Corporate Social Responsibility: Lessons from Business Strategies and Higher Education Policies in Brazil Speaker: Patricia Almeida Ashley, Prince Claus Chair in Development and Equity (ISS/EUR and UFF, Brazil) Date: Thursday 27 January 2011 Time: Place: Room 3A06, Pieter de la Court building, Wassenaarseweg 52, Leiden. Discussant: Ben Zwinkels, Senior investment officer, Netherlands Development Finance Company (FMO)

Topics 1. What do we mean by corporate social responsibility? 2. Brazilian case on CSR 1.The experience of collective learning in Brazil 2.What lessons can be learnt from Brazil? 3. How do we generate enabling conditions for corporate social responsibility?

WHAT DO WE MEAN BY CORPORATE SOCIAL RESPONSIBILITY?

Not an issue for today´s seminar, but in summary... Decision making on what and how to do business with respect to: ◦ Governance ◦ Environment ◦ Fair operating practices ◦ Labour practices ◦ Human rights ◦ Consumer issues ◦ Community involvement and development

Organizational Principles and Themes of Social Responsibility - ISO Guidance Standard Governance Human Rights Labour Practices The Environment Fair Operating Practices Consumer Issues Community Involvement and Development 1.Accountability 2.Transparency 3.Ethical behaviour 4.Respect for stakeholders’ interests 5.Respect for the rule of law 6.Respect for international norms of behaviour 7.Respect for human rights Principles Themes

THE EXPERIENCE OF COLLECTIVE LEARNING IN BRAZIL

Networks of Experiences and Exchanges IBASE FIDES Friends of the Earth Greenpeace Brazilian National Standards Body - ABNT... Non-State Organizations Fundação ABRINQ Instituto Ethos GIFE National Confederation of Industry (CNI – SESI) National Federation of Banks (FEBRABAN).... Business Associations Petrobras Eletronorte Banco do Brasil Banco Real – ABN/AMRO Banco Itaú Vale do Rio Doce Grupo Gerdau... Enterprises

Networks of Experiences and Exchanges Research Universities and Networks SEBRAE, SENAC, SENAI Publishers Applied Science Universities.... Knowledge Institutions Journalists Web and social networks TV channels and programs Newspapers Magazines... Media and Social Networks Ministry of Education BNDES Central Bank Ministry of Planning, Budget and Management ???... Government

WHAT LESSONS CAN BE LEARNT FROM BRAZIL?

SR is not an ‘one person’ leadership... Business leaders are necessary, but not enough ◦ Unethical competition ◦ Prices at the end are usually cheaper for the “socially irresponsible” products... ◦ Careless international trade regardless of the history (past and future) of products ◦ Regardless public taxation and other public policies ◦ Professionals, managers, investors not trained and developed to make decisions and work towards socially responsible business and economy ◦ Institutional Investors and shareholders´ investment policies

Market, Political and Social value of SR Outdate business (still as is taught) FundingTaxationEducation Sustainable trade and Procurement Short termism in results and premiuns Non-compliance with ILO and UN conventions No-transparency and bad governance

Networks of social responsibility Time/Space

HOW DO WE GENERATE ENABLING CONDITIONS FOR CORPORATE SOCIAL RESPONSIBILITY?

‘I am, because You are’ – Ubuntu African humanist philosophy “It is impossible to know the parts if I do not know the whole. It is impossible to know the whole if I do not know the parts”. Catherine Odora Hoppers – South African Research Chair in Development Education – University of South Africa You Tube video

Rules and Culture of the Game: Hard and Soft Regulations, Policies and Learning Environment The State and Government Knowledge Institutions Enterprises and Business Foruns Professionals and Unions Civil Society, Communities and Families Media and Journalists Banks and Investors

Next Steps: Multi-actor social responsibilities Not only corporate and organizational social responsibility 1.Networks of Values on social responsibility 2.Networks in Markets: the ethics of care as expression of market value and, thus, risk management considering social, environmental and economic risks of projects, organizations and products 3.Network in Territories as scopes for multi- actor and multilevel governance of stakeholders´social responsibilities

Multilevel Ethical Challenges on Values of Social Responsibility Legal Compliance International Law and Regulation Country, Provincial and Municipal Law and Regulation Sectoral and Organizational Law and Regulation Social Expectations International Standards and Practices Country, Provincial and Municipal Standards and Practices Sectoral and Organizational Standards and Practices Ethical Ideals International Codes of Principles and Ethics Country, Provincial and Municipal Codes of Principles and Ethics Sectoral and Organizational Codes of Principles and Ethics Level 1Level 2Level 3

Sectoral and Organizational Municipal Provincial National International Multi-actor social responsibility in a territorial scope State and Government Science and Knowledges Media Capital Investment Finance Trade Union Business Association Enterprise Not for Profit and Community -Based

Governance Development Phases for Multiactor and Multilevel Social Responsibility in a Territorial Scope Phase 1 Phase 1: Political Commitment for Values/Policies Alignment Phase 2: Phase 2: Values/Policies Alignment Assessment Phase 3: Phase 3: Values/Policies Alignment Renovation Phase 4: Phase 4: Values/Policies Alignment Innovation

UN Millenium Development Goals UN Report on Human Development Outcomes in Territorial Indicators of Development + + Social Quality, Wellbeing... Multi-Actor and Multilevel social responsibility towards Development and Equity Outcomes in Territories

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