With poverty coming to the forefront as the number one issue facing the world, businesses will need to talk about CSR in terms of international development, the IBLF’s Jack Whelan tells Oliver Wagg.
How is CSR included in the IBLF’s work?
In the past the IBLF may have been regarded as a ‘CSR’ organisation. But we’re very careful now to try to explain we believe that’s a very narrow definition. The IBLF is more about working with international business leaders to encourage belief in and practical application of business as a force for good, particularly with regards to international development.
Is CSR a helpful label?
The term ‘CSR’ has been contaminated? mainly by those who believe that CSR is a set of principles that define what businesses cannot do, rather than a set of opportunities that define what business can do. A more helpful label is linked perhaps to the role of business in development?
On climate change, is it appropriate for companies to lobby the government?
The IBLF is not really involved in lobbying governments or recommending public policy, but we do see companies having an enormously positive impact all over the world in terms of improving energy efficiency and reducing greenhouse gas emissions. This both through their own actions and the influence they have over governments and peer businesses. This can only be a good thing.
Do organisations like the IBLF help companies benchmark their performance?
Our primary area of work is to inspire global CEO’s to engage their companies in responsible practice throughout all areas of their business. The environment is an area we feel is well represented by our peer organisations so we have tended not to focus so heavily on this. But we do have one IBLF programme that is currently directly addressing one sector’s environmental benchmarking issues, the International Tourism Partnership. ITP is an IBLF programme designed to inspire and provide global leadership for responsible and sustainable business in the hotels, travel and tourism sector. The programme is about to launch two benchmarking initiatives designed to aid hotels of all sizes with managing their environmental impact from construction to day-to-day operations.
Are multinationals sometimes held accountable for factors outside their control?
We all see that the media and others pick on iconic names to illustrate points, and yes often for issues far beyond their control. Poor governance, conflict, and political and economic instability are factors that good business practice can influence but not override alone. But in the deeper sense of what makes development happen we should ask, who are the major employers, what are the major drivers? They’re often the small and medium-sized companies who are subject to the same kind of dilemmas that all large businesses face, ensuring a sustainable business model. But in the end, all businesses should be aiming for a ‘compliance plus’ model of business activity.
What will be the emerging trends on the ‘CSR’ agenda in the next 5-10 years?
Poverty will probably become our number one issue. We have to look at whether it’s feasible, possible or conceivable that the Millennium Development Goals (MDGs) could actually be achieved by 2015. Recent times have seen a push to reduce debt in the developing world, towards increasing aid and to removing trade barriers. This is real progress but it’s only when the drivers of economic and business involvement in development are created and become the norm that we will realistically be able to achieve the MDGs.
Jack Whelan is director of external and member relations at the International Business Leaders Forum, an international educational charity set up in 1990 by The Prince of Wales to promote responsible business practices. Prior to this he was a senior policy manager for environment, energy and biosociety at the International Chamber of Commerce (ICC) in Paris, during which he facilitated the Business Action for Sustainable Development delegation at the 2002 World Summit in Johannesburg.
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