GRI Sustainability Reporting October 4, 2015 1 Agenda Introduction to Sustainability and CSR
GRI Reporting 2 Sustainability context
What is happening in the world? How does society react to face these problems? Sustainability context Our world is out of balance
How many people in the developing world do not have access to electricity? New Pressures to New Paradigms Pressure on business to engage in broader sustainability issues.
Increasing difficulty of tackling certain global problems unilaterally. Necessity of bringing in the comparative advantages of all stakeholders. Competitive benefits for the private sector to play a more proactive
and collaborative role in development. Role of Organizations Organizations concentration a large amount of financial, technical (research & technology), natural
& human resources (experts). They also influence political decisions. They have to be part of the solution! Consumers Expectations of the Role of Business in Society
Reference: A Cone/Echo Global CR Study and Schema CR in Jordan 8 Role of Organizations Different ways to respond: Both important, but different and lead to different results. Philanthropy
Responsible Management Gives support where not available from the government or local communities
Not related to day to day operations Uses day to day management decisions to address social, economic and environmental issues resulting from the
organizations operations, e.g. design of products/services, supplier selection etc. . . CSR, CR, Sustainability How do you know if you are doing good?
Amount of money you spent? Number of people you have supported/beneficiaries Actually there is so much more to measure to assess success. . How to report?
Organizations need to: Understand the link between its activities and world around it Sustainability Context Measure and manage its impacts Measurement Communicate what it has done about its impacts Reporting
What you cannot measure, you cannot manage What you cannot manage, you cannot change! How Do You Put That Together? A Sustainability Report A sustainability report is about the economic, environmental and
social impacts caused and managed by an organization through its everyday activities Sustainability Report How do you measure sustainability impacts? Who defines the metrics to measure them? Different metrics exist. .
Some standards. . Global Reporting Initiative Global Compact
ISO 26000 SA 8000 Carbon Disclosure Project
SQNet10 Popularity Bloomberg projects that over 4500 reports are based on GRI Guidelines (2010)
KPMG International Survey on Corporate Sustainability Reporting (2011) 95% of Global 250 report and 80% use GRI Guidelines 64% of National 100 report and 69% use GRI Guidelines GRI GRI is a non profit
organization based in Amsterdam It is a multi stakeholder network of thousand based globally
They use and contribute to developing the Reporting Framework The GRI Reporting Framework is one of the few globally recognized
sustainability reporting the framework GRI Reporting Reporting or the Process of Reporting Reporting or the Process of Reporting
What is the end objective? What is the purpose of the report? Is the outcome sustainability? Assess, measure, monitor or simply report? Is the value in the report itself or measurement?
Challenges for the Organization Ensuring commitment from staff at all levels Preparing appropriate systems and procedures Collecting and organizing necessary information
Choosing and engaging with key stakeholders Deciding on what are most important issues to include
Dealing with topics that are not covered by local regulations Setting practical and achievable goals for the reporting period
Communicating negative results or issues Making it more than just a marketing tool Defining the reports audience Producing clear document that meets readers needs Managing expectations around the final report
Benefits for the Organization Identify strengths and weaknesses of business and management Identify risks and opportunities
Improve management systems and goal setting As a Management System Benefits for the Organization contd. Helps make an organization an attractive employer
Connect departments and promote innovation Source of competitive advantage and become market leader What does a GRI report mean?
Corporate Responsibility In Banks is Two Fold 1 2 As a Responsible and Sustainable Bank
As a Promoter of Corporate Responsibility A bank can be responsible and sustainable through its operations such as: Sustaining regular operations Responsible sponsorship Relationship with stakeholders Engaging employees
Developing new products and services that encourage clients to contribute to Corporate Responsibility behavior. Partnering in covenants, alliances, partnerships etc. to achieve Corporate Responsibility goals. Developing credit policies that incentivize environmental and social responsibility practices.
CR Trends in the Financial Sector 36 Why these Guidelines? There is a growing need to provide guidance on CSR, its implementation, monitoring and evaluation for the MENA
region and for financial institutions. There is great strength and added value in ensuring the financial sector invests appropriately in CSR. The financial sector is considered to be an indispensable part of our world especially in developing countries; financial institutions act as a medium for the transfer of resources from net savers to net borrowers and are a major source of long- term funds of the economy.
How to use the CSR Guidelines Independent chapters covering series of practices. These practices are:
Commitment to CSR Stakeholders Engagement Strategy Implementation Reporting
Auditing CSR and Social Return on Investment Each practice is defined by level of maturity from reactive to proactive as follows:
Compliance Lip service Vision Management System / Profit Centre Full Integration / Growth Engine Maturity Levels Value
Maturity Any questions? Thank you. . For more information please contact: Maali Qasem Khader [email protected]
