20120227_Sustainability - Standards_Santosh Jayaram

7/31/2019 20120227_Sustainability - Standards_Santosh Jayaram

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Santhosh Jayaram

DNV Business Assurance. All rights reserved.

SustainabilityRole of standards


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Sustainability

Niyat, Neeti and Nyaya

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NeetiCodes,

Instruments,Institutions,

Norms

NiyatInner Convictions

Intentions

NyayaJustice Delivered

Adapted from the book, titled The Idea of Justice - Amartya Sen.


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Sustainability

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Its a jungle out there

Guiding principles

Conventions

Codes of Conduct

Management Standards

Labelling Standards

Frameworks for Reporting

Stakeholder Engagement standards

Networks
http://www.ethicaltrade.org/pub/home/welcome/main/index.shtml


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Sustainability

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Guiding principlesTend to be formulated to assist users in

developing policies, strategies andmanagement processes to address theissues relevant to their activities.

Examples:- Global Compact (UN)- Guidelines for Multinational

Enterprises (OECD)- AA1000 AccountAbility Principles

Standard (AccountAbility)- Business Principles for Countering

Bribery (Transparency International)- Human Rights Guidelines forCompanies (Amnesty International)

- Principles of Corporate Governance(OECD)
http://www.fairpensions.org.uk/images/Amnesty%20International%20logo.jpg


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Sustainability

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ConventionsGuiding principles (minimum standards)

developed by a multilateralorganisation, e.g. UN or InternationalLabour Organisation, for ratification bymember states

Encourage global best practice

Examples:- Universal Declaration of Human

Rights (UN)- Convention on the Rights of the

Child (UN)- Core Conventions on Labour

Standards (ILO)- International Covenant on Economic,

Cultural and Social Rights (UN)- Convention on Combating Bribery of

Foreign Public Officials in

International Business Transactions(OECD)


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Sustainability

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Codes of conductProvide a list of commitments,

objectives or performance criteria thatan organisation is expected to achieveif it signs up to the code.

Provide a framework for organisationsto follow.

Often industry-specific

Examples:

- Charter Agreement on LabourPractices (Fair Labor Association)- Rules of Conduct to Combat Extortion

and Bribery (International Chamber ofCommerce)

- Code of Labour Practices for the

Apparel Industries (Clean ClothesCampaign)- The Equator Principles (International

Finance Corporation)- Electronics Industry Code of Conduct


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Sustainability

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Management standardsProvide details of a process to follow to

manage relevant issues.Provide more guidance on the howelement of managing issues rather thanthe what, which is the case with thecodes of conduct and guidingprinciples.

Some provide technique for monitoringand correcting faults in e.g.environmental, health and safetyprocesses

Examples:- ISO 14001 (International Standards

Organisation)- OHSAS 18001 (British Standards

Institute)- SA8000 (Social Accountability

International)- The Ethical Trading Initiative (ETI)- Sustainability Integrated

Guidelines for Management (SIGMA)- Investors in People

- ISO 26000 (but not certifiable)



Sustainability

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Labelling standardsRequire products to meet specific

criteriaAs result, provide the use of a label todemonstrate to consumers that theproduct has been produced in asustainable way

Raises credibility of claims aboutproducts

Helps to focus the producers work withsustainability, e.g. in the supply chain

Examples:- EU Eco-Label Scheme- Fair Trade- Sustainable Fisheries- Sustainable Forestry
http://images.google.no/imgres?imgurl=http://www.superchefblog.com/images/marinestewardship_72dpi360x260pxl.png&imgrefurl=http://www.superchefblog.com/archive/2006_02_01_archive.html&usg=__MLaXIsNq8DaMfMGH9HZqfAROG8Y=&h=260&w=360&sz=10&hl=no&start=1&um=1&tbnid=H9xkyA1Uq1_cHM:&tbnh=87&tbnw=121&prev=/images?q=marine+stewardship&gbv=2&hl=no&sa=N&um=1http://images.google.no/imgres?imgurl=http://www.link2production.com/images/green/FSC-logo.gif&imgrefurl=http://www.link2production.com/links.htm&usg=__E5qP3UFFNVcnt87zfFD3znjnbU8=&h=230&w=230&sz=5&hl=no&start=2&tbnid=BQnKmnHPn_YgqM:&tbnh=108&tbnw=108&prev=/images?q=sustainable+forestry+logo&gbv=2&hl=nohttp://images.google.no/imgres?imgurl=http://keetsa.com/blog/wp-content/uploads/2009/03/fairtrade.jpg&imgrefurl=http://keetsa.com/blog/category/activisim/fair-trade/&usg=__K6QlZKtGAKC_r3vy4MpehWOob1w=&h=345&w=295&sz=32&hl=no&start=2&tbnid=GSzQdswjdbFxyM:&tbnh=120&tbnw=103&prev=/images?q=fair+trade&gbv=2&hl=no



Sustainability

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Frameworks for reporting and verification

Guidance for organisations on external

reporting and verificationPrinciples to ensure greater credibilityand accuracy in reporting

Requirements for providers ofassurance, so also useful for reportingorganisations about externalexpectations to reporting

Examples:- Global Reporting Initiative:

Sustainability Reporting Guidelines(GRI)

- AA1000 Assurance Standard(AccountAbility)

- ISAE3000 (International Federationof Accountants)

- Protocol for Verification ofSustainability Reporting (DNV)



Sustainability

Carbon and Water

On Carbon side, in comparison, itis more evolved- ISO 14064- WBCSD/WRI protocol- UNFCCC- WSA- Voluntary carbon standards- .

On Water front it is evolving- Central Ground Water Board

(Detailed Guidelines forimplementing the ground waterestimation methodology)

- Water foot printing manual.

- ISO 14046 (expected by 2014)- Alliance for Water Stewardship

(AWS) (Expected by 2013)

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Sustainability11

Voluntary Guidelines - MCA



An earthen pot has been chosen as the logo for the ECOMARK scheme in India.



Energy Star Rating

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DNV Business Assurance. All rights reserved.Sustainability

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License

Corporatestrategy

Public concernCorporate

actionsCorporate

profits

Politicalconcern

Non-marketconsequences

Legislation

Marketconsequences

Analystsconcern

Investorbehaviour

License to produce

License to operate

License to grow

License to sell


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Sustainability

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20120227_Sustainability - Standards_Santosh Jayaram