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<ul><li> 1. Objective Exchange experience on developing a strategyfor business engagement Provide practical examples of how business Engaging Business forand conservation communities are engaging todeliver conservation outcomesConservation Explain how to develop partnerships that aremutually beneficial and enhance brand value ofboth organizations How to communicate and train business onConservation Campus #142ecosystems 11 September 2012Agenda1. Welcome and introduction2. Risk and Opportunities of engaging business Engaging Business for3. Business Engagement in pg g practiceCo se at oConservation: Risks a ds s and4. Create sustainable brand value for businessOpportunities Gerard Bos, Head Global Business5. Training business on ecosystemsand Biodiversity Programme, IUCN September 2012OverviewMatching goals Matching conservation Key factors for success:and business goalsUnderstanding your added value Developing a strategy Organizational assetsfor business Value Propositionengagement g g What you can do Selecting a businessUnderstanding the businesspartner Business impacts and dependencies Formalizing the Opportunities for business in conservationengagement What the business can doIdentify shared and added value Figure 1 Steps in IUCN Operational Guidelines for Private Sector Engagement 1</li></ul><p> 2. Developing a strategyDeveloping a strategyWhy a Why a Strategy? To ensure that engagements are ameans to a wider conservation goal. To protect yourStrategy? reputation. To ensure effective use of (generallyscarce) resources.How toHow to develop a Strategy? It depends on your typeof organization: If membership-based, you will need todevelop a pengage in consultations with your members Even if members.Strategy? not, involve those who will work with business as wellas business entities. Ensure that the Strategy is in line,builds on and supports your main conservationprogramme.How to use aHow to use a Strategy? It should be your compassStrategy? in selecting projects and partners. Not a replacementfor detailed project concepts or workplans. IUCN StrategyKey elements of a strategy IUCNs first strategy was issued in 2004 Clear aims, objectives The IUCN Council requested a new Strategy in 2011The IUCN Business Engagement strategy aims to encourage A first concept was developed with members of thetransformational and demonstrable changes at the company Council and used to request input from IUCNand sectoral level in how biodiversity is valued and managed Members, Councillors and partners (mostlyby businesses in order to conserve and restore biodiversity businesses)and to ensure that biodiversity benefits are shared equitably. With the input received a small design team drafted received,Purpose: version 1 which was subsequently revised by theTo provide IUCN with a coherent Council and discussed during a workshopframework for influencing the The final Strategy was approved by Council in Aprilbusiness sector, a clear reference 2012 point as to the level of ambitionexpected from the business The strategy builds on IUCN quadrennial programmeengagements, and a consistent as well as on past experiences working with business approach to the management ofreputational risks and qualityassurance. Key elements of a strategy Key elements of a strategyClear implementation strategy Well defined theory of change Engage with a few selected IUCNs BES has three interconnected entry-points, allleaders in priority sectors to linked to one central objective: business practices at thedevelop or adapt, field test and landscape and seascape level are transformed to generatepilot tools and approaches. benefits for biodiversity and natural resource-dependent livelihoods. Building on best practices,work with a group of companiesEntry Point 1: Triggering changes within selected sectors andon the ground industry associations to develop,adopt and promote voluntaryEntry Point 2: Leveraging supplystandards.chains Directly engage with publicpolicy and the financialEntry Point 3: Influencing public &amp; sector to promote afinancial policiesprogressive and level playingfield in terms of regulations andfinance. 2 3. Selecting a business partnerDue Diligence Developing an engagement concept (what are A step to enable informed decisions on how tothe conservation challenges that can be progress discussions with businessaddressed through an engagement with Allows a better understanding of the businessbusiness?)and its operations Assessing potential business partners Identifies any past, present, and predictableo Is the company well placed to help deliver thefuture sources of risk to the organization arisingconcept? Are they committed to a step change? from an engagement with the businesso Are there shared goals and opportunities to add Helps identify opportunities of engaging andvalue?potential areas of joint work Performing a due diligence to identify possiblesources of risk &amp; opportunities Preparing a risk management strategyWhich companyshould we work with?What should be included?Risk and Opportunity Matrix1. Scope2. Company description3. Company impact on biodiversity and ecosystem services4. Social and environmental policies, standards and public commitments5. Environmental and social performance6. Company reputation7. Initial assessment of the companys commitment to corporate responsibility The position of the red dot will move8. Overview of potential risks on answering the questions according9. Indications of points that could be further to the risk and opportunities of investigatedResults in the tables above are engaging a given company generated by answering the risk and opportunity questionsFormalizing the engagementA good contract includes Develop a project concept which includes: SMART (Specific, Measurable, Achievable, Aim and objectivesRealistic and Time-bound) results Key areas of cooperation Roles and responsibilities for realizing results Expected outcomes and how they will contribute to Capacity and resource requirements on bothyour conservation goals sides Formalize the engagement through an Indicators for monitoring and measuringappropriate mechanism (i th i(e.g. MMemorandum ofdfperformance,performance progress and resultsUnderstanding, Contract, Agreement, etc.) A clause that allows public communicationregarding any issues which may or may not Ensure transparent and regular communicationinvolve the business entitywith your constituency during entire process A process for addressing breach of contract A termination clause How do we A mechanism for raising grievances from thirdformalize partiesour engagement? An independent final evaluation 3 4. Top Tips Resources for more information Be transparent Work with the business from the beginning andIUCN Business engagement Strategythroughout the project (dont treat them likehttp://data.iucn.org/dbtw-wpd/edocs/Rep-donors!) 2012-001.pdf Conduct a situation analysis what are theimpacts and dependencies? Assess the Operational Guidelines for Private Sectoradditionality? additionality ? Engagement Assess and manage your risks http://cmsdata.iucn.org/downloads/ps_20g Aim at establishing true partnerships ensure uidelines.pdfthat there are mutual benefits from workingtogether Global Business and Biodiversity Celebrate successProgramme Communicate throughout http://www.iucn.org/businessThank you!Kamsa hamnida! www.iucn.org/congress 4 5. To cover today Strategic rationale for Ecolaboration AAA: our unique approach to sourcinghigh quality coffee and cocoa ECOLABORATION Club member engagement and Review 2012 - outlook 2013 stakeholder management Tuesday 11 September 2012 Outlook 2013 and beyond P2Ecolaboration: Strategic rationaleEcolaboration: part of the Nestle CSVNespressos innovative program is not driven by charity but by creating value Integrating Nestle CSV approach into the Michael Porter Nespresso modelProfessor of Business Strategy Harvard Business school Securing access to and smart use of resources Adding value to the Nespresso brand A good example of such new procurement thinking can be found atMichael Porter at the Third Nespresso AAA Nespresso, one of Nestls fastest Sustainable Quality Forumgrowing divisionsP3 P4Ecolaboration: securing access to and Ecolaboration: adding value to thesmart use of resources Nespresso brand Using Ecolaboration to61%Vs 2013 commitment of 80% protect the company -16%Vs 2013 commitment of -20% reputation amongSecuring key opinion reputation leaders, leaders activists and media Buildingtrust UsingEcolaboration toconvince club 74%Vs 2013 commitmentof 75%members andprospectsP5 P6 1 6. There are 3 main challenges in the specialtyTo cover todaycoffee sector facing Nespresso in particular Strategic rationale for Ecolaboration AAA: our unique approach to sourcing1. Long term supply of qualityhigh quality coffee and cocoa 2. The sustainability challenge Club member engagement and3. Profitability of smallholdersstakeholder management Outlook 2013 and beyond P7P8 The AAA Sustainable Quality ProgramThe AAA Program: a pragmatic approach to responds to these challengessustainable quality in a pragmatic way,with the farmers at the center P9P10The AAA Program: a pragmatic approach to The AAA Program: a pragmatic approach tosustainable qualitysustainable quality P11 P12 2 7. In ten years the program has expanded to On cocoa, the program started in 2009 with50000 farmers in 7 countriesthe objective of all clusters AAA in 2013 Tanzania(2013) GrandsCrus/Variations 50000 S-ASensory :Roundandmildcocoa 50000 farms Today 3500 TasqCoopsofsmallholdersTBD 7 countries 36t/year(Q2 2012)190 agronomists 20 clusters Tradepartner:TBD Mexico200000 Hectares Indonesiabyend2012 1cluster Nicaragua 2 176farms 2clusters 2176 farms 2 l tGrands Crus only GrandsCrusonlyGuatemala94farms Brazil Bahia since 2009Sensory :Strongcocoaandbitter2clusters CostaRica India Grands Crus onlywithgingerbreadaromatics1344farms4clusters 2clusters 3361farms64farms1plantation1400ha Sensory : Strong cocoa and bitter, Colombia 12t/year 4clustersEthiopia with a complex dried fruit and 1cluster(forming)refreshing herbal aromatics Tradepartner:Armajaro 37994farms 2200farms 1 plantation 400 ha Madagascar since 2011Brazil6clusters 12t /year Grands Crus / Variation1798farms Performance RA: DEFICIENT(68% Sensory : Strong acidity, balanced 70000 S-A TASQ incl.5 critical criteria) =&gt; between cocoa and fruity (lemony)certification level by 2015 4 coops =&gt; 120 s/hEnd 2013 70000 farms7000 Tasq Trade partner : EFICO 9t /year Performance RA : Deficient (25% 250 agronomistsTASQ performance incl.7 criticalcriteria )Trade partner : TOUTON P13 P14In 2012, Nespresso will source 66% of its Results: Quality up and rejection downcoffee from AAA and 18% AAA RA A large disparity between Colombia and other countriesMexicoIndia3% 3%Africa 10%Brazil35% Central America21%Colombia28% CoffeeVolumedistribution NumberofAAAFarms P15 P16Results: high rate of farmer satisfactionResults: progress on sustainable agriculture Colombian grower satisfaction with % of coffee sold to Nespresso, % farms complying with specific sustainability initiatives (% satisfied) among AAA growersenvironmental practices Nespresso Corporate web site Percent AAA farmers who return sell theirEnvironmental performance of AAA coffee to Nespressofarms vs. non AAA (out of 100) P17 P183 8. Results: supporting innovation pipelineResults: supporting innovation pipeline P19 P20 We are progressively building credibility withTo cover today stakeholders Strategic rationale for Ecolaboration AAA: our unique approach to sourcinghigh quality coffee and cocoa Stakeholder management and Clubmember engagement Outlook 2013 and beyond P21AAA farmers awarded at the RAP22galaThe Alucycle commitment is building AAA commitment secured reputation duringNespresso credibility on sustainabilitythe Solidar attack P23 P24 4 9. CM awareness of Ecolaboration initiativesWe are progressively building club member drive expertise perception and Net Promoterawareness ScoreYes and I Total Aware of theknowCurrent Ecolaboration exactlyMembers programmwhat it isAwareness 2009 vs. 2011Base 13299 4277 961 Recycling initiative 29% 79% +50pts ST NPS score54% 62%64% AAA program7 9% 7%8% 13% 42% +29pts8 19%17%14% Ecolaboration 9 22%22%21% 9%35% +26pts You would certainly recommend Nespresso 41%46%51% P25 P26TO COVER TODAY Outlook Strategic rationale for Ecolaboration 2013 focus on AAA 10th anniversary to AAA: our unique approach to sourcingfurther build reputation and trusthigh quality coffee and cocoa Achievement of Ecolaboration target Stakeholder management and Club for carbonmember engagement Definition of next phase strategy Outlook 2013 and beyond P27 P28 Using AAA 10th anniversary to engage stakeholders NMagFifth AAAMedia ForumTrip fieldHBRAcademicSantander SymposiumMBAchallengeNMag JuneJulySep DecSecuringreputation TEN YEARS OF NESPRESSO AAA Building March July DectrustSocial mediacampaignSocial mediacampaign Photo Farmers inexhibition EuropeBook P29 5 10. RAINFOREST ALLIANCE Conserving Carbon, EngagingBusinesses for Positive ClimateImpacts in Forestry and AgricultureIUCN World Conservation Congress 2012Conservation Campus 142Jeffrey Hayward, jhayward@ra.org Climate Program Director2009 Rainforest AllianceSeptember 11, 2012, Jeju, Korea2009 Rainforest AllianceVALUE CHAIN APPROACH CapacityMarket BuildingCertificationdevelopment &amp;&amp; &amp; Technical Sustainability Corporate Assistance Standardsengagement Auditing / certification / verificationChain f Ch i of custody -t dMarketing support traceabilityand brandTraining and support for awarenessproducersCorporateengagement producers / processors buyers / exporters / importers distributors / brands / retailers / industry groupsconsumersLAND USE PRACTICES BUSINESS PRACTICESCONSUMER BEHAVIOR2009 Rainforest AllianceBUSINESS COLLABORATIONS Incentivize agricultural adaptation and pmitigation7 1 11. PromoteSupport sustainable credible forestcarbon managementmarkets8 9BUILDING CAPACITY TO ENABLE REDD+WHAT CAN NGOS BRING TOStrengthenBUSINESSES COMMITTED TO international CLIMATE CHANGE ACTION WITHINREDD+framework THEIR SUPPLY CHAINS?1011NGO INFLECTION POINTS BUILDING COMPANY CLIMATE POLICIES POLICY Map out a climate policyCOMMUNICATECOMMUNICATE POLICY Identify climate risks in supply chain VERIFY ASSESS Recommend emission reductions targets Advocate for quality carbon offsets VERIFYASSESSMENTIMPLEMENTIMPLEMENT1213 2 12. ASSESSING BASELINE CONDITIONSIMPLEMENTING ACTIONS ASSESS IMPLEMENT POLICYASSESS Life Cycle Assessment Technical assistance Carbon Footprinting Promote best practice COMMUNICATE IMPLEMENT Needs for technical assistancePOLICY VERIFY Carbon project development Feasibility of mitigation/adaptation Link investors to projectsCOMMUNICATEVERIFY1415VERIFY, MONITOR, REPORTVERIFY, MONITOR, REPORT VERIFY COMMUNICATEIMPLEMENT VERIFY Monitor and evaluate progress Press and social media ASSESSCOMMUNICATE Impact and research Publications IMPLEMENTPOLICY Ensure conformance...</p>


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