In search of

1. In search of Responsible Excellence

2. 10 modules in 4 days 1 2 3 4 5 6 7 8 9 10 • Sustainable Development – the political agenda • Corporate Social Responsibility – a business agenda • Sustainability and Innovation • Case study – A mobility breakthrough • A corporate case – ABB • Case study – a mobility breakthrough • Stakeholders and boundaries • Value creation – difficulties and evidence • Responsible excellence – a performance model • Responsible Excellence and the real world

3. Freedom and precaution « What man wants is simply independent choice… …whatever it may cost and wherever it may lead » Dostoievski

4. Precaution  Facts +Personalworldview  Reward  Cost of failure  Perceived risk We deal with risk through personal experience and culture Degree of control Choices and decisions Uncertainity after Adams:Risk (1995)

5. And have difficulties to make collective decisions

6. Business cannot succeed in a that fails !  supply chain  community  region  world  society  culture  ecology Business success is not getting simpler… select any of:  Companypurpose   • A business today must • Broaden its view of the business environment • Reach an informed judgement of risks and priorities, • Engage with key actors • Deliver on commitments    

7. Governments and international norms Industry norms and initiatives Stakeholders…Who? Stakeholders Individuals and groups affected by or affecting the conduct of the company Employees should be associates, not stakeholders (for the sake of using fancy names…) Host communities Employees Suppliers Management Control & purpose Companypurpose Shareholders Customers

8. Stakeholders…Why? (reason One) Goodwill The art of relationships and credibility Brand strength, Market loyalty Lower barriers of entry Goodwill Market value

9. Honest Vision Committed to a better future Demonstrates high integrity Competent Open Communicates and listens Effective and efficient Credibility – 4 critical factors Credibility

10. Vision Open Credibility – 4 critical factors Many companies assume technical competence is a sufficient basis for success, But the mismanagementof any one factor penalisescredibility and goodwill value. Honest Credibility Competent

11. Stakeholder Stakeholders…Why? (reason Two) • Systemic change needs the contribution • of all actors who • have a real influence in the system • Can share the purpose of system improvement • Will live with the resultsof the system change(or its status quo)

12. Stakeholders…Forms of engagement? • Newsletters, • Open days • Surveys • Ad hoc consultations, • Community Advisory Panels • Corporate Advisory Panels • Common Projects Marine Stewardship Council Global Reporting Initiative Suez “Water for All” Aventis-WHO-MSF Lafarge WWF GAIN GBC HIV/AIDS GAVI, GFATM

13. Marine Stewardship Council Eng.msc.org

14. Global Fund against Tubercolisis, Malaria, Aids www.theglobalfund.org

15. Global Allaince for Vaccines and Immunisation www.vaccinealliance.org

16. Global Business Coalition on hiv / aids www.businessfightsaids.org

17. The tensions of expectations How do you justify shipping so much water around the world? How do you defend your low price for water? Can you guarantee that your metal-based pigments are mined responsibly and not from zones of conflict? How do you avoid end use wastes? How do you cause customers to paint energy efficient surfaces? How do you educate your drivers in developing countries about HIV/AIDS? We want to bethe most responsibleproducer of paints Certified ISO 14000, Eliminated solvents, Zero factory waste targets, 20% lower Greenhouse gases Businesspurpose

18. Societal expectations Risks? Opportunities? Legal framework Flawed marketsand institutionslimit thebusiness case The tensions of boundaries Businesspurpose Innovation the operating mode of CSR in action

19. Legal framework Accountability options Checkperformance Implementation PublicReport Action plan Managementsetspriorities Stakeholdersexpectations Businesspurpose Level theplayingfield