Transcript THE GLOBAL COMPACT

THE UN GLOBAL COMPACT
MODULE 3
THE ENVIRONMENTAL PRINCIPLES
Session 2: Principle 8
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UNGC Principle 8
“Businesses should undertake initiatives to
promote greater environmental responsibility”
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Principle 8
Environmental Responsibility
Business Environmental Responsibility: A change of approach
From:
To:
Inefficient resource use

Resource productivity
End-of-pipe technology

Cleaner production
Public relations

Corporate governance
Reactive

Proactive
Management systems

Life-cycles, business design
Passive communication

Multi-stakeholder dialogue
Linear/throughput approach 
Confidentiality

Closed-loop approach
Openness and transparency
From: Elkington J. – Cannibals with Forks
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Principle 8
Environmental Responsibility
Example: The shift towards cleaner production strategies
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Principle 8
Environmental Responsibility
Chapter 30 of Agenda 21 (1992)
For business, environmental responsibility entails:
“[the] responsible & ethical management of products & processes from the
point of view of health, safety and environmental aspects.”
“Towards this end, business and industry should increase self-regulation,
guided by appropriate codes, charters and initiatives integrated into all
elements of business planning and decision-making, and fostering
openness and dialogue with employees and the public.”
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Principle 8
Environmental Responsibility
Integrating Environmental Responsibility into Business:
The Malmö Ministerial Declaration (UNEP 2000)
“A greater commitment by the private sector should be pursued to
engender a new culture of environmental accountability through the
application of the polluter-pays principle, environmental performance
indicators and reporting, and the establishment of a precautionary
approach in investment and technology decisions.
This approach must be linked to the development of cleaner and more
resource efficient technologies for a life-cycle economy and efforts to
facilitate the transfer of environmentally sound technologies. ”
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Principle 8
Environmental Responsibility
Business Case for Environmental Responsibility (see also Module 2)
• Improve resource productivity
• New economic instruments (taxes, charges, trade permits)
• Environmental regulations are becoming tougher
• Favourable insurance cover for lower risk companies
• Easier lending terms from banks
• Positive effect on a company’s image
• Asset for recruitment
• Environmental pollution threatens human health
• Customers are demanding cleaner products
• International trade barriers
• Reduce liabilities
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Principle 8
Environmental Responsibility
Characteristics of Environmental Responsibility
1. Applying a precautionary approach
2. Adopting the same operating standards regardless of location
3. Integrating environmental considerations in the supply-chain
4. Facilitating transfer of environmental technology
5. Contributing to environmental awareness in company locations
6. Communicating openly with the local community
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Principle 8
Environmental Responsibility
Principle 8
Environmental Responsibility
Obtaining management commitment for environmental responsibility
Identify the affected persons and key issues by asking:
• Who in the company currently has authority to issue policies?
• Who has responsibility for environmental issues?
• What are the most critical environmental issues facing the company?
• What are the main risks and opportunities associated with these issues?
• Which line managers are most directly affected by these issues?
• What are the resource implications of addressing the risks/opportunities?
• What further information is needed to develop an environmental plan?
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Principle 8
Environmental Responsibility
Tools for Corporate Environmental Responsibility:
- Environmental Management Tools
- Environmental Assessment Tools
- Environmental Monitoring and Auditing Tools
- Environmental Reporting and Communication Tools
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Principle 8
Environmental Responsibility
Tools for Corporate Environmental Responsibility:
Environmental Management Tools
Environmental Management Systems
• ISO 14001
• EMAS
Environmental Management Strategies
• Cleaner Production, Sustainable Consumption and Eco-efficiency
• Life-cycle management
• Design for the Environment/ Eco-design
• Product stewardship
• Product-services systems
• Industrial ecology
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Principle 8
Environmental Responsibility
Business Benefits of Environmental Management Tools
An EMS helps a company to:
• Identify & control its environmental aspects, impacts and risks
• Achieve compliance with environmental legislation
• Define principles to guide future environmental responsibilities
• Establish short, medium and long-term goals for environmental performance
• Determine resources needed to achieve those goals
• Balance costs and benefits for all stakeholders
• Define and document specific tasks, responsibilities, authorities and procedures
• Communicate these throughout the organisation, and train people
• Measure performance against pre-agreed standards and goals, and modify as
necessary
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Principle 8
Environmental Responsibility
Tools for Corporate Environmental Responsibility
Environmental Assessment Tools
Environmental Impact Assessment
Environmental Risk Assessment
Cleaner Production Opportunity Assessment
Environmental Technology Assessment
Life-Cycle Assessment
Total Cost Assessment
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Principle 8
Environmental Responsibility
Business Benefits of Environmental Assessment Tools
Environmental Assessment Tools help to identify business:
• Risks - that could lead to losses for company, for example from
• Contamination of a product such that it is unacceptable for markets
• Injury or illness of workers or local communities
• A pollution problem that undermines the position of the enterprise in the
national or international market
• Opportunities – that could lead to gains for example from
• The reduction of energy and resource consumption and therefore costs of
production
• Reducing pollution or recycling wastes
• Selling the product to a market which imposes environmental requirements
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Principle 8
Environmental Responsibility
Tools for Corporate Environmental Responsibility:
Monitoring and Auditing Tools
Environmental Performance Indicators
Environmental Auditing
Pollution and Waste Audits
Supply chain audits and assessments
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Principle 8
Environmental Responsibility
Business Benefits of Environmental Auditing Tools
Environmental Auditing Tools help a company to:
• Assess the status of the company’s environmental performance
• Identify environmental aspects & impacts of processes & products
• Determine key performance indicators and monitor against objectives
and targets
• Gather and analyse information for sustainability reporting
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Principle 8
Environmental Responsibility
Tools for Corporate Environmental Responsibility:
Reporting and Communication Tools
Corporate Environmental/Sustainability Reports
Ecological footprints
Stakeholder engagement activities
Developing partnerships for progress
Environmental Labelling Programmes
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