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Henri-Bernard Solignac Lecomte OECD Development Centre

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Corporate Social Responsibility (CSR), global governance and sustainable development: what is at stake?. Henri-Bernard Solignac Lecomte OECD Development Centre. EU-LDC Network Conference ‘ Global Governance for Sustainable Development: Issues and Instruments ’ Chiang Mai, December 8-10, 2002.

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corporate social responsibility csr global governance and sustainable development what is at stake

Corporate Social Responsibility (CSR), global governance and sustainable development:what is at stake?

Henri-Bernard Solignac Lecomte

OECD Development Centre

EU-LDC Network Conference

‘Global Governance for Sustainable Development: Issues and Instruments’

Chiang Mai, December 8-10, 2002

outline
Outline

1. The CSR concept: shareholders & stakeholders

2. CSR and development: what are the links?

3. Vehicles for CSR: firms, governments, standards

4. Issues for debate

the csr concept
The CSR Concept
  • Shareholder accountability
  • Stakeholder accountability
  • From opposition ...
  • … to a win-win situation?
  • by compliance
  • by choice
  • by moral obligation?
csr and development 1 the development case
CSR and Development (1) The development case
  • (+) the current of business on society is sub-optimal
  • (-) the scope for ‘bad’ corporate governance is greater than in developed countries
csr and development 2 the business case s
CSR and Development (2) The business case(s)
  • Human resource retention, brand recognition, reputation insurance
  • Cost-saving and better market access
  • Mitigation of negative impacts
  • Social license to operate
vehicles for csr 1 firms
Vehicles for CSR (1) Firms
  • Normal operations
  • Social welfare and risk management
  • Re-alignment of core business competencies with development priorities (partnerships)

There is evidence of success, but how do we scale it up?

vehicles for csr 2 governments
Vehicles for CSR (2)Governments
  • Minimum standards
  • Facilitate business going beyond compliance
    • Philippines CSR Week
    • Taiwan Green Business Award
    • Thailand Office on Labour Standards Development
  • Challenges
vehicles for csr 3 standards
Vehicles for CSR (3)Standards
  • Reporting (end-of-pipeline, NGOs)
  • Certification standards (financial sector)
  • ‘Aspirational’ / non-binding principles (IGOs)
    • UN Global Compact
    • OECD Guidelines on Multinational Enterprises
csr as an instrument for global governance
CSR as an instrument for global governance?
  • How far is long term?
  • Who defines society’s expectations?
  • Is there a risk of a bias towards public opinion in the North?
  • Can shareholders afford CSR in bad times?
  • PR pressure or strategic shift?
  • How far into public governance?
  • What role for the EU? (Cotonou, …)