Transcript Adding Value: Enhancing Social Reports through Verification

Social Auditing as
a Learning Process
New Terms of Engagement II
Susan Todd, Solstice Consulting
Outline for session
• What is social auditing and how do
organizations learn from it?
• VanCity case study
• Questions and sharing of stories
• Focus on AA1000s
Solstice Consulting
2
What is social auditing
• social and ethical accounting, auditing
and reporting (SEAAR)
• a way of measuring, reporting and
ultimately improving on social, ethical
and environmental performance
• usually involves independent assurance
• stakeholder engagement is key
Solstice Consulting
3
AA1000 Process Model
Embedding
Planning
Stakeholder
engagement
Auditing
and reporting
Accounting
With permission of AccountAbility
4
The SEAAR Cycle
Stakeholder
Dialogue
Disclosure
Audit
sign-off
Review
policies &
commitments
Decide
scope
Set
commitments
and targets
Stakeholder
based
design
Draft
report
Gather &
test data
Define
Indicators
Stakeholder
consultation
Solstice Consulting
5
Why do social audits?
• outward motivation - accountability
• inward motivation - learning
• in current practice, focus is
accountability
Solstice Consulting
6
Evolution of behaviour
Engagement
level 3
level 2
level 1
Based on David Wheeler's
presentation to NTE II
Responsiveness
Compliance
7
First generation social auditing
• premise: build trust through
accountability and shared information
• objective: embed stakeholder
engagement in business process
• outcome: business results that meet the
needs of all stakeholders
Solstice Consulting
8
Second generation social auditing
• premise: stakeholder engagement
drives innovation
• objective: increase responsiveness to
stakeholders
• outcome: improved value for all
stakeholders
Solstice Consulting
9
The Learning Cycle
• insert ISEA slide
Solstice Consulting
10
Is it happening?
• anecdotally - not as much as it could
• still a focus on getting the report out
• not yet reaping the benefits because
engagement is not connected to the
learning infrastructure
• need more transparency
• some bright lights
Solstice Consulting
11
Focus on AA1000
• AA1000 is the SEAAR standard
developed by the Institute of Social and
Ethical AccountAbility, London UK
• provides guidance for reporting
organizations and for auditors
• AA1000s builds on standard
• increased emphasis on responsiveness
Solstice Consulting
12
AA1000s stakeholder engagement
module
• rationale: organizations are investing
heavily in stakeholder engagement
without meeting their own or
stakeholders’ objectives
• objective: recognize effective
stakeholder engagement
Solstice Consulting
13
Quality dimensions in stakeholder
engagement
• inclusiveness - who is included
• procedural - design and implementation
• responsiveness - taking action on the
basis of the engagement
• outcomes - what happens, with what
costs and benefits, for whom?
Solstice Consulting
14
Solstice Consulting
• Sustainability and Accountability
• email: [email protected]
• phone: (604) 444-2080
• 1606 Maplehurst Circle, Burnaby, V5A
3Z1
Solstice Consulting
15