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january-february 2009 issue 07

a specialized csr journal

12 cover story
the future of corporate
social responsibility:
cross company csr

14 csr toolkit
our ccc model

18 collaboration in the
health sector
the case of bangladesh
and tuberculosis

24 collaboration and
sustainability
how collaboration can
save the planet - and
your business

28 report
reporting on community
impacts

32 private sector:
liberalizing off the hook

40 beyond accounting:
assessing the impact
of sustainability
reporting on
tomorrow’s business

CROSS
COMPANY
A Publication of Asiatic Public Relations Network (Pvt.) Ltd.
CSR
regulars
9 global briefs
people - planet - profits

14 csr toolkit
our ccc model

Editor-in-Chief
18 social partnership
Zohare Ali Shariff
collaboration in the health sector: the case of bangladesh
and tuberculosis Editorial Director
Khadeeja Balkhi
22 breather
Managing Editor
Rutaba Ahmed
28 report: community impacts
Research, Distribution &
Development
36 what's happening Mehfooz Aleem
Zahra Baray
38 csr reflections on davos Alizeh Shariq

Creatives
42 crossword Kamran Rauf
Umair Anwar
43 on the lighter side Shireen Lotia

Reprint
44 musings In line with our mission, we encourage
any takers? reproduction of material, provided tbl
and content partners are given credit

Publisher
Asiatic Public Relations Network
(Private) Limited

Printed at
Nikmat Printers, Karachi

Disclaimer
The views expressed in tbl are the
Subscription, advertising and feedback at: authors’ and not necessarily shared by
tbl and/or APR
tbl: triple bottom-line
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Subscribe to a full year of tbl (6 issues) at the special rate of Rs.1,000 and save the cost of an issue. Dated May 22, 2007
If you wish to subscribe to tbl, or unsubscribe, please write to us at feedforward@tbl.com.pk

tbl jan-feb 09 1
editorial
advisory
board

Anwar Rammal
Chairperson

Chairman
Asiatic Public Relations

features Khadeeja Balkhi


4 thoughts for 2009 Executive Member
BS for 2009: building sustainability
Sustainability Consultant

8 09 prospects
hope and 2009 Khawar Masood Butt
Founder Sponsor Member
12 cover story Chairman and MD
the future of corporate social responsibility: cross company csr English Biscuit Manufacturers

24 collaboration and sustainability


Habiba Hamid
how collaboration can save the planet - and your business
Member

32 private sector: liberalizing off the hook Founder, Saracen Consulting


public-private partnership: transition to greater economic freedom
Abrar Hasan
34 csr guidelines Founder Sponsor Member
a way forward - the commonwealth business council guidelines for
corporate citizenship Chief Executive
National Foods
40 triple bottom-line reporting
beyond accounting: assessing the impact of sustainability reporting Ayesha Tammy Haq
on tomorrow's business Member

Corporate Lawyer,
Legal and Media Consultant

Vivian Lines
Member

President and Chief Operating


Officer, Hill & Knowlton’s Asia
Pacific Region

2 www.tbl.com.pk
editor’s note

csr direction finder

T
he good news for CSR in that such cooperation will yield higher benefits for all
Pakistan in 2009, is that actors, including the partner companies themselves.
it is finally closer to Our cover story is on this subject. And we've shared
transforming from corporate the outline of a working model towards implement-
philanthropy into what it ing such an enterprise.
should be - a strategy integrat-
ed into the business of the Taking our platform forward, tbl will take on itself
company, that seeks to the role of a clearing house, so to speak. We are iden-
achieve the triple bottom line tifying areas for Cross-Company CSR to be initiated,
of benefiting the people and becoming a forum for in-depth exploration of its pos-
the planet while assuring sustainable growth in prof- sibilities and, plan to hopefully play matchmaker for
its for the company. companies wanting to explore our next-gen model.

One indicator of this is the increasing number of com- Also as the first issue of this year, we decided we
panies that have started publishing CSR, sustainabili- need to hear from corporate leaders, on their forecast
ty and environmental reports. This places a certain of the future of CSR. We thank all of you who
responsibility on the company. First of all it must responded and appreciate your understanding of our
have sufficient information to convey, which means it editorial policies as an independent publication. One
is doing something within the field it is reporting on. of the positive conclusions from the comments we
Second, the company knows that it cannot really pub- received is that most corporate leaders in this country
lish a report that is little more than glorified self- are bullish about CSR - and we can safely assume that
praise. Its reporting must be measurable and open to the companies they represent will be expanding their
question. Which effectively means that it needs to get sustainability practices, in this year and beyond.
into more structured and sustainable practices to be
able to report in a credible way. And so reporting in a These are interesting times, made even more so by the
way becomes a direction finder for the company. current global economic meltdown, which really has
come as a reality check and a wake up call for the cor-
We at tbl are working to make this publication anoth- porate sector. It's a call for action - to bring about
er direction finder. By disseminating knowledge of higher efficiencies, dump excess baggage of all sorts
CSR, we hope to catalyze thinking, planning and pro- and get a higher focus on business objectives. This
gramming within the corporate sector, so that each also means that companies are cutting down on such
company is enabled to find its own optimum direc- expenses as frivolous publicity beyond what is really
tion. needed to push products or services (advertising
budgets have been slashed worldwide) and diverting
This process cannot be meaningful if tbl is not explor- the resources to more sustainable practices.
ing new ideas and new directions for CSR to grow in
In conclusion we can look forward with hope to a bet-
the country, as a business discipline. Hence, in this
ter world emanating from the current shakeout!
first issue of year 2009 we are pleased to present a
new concept for CSR. A concept which we believe has Sincerely,
not been formally presented at any forum in the
world so far and hence, a concept that is our own
inspiration. We have called it Cross-Company CSR
and the basic premise is that the next generation of
CSR will involve companies with potentially overlap-
ping value-chains to collaborate resources, towards
the 'value-chain' of, for example, a common stake- Zohare Ali Shariff
holder group. The inherent implication of course is Editor-in-Chief

vision and Vision: To steadily facilitate the germination of sustainable visions for organisational growth,
sharing specific triple bottom-line knowledge and tools

mission Mission Statement: To disseminate triple bottom-line knowledge to a diversified group including
corporate, social development and general business groups primarily through a specialised journal,
expanding in accordance with organisational capacity and market readiness

tbl jan-feb 09 3
A little knowledge
that acts is worth
infinitely more
than much
knowledge
that is idle
Khalil Gibran

tbl's mission is to disseminate CSR knowledge to


engender and catalyze triple bottom-line practice

Practice CSR - the tbl way


09 prospects

by wayne visser

L
ast month I was at the
Science Museum in London
attending the 20th
Anniversary alumni celebrations
of the University of Cambridge
Programme for Industry (CPI).

The evening included an intro-


ductory speech by Director, Polly
Courtice. Then we showed a film
(on a BIG Imax screen). The film
included extracts from interviews
I conducted with Joseph Stiglitz,
George Monbiot, Hunter Lovins,
Elizabeth Economy, Mohammad
Yunus and Jeffrey Sachs. These
interviews are the basis of two
books that I am writing, which
will be published in 2009.

Following the film was a panel


discussion comprising John
Elkington (Founder,
SustainAbility and Volans
Ventures), Emma Howard-Boyd
(Director, Juipiter Asset
Management), Doug Parr (Chief
Scientist, Greenpeace UK) and
Jonathon Porritt (Founder, Forum
for the Future). They were asked
to speak about what made them
hopeful about the future.

John was placing his bets on sees the next 7 or 8 years of reces- in CSR and sustainability. Their
social entrepreneurs, Emma com- sion being very bleak and creat- unified plea was for us to focus
mented on substantial growth in ing serious (and painful) disconti- on the strategic, systemic reforms,
SRI in the past year (suggesting nuities, Doug despairs over multi- rather than fiddling around the
that it may be up to 20 percent of lateral policy processes like edges with incremental change.
all investments by 2015 if memory Poznan and Jonathon thinks the
serves), Doug cited victories scope for business to make
installing a new UK nuclear plant serious progress in the current About the Writer
and airport runway and Jonathon policy climate is extremely
Wayne Visser is Founder and
was putting his faith in a grass- limited. CEO of CSR International
roots upswell (and his hopes for (www.csrinternational.org). In
Barack Obama). What all seemed to agree, addition, he is Internal
Examiner at the University of
however, is that 2009 will be an Cambridge Programme for Industry, where he
I would be lying if I said it was an (extremely) challenging and previously held positions as Research Director
and External Examiner.
entirely upbeat discussion. John exciting year for all of us working

8 www.tbl.com.pk
global briefs

A Poll on MNC's CSR


Performance
people
Multinationals are leading players
violations. But fewer than 8
percent believe that these know-
ledge and skills are currently
rations in this area as soon as
possible. The handbook is
being translated into Chinese,
in the global economy. In recent being developed very effectively, Arabic and Russian.
years, most multinationals have either by their own organisations
Shared by CSR Asia, a social enterprise that promotes
released annual corporate social or by business schools. sustainable business practices
responsibility reports. Ipsos, a
leading global market research According to Matthew Gitsham, World's First Post-Petroleum
institution, collaborated with the the Ashridge author of the report: City
Chinese business magazine “The research demonstrates a The world's first modern
Global Entrepreneur for an online clear demand from CEOs and ecolo-gical city - Masdar City -
poll about multinationals’ CSR senior executives for more and occu-pying an area of about 6.5
performance. This poll was better executive education around square kilometer is being built in
conducted in November 2007, the business implications of Abu Dhabi. It will be an entirely
covering 1,000 respondents of sustainable development - for car-free city, and multi-story
ages 20 - 50 from 10 cities, such as both current and future leaders.” parking lots will be built outside
Beijing, Shanghai, Guangzhou, its walls. Masdar will be bisected
Dalian and Wuhan. Handbook on Good by a light rail line, and a personal
Governance Practices for rapid transit system (or PRT -
According to the survey, 60 Family Businesses kind of a cross between an electric
percent of the netizens said that Paying tribute to the fact that car and a mini-light rail) will take
investment and the fulfillment of family businesses constitute the passengers to within 100 meters
CSR is in line with the operating world's most dominant form of of any destination in the city.
philosophy of these companies business organizations, playing a
and is a benefit to Chinese key role in economic growth and Construction workers are already
society. But nearly 40 percent of employment generation in many hard at work erecting "stage one"
the surveyed stated that multi- developing countries, the of the project, which includes a
nationals' fulfillment of CSR is International Finance Organi- 10MW solar power farm, the
just a mandatory action they take sation (IFC) has released a hand- foundations of Masdar's corporate
in order to save face. book that recommends ways to offices, and Masdar Institute - an
help family businesses improve academic institution, developed
CEO Attitudes towards their sustainability by establishing in cooperation with MIT, that will
Sustainability Issues good governance practices. Most focus on sustainable energy
New Ashridge research was family businesses have a short life research.
launched recently at the UN HQ span and about 95 percent do not
in New York at a global forum on survive the third generation of Sandwiched between an expand-
the future of management educa- ownership. ing airport, a new neighbourhood
tion convened and addressed by of luxury villas, a golf club and
UN Secretary General Ban Ki Authors of the handbook argue various other real estate projects,
Moon. Key findings from the that this is often the consequence Masdar City will be a self-
research are: 76 percent of CEOs of a lack of preparation of the contained island of sustainability -
and senior executives believe that subsequent generations to handle a city within a city. Just under a
it is important that senior exe- the demands of a growing busi- million people live in Abu Dhabi;
cutives have the necessary know- ness and a much larger family. Masdar will house only some
ledge and skills to respond to According to the authors, family 40,000. Another 50,000 commuters
trends like the low carbon businesses can improve their odds will work inside its walls.
economy, resource scarcity and of survival by setting the right
Shared by TreeHugger, an online media outlet dedicated
doing business in emerging governance structures in place to driving sustainability mainstream
markets marked by poverty, and by starting the educational
corruption and human rights process of the subsequent gene-

tbl jan-feb 09 9
Satellite to Track Greenhouse
Gases
The world's first satellite dedi-
planet
According to a recent story in the
Canadian Press, the roadkill artist
feels that her work is entirely sus-
concentrations would rise to 1,168
parts per million (ppm) by 2100,
or about triple today's level.
cated to monitoring greenhouse tainable: "This is all about Under the more optimistic model,
gas emissions, launched recently honouring the animals and CO2 would reach 549 ppm by
in Japan, aims to aid the fight recycling," she said. She uses a 2100, or roughly 50 percent more
against global warming while wide range of animals in her than today.
boosting its own space industry. lines, and her wares seem marke-
The mission will help scientists ted towards upscale fashionistas. Lead scientist Gary Shaffer of the
measure the density of carbon Niels Bohr Institute at the
dioxide and methane from almost So is this ethical and sustainable? University of Copenhagen said it
the entire surface of the Earth, Aside from the unseemly act of was unclear, in the grim light of
according to the Japan Aerospace peeling dead creatures off the this study, whether future gene-
Exploration Agency (JAXA). road, there seems to be no further rations could look to the oceans as
offense to animal life or the law. a major reserve of food.
A Japanese-made H-2A rocket Could it actually be best to put
carrying the Greenhouse Gases the animal parts to reuse, instead "Reduced fossil-fuel emissions are
Observing Satellite (GOSAT) of having them rot on the road's needed over the next few genera-
blasted off from Tanegashima, a shoulder? tions to limit ongoing ocean
small island in southern Japan, oxygen depletion and acidifica-
Shared by TreeHugger, an online media outlet dedicated
after a two-day delay due to bad to driving sustainability mainstream tion and their long-term adverse
weather. The satellite, also called effects," he said.
Ibuki, or "breath of fresh air", will Global Warming Could Unleash
Shared by Grist, an online environmental news
collect data from 56,000 locations Ocean 'Dead Zones' magazine

around the world, a dramatic Global warming may create "dead


increase from the 282 observation zones" in the ocean that would be First Green Food County in
points available as of last October, devoid of fish and seafood and China
JAXA said. endure for up to two millennia, For the first time, an entire county
according to a study published in in China has been certified to
It is hoped that the launch will January 2009. produce green food. Ruyuan Yao
boost Japan's space industry's Autonomous County in
efforts to win satellite launch Its authors say deep cuts in the Guangdong has become China's
orders for its H-2A rocket in the world's carbon emissions are first model green food production
face of tough competition from needed to brake a trend capable centre, with eight green food
US and European companies. of wrecking the marine ecosystem types listed including vegetables,
Shared by Grist, an online environmental news
and depriving future generations Chinese pea, Brazil nuts, and
magazine of the harvest of the seas. whitebait. Currently, the county
has 18 companies involved in
High-End, Completely In a study published online by the green food processing, with
Sustainable Jewellery journal Nature Geoscience, scien- annual green food production
Most of us agree that killing tists in Denmark built a computer totaling 30,000 tons (and 200
sometimes endangered animals model to simulate climate change million RMB). Green food pro-
strictly to use their parts for over the next 100,000 years. At the duction in Ruyuan has driven
fashion accessories or high end heart of their model are two well- cooperation between corpora-
garments is deplorable. But what used scenarios which use atmos- tions, associations and farmers
if the animal is already dead? pheric levels of carbon dioxide with the result that many of the
Amy Nugent, a jeweller and artist (CO2), as an indicator of tempera- latter have been lifted out of
in Vancouver, uses roadkill as the ture rise. poverty.
main ingredient in creating
Shared by CSR Asia, a social enterprise that promotes
jewellery. Under the worst scenario, CO2 sustainable business practices

10 www.tbl.com.pk
Energy Innovation: Renewable
Energy Research Center
profits were lost in the prefecture
between 1976 and 2003.
change scientist with the Research
Institute of Forest Ecology,
A joint renewable energy research Shared by CSR Asia, a social enterprise that promotes
Environment and Protection at
center is being set up in Spain and sustainable business practices the Chinese Academy of Forestry,
Portugal. Jiang Youxu, was branded a
Eco-Friendly Car Rentals villain for proposing an environ-
The socialist governments of both Mint Cars on demand is a new mental tax to finance reforestation
nations have made it a priority to alternative to car ownership, 24 in order to reduce greenhouse gas
boost spending on training and HR Rental Cars, Taxi's and Public emissions. His actual words at the
technology to make their Transportation in New York. China Forest and City Forum: "As
economies more competitive. Members get on demand access to urban forests have so many
Portugal, which is almost entirely vehicles 24/7 for as little as an obvious beneficial functions,
dependent on imported energy, hour or as much as several days. shouldn't we further consider the
aims to collect 45 percent of its Mint claims a diverse fleet of fuel idea of an environmental tax? …
total power consumption from efficient vehicles such as Smart [Since] every city-dweller is
renewable sources like solar and Cars, as well as some old-school putting out carbon, we could give
wind power by 2010. Spain aims non-ecomobiles which the 10 or 20 yuan to a fund [and] this
to triple the amount of energy it company calls "fun cars for that money could be used for
derives from renewable sources special occasion." reforestation, or businesses could
by 2020. Spain is already among use the money from the taxes to
the three biggest producers of Mint helps reduce carbon foot- plant urban forests," were soon
wind power in the European print by taking cars off the road interpreted and distributed by
Union along with Germany and which means, less traffic, less online media outlets as follows:
Denmark, according to agence pollution and a reduced depen- "Academic calls for 'breathing
France-Presse. dency on fossil fuel. Other advan- tax', 20 yuan per person per
tages are that people don't have to month to protect the environ-
The Real Price of Rubber deal with car payments, ment."
To feed its booming automobile insurance, maintenance or (and
and tyre industry, China plans to this leaves more room for If he had suggested such a thing,
increase its natural-rubber pedestrians and bikes) parking. then perhaps the abuse he has
production by 30 percent from received was not undeserved.
2007 levels by 2010. As a result of Drivers use the Drive Mint web- However, the question remains:
tripling rubber prices over the site to pay a one-time application did the media accurately and
past decade rubber plantations fee and if approved they receive a objectively report his actual
have boomed in Xishuangbanna, smart card which is swiped on the speech?
Yunnan, leading to drastic loss of vehicle's sensor to gain immediate
forests; between 1976 and 2003 entry. To an extent, the fuss over the
alone the total forest cover "breathing tax" reflects both
decreased to less than 50 percent Now, Mint also offers a very sloppy reporting and a lack of
and that of primary rainforests special rate of two dollars per in-depth knowledge regarding
even to 3.6 percent. Scientists at hour to rent a car Monday climate change among Chinese
the Xishuangbanna Tropical through Thursday. media workers. But more impor-
Botanical Garden (XTBG), the tantly, the whole story demon-
Shared by TreeHugger, an online media outlet dedicated
Chinese Academy of Science's to driving sustainability mainstream strates the chasm that separates
institute for conservation scientists, the news media and the
research, have calculated the Lack of Media Understanding public, states China Dialogue.
ecological costs of rubber on Climate Change
plantations: a total of 6 million In today's world, media accuracy
tonnes of biomass carbon stock is crucial. A Chinese climate Compiled by Rutaba Ahmed

tbl jan-feb 09 11
cover story

the future of corporate


social responsibility
cross company csr
Imagine a manufacturing
company in the business of
producing and marketing
farm implements. Business by zohare ali shariff
growth for this company, let's for tbl
call it Quality Tools Limited,
depends amongst other
factors, on the level of
education (and hence
comprehension) the poten-
tial buyers - the farmers -
have, in order that they may
better understand both the
usage and the benefits of
the implements the company
markets. It therefore makes
good business sense for
Quality Tools to enact a liter-
acy programme in the target
market areas under its CSR
(corporate social responsibil-
ity) umbrella. This will serve
as capacity building of the
farming community -
enhancing their productivity,
which will pay back into the
company's business. The
idea is evaluated thoroughly
and Quality Tools decides to
undertake the literacy
intervention at two levels -
for the short to medium term
an adult literacy programme
that seeks to make present
day farmers (customers)
more efficient. And looking
at it long-term, a primary
and secondary education
programme to prepare
tomorrow's generation
(future customers) to be
more educated and
empowered agriculturists.

12 www.tbl.com.pk
All very well, but the company then discovers that ises with deeds because of financial constraints, the
the optimum level intervention required for this ini- community leaders have a clear message for them.
tiative is going to cost well beyond what it can make Join hands, they tell Quality Tools and Farm Fresh
available from its CSR portfolio. What is to be done? Foods. Pool in all resources - funds, management's
time and project management expertise and go for
the establishment of the educational facilities
Mull Over That. Fresh Thought Process: together.

Now imagine another company, Farm Fresh Foods The idea is simple, yet exciting. The farming com-
Limited, a food processing company that purchases munity is part of the value chain of both companies,
the produce of the same farming community. Let us divergent as their businesses may be. It serves both
say the farmers are growing orchard crops that the of them to strengthen it. And perhaps because their
food processing company purchases to produce its businesses are so different, there is no apparent
range of popular jams. Over a period Farm Fresh competition or negative fall-out of a joint CSR initia-
Foods has been experiencing a loss of consistency in tive.
both quality and in quantity of the produce - caus-
ing supply shortages not infrequently and a high Soon enough a primary school is built which edu-
rejection rate owing to quality at times being below cates the community's children in the daytime. This
minimum acceptable standards. then serves as an adult literacy centre in the evening,
when the children's elder siblings and parents end
This is a serious issue for both the farmers and the their day's work in the fields and are able to take
company. Farm Fresh Foods considers how the situ- classes. Even the physical space is thus optimized. A
ation can be improved and reaches the conclusion little after the project takes off, the ground-breaking
that for long-term sustainable growth, the farmers for the secondary school is performed.
really need to be educated at least to a level where
they can read and understand a step by step set of
instructions. This, will produce better and more con- Revolutionizing CSR
sistent quality of produce and a higher quantity too.
So the company consults suitable education service What happened here? Well, we have just advocated
providers who come up with a programme that is at a hypothetical, yet very possible in the real world,
two levels - a primary and secondary education concept which can be developed as a new dimension
level to prepare tomorrow's generation to be more for the future of CSR. We will call it simply by what
educated and empowered agriculturists, and an it is - Cross Company CSR. The coming together of
adult literacy level that seeks to make present day two or more companies for executing CSR initiatives
farmers (raw material suppliers) more efficient. which are of benefit to all and which can best be bet-
ter executed by combining resources.
Again, all very well. But when the details are
worked out, the cost of the programme turns out to Of late the general trend has been for more and
be prohibitive. Farm Fresh Foods can start off some- more companies to get on the CSR bandwagon.
thing at a lower level to match its available budget. Some have done it for the photo opportunity and
But then this is not expected to make enough of a have not progressed much beyond corporate philan-
difference to justify starting the programme at all. So thropy.
what is to be done?
Others have advanced to more elaborate initiatives,
while a few have even gone the whole 9 yards and
Synergizing for Optimal and Wider Benefits built CSR seamlessly into their business operations.
They have strategically pursued the triple bottom-
Ironically enough, while the 2 companies are indi- line and have demonstrated that their CSR models
vidually trying to figure out a solution, not knowing are indeed sustainable. But even the top CSR cham-
that both of them are facing the same issue, it is their pions have done it more or less alone. Examples of
common stakeholder, the farming community that joint CSR programmes will be hard to find, at least
comes up with one. Separately executives of Quality in terms of these being strategically planned sustain-
Tools and Farm Fresh Foods have spoken to the able initiatives. More likely they would have come
community elders of the need to do capacity build- about, almost accidentally, to suit the expediency of
ing of the people and the elders had bought into the a particular situation. This by itself hints at the ini-
idea. tiative being non-sustainable, with one reason possi-
bly being that it benefits one partner over the others
This, the elders remember. When both companies much more, after the initial phase.
eventually show reluctance in matching their prom-
continued on p.16

tbl jan-feb 09 13
csr toolkit

14 www.tbl.com.pk
About the Writer

Khadeeja Balkhi is a Sustainability Consultant who


finds great joy in her work, whether it's strategizing,
hands-on implementation, field-based stakeholder
engagement or documentation and monitoring.

tbl jan-feb 09 15
In the related world of corporate philanthropy how- the sustainability of the now-collective initiative is
ever, one finds that two or several companies joining stronger.
hands to support a cause is a common enough phe-
nomena. Fundraisers are perhaps the best example,
where several companies will take high priced tables The Way Forward?
at a soiree, which cannot take place to start with
unless a minimum number of tables are taken up. We at tbl propose the commencement of an immedi-
Then there are numerous other examples from the ate dialogue between companies that are serious to
world of sports, arts and culture, education and still explore Cross-Company CSR as a workable strategy
others, where companies have pooled in mainly one for the future. Such dialogue can be initiated by any
resource - cash - to achieve a goal that cannot be company, or by an independent body that takes on
achieved singly. It is another matter that such phil- the task of research to identify possible areas of
anthropic bonding may do something for the image Cross-Company CSR cooperation, and then goes on
of the companies involved, but it will do very little if to approach likely corporate partners with a view to
anything at all for the companies' triple bottom- setting up partnerships between like-minded com-
lines. panies. We believe that even if two companies make
a start and launch a pilot project successfully, others
will observe and draw learning. A momentum will
Benefits of Cross Company CSR be unleashed.

It is therefore now time for CSR to dynamically


evolve to another level. Cross-Company CSR has
obvious benefits. The benefits increase exponentially About the Writer
over time. Synergy, personified. Greater economies
Zohare Ali Shariff is CEO of Asiatic Public Relations
of scale can be achieved. Optimization of resources Network Ltd. & Editor-in-Chief of tbl. A graduate of the
can be targeted. The spread in terms of the number London School of Economics, he is a published author
and winner of National Book Foundation Awards.
of people benefiting will be far larger. And not least,

invitation
The C3 Roundtable

Admit it. The wheels in your mind were spinning manically with all the opportunities
running through it while you were gulping the Cross Company CSR concept.

Well, we think the idea is full of possibilities too.

If you believe you have ways to continue to flesh out the concept, we'd like to invite you to
be part of a pioneering group that will take this forward and break new ground.

Serious implementers and thinkers, aficionados and visionaries, individuals and


companies are invited to express their interest in participating in a Roundtable on
Cross Company CSR. tbl is organizing the C3 Roundtable in March, before Spring is over!

Cross Company CSR can be a global 'first' and you can be a part of firming the
concept's foundations.

All you need to do to accept our invitation, is write us at director@tbl.com.pk,


confirming your interest to debate towards development.

16 www.tbl.com.pk
social partnership

collaboration in the health sector:


the case of bangladesh and
tuberculosis
by miriam katz
for tbl

Collaboration takes many


different forms. In the
case of Bangladesh,
there has been a long
history of government
collaborating with non-
governmental
organizations (NGOs),
particularly on issues
related to poverty and
health. In 1972, the
Bangladesh Rural
Advancement Committee
(BRAC) was founded
and has since developed
different programmes
including micro-credit.
BRAC has also expand-
ed to other countries
including Pakistan,
Afghanistan and Sri
Lanka. One of the main
areas for which it has
received recognition is its
tuberculosis
programme. This article
will look at how BRAC
has collaborated with the
Bangladeshi government
with regard to tubercu-
losis. The first section will
look at the problem of
tuberculosis in
Bangladesh, the second
will examine BRAC's
approach to tuberculosis
and the third will analyze
how government and
BRAC worked success-
fully together.

18 www.tbl.com.pk
The Problem of Tuberculosis in as a pilot project in the district of Programmes. In 2005, only 68
Bangladesh Manikgonj in 1984 to complement percent of cases were detected;
The World Health Organization the government's and the WHO's however, this rose to 80 percent in
compiled a list of 22 countries strategy known as DOTS, which 2006 after an infusion of money
where tuberculosis affects a high stands for Direct Observed from the Global Fund to Fight
proportion of the population. On Treatment Short course. In 1992, AIDS, TB and Malaria, according
this list, Bangladesh ranks sixth, the programme was extended to to BRAC.
which means that the incidence of ten other areas and in 1994, the
tuberculosis is quite high, accord- government signed a memoran-
Shasthya Shebikas (SS)
ing to the BRAC Annual Report dum of understanding (MOU)
The SS programme began in the
'Breaking New Grounds in Public with many different NGOs
1970s when BRAC was still
Health'. In 2006, there were including BRAC in order to
focused primarily on micro-
101,988 new cases of tuberculosis collaborate on TB, according to
finance issues. BRAC had many
(TB), according to the World the BRAC Annual Report. By
different village organizations
Health Organization (WHO); 1998, all districts of Bangladesh
that were charged with decrea-
however, this does not show the were covered by the DOTS
sing poverty and one idea that
full scope of the problem because programme. There are two very
came from this was to nominate
many people go to the private important innovative components
women to become community
sector for medical care and the of the BRAC programme, which
health volunteers. The criteria for
records from these visits are not are user fees and the use of
becoming an SS is being a woman
included in the national count. community health volunteers
who is socially acceptable in the
Most estimates show that there known as shasthya shebikas (SS).
community; 25 to 35 years of age
are 300,000 new cases every year
and having no children under the
and 70,000 deaths, states the
User Fees age of five, according to Faruque
Ministry of Health and Family
It is much easier for NGOs such Ahmed speaking at the Regional
Welfare, Dhaka, Bangladesh.
as BRAC to impose user fees Conference on "Revitalizing
because the government is not Primary Health Care" held in
One of the reasons why TB
widely trusted in Bangladesh. Indonesia in 2008. Each SS is
spreads easily throughout
This is one of the main reasons given training in health problems
Bangladesh is that the country is
why the government collaborated such as diarrhea, the common
very small and crowded. TB is
with BRAC; NGOs are seen as cold, stomach problems and
very contagious, thus if someone
closer to the people and are very many other health issues. A
starts coughing and does not seek
active in Bangladesh. In special subset of SS's is also given
treatment right away, there is a
Bangladesh, there are over 6000 training in TB. One of the main
high likelihood that others will
registered NGOs and they cover reasons why the treatment
catch it. In addition, the medica-
at least one quarter of the popu- success rate in Bangladesh is so
tion for tuberculosis must be
lation. With regards to BRAC and high is because each SS works in
taken over a period of six months;
TB, user fees were seen as a way her own neighbourhood and
however, many people start to
for people to comply with their people in the neighbourhood
feel better after two months and
treatment. Each patient has to pay come to respect and trust her.
decide to end the treatment, states
200 Taka ($3.50) and signs a bond
Snegupta in NY Times. Lastly,
in front of two witnesses, who Although SS's are volunteers, they
there is a large stigma attached to
ensure that the patient continues are able to earn money through
TB. People do not wish to develop
with their medication. If the two means: selling medical
it and often hide it if they do
patient is unable to pay, the supplies and successful treatment
develop it because the community
community attempts to raise of TB patients. BRAC gives the
may view them in a bad light. For
money; however, if they are not SS's supplies such as birth control
these reasons, BRAC decided to
successful, the patient is exempt pills and cough medication and
utilize the power of women in the
from the payment. After the the SS's can sell it at a small
community in order to halt the
patient finishes six months of markup. In addition, for each TB
spread of TB. It was hoped that
treatment, the money is refunded. patient that the SS successfully
women would be able to break
This has led to a 93 percent treat- treats, they are given $2.25.
the stigma of TB and also per-
ment success rate, which is very Although this is a small amount
suade people to continue the
high, according to BRAC. In 1991, of money, it gives the SS a bit of
course of their medication.
WHO set a goal of detecting 70 economic power since they are
percent of new cases and curing usually housewives. There are
BRAC's Approach to 85 percent of those, reveals now over 70,000 SS's in
Tuberculosis Kumaresan in a Review of Bangladesh and the programme
The BRAC TB programme began National Tuberculosis has also been replicated in many

tbl jan-feb 09 19
other countries including medication. In addition, BRAC
Afghanistan, Tanzania and has the ability to cover many local
Sudan. The SS programme is one areas while the government can References
of the main reasons why the see the larger picture and can
government decided to colla- draw up policy for the entire BRAC "Breaking New
borate with BRAC, as the SS's country. BRAC also has the ability Grounds in Public Health:
give the government a link to the to influence the government and, Annual Report 2006"
community. because they use government <http://www.brac.net/down-
resources for TB, the organization loads_files/BRAC_Health_Re
Collaboration between can use the extra funds for other port_2006.pdf>
BRAC and the issues that require attention.
World Health Organization
Government of
The Future of Collaboration for "National Tuberculosis
Bangladesh Control Programme
TB in Bangladesh
Bangladesh: Report of the
History and Benefits to As mentioned above, the number
Fourth Joint Review"
Government of TB cases in Bangladesh is not
There is a long history with known for certain due to many
AN Zafar Ullah et al
regard to the Bangladeshi govern- people using the private sector. In
"Government?NGO
ment collaborating with NGOs. In Bangladesh, 54 percent of people
Collaboration: The Case of
1961, the government passed the use the private sector for health
Tuberculosis Control in
voluntary social welfare agencies care, according to WHO. This is
Bangladesh"
ordinance, which required all quite high considering that
<http://heapol.oxfordjour-
NGOs to register with the govern- approximately 63 million people
nals.org/cgi/reprint/21/2/143>
ment, according to Zafar Ullah in live in "severe deprivation,"
a report published in Oxford according to the World Bank.
Faruque Ahmed "Community
Journals. In 1996, the government Thus, in the future, the govern-
empowerment through
created an NGO consultative ment must collaborate with the
micro?credit scheme to
council to have direct communi- private sector in order to accom-
improve community
cation with NGOs. Lastly, in the plish two things: better monitor-
health"<http://www.searo.wh
1997-2002 Five Year Plan, the ing of TB and a higher treatment
o.int/LinkFiles/Conference_P
government explicitly stated that rate.
anel-D1.pdf>
"collaboration of private organiza-
tions/institutes and NGOs will be In conclusion, TB is still a serious SHR Jahfery "PPAF Extends
fostered," states Zafar Ullah. The problem in Bangladesh and in Facility of Rs 220 million to
government derives many bene- many other countries around the BRAC"
fits from working with NGOs world; however, Bangladesh has <http://pakobserver.net/2008
because many people in shown that collaboration can 05/01/news/business10.asp>
Bangladesh do not trust the gov- increase treatment rates. BRAC's
ernment due to years of corrup- innovative SS programme is a
tion. In addition, because NGOs model for the world, but they
such as BRAC cover such a wide could not have achieved every-
area of Bangladesh, many people thing they have without the


have contact with them in their government and the government Confidence
everyday lives. BRAC can reach benefits a lot from collaborating
at least 110 million people in Asia with NGOs. In the future, the grows as
and Africa, thus the government government must work with the
can benefit a lot from this, states private sector in order to increase slowly as a
Jahfery in the Pakistan Observer. treatment rates even further.
Thus, collaboration is often the coconut tree,
key to success.
Benefits to BRAC and falls as fast
NGOs such as BRAC benefit a lot
as a coconut.

About the Writer
from collaborating with the
Miriam Katz is a freelance writer based in
government, despite the fact that London. She currently writes for the - Montek Singh
they may be viewed badly for Environmental Peace Review. Her areas of
working with government. NGOs interest include environmental issues, renewable Ahluwalia,
energy, biofules and climate change. She holds a
are able to use government Bachelor of Arts in Political Science and Indian Economist
facilities such as laboratories and Environmental Studies from the University of

they can also use the purchasing


Toronto. She can be reached at World Economic Forum,
m.il.katz@gmail.com
power of the government for TB Davos

20 www.tbl.com.pk
Call for Pre-Registration:
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tbl jan-feb 09 21
22 www.tbl.com.pk
collaboration and sustainability

how collaboration can save the


planet - and your business
by ramla akhtar
for tbl

What's our Problem? The Giant Collapse of 2008


By the time this article is being If material stuff is produced, but
written, it is clear: those who not recycled back into the system,
warned against the unsustainabil- we will end up with pollution:
ity of greed (getting more than blocked drains, toxic landfills, and
one deserves) and fear (contribut- smoke-filled air. If there is money
ing less than one's potential) are earned such as through big busi-
vindicated. No matter what the ness, but not spent back such as
consultants advocate, the truth is through fair wage, we will end up
that the old way of working is with vast populations unable to
over. Now that we have damaged afford business any longer - and
the planet sufficiently, and as a at a tipping point, the whole sys-
result hurt the population that become a talented actor) through tem will suddenly collapse. That
rests upon it - is it any surprise the door and keeping the gate- tipping point was reached in 2008
that neither the planet nor the crashers out. Overtime the actor - when all unsustainable cycles
people can afford the ways profit clears audition and performs in a from the natural to the economic
is made? play. The play is aired and earns collapsed together.
the channel its income. I get my
The lesson is clear: No Planet, No salary. This is a cycle - this is The Solution: Enable
People. No People, No Profit. 'Wholeness'. It is true for all sys- Sustainability Through
tems of the entire world; the only Collaboration
This is a mantra that needs no difference is the level of complexi- When bad times hit, do what the
other proof than the current state ty. poor do: help one another. Create
of affairs. No matter the details of sustaining relationships, keeping
the collapse, there is a single con- Given that the start of a cycle is at in mind the definition above: sus-
cept that sums the situation and contribution; the life cycle starts at tainability is a cycle when it is in
its possible remedy: birth, the water cycle at rain, the smooth motion. This also means
'Sustainability'. money cycle initiates at spending, that when it is time for a certain
and the cycle of business starts at cycle to end, such as in the case of
Sustainability: a Simple enterprising talent. an end to an entire industry,
Definition everyone in the cycle can sense
Everything on this planet is part But there can be no continued the closure at once and get pre-
of a cycle of birth-death-regenera- contribution unless there is grace- pared to move on. It is more diffi-
tion. There is a water cycle, a car- ful reception on the other side. So cult to move on to bigger and bet-
bon cycle, a consumption cycle. in totality we can see a cycle as ter things when one is either too
Money, too, revolves. It is spent- 'an act of cooperation, a continued empowered or too weakened by a
earned-spent. Each cycle has a collaboration'. The giver is also a dysfunctional cycle. The first one
starting point and that point is receiver - always. We receive with has a vested interest in keeping
'contribution'. It starts when realization and give with choice. things as they are, and the second
Entity A chooses to contribute to one has no willpower.
the 'Whole'/System (Entity B). Simply defined: Sustainability is
Then Entity B pays it forward, "the act of elements revolving in It is tragicomic that in spite of the
until the contribution returns to an effortless cycle." 2008 catastrophic wipeouts, most
Entity A in a new form. Entity B organizations are still pursuing
can be one person, or it can be A cycle is a complete loop. The the aim of meeting their old pro-
many. For example, if I work as a very definition of unsustainability jected profits and other objectives
guard in a TV channel, I con- is an incomplete loop - a cycle using the same methods that
tribute by letting in the right per- broken by excess (accumulation) often directly brought about this
son (who has the potential to or by withholding (depletion). breakdown.

24 www.tbl.com.pk
It is clear by now that the game relate to collaboration. They are 2. Work With Who Is
and the rules have changed. But too many to remember intellectu- One of the anomalies of the work-
how do we move on? The real ally. Another approach is to place is the poor utilization of
issue at this time may be a sense understand the fundamental prin- people's talent - though humans
of insecurity and high uncertainty ciple, and then apply it to individ- are the fundamental orchestrator
- the end of greed and the begin- ual situations. The basic principle of all creativity! Author Etsko
ning of fear. is: Collaboration is to facilitate the Schuitema suggests in his "Care &
motion of a cycle. The two aspects Growth Model of Leadership"
In my view, this is exactly the cur- of the cycling principle are: that we only have the license to
rent challenge. We are no longer 1. Increase/facilitate flow. help someone grow if we care for
oblivious of the fact that the plan- 2. Reduce blocks. him or her.
et is in peril, and people are
severely endangered from our The first aspect is about being cre- If the utilization of a person's
own actions and the backlash of ative. The second aspect is about energy under our supervision is
nature. It is also apparent by now removing obstacles to creativity. to help them grow, what precedes
that we have at once the responsi- Essentially both achieve the same this is taking care to get to know
bility, and (some say perhaps) the result, but are needed together. In the innate potential of that per-
power to do something. my view, it is the second aspect son.
that is the real need of the time.
Interestingly, at this point in There is an inborn quality in each
human history, we happen to Easy Guidelines For Situational person. That quality shapes their
have a technology for every need. Collaboration contribution. It is the task of the
We have also tested almost every It has been assumed for a while system as a whole and a leader in
social, political, and economic sys- now, especially in the business specific to see that quality and co-
tem great human minds could and political world, that relation- create work around it. Schuitema
envision. In other words, the ships can be 'created'. There exist suggests that work is a means to
"hard" and the "soft" elements are fundamental principles of relation engage the individuals in a rela-
present. What, then, do we need? between the large and small, giver tionship. This brings delight back
and taker, weak and powerful, into relationships, even in the
Answer: Collaboration etc. The task of collaborative prac- work arena.
Wikipedia defines collaboration tices, then, is to honour that
as: "A recursive process where which exists and to orchestrate An implied application is to use
two or more [entities] work that to use - not to attempt to experiential experts' help. Receive
together towards an intersection forge something beyond the sys- the knowledge that others have to
of common goals. For example, an tem. offer. Often we refuse to work
intellectual endeavour that is cre-
with talent that is available, in
ative in nature - by sharing Based on this understanding, situ-
order to pursue imaginative goals.
knowledge, learning and building ational collaboration can be devel-
In Pakistan's context as well as of
consensus." oped.
other developing nations, this
non-acceptance of our unique
Precisely because we have all the 1. Work With What Is abilities and offerings is leading
requisite technology and ideology Resource utilization is a critical to the belief that there is a dearth
at our disposal, our next task is to contemporary issue. Though often of talent. If that were the case,
put things together in a way that we are concerned with "over-uti- none of the developing nations
benefits the wholeness of our sys- lization," the sustainability princi- would be able to destroy as much
tems. The systems are already ple suggests that in each instance as they do, for destruction
whole (cyclic) by their nature and something is over-utilized, there suggests the presence of energy
definition. Our real task is to is another thing that is being not utilized.
develop a method that facilitates under-utilized - because it is
the motion of cycles. And that ignored or sacrificed.
method is a value: working 3. Increase Collaboration, Reduce
together. Collaboration. Competition - Deliberately?
The solution is to 'work with what Competition has long been a
Collaboration is a means to an is' - evaluate one's assets, and con- virtue, and it had its rightful place
end: the end is sustainability - tribute. Rather than want more in the evolution of human
enabling the cycle of life. resources than are already given, endeavour as we strove to push
work with what is already given. the boundaries of our potential
The Principle of Collaboration It is far better to adjust one's and existence. I think there is less
There are several processes, ambitions and ideas than to blame to be assigned to competi-
behaviours and conversations that stretch or waste one's resources. tion itself - rather the need is to

tbl jan-feb 09 25
realize that the time to compete and their needs evolve and as material is being churned out on
has simply passed. boundaries - which are not fixed - the planet and there is less pres-
are re-marked. sure on the already exhausted
In this age, we must intentionally systems. Carbon is a fundamental
lower ‘competitive think’, and Part of this practice in business is measure for "activity."
replace it with ‘collaborative to create projects based on mutu- Eliminating the non-essential and
think’. In my work with a beauty ally 'engaging' rather than 'accept- sharing resources implies reduced
products client, for instance, we able' terms. When we engage activity and therefore reduced
have chosen to see household another on the basis of their ful- carbon footprint.
based women entrepreneurs as fillment and joy they would co-
friends and partners rather than create happily with us, while we 2. Reduced Cost: Competition is
as threats to our business. There is can also create a beneficial ethic cost. Primarily because it takes
an acceptance that there will amongst ourselves, which helps attention away from creative
increasingly be small entrepre- the whole system. opportunities and the right appli-
neurs who will test their own cation of one's talent. Often an
The Technology entity competes with one that is
mettle. Traditionally the Big
There are two broad types of tech- different from it. I have seen
Business attempts to drown them
nology: one is soft (conceptual), media enterprises in Pakistan
out. My client took the approach
the other hard (quasi- who ditched their niche to chase
of changing their business model
physical/physical). The best kind the rival's territory (such as enter-
to a modular one that suits the
the first technology is described tainment) - and hence led to the
variable nature of workers in the
already: it is relationships - decline of both. Competition is a
fragmented marketplace for
amongst people, and then people cultural phenomenon that has led
today. The immediate benefit is
and every living and non-living to megalomania-driven growth,
that energy is now reserved to co-
thing. and decline. Henceforth, our
create joyful solutions, and to do
the real task of carrying the prod- growth should be based on serv-
The best of the second type of
uct to consumers to enhance their ice to the whole system, not com-
technology is the Internet, identi-
life - rather than being consumed peting with elements.
fied as "the supreme communica-
by the anxiety of overcoming tion network" and the "enabler of
beyond control "competition." 3. Healthy Interdependence: A
people" [the first and the vastly
state where all elements in a cycle
more important element in collab-
support and rely on each other,
4. Minimize Legislation, oration] in this Intent and
and are clearly aware that mutual
Maximize Relation Attention Era.
benefit is the real benefit. This is
Legislation is oft-invisible but
most practical at a local level
often the most powerful of blocks Outcome: Benefits of
Collaboration where community members work
in the way of human endeavour
One would like to round off a with each other and support oth-
and relationship. The problem is
solid case for collaboration by list- ers' enterprises.
very simple: we have come to
believe that legislation exhausts ing a set of definite outcomes.
This, however, is not a great idea It is my belief that the issue that
the list of all possibilities.
because 'definite' also means 'lim- we face is not of meltdowns and
Therefore, there must be a law for ited' - and limitation is resisted by painfully wrenched bailouts. It is
every DON'T and a description of human nature. Indeed it is a block the issue of bringing values back
every DO. This is a fallacy. Law is in the cycle of growth. The truth to the way we work. The values,
a limitation, and its only function is that the outcome of collabora- in turn, are employed so we can
is to mark boundaries and off- tion depends upon the clarity of experience the joy of being alive.
limit areas in a relationship. The understanding what it truly That joy, I believe, is the real aim
off limits are those where, by defi- means to work together, to con- and must become a part of the
nition, the relationship ends if one tribute, and the sincerity and world of business - and the busi-
or all partners venture there. intelligence with which this way ness of the world. Collaboration,
is made a practice. when practiced faithfully, is that
Legislation is not the fullness of a joy in itself.
relationship. It is the boundary of Despite this, the very technology
a relationship. The best constitu- of collaboration - such as shared About the Writer
tions of the world, therefore, are workspaces - immediately yield Ramla runs a consultancy,
short or non-existent. A constitu- certain benefits, such as: "NEXT>", which is geared to
design fresh solutions for con-
tion as exacting as that of temporary opportunities and
Pakistan, for instance, anticipates 1. Reduced Activity Footprint: challenges. She can be reached
at ramla@nextbyramla.com
being violated as relationships Using fewer things means lesser

26 www.tbl.com.pk
report: community impacts

reporting on
community impacts
report by the GRI, the University of Hong Kong and CSR Asia

O
ver recent decades there research was carried out by the
has been a growing University of Hong Kong and
awareness by business, CSR Asia, together with GRI staff.
government and other agencies
regarding the impact that busi- Sample of Report Considered
ness can have on society. Seventy-two sustainability reports
Increasingly, companies are stat- were randomly selected for this
ing their commitments to being analysis, 58 of which follow the
an agency for positive change for most recent GRI Reporting
society and for the environment. Framework, the 'G3' and have
At the same time there exists a declared the G3 Application level. Eight major sectors analyzed
growing emphasis on under- The selected reports reflect a
standing the impact of business diversity of sectors as well as an How do companies approach
on the environment and on socie- inclination towards those seen to reporting on community
ty. have a relatively substantial com- performance?
munity impact. Overall, companies take a diverse
More and more companies are approach to reporting on commu-
frequently facing the question of The regional distribution of the nity performance and show a
'what are your impacts on com- companies is as follows: good degree of individuality in
munities where you operate?' Yet 1. Europe - 36 the way they present their com-
this is also a question which is 2. North America - 14 munity performance and impacts.
difficult for most companies to 3. Asia - 13
answer. In response to this, the 4. Latin America - 3 What information is available
GRI initiated a research project to 5. Oceania - 3 within the context of reporting?
better understand current practice 6. Africa - 3 Companies usually focus on
in reporting in terms of approach, reporting their own performance
type of information, patterns (in Companies from eight sectors in relation to community initia-
sectors and geographical loca- account for over 60 percent of the tives as opposed to what changes
tions) as well as how this relates reports. or benefits occur for people and
to the GRI guidelines. The the environment as a result of

28 www.tbl.com.pk
Information on the topic
Community Engagement and

“ The underlying question of sustainability


reporting is how an organization contributes, or aims
to contribute in the future, to the improvement or
Dialogue, is often reported in
another section dedicated to
stakeholder dialogue. It is noted
that there are 32 companies
reporting on this topic, but less
deterioration of economic, environmental, and social than half of them (23 percent)
conditions, developments, and trends at the local, used quantitative measures to
report their performance and
regional, or global level.


GRI G3 Guidelines in terms of sustainability context.
impact in relation to this issue.

How do these approaches and


information relate to the GRI
Guidelines?
It appears that a majority of
reporters claim they are reporting
their activities. Thus, it is often
in accordance with the GRI G3
difficult to paint a picture of com-
Guidelines and Indicator
munity impact based on the infor-
Protocols on community.
mation in the reports as fewer
quantitative indicators are used
However, on closer inspection it
for reporting on the impact of
appears that this is not the case.
community initiatives as opposed
While 37 out of 53 G3 Reports (64
to performance indicators.
percent) claim that they report on
performance related to the society
The majority of companies
indicator SO1, only 11 percent of
emphasize their positive contribu-
the 37 reports reported fully
tions without mentioning any
Proportion of reports with dedicated according to the associated indica-
negative impacts. Those who do
section for community impacts (N=72) tor protocol.
report their negative impacts
mostly focus on environment-
Most reports are relatively weak
related problems.
Total Community in fulfilling the requirements as
Expenditure stated in the GRI management
Patterns identified in
community reporting Philanthropy and Charitable approach for community issues.
69 percent of the companies Giving
Re-settlement What is clear is that companies
choose to group community relat-
ed topics under a dedicated com- Infrastructure for Local find it difficult to report on their
munity section in the report. Out Community impacts and there is a need for
of the 50 reports with a dedicated
section, almost half of them (24)
list these as major headings in the
Table of Contents.

For those dedicated sections


which are not major headings,
they are usually located under the
'social' section of the reports.

In community reporting, the fol-


lowing topics are mostly reported
under the community sections:
Social Inclusion and Aid to
Disadvantaged or Minority
Groups
Community Services and
Employee Volunteering
Culture and Leisure
Topics reported under a dedicated section (in percentages)
Education and Training

tbl jan-feb 09 29
them to measure, in a more sys-
tematic manner, the differences
they make as a result of their cor-
porate community investment
strategies. There is a need to use
tools and techniques that are able
to track (monitor) impacts over
time.

The top 3 performance indicators for each of the top 5 topics


Five most frequently addressed topics

Top 5 Reported Community such as the amount of money of a companies impact on the
Impacts invested in and donated to educa- community and employee reten-
The most frequent topics tional activities. tion.
addressed are Education and
Training and Philanthropy and At the level of impact, indicators Reports usually appear to concen-
Charitable Giving in 63 percent of such as changes in performance trate on reporting what the com-
the reports, followed by as well as the possibility of place- pany has done in relation to com-
Community Services and ment post intervention are used munity initiatives (that is, per-
Employee Volunteering, Total by only a few companies. As one formance), rather than what
Community Expenditure and would expect, indicators for changes, benefits or damage the
Community Engagement and Philanthropy and Charitable community initiatives brought to
Dialogue. Giving focus on the inputs as the community (that is, impact).
opposed to the outputs or out-
Information on environmental comes. Information Reported: Positive
topics such as Community and negative impact
Environmental Impact due to Among companies having report- Among 72 reports, the majority of
Operation and Community ed on this topic, only 11 percent companies only emphasize their
Environmental Campaign/ have attempted to show the positive contributions without
Problem Solving only appeared in impact of such activities by mentioning any negative implica-
35 and 32 percent of the reports reporting their activities at the tions or negative impact.
respectively. community level and the impact
achieved through this initiative. For those who report on negative
Indicators used for reporting impact, most of them focus on
performance and impact Similarly, for Employee environment-related problems,
Companies often report on indica- Volunteering, the focus appears to which relate to GRI environmen-
tors which are easier to measure be on counting the number of tal indicators. However, out of the
(performance indicators) but not organizations served, and the par- 23 reports that have reported on
necessarily on indicators which ticipation of employees as community environmental
are most meaningful in terms of opposed to measuring the effect impact, only 4 of them relate envi-
understanding community impact of this involvement for communi- ronmental impacts to the commu-
in terms of changes in external ties. nity, while the rest (19) report on
conditions. site-specific environmental impact
It could be argued that many but not necessarily relate these to
Although indicators for Education companies look at their employee the community.
and Training fare better by con- volunteering programmes in
sidering the number of people terms of the benefits they have for Differences in reporting on vari-
who benefit and are reached, it their employees given the strong ous topics among regions
also weighs heavy with indicators ties between employee perception North American and Asian com-

30 www.tbl.com.pk
panies tend to report on
Education and Training,
Philanthropy and Charitable
Giving and Community Services
and Employee Volunteering much
more often than European compa-
nies. The difference is especially
obvious for Community Services
and Employee Volunteering.

Reporting on Partnerships with


Local Organizations is particular-
ly popular among North
American companies in compari-
son to other regions.

The occurrence of reporting on


Community Engagement and Percentage of reports in different regions reporting on various topics
Dialogue and Community
Environmental Impact due to
Operations is especially low related sections of reports, there tematic approach to assessing
amongst Asian reporters. This is is only a limited attempt to the impacts of their community
in contrast with their North look at impact with the majori- investments through tools
American counterparts. The per- ty of information dressing the aimed at measuring the
centage of reports which address companies own performance differences that occur (positive
Direct Economic Impacts on com- and inputs. 50 percent of com- and negative) over time.
munities is relatively higher for panies reporting on the top five
European companies. topics do not indicate
approaches, policies, aims or
reasons behind activities. Is it Note
Key Findings
that companies do not see
The majority of the companies This report has been tailored for tbl with
reporting on changes at the permission from the Global Reporting
do not apply the same sort of Initiative.
community level as an impor-
measurement rigour to the
tant part of their sustainability
management of work related to
report or is it a matter of build-
their relationships with com-
ing the capacity in order to do
munity as they would to other
this effectively? Is the relation-
In times of

aspects of their business. While
ship between business and the
there are exceptions to the rule,
community impacts appear to
community simply just about recession
the ‘feel good factor’? This
be something not many compa- there are massive
research appears to suggest
nies are able to clearly define or
this. opportunities and
report on. It is clear that com-
panies approach their commu-
nity reporting in different What is clear is that measuring fortunes to be
ways. a company's impact on commu- made, so for new
nities is not an easy task.
Information contained within
Companies tend to report on up and coming
what might be 'easier' to report
the reports focused much more
on but not necessarily what
entrepreneurs, this
on what companies were doing
(performance) rather than what
matters. is the time to go
changes, damages or benefits and start a
impacted communities. The Companies find it very difficult
only reference to companies'
potential negative impact was
in relation to environmental
issues.
to measure their impacts. It is
relatively easy to report on
inputs and performance but
much more difficult to assess
the difference that community
business.
- Richard Branson,
Founder of
The Virgin Group
World Economic Forum,

Within the topics most fre- investments make. Companies
quently found in community- would benefit from a more sys- Davos

tbl jan-feb 09 31
private sector: liberalizing off the hook

public-private partnership:
transition to greater economic freedom
by ali salman
for tbl

A
general premise of eco- The Government of Pakistan operating and maintaining infra-
nomic freedom rests on issued a comprehensive policy structure services are a solution."
the minimum role of the document on PPP titled ‘Private
government in service provision- Participation in Providing More The national policy document
ing. However there are services, and Better Public Services also mentions following priority
or economic limitations of some through Improved Infrastructure’ areas for PPP contracts:
recipients of these services, which in 2007. It stipulates objectives, 1. Transport and logistics.
make it difficult for the govern- implementation structure, viabili- 2. Mass urban public transport.
ment to completely roll back from ty gap funding, and project life 3. Municipal services (water
direct provisioning. This situation cycle with respect to PPP con- supply and sanitation, low-
also arises where the private sec- tracts. This document states that cost housing and education
tor sees little economic incentives "many economically and socially and health facilities).
or experiences insurmountable worth projects lack the ability to 4. Small scale energy projects .
regulatory restrictions. To counter raise the requisite revenues to
these problems, a combination of ensure adequate returns for the The federal government has
public and private sector is used, investor risk." already set up the Infrastructure
commonly known as Public- Project Development Facility
Private Partnership (PPP). As The policy document further (IPDF) under the Ministry of
such, an increase in the PPP based mentions the need of long gesta- Finance and proposed to make an
contracts or investments in PPP tion periods to ensure affordable Infrastructure Project Financing
based contracts, reflects a greater tariff levels thus exposing the pri- Fund. The IPDF has currently 12
level of economic freedom as vate sector to undue risk. projects, which are worth more
these contracts increase the role of According to the policy, "PPPs than USD 2.8 billion, whereas
the private sector in traditionally with appropriate arrangements in additionally 23 projects have been
public sector dominated areas. the sharing of risks in financing, identified. An official presentation

32 www.tbl.com.pk
ects titled 'National Corridor' linkages, and public accountabili-
As governments turn to which cut across provincial ty, (iv) rationalize services and set
the private sector to pro- boundaries and therefore cannot minimum standards, and (v)
vide services once deliv- be attributed to provincial encourage public-private partner-
domain. ship.
ered by the public sector,
they must learn new
Province Fund Size (USD) Donor Timeline
skills. An increasingly
common way is public- Balochistan 205 million ADB 2006-09
private partnerships units.
Making the right choices NWFP Not Available ADB
on what roles such units Punjab 200 million ADB, DFID 2005-08
play, where they are
located, and how conflicts Sindh 220 million ADB 2003-06
of interest are managed
A province-wise breakdown of Devolved Social Services Programme
is critical in their success,
states the International
Devolved Social Services A Demonstration of Public-
Finance Corporation. Programme Private Partnership
At provincial level, the most Primarily due to its objectives, the
notes: "There is a wide diversity prominent examples of PPP DSSP in all provinces has attract-
in terms of how these projects framework are Devolved Social ed social sector players, that is,
spread across the four provinces." Services Programmes (DSSPs) NGOs, though the terms of refer-
A sectoral breakdown of this administered by each provincial ence to contract a deal with DSSP
investment is shown below: government independently with does not bar for-profit firms. The
the donors' support. These pro- NGOs have played a positive role
grammes make up for capacity in improving service quality at
constraints of the local govern- numerous schools across the
ment to deliver efficient services country but obviously they lack
and they also capitalize upon the the scale, which a commercial
user fee component, thus attract- enterprise brings with it.
ing the private firms.
Public-Private Partnership repre-
The overall goal of the DSSP is to sents a transition from an
improve people's education and omnipresent government to a
health, thereby helping to reduce completely free private sector. It
poverty and gender imbalances. appears that if roles are properly
defined, this may well lead to an
The broad purpose is to increase efficient service provisioning
school enrolment, and coverage based on the principle of financial
with health and clean water and viability, rational price structure
sanitation services. These objec- and user-friendliness. The private
tives are to be primarily achieved sector must jump on these oppor-
by improving governance and tunities and enter this largely
financing of social services; that untapped, though admittedly
should result in increased access rough, terrain.
Provincial Distribution of PPP to basic social services, in particu-
Investments lar for women; and improved
A tentative geographical distribu- quality, efficiency, affordability About the Writer
tion (based on a telephonic inter- and sustainability of services.
Ali Salman currently works as a senior partner
view with concerned official) of at Development Pool and teaches Economics. Ali
PPP based investments shows The programme has 5 principal specializes in economic analysis, entrepreneur-

that out of 12 pipeline projects, 3 policy outcomes, namely, to (i) ship, policy formulation and business models. Ali
did his Masters in Economics from Boston
are based in Islamabad, 4 in further administrative devolution University as a Fulbright Scholar; MA in

Sindh, 2 in Punjab, 1 in Frontier of social services, (ii) improve Development Studies as Royal Netherlands
Fellow; and an MBA from Quaid-i-Azam
while none are based in social sector financing and flow of University, Islamabad.

Balochistan. There are two proj- funds, (iii) promote participation,

tbl jan-feb 09 33
csr guidelines

a way forward
the commonwealth
business council
guidelines for
corporate citizenship
by arif zaman
for tbl

B
usiness in the The CBC Guidelines for the implications for the busi-
Commonwealth has become Corporate Citizenship provide ness of a respect for human
increasingly aware of its guidelines of good corporate citi- rights; having a policy and
role in helping to make globalisa- zenship derived from CBC corpo- acting on it.
tion work in a way that combines rate members in Asia and
economic advance with social beyond. They are a useful tem- 2. Corporate Governance
development. Indeed, many plate for an international The company will manage its
Commonwealth companies are approach to CSR which has rele- business with strong and effective
leading the way by demonstrat- vance and rigour in an Asian con- corporate governance implement-
ing good corporate citizenship in text and have emerged out of the ed by the board according to the
action, "living out" the business characteristic Commonwealth following principles:
principles that they have estab- consensus approach. Compliance - ensuring that
lished and articulated in different the corporation complies with
ways. 1. Values all relevant laws, regulations,
The company will be guided by and corporate commitments;
The Commonwealth Business values and work towards reflect- Profitability - ensuring that
Council (CBC) Business Principles ing them in its business opera- the company is profitable and
- developed out of CBC member tions: provides a reasonable return
companies collaborating to pool Core Values - having clear on the assets it employs;
their experience and perspectives values and a Code of Ethics Leadership - exercising lead-
- consist of core values, responsi- such as honesty, integrity, ership, enterprise, integrity
bilities to stakeholders and a set fairness and openness, clearly and judgement in directing
of principles for how a company stated and followed in prac- the corporation so as to
conducts its affairs. All companies tice; achieve continuing prosperity
and entities - no matter their size - Transparency - being actively for the corporation and acting
are expected to adhere to these open in structure, process and in a manner based on trans-
business principles. The princi- disclosure; establishing and parency, accountability and
ples apply not just to private sec- maintaining communication responsibility;
tor entities but are relevant also to with key stakeholders; Accountability and
public bodies and in the volun- Tackling Corruption - adopt- Responsibility - recognising
tary sector. The CBC Business ing agreed codes, being per- and differentiating accounta-
Principles are established under sistent in enforcing them bility linkages (to sharehold-
three headings: core values; internally and in external ers and statutes) and respon-
responsibilities to stakeholders; dealings; and sibility linkages (to other
and principles. Human Rights - recognising stakeholders); establishing

34 www.tbl.com.pk
reporting mechanisms to sup- all times; regularly assessing human rights in the work-
port these linkages; its performance and effective- place; sharing knowledge,
Board Qualifications - ensur- ness as a whole, and that of technology and ideas;
ing that through a managed the individual directors, Local Communities - engag-
and effective process, board including the chief executive ing in dialogue with relevant
appointments are made that officer; community representative
provide a mix of directors, Risk Management - identify- organisations and seeking to
each of whom is able to add ing key business risk areas contribute to long-term devel-
value; including technology and opment;
Checks and Balances - performance indicators of the Government - engaging in
ensuring that no one person business enterprise and moni- open and constructive dia-
or block of persons has unfet- toring these factors; and logue to improve the policy
tered power and that there is Disclosure - proving share- and practice environment for
an appropriate balance of holders and markets with business and to assist govern-
power and authority on the necessary and timely infor- ment to foster corporate citi-
board which is, inter alia, mation material to the com- zenship in the business com-
usually reflected by separat- pany's performance and risks. munity; and
ing the roles of chief execu- Civil Society - engaging with
tive officer and chairman, or 3. Relationships civil society organisations on
by having a balance between The company will seek to develop a basis of respect, and within
executive and non-executive and maintain strong relationships a framework in which both
directors; with its stakeholders and commu- sides are committed to be
Management - appointing the nicate effectively with them: open, transparent and
chief executive officer and at Customers - recognising the accountable with respect to
least participating in the primacy of customers to busi- their financial and public sup-
appointment of senior man- ness success; ensuring that port base.
agement, ensuring the moti- product safety, effectiveness
vation and protection of intel- and value are maximised; 4. Impact
lectual capital intrinsic to the Shareholders - recognising The company will assess and seek
corporation, ensuring that shareholders as the primary to minimise any potential adverse
there is adequate training in stakeholder with a need for a impacts on the environment and
the corporation for manage- good return on investment local communities:
ment and employees, and a and growth in the medium Environment - practicing and
succession plan for senior term; understanding particu- encouraging environmental
management; larly the position of those responsibility and minimising
Strategy - determining the with smaller shareholdings; environmental footprint;
corporation's purpose, values Employees - respecting Consumer Awareness and
and strategy, and implement- employees; treating them fair- Product Impact - raising
ing its values in order to ly and with cultural sensitivi- awareness of consumers
ensure that it survives and ty; enabling them to develop regarding contents, safe use,
thrives, and ensuring that their potential through skill and disposal of products;
procedures and practices are and technology transfer; Building Capacity - working
in place that protect the cor- recognising employees' con- to build capacity in dealings
poration's assets and reputa- tribution to company success; with host, local, and national
tion; recognising international communities; and
Monitoring - monitoring and agreements on the right to Impact on Other Species -
evaluating the implementa- freedom of association and recognising and limiting neg-
tion of strategies, policies, collective bargaining; elimi- ative impacts on other
management performance cri- nating all forms of forced species.
teria, and business plans; labour; dealing with the prob-
Evaluation - regularly lem of child labour;
reviewing processes and pro- Suppliers - conducting rela-
cedures to ensure the effec- tionships fairly; disseminat- About the Writer
tiveness of its internal sys- ing information on corporate
tems of control, so that its citizenship to them; assisting Arif Zaman is Adviser,
Commonwealth Business
decision-making capability them to achieve continued Council (CBC), and also serves
and the accuracy of its report- improvement against agreed as Principal Consultant at the
Reputation Institute and Visiting
ing and financial results are codes of practice in areas Tutor at the Henley Business School.
maintained at a high level at such as health and safety,

tbl jan-feb 09 35
what's happening

Government of Sindh said Now there is a pressing need for


Prevention & that the Government is taking
this matter seriously, on a pri-
employers and employees to
make joint efforts to address this
Elimination of ority basis and has formed a
special ministry in the
issue. This was not possible a few
decades ago. It is mostly due to
bonded labour: province of Sindh on this
issue.
the efforts of Pakistan Workers'
Federation that currently there is
Seminar There is a need to address the
matter of rehabilitation of
very little bonded labour in the
Industrial Sector, claimed

T
here are 20 million bonded bonded labourers and Mr. Mohammad Ahmed,
labourers in Pakistan out of engagement of bonded Chairman of Pakistan Workers'
which 7.5 million are chil- labourers in other jobs to pre- Federation.
dren. The main reasons why vent them from being consid-
bonded labour exists in Pakistan ered unskilled labour and Mr. Fasihul Karim Siddiqui,
include: social exclusion, poverty, returning to work similar to Convener of the Bonded Labour
lack of education, existence of feu- that which they were released Project, emphasized that in their
dal or other hierarchically struc- from. HR manuals, HR Managers must
tured agricultural systems, lack of The media must also play an include specific corporate policies
political will for effective social active role in creating aware- against the use of bonded and
change, ineffective enforcement of ness of bonded labour-related child labour.
policies, and perhaps most dis- issue including how civil
turbingly, the desire for and liber- society can play an active part Mr. S. Sohail Sajjad, Project
al use of cheap labour, states Mr. in its elimination. Assistant for Prevention &
Rana Asif Habib, President, The focus must include street Elimination of bonded labour in
Initiator Human Development children as well who are also Pakistan added that we are living
Foundation. a part of the bonded labour in this age of so-called
and are in the worst condi- 'Enlightened Moderate
The 5th National Seminar on tions of life. Civilization'. If we do not elimi-
Prevention and Elimination of nate the regressive phenomenon
bonded labour in Pakistan high- Held under the EFP/ILO spon- of bonded labour, we can consid-
lighted key issues about bonded sored PEBLIP project in er ourselves living in the 'Dark
labour in Pakistan: December, 2008, Karachi, the Ages'.
Stakeholders need to be active audience shared recom-
aware of the seriousness of
this issue, the relevant laws
mendations regarding challenges
and strategies for fair labour prac- National
and legislations and its
impact on them.
tices. Including the pressing need
to understand and implement the Industrial
The Vigilance Committees are
not performing well and need
complete guidance manual that
can be found in Pakistan's Islamic Relations
significant improvement.
They must actively perform
heritage.
Conference
their roles and should be In order to have a direct impact

L
required to make proper on the general public, it is impor- ocal entrepreneurs and
checks and balances on those tant to sensitize political leader- industrialists can increase
practicing potentially bonded ship, including Ulemas on the their productivity by 50 per-
labour. issue of bonded labour to create cent if they employ the right per-
A representative from the awareness, said Mr. Saifullah son for the right job, Dr. Ishrat
Directorate of Labour, Chaudhry, from the International Hussain, Former Governor State
Labour Organization (ILO). Bank of Pakistan & Director IBA
said at the National Industrial
Relations Conference.

Pakistan has great potential and


its businessmen and industrialists
have the ability to do the best by
running their businesses in a truly
professional manner. Human
Resource Management (HRM)
must be strongly developed in all

36 www.tbl.com.pk
sectors. And proper employee-job Every session will have an
fit evaluations must be conducted, Corporate extended Q&A session that will
as is often the case with multi- allow participants to effectively
national companies. Summit on engage with climate change
experts.
The Prime Minister in his first Climate Change
address to the National Assembly For more information about

L
stated that all labour laws of the EAD Pakistan is organizing Corporate Summit on Climate
country will be made in conformi- - for the first time in Change, visit:
ty with the International Labour Pakistan - a Corporate http://www.lead.org.pk/cscc/
Conventions, stated Mr. Malik Summit on Climate Change on
Asif Hayat, Federal Secretary February 19, 2009 in Karachi,
Labour and Manpower. Pakistan. The Corporate Summit Compiled by Rutaba Ahmed
will be an exclusive event aimed
Furthermore, the Government has at increasing the involvement of
developed a strategy for the corporations in Pakistan on the
revival of the economy, with the crucial issue of climate change
objective to generate economic and will provide a unique oppor-
activity in the country to help tunity to discuss climate change
uplift economic conditions of
workers. A harmonious profes-
sional relationship between the
concerns by providing a common
platform to share knowledge,
experiences, and best practices.
“ Not long ago the
concerns of ecologists
were as irrelevant to
workers and employers is essen-
tial for promoting productivity, The Summit will bring together business planners as
competition and growth in indus- corporate leaders who are con-
try as well as for working cerned about climate change and those of ethicists are
towards fair wages and job securi- its impacts. This includes CEO's today. "Green" has
ty. of corporations, managing direc-
tors and general managers, corpo- gone from being a
The International Labour rate social responsibility special- disparagement to
Organization (ILO) reinforced the ists, climate change specialists etc.
importance of dialogue between The speakers at the summit becoming a badge
the government, employers and include Dr. Adil Najam (profes- that no smart
workers' organizations. This is sor, Boston University, USA) and
instrumental to fostering social Dr. Harish Jeswani (Manchester
company would risk
and economic progress in the University, UK) to name a few. being without. Ethics
country and to promoting social
justice and welfare. Employers' The summit programming will
are similarly en route
and workers' representatives can consist of presentations on climate to becoming a
also play a crucial role in guiding change and corporations in
labour related policies and pro-
grammes, said Mr. Donglin Li,
Country Director, ILO.
Pakistan, case study presentations
by selected corporations to share
their work on climate change,
strategic imperative.
- John Dalla Costa,
Ethical Imperative

sessions on Energy, Water,
In Pakistan, ILO has been imple- Disasters, Health, Forestry,
menting its Decent Work Country Agriculture and Natural Resource
Programme in close collaboration management, Gala dinner and
with its tripartite constituents. lots more.
Currently, there are 100 staff
members working with ILO
offices. There are 15 ongoing
projects with a combined budget
of $ 33 million.
Attendees will gain valuable
insight on strategies and practices
adopted by corporations around
the world and ways by which
“ The best chapters
in our economic
history are those that
both business and climate change
Organized by Employers' objectives can be achieved. There
embrace the many,
Federation of Pakistan (EFP) and
ILO on January 14, 2009, Karachi,
the Conference also distributed
Industrial Relations Awards.
will be significant networking
opportunity enabling one-to-one
interactions for informal partner-
ships and knowledge sharing.
not the few.
- David Cameron, ”
British Conservative Party Leader
World Economic Forum, Davos

tbl jan-feb 09 37
CSR Reflections
on Davos
Davos Day 1
(January 28, 2009)
It's fair to say that if you're prone
to depression, Davos is not a
good place to be this year. Not
only is the economic outlook
gloomier than ever, but it is also Overview of the session 'Lessons from the Financial Crisis - Time for a New Rule Book?' at the
snowing heavily "thus forcing Annual Meeting 2009 of the World Economic Forum in Davos, Switzerland.

everybody to dress in silly boots


and bear-like coats that automati- 4. Trust Davos Day 2
cally strip even 'masters of the Companies are viewed as less (January 30, 2009)
universe' of a bit of their dignity", trustworthy than a year ago and A year after Bill Gates famously
as BBC Radio 4 Today pro- consumers want governments to called for a new model of "cre-
gramme presenter Evan Davis play a greater role in business, ative capitalism" at Davos, it
noted. according to a poll by Edelman. seems that business (especially
"Business really has to work its the banks) took him a bit too liter-
So what have we learned so far? way back. It has to re-earn the ally. Of course, Gates didn't mean
Here are 5 points to note: trust of its broad sets of con- creative loans and hedge fund
stituents," says CEO Richard activities, but his speech stands in
1. Growth Edelman. "I think we have moved stark contrast to this year's "crisis
The IMF is expecting the global from a shareholder society to a capitalism" mood.
growth rate for 2009 to fall to 0.5 stakeholder society, and that has
percent, meaning growth per massive implications." Despite Tony Blair's reassurances
capita will be negative. The issue that "the free enterprise system
of resilience is key. For example, 5. Charity has not failed, the financial sys-
Rahul Bajaj, chairman of Indian South African Finance Minister tem has failed", the most consis-
car manufacturer Bajaj Auto, says Trevor Manuel notes that over- tent refrain echoing through the
India's domestic demand has seas development aid to Africa is chilly corridors of the World
made it more resilient than many suffering: "Already, we are some Economic Forum on Day 2 was
countries. Should this be part of $240bn (£167bn) short of the com- that capitalism needs bringing
nations' responsible competitive- mitments made at [the 2005 G8 back into line. The adolescent
ness strategies in future? summit in] Gleneagles." Surely, years of free market rebels with-
we can expect corporate philan- out a cause are over.
2. Jobs thropy to suffer in equal meas-
The ILO says as many as 51 mil- ure? On Day 1, all eyes seemed to be
lion jobs worldwide could be lost on the bankers. On Day 2, the
this year, pushing the world's I think WEF founder, Klaus stakes were raised and the US
unemployment rate to 7.1 percent Schwab, best sums up the chal- was in the spotlight. A number of
by the end of 2009, compared lenge we face: "We have now a delegates were talking about the
with 6.0 percent in 2008. Could it mass crash and we have to figure failure of US-led capitalism and
be that the biggest CSR issue in out first how we help those even Bill Clinton was nodding.
2009 will be around job retention injured by it. Secondly, we have When asked about Wen Jiabao's
and responsible approaches to to find out what rules we need for thinly veiled criticism of America
redundancy? the future in order to avoid this over the crisis, he said: "The
happening again." Chinese premier was right: It all
3. Speculation started in the United States."
Stephen Schwarzman, chairman Finally, former UN Secretary-
of the leading private equity com- General, Kofi Annan, continues to Somewhat incongruously, Valerie
pany, the Blackstone Group, says be the conscience of the world, Jarrett, speaking as President
that 40 percent of the world's when he says: "We need to ensure Obama's representative in Davos,
wealth was destroyed in last five the poorest in the planet - who told delegates that his message
quarters. "It is an almost incom- will be hardest hit by the financial can be conveyed in one word:
prehensible number," he says. crisis - are not forgotten." "responsibility". That's encourag-
"Business will be very different." ing but not terribly helpful. What

38 www.tbl.com.pk
does it mean? Maybe the test will of year-end talks on a new climate
literally be "the ability to respond" treaty that he will host in
by policians and CEOs. Too little
too late some say, but watch this
space.
“ We need to
ensure the poorest
Copenhagen. Ironically, the
worldwide economic collapse
may be good news for the climate,
in the planet - at least in the short term.
One place to start, according to a Remember how Russia's emis-
WEF report is clean energy
who will be hardest sions went into freefall along with
investment, which they claim hit by the their economy in the early 1990s?
needs to more than triple to
$515bn (£360bn) a year to stop
financial crisis - The messages out of Africa were
greenhouse gas emissions reach-
ing levels deemed unsustainable
by scientists.
are not forgotten.
- Kofi Annan
” sadly familiar, but no less true:
Kenyan Prime Minister Raila
Odinga criticised Zimabwe's
Former UN Secretary-General Robert Mugabe for allowing 3,000
At a corporate level, at least one people to die of cholera and
good news story of response-abili- to be distributed "more equally". African leaders for not taking a
ty emerged. US firm Tupperware unified stand against him. He
Brands Corp said it is unlikely to Most of the talk and twitter on admitted that corruption on the
lay off staff or cut costs. Chief Day 3 was about protectionism - continent must be reigned in, but
executive Rick Goings admon- dire warnings that this is so too must Western companies
ished that "the last thing to cut is precisely what led to the Great exploiting Africa's resources.
your talent." Let's hope other Depression in the 1930s and
CEOs are listening, although I tut-tutting by German Chancellor Amazingly, there were still a few
seriously doubt it. Merkel about America's brave, intrepid banking honchos
auto-industry bale-out, which is pleading the financial industry's
The annual Philanthropic Lunch, Protectionism with a big P - case. HSBC chairman Stephen
with its predictable crowd of Bill- protectionism of the $25 billion Green said that banks must not be
spotters (including the Gates and variety. "demonized" over the financial
Clinton varieties), seems to me a crisis. "Banks have clearly done
bit like a doing a band-aid dance They may be right, but this is a bit things wrong. Some of the prac-
at a chainsaw massacre party. At of a tough sell on a world still tices did not contribute, by any
least it produced a pearl from fighting the runaway fires of reasonable standards, to human
Gates - philanthropy is fun and neoliberal capitalism. What's welfare."
fulfilling! Well, if anyone would more, it is precisely managed
know, its the world's biggest phil- protectionism that has helped Thanks for the apology, Steve, but
anthropist ever, right? sustain China's rise to prosperity, you won't get off the naughty-
while neither America nor Europe step that easily! Besides, if I'm not
Then again, wouldn't it be better has been prepared to forfeit their wrong, most of your mates are
to improve capitalism as a system, perverse agricultural or fossil fuel now working for the politicians.
so that we don't need to rely so subsidies. So we'll let you know how we feel
much on uber-philanthropists' about the banks - demonic or oth-
need for a warm-fuzzy endor- But before I head off on a tan- erwise - when next we place our
phine fix? Why don't we give gent...the day was not totally democratic votes.
responsible capitalism a try first, devoid of CSR-related themes.
and then we can talk about some- Al Gore was seen looking much Which makes me wonder ... could
thing a bit more creative after cheerier than usual, assuring us we be witnessing a shift from CSR
that? How about it - do we have a that Obama's commitment to a to CNR - from corporate social
deal, Bill? post-Kyoto deal on climate responsibility to corporate nation-
change is real. Let's hope Obama al responsibility?
Davos Day 3 gets further with his good inten-
The Conservative party leader, tions than Gore did during his About the Writer
David Cameron, revived yester- term as Vice President.
day's "quest for a new capitalism" Wayne Visser is Founder and
CEO of CSR International
theme, calling for "capitalism with Denmark's Prime Minister, (www.csrinternational.org). In
a conscience". Cameron urged Anders Fogh Rasmussen, politely addition, he is Internal
Examiner at the University of
businesses not to ignore the inter- asked rich and poor countries Cambridge Programme for Industry, where he
ests of society in the pursuit of alike to commit to big cuts in previously held positions as Research Director
and External Examiner.
profits, saying it's time for wealth greenhouse gas emissions, ahead

tbl jan-feb 09 39
triple bottom-line reporting

beyond accounting
assessing the impact of sustainability
reporting on tomorrow's business

by tony manwaring & richard spencer

“ Business has an extraordinary capacity to deliver


practical solutions. Tomorrow's Global Company:
Challenges and Choices argues that future commercial
success must go hand in hand with tackling our shared
challenges, such as environmental degradation, poverty
and abuse of human rights.
” Tony Manwaring
Chief Executive, Tomorrow's Company

W
e manage what we measure (and report) - it's a
truism, but no less valid for that. We believe that
the time is now right to ask whether we have
been measuring the right things in the right way and
communicating them appropriately to the right people.

As we face profound challenges for people, profit and


planet alike, our need for an effective and 'fit for purpose'
compass to plot a sustainable and successful course for the
future has never been more urgent or important.

By far the most currently developed approaches to reflect-


ing the triple bottom line (economic, social, and environ-
mental) are the many frameworks and guidelines that
companies use to report on their sustainability activities.
For example, the Global Reporting Initiative, the UN
Global Compact, and AccountAbility. Such frameworks
enable benchmarking and can build understanding. Often
this process is initially undertaken internally and later
applied to external reporting. However, it is intended to
create a platform for dialogue with stakeholders, and then
seeks to influence behaviours and decisions for mutual
benefit.

40 www.tbl.com.pk
The Institute of Chartered Accountants in England performance by sustainability reporting to date and
and Wales (ICAEW) and Tomorrow's Company so far it is unclear what impact it has actually had on
have launched a project on the review of organization strategies, practices and outcomes.
sustainability reporting frameworks and guidelines. Many questions exist. What should a 'responsible'
These 'frameworks' provide what is currently the organization be expected to do (and not do)? What
most developed approach for companies to reflect is 'sustainable' organization practice? Which
what are commonly described as the non-financial measures should organizations really be worried
impacts of business. However, these impacts often about? Is the GRI framework a desirable global
have significant costs as well as benefits. Taking standard? Which organizations are performing well
them into account in mainstream business and in nonfinancial areas? Can we trust what organi-
investment decision-making is, therefore, central to zations say about their performance?" states Graham
our shared interest in exploring how best to in his paper.
'redefine success'.
Graham's Paper provides a background to the cur-
This review of sustainability reporting frameworks rent state of sustainability reporting. It briefly covers
and guidance is set in the context of the major the development of sustainability reporting. It con-
programme of collaboration that ICAEW and siders approaches to sustainability reporting and the
Tomorrow's Company have jointly undertaken - models of reporting that have emerged.
working with many others, including Pavan
Sukhdev and his colleagues from the Green Indian Graham’s paper also considers general issues which
States Trust (GIST), TEEB (The Economics of arise from the measurement problems in the field.
Ecosystems and Biodiversity), and the UNEP Green Finally, it proposes plans for research which is pro-
Economy Initiative - to explore how businesses can posed to address these issues.
most effectively measure and communicate their
impact on society and the environment.
Note
Society is increasingly demanding that businesses
take account of their impacts but also recognises that This note has been tailored for tbl with permission from the authors
they have a strong positive role to play as well. Mr. Tony Manwaring, Chief Executive, Tomorrow's Company and
Mr. Richard Spencer, Manager Corporate Responsibility, ICAEW.
Business, society and the environment are inextrica-
To read the complete paper by Mr. Graham Hubbard, visit:
bly linked and inter-dependent for their survival <http://www.forceforgood.com/Uploaded_Content/tool/
and must be held in balance. 512009152850944.pdf>

For further information on this joint project, visit


www.forceforgood.com and www.tomorrowscompany.com
Equally, as we see the first shoots of the new Green
Economy bursting through - given renewed impetus
by the election of a US President committed to the
sustainability agenda - we see challenges as well as
extraordinary opportunities opening up to create
value through sustainability. Yet, at this time of
financial instability it would be very disappointing
to see companies draw back from confronting the
challenges of sustainability and from what has
already been achieved. “ Corporate social responsibility
is not just about managing,
The combined pressures of recession and growing reducing and avoiding risk,
population means that businesses have not only to
think of making their operations more efficient (that
it is about creating
is, cost cutting and carrying out their core business opportunities, generating
more effectively) but also to consider what sustain-
ability means for their business strategy. improved performance,
making money and
In this regard, Graham Hubbard, Professor of
Strategic Management, University of Adelaide, leaving the risks
Australia has written a paper 'Beyond Accounting -
assessing the impact of sustainability reporting on
tomorrow's business'. While many frameworks have
been developed for sustainability reporting, few
far behind.
Sunil Misser,

have received much general traction. Limited light Head of Global Sustainability Practice,
PwC
has actually been cast on organizational

tbl jan-feb 09 41
crossword

CROSSWORD
Across
1. Partnering with others for vested interests
5. Theme of 2008's last issue
6. tbl is not a magazine, but a ________
7. The friendliest bottom-line has to do with
________
9. As opposed to cacophonic collaboration
11. 'The next green' (model from tbl issue 2's
toolkit)
13. The kind of CSR that is not like likely to survive
crises
16. The fourth 'p' in public private partnerships
(from tbl's first-ever interview)
19. _______ in crime
20. A merging of efforts or interests by persons

Down
2. Without a view grounded in this, there ain't no
CSR, baby
3. Of coffee, of chocolate, of CSR
4. The number of provinces Pakistan has,
multiplied by the number of bottom-lines tbl
has
8. The bottom-line that is best for the air we
breathe
10. The capital of Pakistan
12. tbl's last survey report explored this HR issue
14. We save some, we spend some - the bottom, bot-
tom-line
15. The kind of energy cross-company CSR builds
17. _______ republic of Pakistan
18. Something that shatters the status quo, with crit-
ical negative change

tbl Issue 6 Crossword Hints


Across
1. What it's all about! At least in the world of tbl
2. If I was as strong as your ability to account, your organization would exist
at a higher plane altogether
4. This tbl issue's current thematic focus!
6. Not the indecent kind. Just so public knows what you've been up to in
areas that do happen to concern them
8. Do we really need all that talking?
11. An official raid on your company's existence
13. The skewed concept that ever-expanding consumption of material goods is
advantageous to - anything at all under the sun?
15. A system of values we all like to think we live by
16. Not the kind from a fresh green apple, but the one the world's in right now
17. Without these, how would we know we had quantifiable success?

Down
1. Think of them as one among a group of many stakeholders, but those that
happen to hold the strings to some of your purses
3. The spirit of which is what keeps all economies fuelled
5. More with less (this was part of tbl's third issue's title)
7. This sometimes translates into unbridled profiteering, if there isn't a robust
governance mechanism in place
9. If you take me literally, your attire might be rather objectionable but with-
out me, governance doesn't mean anything to the public
10. If you're on the cutting edge, you're bound to have some up your sleeve
12. By the bureaucracy, for the common people
Think you got it? Tell us at feedforward@tbl.com.pk 14. One who muses in tbl
and see what surprises we have in store for you!

42 www.tbl.com.pk
on the lighter side

The Eco-friendly Daily News, in its Crime section, died last January in 2008, the
reports the story of a woman, wealthy pair then paid a biotech
Family Shelia Bolar, 49, who apparently firm £108,000 to create Lancelot

A
n eco-friendly family have bit the driver of the bus she was Encore.
reduced their household riding on because she was upset.
waste so much they have Why was she so mad? Because BioArts CEO Lou Hawthorne
only filled one bin - in six months. the bus wasn't a hybrid! teamed with Dr Hwang Woo-suk,
The Strauss throw away an aver- a scientist with South Korea's
age of just 100g of litter every "She came on the bus, and she Sooam Biotech Research
week - enough to fit in the palm said she waited more than an Foundation, to produce the dog.
of a hand. They do not buy any- hour for a hybrid," said MTA
thing with packaging, recycle driver Peter Williams, 42. "I said, To create Lancelot Encore, Woo-
everything they can, compost all 'I'm not in control of what bus is suk took an egg from what
their leftover food, and buy veg- assigned to me.'" Hawthorne called 'an indigenous
etables direct from local farmers. Korean dog' resembling a blood-
The family even take their own From this we can conclude that hound, replaced the egg's innards
containers to their butcher to col- she only rides in hybrid buses, with the late Lancelot's DNA,
lect meat so they do not use any and when none showed up she then implanted the egg in a sec-
packaging or plastic. got frustrated. Once inside the ond Korean dog.
bus, she started hollering at the
Even over Christmas - when the driver and when she was done Two months later, Lancelot
average family threw out an extra ranting she bit him through "a Encore was born in South Korea,
five bags of rubbish - the Strauss jacket, a sweater and a thick shirt, weighing 1lb 3oz. The Ottos say
family threw away just 78g of lit- causing a bruise and swelling but he's the first single-birth, commer-
ter. They saved their wrapping not breaking skin." cially cloned puppy in the United
paper from previous years, took States.
their Christmas cards to recycling Bolar now faces assault charges
plants and made 'zero-waste' and will undergo a psychiatric A researcher holds two cloned
crackers out of loo roll tubes, evaluation. The moral of this beagle puppies named as 'Magic'
according to news story pub- story? Crazy in the name of any and 'Stem' at the South Korean
lished on Mail Online in January cause, even green, is still crazy. If biotech firm, RNL Bio. They said
2009. you want to ride only in hybrid a new method could slash the cost
buses, that's fine (though kind of of cloning pets. RNL Bio said it
Rachelle and husband Richard, pointless since all the buses keep has developed a new method to
who have a seven-year-old driving around whether you are clone dogs using stem cells
daughter Verona, started recy- inside them or not), but please derived from fat tissue that great-
cling last March by cutting back don't bite anyone! ly increases the likelihood of suc-
on their use of plastic. Rachelle cess.
has now set herself the target of
throwing out just ONE binful of According to chief executive Ra
rubbish in the whole of 2009. First Cloned Dog Jeongchan, two cloned beagle
Richard added: "When we started puppies were born in the past
this I pledged not to take another
Raises Issues of week using this method, which
plastic bag from a supermarket Ethics, Science could reduce the cost of cloning a

A
and I haven't. We just try to buy n American couple were pet dog to about £35,000 within
food packaged with recyclable or so distraught at the three years.
reusable materials. We're plan- prospect of losing their pet
ning to go a full year creating the Labrador that they decided to pay While some see canine cloning as
minimum amount of waste and £100,000 to clone him. Edgar and assisting efforts to understand
hopefully this will amount to no Nina Otto decided to have DNA human stem cells, others
more than one bin." samples of their pooch Sir denounce it. "Dogs are man's best
Lancelot frozen six years ago, friend and have a special place in
after he was diagnosed with can- most cultures," says Executive
cer. Director of the Genetics Policy
Hybrid Buses Only Institute, Bernard Siege.
Please The £100,000 pooch, Lancelot

G
oing green was a cause Encore was created from cryo-
she could really sink her genically frozen DNA of the
teeth into. The New York Otto's dog Sir Lancelot. After he Compiled by Rutaba Ahmed

tbl jan-feb 09 43
musings

any takers?
by praetor
for tbl

M
y view on CSR is rather self-centric. What is profits are coming out of your ears, reduce your
in it for me? Are all the millions the corpo- prices for a change. It's the best public relations you
rate sector is pouring into CSR program- can do!
ming making my life better? Do companies under-
stand how my life can get better? I don't think so. Then I also get stressed when I buy a product and
Because if they did, I wouldn't be stressed and some of the critical text on the packaging or
hyper-ventilating all the time because of what accompanying leaflet is in a font size that can only
companies do to me. Perhaps unknowingly at times, be read by using a magnifying glass. Which you will
I grant you that. But nevertheless its time they admit is not something you keep within arm's reach
understood what the first tenet of corporate social all the time as you go through life. Or perhaps you
responsibility should be. And that is simply, do not are expected to have the vision of an eagle that can
stress your consumer. Or for that matter anyone see a field rat on the ground as large as a football
falling within the rather amorphous definition of a from several hundred feet up in the air. So what is
stakeholder. So what am I talking about here? the miniscule lettering if not a deliberate attempt to
stress me out? Just make me give up in sheer hope-
I get stressed when I dial a corporate number and a lessness. I am not sure what is worse; trying to read
machine comes on, mechanically instructing me instructions or warnings in font size 2 or being bla-
what to do to solve any one of half a dozen possible tantly insulted in this way. See we did tell you what
problems, by pressing a magic digit. I get stressed can go wrong but you didn't read the instructions
because I am a human being and when I have a carefully! Not funny.
problem I want to talk to a human being. Whoever
came up with automated answering should be held And what about all the companies whose CSR
responsible for a crime against humanity. I mean strategies do not have any cross reference to their
really, how much does it cost to have a few advertising? Shouldn't it again be a fundamental
educated young people with great peoples skills as CSR principle not to take me for a fool and thrust
they are called, to answer calls? misleading advertising down my throat? Deliberate,
pre-meditated hustling, no less, if you ask me. Why
I get stressed when I see the mind-boggling profit not just tell me the truth and let me still buy their
figures in annual reports and wonder why some of products because I appreciate their honesty? Stress.
these cannot be passed onto me and to other Stress. Stress.
consumers in terms of lower prices when it has
become impossible to make ends meet in these So do I have any takers for my version of corporate
costly times? Hey, isn't this corporate social social responsibility? One thing I can tell you for
responsibility? I don't know about you, but I get my sure. Re-think your CSR on these lines and you will
salary on the first of the month and it's all gone by do yourself a big favour. Because in essence what
the fifth. Used to be the tenth in what seem now to you will be doing will be creating 'sustainable'
be the good old days. So dear corporate, do me a consumers. Praetor has given you a new insight. Act
favour if you want to be socially responsible. If on it.

44 www.tbl.com.pk

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