CSR 2.0 Transforming Corporate Social Responsibility Dr Wayne Visser SUSTAINABLE DEVELOPMENT GAP Source: Global Footprint Network, UNDP BUSINESS RESPONSE: CSR The CSR DNA Model DNA Code Goal Key Indicators Value Creation Economic development Capital investment Beneficial products Inclusive business Good Governance Institutional effectiveness Leadership Transparency Ethical conduct Societal Contribution Stakeholder orientation Philanthropy Fair labour practices Supply chain integrity Environmental Integrity Sustainable ecosystems Ecosystem protection Renewable resources Zero-waste production PROGRESS: STAGES OF CSR 2.0 CSR CSR 1.0 Transformative Strategic Charitable Defensive The Age of Greed The Age of Philanthropy Promotional The Age of Management The Age of Marketing The Age of Responsibility FAILURE OF CSR 1.0 INCREMENTAL PERIPHERAL UNECONOMIC FROM CSR 1.0 TO CSR 2.0 Source: W. Visser, The Age of Responsibility, 2011 CIRCULARITY GLOCALITY RESPONSIVENESS SCALABILITY CREATIVITY PRINCIPLES OF CSR 2.0 A LITTLE WORLD WTO FORECAST #1 FOR CSR IN 2020 CSR 1.0 CSR 2.0 By 2020, we will see most large, international companies having moved through the first four types or stages of CSR (defensive, charitable, promotional and strategic) and practicing, to varying degrees, transformative CSR, or CSR 2.0. FORECAST #2 FOR CSR IN 2020 Codes & standards Product innovation By 2020, reliance on sustainable business codes, standards and guidelines will be seen as a necessary but insufficient. Companies will be judged on how innovative they are in using their products and processes to tackle social and environmental problems. FORECAST #3 FOR CSR IN 2020 Ethical consumers Choice editing By 2020, self-selecting ‘ethical consumers’ will become less relevant as a force for change. Companies—strongly encouraged by government policies and incentives—will scale up their choice editing and cease offering ‘less ethical’ product ranges, thus allowing guilt-free shopping. FORECAST #4 FOR CSR IN 2020 Sponsorships Partnerships By 2020, cross-sector partnerships will be at the heart of all CSR approaches. These will increasingly be defined by business bringing its core competencies and skills (rather than just its financial resources) to the party. FORECAST #5 FOR CSR IN 2020 Local solutions Glocal solutions By 2020, companies practicing sustainable business will be expected to comply with global bestpractice principles, such as the UN Global Compact or the Ruggie Human Rights Framework, but simultaneously demonstrate sensitivity to local issues and priorities. FORECAST #6 FOR CSR IN 2020 Take-makewaste Circular production By 2020, progressive companies will be required to demonstrate full lifecycle management of their products, from cradle to cradle, with goals of zero-waste, carbon-neutral and water-neutral production, with mandated take back schemes for products. FORECAST #7 FOR CSR IN 2020 By 2020, some form GRI & Rankings GASP & Ratings of Generally Accepted Sustainability Practices (GASP) will be agreed upon, with consensus principles, methods, approaches and rules for measuring and disclosing sustainable business. Also, a set of credible CSR rating agencies will have emerged FORECAST #8 FOR CSR IN 2020 By 2020, many of Selfregulation Coregulation today’s sustainable business practices will be mandatory requirements. However, CSR will remain a voluntary practice – an innovation and differentiation frontier – for those companies that are either willing and able, or pushed and prodded to lead FORECAST #9 FOR CSR IN 2020 Corporate reporting Product reporting By 2020, corporate transparency will take the form of publicly available sets of mandatory disclosed ESG data—down to a product level—plus web 2.0 collaborative feedback platforms, WikiLeaks-type whistleblowing sites and product rating applications. FORECAST #10 FOR CSR IN 2020 By 2020, CSR will have Centralised departments Decentralised specialists diversified back into its specialist disciplines and functions, leaving little or no sustainable business departments behind, yet having more specialists in particular areas and more employees with knowledge of how to integrate CSR issues into their functional areas. CSR 2.0 IMPLEMENTATION Re-structure PARTNERSHIP IMPACT Re-assess LEADERSHIP Re-align Source: W. Visser, The Quest for Sustainable Business, 2012 INNOVATION Re-define TRANSFORMATION Re-design WHAT HAVE WE GOT TO LOSE? CSR SUMMIT 2014 THANK YOU! [email protected] www.kaleidoscopefutures.com www.waynevisser.com CSR International & Wayne Visser CSRint & KaleidoFutures & WayneVisser CSR International & Wayne Visser csrinternational & WayneVisser