CSR Vietnam Handout Ok

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    CSR Training Workshop for IndustriesCSR Training Workshop for Industries

    Mller, Opierzynski, Blobner

    CSR Training for Industries, 2009

    Corporate Social Responsibility Training Workshop for IndustriesCorporate Social Responsibility Training Workshop for Industries

    Cost cutting and performance improvement through CSRCost cutting and performance improvement through CSR

    As part of the European Commission supported SME business develoAs part of the European Commission supported SME business development project onpment project on

    Empowering Asian Business Intermediaries through KnowledgeEmpowering Asian Business Intermediaries through Knowledge--based Networkingbased NetworkingFocused on Sustainability Management (EMPASIA)Focused on Sustainability Management (EMPASIA)

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    CSR Training Workshop for IndustriesCSR Training Workshop for Industries

    Mller, Opierzynski, Blobner

    CSR Training for Industries, 2009

    1. Becoming familiar with the concept of CSR

    2. Become familiar with systematic integration of CSR

    3. Create awareness on how CSR issues can create value for businesses

    4. Understanding the interrelation of CSR issues in organisations

    Learning objectives of the CSR trainingLearning objectives of the CSR training

    Corporate Social Responsibility (CSR) background and business context

    Getting started with CSR Interactive Group Work

    Systematic integration of CSR process model and tools

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    CSR Training Workshop for IndustriesCSR Training Workshop for Industries

    Mller, Opierzynski, Blobner

    CSR Training for Industries, 2009

    CSRCSR Just a trend or a substantial change in doing business?Just a trend or a substantial change in doing business?

    What is it?What is it?

    What drives the development and wWhat drives the development and what do we want?hat do we want?

    How can we do it?How can we do it?

    Are there some tools to help us?Are there some tools to help us?

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    CSR Training Workshop for IndustriesCSR Training Workshop for Industries

    Mller, Opierzynski, Blobner

    CSR Training for Industries, 2009

    I think many people assume, wrongly, that a company exists simply to make money. While

    this is an important result of a companys existence, we have to go deeper and find the realreasons for our being.

    As we investigate this, we inevitably come to the conclusion that a group of people get

    together and exist as an institution that we call a company so that theyare able to accomplish something collectively that they could not accomplish separately

    they make a contribution to society,

    a phrase which sounds trite but is fundamental.

    Dave Packard, Co-founder of Hewlett Packard Company in 1939

    CSRCSR is it new?is it new?

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    CSR Training Workshop for IndustriesCSR Training Workshop for Industries

    Mller, Opierzynski, Blobner

    CSR Training for Industries, 2009

    Way of managing all our resources and its impact in an environmentallyfriendly,sociallyresponsible and economicallywise way (The triple Bottom Line)

    social handling of community,customer and stakeholder

    relations focus on human rights andglobal environmental protection

    SustainabilityManagement

    Corporate

    Social

    Responsibility

    Approach to give a frame for businesses to express their commitment to society.

    Support to voluntarilyintegrate social and environmental issues into all business

    activities beyond regulations

    Internal perspective

    health and safety at work

    management of human resources

    responsible use of resources adaptation to change (innovation)

    External perspective

    Humanity has the ability to make development sustainable - to ensure that it meets the needs ofthe present without compromising the ability of future generations to meet their needs.

    What does CSR stand for?What does CSR stand for?

    European framework, Green Paper on corporate social responsibility

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    CSR Training Workshop for IndustriesCSR Training Workshop for Industries

    Mller, Opierzynski, Blobner

    CSR Training for Industries, 2009

    Social Responsibility working draft 4.1 ISO 26.000

    responsibility of an organization for the impacts of its decisions and activities (products, servicesand processes ) on society and the environment, through transparent and ethical behavior that:

    contributes to sustainable development, health and the welfare of society; takes into account the expectations of stakeholders;

    is in compliance with applicable law and consistent with international norms ofbehavior;

    is integrated throughout the organization and practiced in its relationships

    (an organizations activities within its sphere of influence).www.sustain-asia.org/pg/bookmarks/Frank/read/337/iso-draft-26000

    Dow Jones Sustainability Index definition of CSR

    a business approach that creates long-term shareholder value by embracing

    opportunities and managing risks deriving from economic, environmental and socialdevelopments

    http://www.sustainability-index.com/

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    CSR Training Workshop for IndustriesCSR Training Workshop for Industries

    Mller, Opierzynski, Blobner

    CSR Training for Industries, 2009

    CSR encompasses not only what companies do with theirprofits, but also

    how they make them. It goes beyond philanthropy and compliance and

    addresses how companies manage theireconomic, social, andenvironmental impacts, as well as their relationships in all key spheres of

    influence: the workplace, the marketplace, the supply chain, the community,

    and the public policy realm.

    In order for corporate social responsibility programs to work, government and

    the private sector must construct a new understanding of the balance of

    public and private responsibility and develop new governance and business

    models for creating social value.

    Harvard CSR Initiative, 2004

    Other CSR definitionsOther CSR definitions -- exampleexample

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    CSR Training Workshop for IndustriesCSR Training Workshop for Industries

    Mller, Opierzynski, Blobner

    CSR Training for Industries, 2009

    CSRCSR Just a trend or a substantial change in doing business?Just a trend or a substantial change in doing business?

    What is it?What is it?

    What drives the development and wWhat drives the development and what do we want?hat do we want?

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    CSR Training Workshop for IndustriesCSR Training Workshop for Industries

    Mller, Opierzynski, Blobner

    CSR Training for Industries, 2009

    The Future of CSR, How to Align Values for Profit, CanadianManufacturers & Exporters, 2007, David Crawford

    What drives the development, risksWhat drives the development, risks opportunitiesopportunities values?values?

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    CSR Training Workshop for IndustriesCSR Training Workshop for Industries

    Mller, Opierzynski, Blobner

    CSR Training for Industries, 2009

    KPMG's International Survey of CSR Reporting (2005). This report surveyed more than 1,600 companies worldwide anddocumented the top ten motivators driving corporations to engage in CSR for competitive reasons.

    1. Economic considerations1. Economic considerations

    2. Ethical considerations2. Ethical considerations

    3. Innovation and learning3. Innovation and learning

    4. Employee motivation4. Employee motivation

    5. Risk management or risk reduction5. Risk management or risk reduction

    6. Access to capital or increased shareholder value6. Access to capital or increased shareholder value

    7. Reputation or brand7. Reputation or brand8. Market position or share8. Market position or share

    9. Strengthened supplier relationships9. Strengthened supplier relationships

    10. Cost savings10. Cost savings

    Market forces that are driving the need for organizations to addMarket forces that are driving the need for organizations to address CSRress CSR

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    CSR Training Workshop for IndustriesCSR Training Workshop for Industries

    Mller, Opierzynski, Blobner

    CSR Training for Industries, 2009

    Company - CSR Driver

    0% 10% 20% 30% 40% 50% 60% 70% 80%

    Improving Business Performance

    Social concerns relating to products or service

    Environmental concerns relating to products or service

    Legal- or regulatory obligations

    Differentiation opportunities

    Information demand by stakeholders

    Philanthropy

    Competitive pressure

    Attraction of new investors or customers

    Community pressure

    Why is your company interested in applying CSR? EU project EMIT CSR, Malaysia

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    CSR Training Workshop for IndustriesCSR Training Workshop for Industries

    Mller, Opierzynski, Blobner

    CSR Training for Industries, 2009

    Which areas are covered by CSR?Which areas are covered by CSR? ISO 26.000, GRIISO 26.000, GRI

    Guideline Social Responsibility working draft 4.1 ISO 26.000 Reporting Framework for sustainability reporting,Global Reporting Initiative

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    CSR Training Workshop for IndustriesCSR Training Workshop for Industries

    Mller, Opierzynski, Blobner

    CSR Training for Industries, 2009

    Which areas are covered by CSR? Consumer group Stiftung WarentesWhich areas are covered by CSR? Consumer group Stiftung Warentestt

    The Environment

    1. Guiding principles and corporate policy2. Management3. Measures and implementation4. Reporting

    Consumers and Society1. Willingness to provide information2. Community involvement

    Social Issues / Employees

    1. Guiding principles and corporate policy2. Management and measures3. Implementation4. Reporting

    Social Issues / Production and Supplier1. Guiding principles and corporate policy2. Management and measures3. Implementation

    4. Reporting

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    CSR Training Workshop for IndustriesCSR Training Workshop for Industries

    Mller, Opierzynski, BlobnerCSR Training for Industries, 2009

    Workplace

    Data

    %

    Score

    Marketplace

    Data

    %

    Score

    Management and Governance Stakeholder engagement CCompany structure and governance A Supplier standards - -Financial stability and risk management A Investor relations ATransparency and reporting practice A Consumer relations APlanning processes A International Links A

    Performance measurement and monitoring

    A Domestic Sourcing

    ACodes of conduct and enforcement - - Islamic Financing ACorruption and bribery policies and enforcement - - Joint Ventures & Partnerships - -

    Management and Governance Score 84.4 A Marketplace Score 83.9 A

    Employment Environment Data Score

    Employee practice and engagement - - Environmental policy - -

    Health and safety management - - Environmental management systems - -

    Human capital development including: - A Performance measurement and monitoring - -

    Graduate Recruitment

    Environmental reporting - -Graduate Training Environment Score - -

    Graduate Sponsorship/Scholarship Programmes Worker satisfaction monitoring B Community Data ScoreRemuneration policies - - Community and charity including:- AKnowledge management - - Adopt-a-charity Tolerance and diversity in the workplace - - Contributions in kind Employment Score 64.3 C Employee volunteering schemes -

    Adopt-a-school -

    Accreditation Key subjects sponsorships

    Awards, acknowledgements A Contribution type and quantum B

    Accreditation to international standards A Human Rights policies - -Membership/Signatory of international bodies A Rakyat Policies A

    Accreditation Score 100 A Halal Accreditation AMedia monitoring and reporting A

    Workplace Score 74.0 B Community Score 81.3 A

    Which areas are covered by CSR?Which areas are covered by CSR? -- Consulting Firm OWW, MalaysiaConsulting Firm OWW, Malaysia

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    CSR Training Workshop for IndustriesCSR Training Workshop for Industries

    Mller, Opierzynski, BlobnerCSR Training for Industries, 2009

    OPI

    Input

    Output

    energy

    water

    materialschemicals

    raw materials

    products

    waste

    semi products volume

    rate

    number

    cost

    waste water

    e-power

    fuel

    rejects

    scrap

    sludge

    household

    other

    legalrequirements

    qualification &training

    air quality law

    MPIsafety

    waste water law

    complaintsaccidents

    maintenance costsdowntime

    number ofincidents

    number

    number of

    offences

    number

    EPI

    OPI

    Input

    Output

    energy

    water

    materialschemicals

    raw materials

    products

    waste

    semi products volume

    rate

    number

    cost

    volume

    rate

    number

    cost

    waste water

    e-power

    fuel

    rejects

    scrap

    sludge

    household

    other

    legalrequirements

    qualification &training

    air quality law

    MPIsafety

    waste water law

    complaintsaccidents

    maintenance costsdowntime

    number ofincidents

    number

    number of

    offences

    number

    EPI

    Social Aspects(SA8000 indicators)

    Efficiency

    Holistic view:

    Maintenance

    Ecological Aspects(ISO 14000 indicators)

    Which areas are covered by CSR?Which areas are covered by CSR? Enterprise Performance Indicator SystemsEnterprise Performance Indicator Systems

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    CSR Training Workshop for IndustriesCSR Training Workshop for Industries

    Mller, Opierzynski, BlobnerCSR Training for Industries, 2009

    Management Standards Environmental Management

    ISO 14000 Family (International Organization for Standardization) ECO-Management and Audit Scheme EMAS (European Union)

    Quality Management ISO 9000 Family (International Organization for Standardization)

    EFQM model for Business Excellence (European Foundation for QualityManagement)

    Workplace Standards SA8000 (Social Accountability International) ILO-OSH-2001 (International Labor Organization)

    OHSAS 18001 (various worldwide Standardization Bodies)

    Which areas are covered by CSR?Which areas are covered by CSR? StandardsStandards

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    CSR Training Workshop for IndustriesCSR Training Workshop for Industries

    Mller, Opierzynski, BlobnerCSR Training for Industries, 2009

    Reporting Standards- GRI - www.globalreporting.orgwww.globalreporting.org

    Social Standards ISO 26000 forthcoming 2008 (International

    Organization for Standardization)

    AA1000 (AccountAbility) TransFair Fair Trade Labeling Organization Business Social Compliance Initiative

    Industrial Standards

    Textile Code of Labour practices for the apparel

    industry including sportswear RUGMARK Purewear European Eco-Label Green Cotton LamuLamu koTex Standard 100Plus

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    CSR Training Workshop for IndustriesCSR Training Workshop for Industries

    Mller, Opierzynski, BlobnerCSR Training for Industries, 2009

    Information and NetworkingInformation and Networking www.sustainwww.sustain--asia.orgasia.org

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    CSR Training Workshop for IndustriesCSR Training Workshop for Industries

    Mller, Opierzynski, BlobnerCSR Training for Industries, 2009

    CSRCSR making profit with a clear conscience!making profit with a clear conscience!

    Involves every aspect of an organization, like

    Governance

    Environmental sustainability

    Risk management

    Workplace issues

    Cultural norms

    Local laws and customs

    .

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    CSR Training Workshop for IndustriesCSR Training Workshop for Industries

    Mller, Opierzynski, BlobnerCSR Training for Industries, 2009

    CSRCSR Just a trend or a substantial change in doing business?Just a trend or a substantial change in doing business?

    What is it?What is it?

    What drives the development and wWhat drives the development and what do we want?hat do we want?

    How can we do it?How can we do it?

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    CSR Training Workshop for IndustriesCSR Training Workshop for Industries

    Mller, Opierzynski, BlobnerCSR Training for Industries, 2009

    PerformanceControlling

    Reporting

    Assessment

    Continuous Improvement

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    CSR Training Workshop for IndustriesCSR Training Workshop for Industries

    Mller, Opierzynski, BlobnerCSR Training for Industries, 2009

    Internally directed analysis of ownInternally directed analysis of owncompany (e.g. SWOT)company (e.g. SWOT)

    Externally directed analysis ofExternally directed analysis of-- IndustryIndustry

    -- MarketsMarkets-- EnvironmentEnvironment

    Formulation of the companyFormulation of the companys cores corereason to be.reason to be.

    Definition of corporate valuesDefinition of corporate values

    Definition of corporate cultureDefinition of corporate culture

    Formulation of midFormulation of mid-- and longand long--termtermplan of action toplan of action to-- fulfill the companyfulfill the companys mission,s mission,-- while taking account the companywhile taking account the companysscapabilities (internal analysis) and itcapabilities (internal analysis) and itsscompetitive environment (externalcompetitive environment (external

    analysis)analysis)

    StrategyDevelopment

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    CSR Training Workshop for IndustriesCSR Training Workshop for Industries

    Mller, Opierzynski, BlobnerCSR Training for Industries, 2009

    Implementation

    Planning

    Tool Balanced Scorecard Approach

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    Fraunhofer IFFProf. Dr.-Ing. habil. Dr.-Ing. E.h. Michael SchenkMagdeburg 2009

    Seite 24

    Financial Perspective

    Customer Perspective

    Internal Process Perspective

    People an Knowledge Perspective

    Move products upmarket to increase profitmargin for own branded

    products.

    Be recognizedas sustainable

    company

    Provide(own-branded)

    products tailored tocustomers needs

    and tastes

    Develop andintroduce rightproducts to theright markets

    Greenproduction

    process

    Increaseflexibility ofproduction

    Increasebusiness

    transparency

    Improve business

    communication

    Ensure production staff

    can perform tasksadequately andenvironmentally

    responsibly

    Foster acompany culture of

    sustainability

    Move to knowledgebased value creation

    Company Medium-Term Strategy

    Increase the company profits through expansion in Asia and differentiationusing sustainability as differentiating factor .

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    Fraunhofer IFFProf. Dr.-Ing. habil. Dr.-Ing. E.h. Michael SchenkMagdeburg 2009

    Seite 25

    Financial Perspective

    Goal KPIs Target Activity

    Increase profitmargin for own-branded products

    Profit marginProduction costsSelling priceOverhead costs

    +50 percent -10 percent+60 percent -5 percent

    Align company processes tosustainability principles todifferentiate products andcreate added value forcustomers

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    Fraunhofer IFFProf. Dr.-Ing. habil. Dr.-Ing. E.h. Michael SchenkMagdeburg 2009

    Seite 26

    Financial Perspective

    Goal KPIs Target Activity

    Increase profitmargin for own-branded products

    Profit marginProduction costsSelling priceOverhead costs

    +50 percent -10 percent+60 percent -5 percent

    Align company processes tosustainability principles todifferentiate products andcreate added value forcustomers

    Customer Perspective

    Goal KPIs Target Activity

    Be recognized asa sustainable

    company

    Positive mediareports

    Consumer surveyscore

    Marketing budget

    6 reports inlocal, 3 in

    internationalmedia

    +35 percent+25 percent

    Use PR instruments tocommunicate companys

    commitment to sustainability.Develop co-branding/co-sellingstrategy with sustainableproducts.

    Provide productstailored tocustomers needs

    Customersatisfaction

    Loyalty ratio (re-buy rate)

    +50 percent

    50 percent

    Engage customers to surveyneeds and identify trends, focusalso on buying habits.

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    Fraunhofer IFFProf. Dr.-Ing. habil. Dr.-Ing. E.h. Michael SchenkMagdeburg 2009

    Seite 27

    Financial Perspective

    Goal KPIs Target Activity

    Increase profitmargin for own-branded products

    Profit marginProduction costsSelling priceOverhead costs

    +50 percent -10 percent+60 percent -5 percent

    Align company processes tosustainability principles todifferentiate products andcreate added value forcustomers

    Customer Perspective

    Goal KPIs Target Activity

    Be recognized asa sustainable

    company

    Positive mediareports

    Consumer surveyscore

    Marketing budget

    6 reports inlocal, 3 in

    internationalmedia

    +35 percent+25 percent

    Use PR instruments tocommunicate companys

    commitment to sustainability.Develop co-branding/co-sellingstrategy with sustainableproducts.

    Provide productstailored tocustomers needs

    Customersatisfaction

    Loyalty ratio (re-buy rate)

    +50 percent

    50 percent

    Engage customers to surveyneeds and identify trends, focusalso on buying habits.

    Process Perspective

    Goal KPIs Target Activity

    Green production

    processes

    Recycled materials

    as inputHazardousmaterials

    Energy

    consumption

    40 percent

    Decrease orsubstitute to 10percent

    Use 40 percent

    from RES

    Analyze production process

    from a holistic perspective andidentify potential to green theproduction process, e.g.through substitution, reductionand avoidance .

    Flexibility ofproductionprocesses

    Lead-timeSet-up timeTime to customer

    -10 percent -15 percent -20 percent

    Improve order planning througheffective customers involvement(design)Training of staff,Optimization of internal andexternal logistic, optimizesupplier management

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    Fraunhofer IFFProf. Dr.-Ing. habil. Dr.-Ing. E.h. Michael SchenkMagdeburg 2009

    Seite 28

    Financial Perspective

    Goal KPIs Target Activity

    Increase profitmargin for own-branded products

    Profit marginProduction costsSelling priceOverhead costs

    +50 percent -10 percent+60 percent -5 percent

    Align company processes tosustainability principles todifferentiate products andcreate added value forcustomers

    Customer Perspective

    Goal KPIs Target Activity

    Be recognized asa sustainable

    company

    Positive mediareports

    Consumer surveyscore

    Marketing budget

    6 reports inlocal, 3 in

    internationalmedia

    +35 percent+25 percent

    Use PR instruments tocommunicate companys

    commitment to sustainability.Develop co-branding/co-sellingstrategy with sustainableproducts.

    Provide productstailored tocustomers needs

    Customersatisfaction

    Loyalty ratio (re-buy rate)

    +50 percent

    50 percent

    Engage customers to surveyneeds and identify trends, focusalso on buying habits.

    Process Perspective

    Goal KPIs Target Activity

    Green production

    processes

    Recycled materials

    as inputHazardousmaterials

    Energy

    consumption

    40 percent

    Decrease orsubstitute to 10percent

    Use 40 percent

    from RES

    Analyze production process

    from a holistic perspective andidentify potential to green theproduction process, e.g.through substitution, reductionand avoidance .

    Flexibility ofproductionprocesses

    Lead-timeSet-up timeTime to customer

    -10 percent -15 percent -20 percent

    Improve order planning througheffective customers involvement(design)Training of staff,Optimization of internal andexternal logistic, optimizesupplier management

    People and Knowledge Perspective

    Goal KPIs Target Activity

    Improveknowledge basedvalue creation

    Training of staff

    R&D costs

    6 hours / month2 courses / year30% increasesof CIP impact

    25 % increase to

    production cost

    Provide production relatedtraining, set up of knowledgemanagement system, Valueadded products through newdesigns

    Culture ofsustainability

    Employeesatisfaction

    Improvement byemployees

    Recruitment ofUniv. Gradates

    85 percent

    15 suggestionsper quarter

    +20 percentapplications

    Anonymous employee survey toidentify problems, set up ofincentive schema, networkingevents, communication

    platform, improving workingatmosphere

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    CSR Training Workshop for IndustriesCSR Training Workshop for Industries

    Mller, Opierzynski, BlobnerCSR Training for Industries, 2009

    PerformanceControlling

    Reporting

    Assessment

    Continuous Improvement

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    CSR Training Workshop for IndustriesCSR Training Workshop for Industries

    Mller, Opierzynski, BlobnerCSR Training for Industries, 2009

    Established management structures and processesEstablished management structures and processes

    Hierarchical power, prestige, career related interests of emploHierarchical power, prestige, career related interests of employees etc.yees etc.

    Assumptions, thoughts and beliefs of employees regarding goalsAssumptions, thoughts and beliefs of employees regarding goals and activitiesand activities

    Insecurity and rejection caused by transparency and quantitativInsecurity and rejection caused by transparency and quantitative controllinge controlling etc.etc.

    Strong commitment from top managementStrong commitment from top management

    Creation of awareness and open mindCreation of awareness and open mind--set of employees (internal acceptance)set of employees (internal acceptance)

    Proactive approach to tackle potential mental reservations of eProactive approach to tackle potential mental reservations of employeesmployees

    Establishing a discourseEstablishing a discourse--oriented infrastructure (e.g. internal discussion on activitiesoriented infrastructure (e.g. internal discussion on activities

    before implementation)before implementation)

    Involvement of various functions and departmentsInvolvement of various functions and departments

    Consideration of microConsideration of micro--political issues (influence and hierarchical power)political issues (influence and hierarchical power)

    Integration into general management (avoid separation of manageIntegration into general management (avoid separation of management systems!)ment systems!)

    Regular revision according to performance and changes in corporRegular revision according to performance and changes in corporate strategyate strategy

    Challenges and critical aspects for implementation & performanceChallenges and critical aspects for implementation & performance controllingcontrolling

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    CSR Training Workshop for IndustriesCSR Training Workshop for Industries

    Mller, Opierzynski, BlobnerCSR Training for Industries, 2009

    Information flow and communicationInformation flow and communication

    External

    GovernmentCommunity Investors Customer, Supplier Etc.

    Demands, RequirementsPerformance, Reporting

    Company

    Internal

    Management

    Employees

    Owner

    Performance,Reporting

    Demands,Requirements

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    CSR Training Workshop for IndustriesCSR Training Workshop for Industries

    Mller, Opierzynski, BlobnerCSR Training for Industries, 2009

    Department

    Production AreaArea 1 Area 2 Area n

    Closed LoopClosed Loop Closed Loop

    Department 1 Department 2 Department nMaterial FlowMaterial Flow

    CompanyTop Management

    Information

    flow

    Information

    flow

    Performance assessment / closedPerformance assessment / closed--loop controlsloop controls

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    CSR Training Workshop for IndustriesCSR Training Workshop for Industries

    Mller, Opierzynski, BlobnerCSR Training for Industries, 2009

    What gets measured gets managed?

    What gets evaluated gets managed?

    What gets systematic controlled will improve?

    If You Dont Measure itYou Cant Manage it.

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    CSR Training Workshop for IndustriesCSR Training Workshop for Industries

    Mller, Opierzynski, BlobnerCSR Training for Industries, 2009

    A B

    CEOCEO

    ManagerManager

    FormanForman

    EmployeeEmployee

    DirectorDirector

    MasterMaster

    levels

    Ways of decisionsWays of decisions Ways of communicationWays of communication

    Procedures, Responsibility and CompetencesProcedures, Responsibility and Competences

    graengdjaigraengdjai ???? InterfacesInterfaces

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    CSR Training Workshop for IndustriesCSR Training Workshop for Industries

    Mller, Opierzynski, BlobnerCSR Training for Industries, 2009

    Development of a CSR Performance Assessment SystemsDevelopment of a CSR Performance Assessment Systems

    Assessment Plan Goal system for the companyActivity specification

    Stakeholder engagement

    Assessment Procedure Defined procedure (reporting cycles, assessment meetings)Responsibilities / competencesStandard key performance indicatorsChange management plan for improvements

    Communication planReview procedure

    Types Monitoring, benchmarking, audit / internal/externalContent KPIs, benchmarks, goal achievement, improvement monitoring

    Structure Specific definition, graphics, resultsReporting Publication, frequency, work flow

    Assessment Reports

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    CSR Training Workshop for IndustriesCSR Training Workshop for Industries

    Mller, Opierzynski, BlobnerCSR Training for Industries, 2009

    What are the benefits?

    Creation of transparency

    Installing a systematic process of monitoring & reporting as well as evaluating & improving important

    business aspects in a continuous way

    Improving decision making through an holistic view

    Support and integration of different management systems (EMS, Quality, OHS etc.)

    Efficient data management (collection and use!)

    ...

    Consequences

    Cost and recource saving

    Improved management procedures

    Compliance and business enhancement Change of attitude towards learning organisations

    i i k h f d i

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    CSR Training Workshop for IndustriesCSR Training Workshop for Industries

    Mller, Opierzynski, BlobnerCSR Training for Industries, 2009

    CSRCSR Just a trend or a substantial change in doing business?Just a trend or a substantial change in doing business?

    What is it?What is it?

    What drives the development and wWhat drives the development and what do we want?hat do we want?

    How can we do it?How can we do it?

    Are there some tools to help us?Are there some tools to help us?

    i i k h f d iCSR T i i W k h f I d i

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    0% 5% 10% 15% 20% 25% 30% 35% 40% 45% 50% 55

    Internal communication

    Process monitoring with indicators

    Internal documentationProcess / business assessment based on indicators

    External reports communication

    In-house gap analysis

    Benchmarking

    Representation and analysis of material flows

    Simulation of processes

    Definition of CSR orientated objectives

    Preparation of material and energy balances

    ICT for business managementICT for business management

    EC project EMIT CSR, Malaysia

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    0%5%10%15%20%25%30%35%

    in use / food in use / textile in use / general

    Preparation of material and energy balances

    In-house gap analysis

    Representation and analysis of material flows

    Simulation of processes

    Process monitoring with indicator

    Process/business assessment based on indicator

    Internal documentation

    External documentation/communication

    recycling or waste exchange

    IT systems used to support controlling and management tasks andIT systems used to support controlling and management tasks and real benefit (or benefit from future use)real benefit (or benefit from future use)

    Process and performance monitoring in a large number of companies is inadequate to needs! ?

    EC project Asia ITC FORCE, Thailand

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    Indicator Management Process Management

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    www.modiconsult.comwww.modiconsult.com

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    Combining tools and services for industriesCombining tools and services for industries

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    Specific objectives:

    To develop a portfolio of efficient ICT-based sustainability management tools and solutions tailored tothe local conditions in Southeast Asia and needs of local SMEs across various industrial sectors

    To stimulate and facilitate an uptake of ICT-based sustainability management methods and tools insignificant number of regional SMEs and to improve their competitiveness and local environmentsituation

    To establish a service infrastructure for fostering sustainability management culture and capacity

    To encourage uptake of sustainability management tools and practices on national/regional levelthrough active dissemination and promotion activities

    Transition of SMEs and supply chain networks in Southeast Asiatowards sustainable production processes through an active uptake of ICT

    solutions for sustainability management ICT4SM

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    Setting up company specific controlling systemsfor continuous monitoring and assessment

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    Green Productivity Project (GPP I / II)(Indonesia, Thailand, Philippines, Vietnam / 1999 - 2005)

    Training on Cleaner Production Technology (CPT I / II / III / IV)(Indonesia, Thailand, Philippines, Vietnam / 2000 - 2004)

    Web Based Training: Life Cycle Oriented Plant Management(LCPM) / Vietnam, Indonesia, Thailand / 2001 - 2005)

    Information Technology and Communication in the Fieldof Sustainable Environmental Protection for ResourceIntensive Enterprises (ASIA IT&C FORCE)(Thailand / 2002 - 2004)

    Combining tools and services for industriesCombining tools and services for industries -- selected project references Iselected project references I

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    Company - CSR Objectives (qualitatively)

    0% 10% 20% 30% 40% 50% 60% 70% 80%

    Strengthening of the corporate culture

    Enhance employee commitment

    Establish a continous improvement process

    Enhance innovation potential and creativity

    Create / adapt company wide values system

    Internal and external information provision

    Issue- and risk management

    Enhance internal and external communication tool

    Enabling company- / industry wide comparable performance assessments

    Input on strategy formulation and assessment

    What will be the objective of the CSR activities with respect to your company?

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    Technology Partnership and Training Cooperation in EuropeanManagement Information Systems to Enhance theCompetitiveness of Thai SMEs(SPF TEAMS SME; Thailand / 2006 2007, www.teams-sme.de)

    European-Malaysian Alliance and Capacity Building ofMalaysian Intermediary Institutions in European MIS toEnhance Corporate Social Responsibility in Export Oriented

    Malaysian SMEs (EMIT CSR (Malaysia / 2007 2008, www.emit-csr.de)

    Empowering Asian Business Intermediaries throughKnowledge-based Networking focused on Sustainability

    Management (EMP-ASIA; Thailand, Vietnam / 2007 2009, www.empasia.org)

    Selected Project References Asia IISelected Project References Asia II

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    Reduction of heating time by 50% - consequentlyreduction of gas consumption by 50% andincrease of productivity; annual savings for all lines:3.445 mil. pesos

    Implementation of measures forpreventive maintenance, cleaning of theboiler

    Unusually high energy consumption inpeanut pretreatment (heating of peanutsin a water bath on gas basis [LPG])

    Increase of product output by 10% on average(various product groups); clear reduction ofemployee illness and accident rate (difficult to

    estimate financially)

    Installation of a new ventilation systemHigh employee dissatisfaction in individualproduction areas (difficult work conditionscaused by climate)

    Savings thus far:approx. 100,000 pesos (for all lines); reduction ofthe downtimes (indirect savings: 91,000 pesos)

    Selection of an alternative spare part forvibration damping

    Long downtimes on the production lines(esp. peanut line 2)

    Savings thus far:395,000 pesos

    Consistent and sorted separation ofdifferent waste fraction

    High disposal costs

    Savings Potential / ImpactMeasureIdentified Potential

    Totel savings per year: US$ 180,000 (March 2005)

    EPA Project ResultsEPA Project Results -- JBC Food Corporation,JBC Food Corporation, CaloocanCaloocan, Philippines, Philippines

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    Mller, Opierzynski, BlobnerCSR Training for Industries, 2009

    Annual saving: 401,760,000 Rupiah,payout time based on investment costs:approximately 4 years

    Installation of new piping at the end of2003

    High losses in the distribution of drinkingwater (leaks in pipe system)

    Savings thus far: approximately 96,000,000Rupiah

    Installation of special equipment (loadshading system) in September 2004

    High failure rates in the power plant

    Savings thus far (minus investment):256,000 Rupiah

    Successive replacement of the old filter presssegments

    Obsolete filter presses in the wax plant

    Savings Potential / ImpactMeasureIdentified Potential

    Totel savings per year: US$ 220,000 (March 2005)

    EPA Project ResultsEPA Project Results -- PusdiklatPusdiklat MigasMigas,, CepuCepu, Indonesia, Indonesia

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    Mller, Opierzynski, BlobnerCSR Training for Industries, 2009

    12 Information workshops

    16 Local case studies

    Development of training materials

    12 Training seminars Computer-based training

    5 Training of Trainers (TOT)

    Goals

    Activities

    CSM-Centre for Sustainability Management, Germany ASEP- Asian Society for Environmental Protection

    TEI-Thailand Environment Institute

    DurationTarget region Indonesia, Philippines,Indonesia, Philippines, ThailandThailand, Vietnam, Vietnam 10/ 2003 - 10/ 2007

    Know how transfer and dissemination of EMA

    Adaptation of EMA methods to the specific needs of South-East Asian companies

    Promotion of sustainable business development by showing economical and ecological savings

    Strengthening of capability and institution building

    Main projectpartner

    www.environmentalwww.environmental--accounting.orgaccounting.org

    Environmental Management Accounting for SME in SouthEnvironmental Management Accounting for SME in South

    --East AsiaEast Asia

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    What can we offer? Individual IT based performance controlling solutions for businesses based on EPA /EPI

    methodology for businesses (any size: micro, SME, big sized, supply chains)

    - Business performance management (e.g.KPI management)

    - Compliance management & reporting (Environmental e.g. Proper, OHS)- CSR monitoring & reporting

    - Continuous improvement process

    Systems implementation & qualification of industries

    Building up and interlinking business support infrastructure Development and operation of service provider models

    Changing direction of businesses towards Sustainability ManagemeChanging direction of businesses towards Sustainability Manageme

    ntnt

    Individual company implementation and support projectsIndividual company implementation and support projects

    Branch solutionsBranch solutions

    Qualification and institution buildingQualification and institution building

    Development and operation of service on demand solutionsDevelopment and operation of service on demand solutions

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    www.sustain-asia.org