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Competitiveness, Responsibility and Sustainability February 24 th , 2014.

Competitiveness, Responsibility and Sustainability February 24 th , 2014. Marriot Hotel – Zamalek -Cairo. Eng. Osama Elmeligy. Introduction.

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Competitiveness, Responsibility and Sustainability February 24 th , 2014.

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  1. Competitiveness, Responsibility and Sustainability February 24th, 2014. Marriot Hotel –Zamalek-Cairo Eng. Osama Elmeligy

  2. Introduction • In July 2013 CSR & UNDP launched a CSR strategy for the Agro Food Industries in Egypt. The theme of which is from corporate Social Responsibility to corporate competitive advantage. • This course is an integral part of the efforts of UNDP & ECRC to raise awareness and knowledge of stakeholders on how to integrate this strategy into their businesses and in relationships with government bodies & business

  3. Benefits of integrating CSR strategy • Generates new business opportunities • Improves company’s social standing • Improves company’s brand reputation • Increases employee motivation • Supports company’s philanthropic priorities/ Initiatives • Markets to socially responsible consumers • Creates an important solution to a social or environmental problem • Promises significant and new business/ market opportunities • Promises long-term gains by significantly changing its business environment

  4. Contents The challenges and opportunities Global Changes in Agro Food business environment CSR strategy. Leadership. Sustainability. Economic, Environmental, Societal. New approaches Tools and techniques International standards and norms. Integration Communication and reporting Conformity, Compliance & Certification Feedback Evaluation

  5. المصطلحات والتعاريف ISO 26000- ECRC - TOTAL

  6. المصطلحات والتعاريف “Terms and definitions” • قابلية المسائلة Accountability هي قابلية المنشأة للتجاوب مع الجهات المتحكمة للمنشأة والقابلية للإجابة على أسئلة السلطات القانونية و الأطراف المعنية و المجتمعات التي تعمل فيها المنشأة. • المستهلكConsumer شخص من عامة الناس يشتري البضائع أو الخدمات أو يستخدمها في أغراض شخصية. • البيئةEnvironment المحيط الذي تعمل فيه المنشأةبما فيه من هواء و ماء و أرض و موارد طبيعية و نباتات و مائيات و كائنات بشرية. • التأثير البيئيEnvironmental impact أي تغير يحدث في البيئة سواء كان ذو تأثير عكسي أو مفيد، كلى أو جزئي نتيجة أنشطةالمنشأة. ISO 26000- ECRC - TOTAL

  7. المصطلحات والتعاريف “Terms and definitions” • السلوك الأخلاقيEthical behavior السلوك الذي يتوافق مع المبادﺉ المتفق عليها للسلوك الصحيح أو السليم (وذلكضمن سياق موقف معين). • المادة Material خصائص المعلومات أو الموضوع التي ستؤثر بشكل جوهري على التقييمات والقرارات الخاصة بالمنشأة أو أطرافها المعنية أو كليهما معا. • المنشأة Organization مجموعة من الناس يعملون سويا من اجل غرض واضح مع ترتيب المسئوليات والسلطات والعلاقات. ISO 26000- ECRC - TOTAL

  8. المصطلحات والتعاريف “Terms and definitions” • الحوكمة المؤسسيةOrganizational governance النظام الذي تتخذ المنشأة من خلاله قراراتها. • السياسةPolicy القرارات و الخطوط الإرشادية العامة التي تتبناها المنشأة. • المبدأ Principle قاعدة أو مواصفة عامة تستخدم كدليل مرشد لصناعة القرار أو السلوك أو للتأثيرعليهما. • المنتج Product المادة التي تطرح للبيع أو التي تعد جزءاً من خدمة توفرها المنشأة. • الخدمةService مساعدة لتلبية احتياج أو طلب. ISO 26000- ECRC - TOTAL

  9. المصطلحات والتعاريف “Terms and definitions” • المسئولية المجتمعيةSocial responsibility للمسئولية المجتمعية عدة تعاريف منها : التعريف الشائع من قبل مجلس الأعمال العالمي للتنمية المستدامة وهو يعرف المسئولية المجتمعية للشركات بأنها “ تعهد من قطاع الأعمال (WBCSD) بالمشاركة في التنمية الاقتصادية المستدامة من خلال العمل مع العاملين وعائلاتهم، والمجتمع المحلي والإقليمي بغرض تحسين جودة حياتهم ” وقد فسر المعهد الدولي للتنمية المستدامة مصطلح المسئولية المجتمعية في إطار التنمية المستدامةبأنها ” تشير إلى المجتمع، وأنه من المتوقع أن تسهم معايير أو مقاييس المسئولية المجتمعية في تعزيز الركائز الثلاثة لتحقيق التنمية المستدامة وهي التنمية الاقتصادية و التنمية الاجتماعية والحماية البيئية “ كذلك فإن أي تعريفعالمي للمسئولية المجتمعية لا بد وأن يشير إلى الأهداف الإنمائية للأمم المتحدة. ISO 26000- ECRC - TOTAL

  10. المصطلحات والتعاريف “Terms and definitions” • مسؤولمجتمعياًSociallyresponsible التصرف طبقا لمبادﺉ و ممارسات المسؤولية المجتمعية. • دائرةالتأثيرSphereofinfluence المجال أو المنطقة التي يمتلك فيها الفرد أو المنشأة السلطة للتأثير على القرارات والأنشطة. • الطرفالمعنيStakeholder فرد أو مجموعة من الأفراد تجمعهم مصلحة قد تؤثر على المنشأة أو تتأثر بها . • مشاركةالأطرافالمعنيةStakeholderengagement وهي الأنشطة التى تقوم المنشأة بإشراك الإطراف المعنية " الأساسية " في علاقة تعاونية لتحقيق نتائج ايجابية ISO 26000- ECRC - TOTAL

  11. المصطلحات والتعاريف “Terms and definitions” • التنمية المستدامةSustainable development وهي التنمية التى تلبي احتياجات الحاضر دون المساس بقدرة الأجيال المستقبلية على تلبية احتياجاتهم الخاصة . • سلسلة الإمدادSupply chain وتشمل ما يطرأ على أداء المؤسسة من ارتفاع وانخفاض في عمليات وأنشطة تسليم القيم في صورة منتجات أوخدمات للمؤسسة . • الشفافية Transparency ويقصد بها المجاهرة بالأعمال والتأثيرات ، والرغبة في الربط بينها بشكل واضح وصريح وكامل بين جميع الأطراف المعنية ( والمجتمع ). • رفاهية المجتمعWelfare of society وتشير إلى صحة وسعادة ورخاء المجتمع بشكل عام . ISO 26000- ECRC - TOTAL

  12. ( 1 ) • The Challenges and Opportunities

  13. Challenges facing the Agribusiness in Egypt 1. Economic challenges a. The productivity of agribusiness sector in Egypt is very low and the waste in all processes exceeds the international norms. b. The national system for standardization is not up to international standards and no empowerment. c. Lack of awareness of standards and quality systems within producers, buyers, regulators and along the supply chain. d. Shortage of testing laboratories that are accredited.

  14. Challenges facing the Agribusiness in Egypt 2. Environmental challenges a. Water scarcity is becoming a big issue due to mismanagement and misuse. b. Land degradation and contamination, due to excessive use of chemicals and pesticides. c. Poor waste management, see how famers set fire in the hey of rice after the season of harvest. d. Energy and fuel shortages, a big problem now for farmers is to ensure business continuity when there is a petrol or electricity problem .

  15. Challenges facing the Agribusiness in Egypt 3. Challenges with Human Resources and Social Aspects a. The quality of education and lack of training and skills development . b. The turnover of manpower and the instability in the labor market. c. Unfair wages paid to workers and farmers. d. Corruption in the local governments that should ensure compliance to laws and legislations, regulating the agribusiness.

  16. ( 3 ) Strategic Corporate Social Responsibility CSR strategy

  17. CSRcore values/concepts • Visionary and committed leadership. • Stakeholder-driven excellence and responsible practices. • Organisational and personal learning through dialogue and mutual engagement with relevant stakeholders (primary and secondary stakeholders). • Valuing employees, partners, other stakeholders. • Agility and focus on the future (short and long term). • Managing for responsibility and improvement. • Management by fact, transparency, accountability. • Public responsibility and citizenship. • Focus on positive results, impacts and value-added for stakeholders with responsible ecological practices.

  18. Putting Responsibility Management into Practice – Corporate Strategy Top management need to take a long-term perspective, make a public commitment, communicate the commitment, be a role model for the company’s values, integrate vision and values into strategies and practices and support changes. Responsibility Management Approaches must be both systemic and holistic of they are to be effective. ISO 26000 was designed as a holistic approach involving the interdependence of seven factors: community involvement and development, human rights, labor practices, the environment, consumer issues, fair operating practices and organizational governance.

  19. ( 5 ) Sustainability Economic, Environmental, Societal

  20. What is sustainability? • Satisfying basic needs without depleting or degrading resources • Maximizing resource use • Reducing resource use even if it means some big sacrifices by human beings • Halting further resource use and limiting human progress

  21. Definitions of Sustainability` Sustainability The possibility that human and other forms of life on earth will flourish forever Sustainable Development (SD) Meeting the needs of the present generation without compromising the ability of future generations to meet their own needs. Sustainable Development (SD) Enough - for all – forever.

  22. Core Concepts of Sustainability Futures ThinkingIntergenerational responsibility (Eco-)Systems ThinkingCarrying capacity of the planetto absorb waste and support life Social JusticeEquity, Dignity, Basic services, Human rights, Stakeholder voices Economic, Environmental, Social/Culturalresponsibilities

  23. أوجه الإستدامة Aspects of Sustainability الإستدامة Sustainability إلتزام بيئي Environment تنمية إقتصادية Economic مسؤولية مجتمعية Social Responsibility

  24. Corporate Sustainability, Three Legged Stool Triple Bottom Line (TBL) = 3Es = 3Ps = Sustainability = Sustainable Development (SD) = Corporate Social Responsibility (CSR) = Corporate Responsibility (CR) = Green = Environmental, Social, Governance (ESG) Environment - Planet Eco-efficiencies Eco-effectiveness Economy - Profits GrowthJobs, Taxes Products Services Equity - People Employees Community / Culture World

  25. Principles of Environmental Sustainability Environmental Policy Integration Transparency, Public Participation, and access to Information and Remedies Precaution Polluter-Pays Responsibility for trans-boundary Harm Subsidiarity & Decentralization

  26. The Water Footprint Concept • The WF is an indicator of water use that looks at both direct andindirectwater use of a consumer or producer. • Water use is measured in terms of: - water volumes consumed (evaporated or otherwise not returned) - polluted per unit of time • Geographically explicit • A WF can be calculated for: - process - product - consumer - group of consumers (e.g. municipality, province, state, nation) - producer (e.g. a public organization, private enterprise)

  27. The Water Footprint of a Product Green water footprint ► volume of rainwater evaporated. Blue water footprint ► volume of surface or groundwater evaporated. Grey water footprint ► volume of polluted water.

  28. [Hoekstra & Chapagain, 2008]

  29. Water footprint of EU’s cotton consumption (blue water)

  30. The water footprint: making a link between consumption in one place and impacts on water systems elsewhere Shrinking Aral Sea

  31. This is a global average and aggregate number. Policy decisions should be taken on the basis of: 1. Actual water footprint of certain coffee at the precise production location. 2. Ratio green/blue/grey water footprint. 3. Local impacts of the water footprint based on local vulnerability and scarcity. [Hoekstra & Chapagain, 2008]

  32. [Hoekstra & Chapagain, 2008]

  33. [Hoekstra & Chapagain, 2008]

  34. [Hoekstra & Chapagain, 2008]

  35. Carbon Footprint • Best estimate of full climate change impact of something • Carbon – Usually talking about CO2e (CO2-eq) not actually just carbon • Footprint – Total impact

  36. Direct vs. indirect emissions • Direct emissions of an item • Manufacturing process • Transportation of item to retailer • Indirect emissions • Everything else • Example: offices in the factory use paper clips made of steel that were mined and have their own carbon footprint

  37. Context for numbers • 1 gram of CO2e would be produced if you burned a pea sized blob of gasoline • 1 Kilogram (2 lbs) of CO2e would be produced if you burned 2 cups of gasoline • 1 Ton of CO2e would be produced if you burned 60 gallons of gasoline

  38. Context for numbers • The average American has a carbon footprint of 28 tons CO2e / year • The global average carbon footprint is ~6 tons CO2e / year / person

  39. ( 6 ) New approaches

  40. SR approach

  41. Approaches into decision making and activities Some organizations may already have established techniques for introducing new approaches into their decision making and activities, as well as effective systems for communication and internal review. Others may have less well-developed systems for organizational governance or other aspects of social responsibility.

  42. Approaches for integrating SR within an organization Social responsibility involves the adoption of an integrated approach to managing an organization's activities and impacts. An organization should address and monitor the impacts of its decisions and activities on society and the environment in a way that takes account of both the size of the organization and its impacts. It may not be possible for an organization to remedy immediately all negative consequences of its decisions and activities. It might be necessary to make choices and to set priorities.

  43. Holistic approach An organization should look at the core subjects holistically, that is, it should consider all core subjects and issues, and their interdependence, rather than concentrating on a single issue. Organizations should be aware that efforts to address one issue may involve a trade-off with other issues.

  44. Multi-stakeholder approach

  45. Integrated approach Organizations should adopt an integrated approach that takes into consideration the direct and indirect economic, social, health and environmental implications of their decisions and activities.

  46. Due diligence approach Due diligence can be a useful approach for an organization in addressing the issues of social responsibility.

  47. Active approach An organization has much to gain from taking an active approach to ensuring equal opportunity and respect for all individuals.

  48. Precautionary approach Precautionary approach This is drawn from the Rio Declaration on Environment and Development and subsequent declarations and agreements , which advance the concept that where there are threats of serious or irreversible damage to the environment or human health, lack of full scientific certainty should not be used as a reason for postponing cost-effective measures to prevent environmental degradation or damage to human health. When considering the cost-effectiveness of a measure, an organization should consider the long-term costs and benefits of that measure, not only the short-term costs to that organization;

  49. Life cycle approach Life cycle approach The main objectives of a life cycle approach are to reduce the environmental impacts of products and services as well as to improve their socio-economic performance throughout their life cycle, that is, from extraction of raw materials and energy generation, through production and use, to end-of life disposal or recovery. An organization should focus on innovations, not only on compliance, and should commit to continuous improvements in its environmental performance;

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