Corporate social responsibility (CSR) defines the standards and guidelines for the group for social risk management, human rights, labour standards, transparency, and local content.
Project Managers should ensure that the customer´s activities are conducted in accordance with governing documents.
Corporate Social Responsibility consists of the following elements:
- Social risk management
- Human rights and labour standards
- Freedom from discrimination in employment
- Freedom of association and the right to collective bargaining
- Prohibition on forced or compulsory labour
- Prohibition on child labour
- Transparency and anti-corruption
- Local content
- Social investment management
- CSR plans
1. Social risk management
Social risk management is a continuous process and a foundation of corporate social responsibility. Social risks comprise the potential harmful effects of both unintentional incidents and planned activities from the customer´s operations on society. This also comprises external risks to the customer’s reputation.
Social risks and stakeholders must be identified and monitored throughout the decision-making process, and appropriate mitigation measures shall be implemented. Local, national and international stakeholders must be consulted and engaged, and measures to mitigate risk must be identified as part of the decision-making basis.
2. Human Rights and Labour Standards
The customer should support the International Bill of Human Rights, including the Universal Declaration of Human Rights, and the ILO Declaration on Fundamental Principles and Rights at Work, and will respect these rights throughout its operations.
The customer and its suppliers must comply with international labour standards.
3. Transparency and anti-corruption
The customer should respect and promote transparency through publishing of income, expenditure and taxes in all its country operations, and through integrity due diligence procedures, contracts and agreements, and the training of staff, suppliers and partners.
4. For Local content
Includes local recruitment, local procurement and local actions to promote social and economic benefits of the company´s operations.
5. Social investment management
Social investments contribute to the realisation of the customer´s ambition to undertake social responsibility, help to build the customer´s operations, and mitigate social risks,
6. CSR plans
CSR plans provide the strategic framework for implementation CSR activities to address social risks and promote mitigation. An annual CSR Country or Project CSR Plan is prepared by the country or project managers when the customer is present and has undertaken or prepares to undertake investments in non-OECD countries or when the customer prepares a project with high political or reputation risks in any country.
- Norwegian construction sector suppliers register (StartBANK) – Covers various countries and includes a global section.
- Items such as rugs and carpets etc are obtaining a ‘rug mark’ certificate that signifies that no child labour was involved in their production, and the relevant labour standards were respected. See this link.
- SA8000 certificate – a Social Audit standard for labour standards – is commonly being obtained for factory based production units in garments and electronics etc industries. See this link.
- Here you will find the SA 8000 certified facilities list. These certificates are usually being obtained by suppliers based in developing countries, e.g. India, Taiwan, China, Korea and some South and Latin American countries.
- Ethical Trading Initiative – ETI has developed some code of conduct based tools and training that are being used to address labour standards related issues in production and sourcing factories across China, South-Asia, Africa etc. Stone quarrying activities have also been recently included in this.
- The IT industry have developed their own standards and initiatives for this, which also include their supply chains
- The electronics industry has similar industry wide approach for these standards in their supply chains and include tool such as: