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The Stakeholder Engagement Manual Volume 2 - AccountAbility

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Organisational<br />

Response<br />

STRATEGIC<br />

EMBEDDED<br />

DEVELOPING<br />

EXPLORATORY<br />

<strong>The</strong> Issue Response Matrix<br />

Higher<br />

Opportunity Green<br />

Zone<br />

STAGE 2<br />

LATENT EMERGING CONSOLIDATING INSTITUTIONALISED<br />

C<br />

B<br />

A<br />

Social Maturity of an Issue<br />

Risky Red Zone<br />

<strong>The</strong> issue response matrix guides you in comparing your company’s way of<br />

dealing with an issue with the maturity of debate about it within society more<br />

broadly. It thereby helps you to identify where you are in a leadership position<br />

and where you are at risk. On the other hand, it also helps you to identify where<br />

you might want to be in relation to an issue under consideration.<br />

Example Application for the Issue Response Matrix: Child Labour in the Supply Chain<br />

<strong>The</strong>re is widespread consensus amongst citizens, consumers, business and governments that children should not be forced to work long<br />

hours in jobs that sacrifi ce their health, safety and education. 141 countries have ratifi ed the ILO Minimum Age Convention and 153 have<br />

ratifi ed the ILO Worst Forms of Child Labour Convention. Most of these countries have legislation on their statute books aimed at ending<br />

child labour and many have programmes to combat child labour often with technical or fi nancial support from the ILO or international<br />

donors. A number of industry associations, NGOs and multi-sector initiatives are also working to address the issue, voluntary guidance for<br />

buyers have been developed, and many businesses are working to improve the management and monitoring systems which help avoid<br />

child labour within their supply chains. It can be considered a consolidated issue.<br />

Yet the ILO estimates that 1 in 6 children is at work instead of at school and three-quarters of these are involved in hazardous work.<br />

Amongst companies whose operations and sourcing networks extend into countries and sectors where child labour is endemic, different<br />

levels of response can be seen.<br />

• <strong>The</strong> business which is still developing its basic policies, where any information it gains about child labour in its supply chain does not<br />

necessarily feed into operational decision making processes, and where there are no performance objectives, would locate its response<br />

at A. Here, the business is vulnerable to advocacy and brand damage, unprepared for potential regulation, and other businesses<br />

leading on the issue may shy away from collaborating with it.<br />

• A business which has systematic management and monitoring processes, policies, targets and ongoing engagement initiatives with<br />

suppliers in place to address and minimise child-labour in its own supply chain would locate its issue response at B and can consider<br />

itself to be in-step with societal development.<br />

• A business which has developed sophisticated organisational policies and management systems on the issue, has assigned top-level<br />

responsibility for avoiding child-labour, and is engaged with a wider range of stakeholders such as industry bodies, governments, NGOs<br />

and the ILO in initiatives to solve the associated challenges, could locate its response at C. This strategic approach might give this<br />

company the opportunity to profi le itself as a particularly responsible business in the marketplace and with regulators.<br />

THE PRACTITIONER'S HANDBOOK ON STAKEHOLDER ENGAGEMENT | 53

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