies to governments, charities, foundations, NGOs, etc. CSR and Value (distribution, creation, preservation, destruction) The Global Goals for Sustainable Development SDG SWOT Analysis
4. 4. Caution: Language is under development Corporate Social Responsibility (CSR) Sustainability Corporate Citizenship Corporate Responsibility Social Responsibility Environment, Social and Governance (ESG) Shared Value Social License Social Impact ???? And more.
5. 5. The world changed Isolated world gave more power and influence to large institutions (government, business, etc.) More focus on local issues, standards and expectations CSR & Sustainability arent optional Globalized inter-connected world Emerging global standards and norms Increased democratization of power and influence Anywhere is everywhere
6. 6. Financing & Investing Changed Impacts beyond financial returns Social and environmental performance key to financial performance Some investors still see financial, social and environmental returns as a trade-off (but number is shrinking) 84% of millennials are interested in sustainable investing. Assets utilizing sustainable investing criteria have grown 76 percent in 2014-15 to $6.57 trillion* * Morgan Stanley Institute for Sustainable Investing
7. 7. Financing and Investing Changed Sustainable Investment was a key theme of Dubai Investment Forum, Oct 2016 GCC Investment Funds are focusing on sustainability
8. 8. Increasing mandatory and voluntary compliance ICMI - International Cyanide Management Institute (ICMI) Conflict Free Gold Standard Voluntary Principles on Security and Human Rights EITI CDP ISO26000 Global Compact Global Reporting Initiative Voluntary Principles ICMM National CSR Policy IFC Equator Principles ILO Accountability Many, many more
9. 9. Equator Principles
10. 10. Global Reporting Initiative
11. 11. Echo Chamber of Social Media
12. 12. Increasing societal expectations and influence on business 0 50 100 150 200 250 300 1975 1980 1985 1990 1995 2000 2005 2010 2015 SocietalExpectations&Influence Applies to organizations of all types, but especially business *directionally indicative data derived from SWAG analysis The expectations of society and government are increasing rapidly in GCC/MENA
13. 13. Operational performance expectations are growing too Cost reduction and increased operational efficiency are standard expectations Optimization Doing more with less Across the board value and efficiency improvements And, at the same time, governments are increasingly engaging in sustainability and social development activities, and expecting business to be part of them
14. 14. Social value & sustainability imperative applies across industries, sectors and geography
15. 15. Changes to Social Responsibility GCC/MENA region businesses have a long history of support and engagement with society Predates modern CSR movement Traditionally it has taken a charitable and philanthropic approach Value distribution from the business to social causes and activities with little or no thought to alignment with business interests Zero Sum approach Increasing public, government and investor expectations demand a more value-centric approach Anything else is sub-optimal and not sustainable
16. 16. CSR is about value not Charity Value for Society, environment and business. Value creation, Value alignment, Value optimization
17. 17. CSR Economics Value Distribution to Value Creation
18. 18. Many successful examples Emirates NBD and Social Inclusion Social value, business value and more Emirates Steel, Abu Dhabi National Oil Company & Masdar - CO2 capture Reduced carbon footprint can drive improved supply-chain positioning Improved oil recovery for ADNOC Improved emission management for Abu Dhabi / UAE Dubai Sustainable City eco-efficiency supports cost reductions and enhanced marketability Apple 100% renewable energy Reduced energy costs and improved energy stability over time Enhances brand image and product marketability Supports employee recruitment and retention
19. 19. Strategic CSR needs a framework for consistent alignment Effective shift from value distribution to value creation approach wont happen ad-hoc Alignment of social, environment, government and business value can be complex Need a framework and approach that can work across industries, sectors and geographies Must facilitate engagement with government and society Framework to provide consistency and yet enable flexibility to facilitate response to local needs, issues and drivers
20. 20. The Worlds Development Framework Adopted unanimously by all member of the United Nations Development framework for governments and organizations of all types Easy adaptation by business (most are already contributing) Great framework for social and environmental impact communications Great framework for public private partnerships
21. 21. What are the SDGs (video)
22. 22. SDGs are a government priority
23. 23. Gulf Business Leaders on the SDGs 92% of respondents believe working towards the SDGs will positively impact their business sustainability. 80 percent believe in the power of multi-stakeholder collaborations to move the SDG agenda forward, 86% agree the SDGs are a useful framework for Gulf sustainability action 64% claimed that their company has made a commitment towards the SDGs. However, only 20% of the respondents believed that a majority of regional companies will be effectively implementing initiatives to progress the SDGs in the next 5 years. Survey of senior business leaders across all six Gulf States Oct 2016 (Pearl Initiative)
24. 24. Gulf Business Leaders on the SDGs Survey of senior business leaders across all six Gulf States Oct 2016 (Pearl Initiative) Most Relevant For Companies Reducing environmental impact Benefitting youth Improving labour standards Most Relevant Personally Alleviating poverty Improving health Access to education Business Outcomes from SDG Action Stronger brands Expanded CSR practices Improved operational efficiency
25. 25. SDG Framework for Value The 17 SDGs provide a great framework for public private partnerships They are broad enough to capture the full range of business social and environmental priorities They are the de-facto development framework for governments, NGOs and other development partners Used strategically the SDGs can facilitate alignment of social and business interests; optimizing value and impact for all.
26. 26. Integrating SDGs into Business Strategy Integrating the SDGs into your strategy can drive business performance. SDG integration will drive social performance, operational performance and sustainability performance. SDG integration will help align your business with government priorities and interests SDG alignment enhances stakeholder relations, internally and externally. SDG performance drives value and helps to future-proof your operation. SDG strategies are simply smart business. Needs to integrate across functions, units and departments. It is about more than just the Foundation/Charity part of the business
27. 27. SDG SWOT Analysis Systematic review of Strengths, Weaknesses, Opportunities and Threats in relation to SDGs Encompasses all aspects of the organization (e.g., finance, marketing, engineering, supply chain, human resources, corporate affairs, etc.) Identify and prioritize opportunities and risks Identify and prioritize partnership and collaboration opportunities Facilitate broad buy-in across the organization Develop go forward strategy and action plan Important to be thorough, but dont over-complicate.
28. 28. SDG Themes The 17 SDGs can be grouped into themes (will often make it easier to facilitate integration into your organizational strategy) Poverty Education Health Community Environment Partnerships Justice Can your supply chain strategy reduce costs and contribute to poverty reduction? Can worker/community health initiatives improve business productivity and reduce recruitment, training and retention costs? Can design and engineering achieve capital and operating cost savings with improved eco-efficiency? What questions will unlock value for your organization?
29. 29. The Sustainable Development Goals and you 17 Business & Activities Goal 1 End poverty in all its formseverywhere Goal 2 End hunger, achieve food security and improved nutrition and promote sustainable agriculture Goal 3 Ensure healthy lives and promote well-being for all at all ages Goal 4 Ensure inclusive and equitable quality education and promote lifelong learning opportunities for all Goal 5 Achieve gender equality and empower all women and girls Goal 6 Ensure availability and sustainable management of water and sanitation for all Goal 7 Ensure access to affordable, reliable, sustainable and modern energy for all Goal 8 Promote sustained, inclusive and sustainable economic growth, full and productive employment and decent work for all Goal 9 Build resilient infrastructure, promote inclusive and sustainable industrialization and foster innovation Goal 10 Reduce inequality within and amongcountries Goal 11 Make cities and human settlements inclusive, safe, resilient andsustainable Goal 12 Ensure sustainable consumption and production patterns Goal 13 Take urgent action to combat climate change and itsimpacts* Goal 14 Conserve and sustainably use the oceans, seas and marine resources for sustainabledevelopment Goal 15 Protect, restore and promote sustainable use of terrestrial ecosystems, sustainably manage forests, combat desertifcation, and halt and reverse land degradation and halt biodiversity loss Goal 16 Promote peaceful and inclusive societies for sustainable development, provide access to justice for all and build effective, accountable and inclusive institutions at all levels Goal 17 Strengthen the means of implementation and revitalize the global partnership for sustainable development SDGImpactAreas
30. 30. High Performance Organization Responsibility for corporate performance & employee well being Responsibility for planet and environmental impacts Responsibility for society & social impacts Value Optimization ImpactMeasurement KeyPerformanceIndicators Reporting&Communications HiPerformingOrganization
31. 31. Corporate Social Responsibility & Sustainability Myths CSR is charity, philanthropy and do good stuff CSR is a cost, not a value driver CSR is something extra done when budgets allow CSR is not part of core business activities Sustainability is a cost to business Smart business will minimize sustainability and CSR to maximize profits CSR and Environmental Stewardship can drive business value, social value and eco-system preservation and enhancement
32. 32. If interested we are leading a Impact Measurement Bootcamp on Thursday Will have an SDG focus Theory, practice, lectures, videos, group work / case studies Guest faculty will include Ms. Rasha Kashkoush Head of Communications for FaceBook MENA Region Mrs Ola Al Haj Hussin, Corporate Citizenship Manager, Crescent Enterprises Ms. Laurel Sabur, Investment Banker & impact investing expert, CSR Training Institute
33. 33. Wayne Dunn President & Founder, CSR Training Institute Former Professor of Practice in CSR, McGill University wayne@csrtraininginstitute.com www.csrtraininginstitute.com WhatsApp +1.250.701.6088 Thank you for listening Questions & Follow-up