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Global Compact International Yearbook Ausgabe 2011

Over the last several years, the United Nations has become a trailblazer in promoting corporate responsibility. “In the 11 years since its launch, the United Nations Global Compact has been at the forefront of the UN’s effort to make the private sector a critical actor in advancing sustainability,” UN Secretary-General Ban Ki-moon says in the 2011 edition of the Global Compact International Yearbook. Edited by the German publishing house macondo, the new Yearbook offers insights on political as well as sustainability issues. Exemplary entrepreneurial commitments can foster and create incentives for other companies. To guide companies along this road, they need a blueprint for corporate sustainability. This is the focal topic of the new Global Compact International Yearbook. Guidelines for consumer standards and labels, an analysis of the new ISO 26000 SR Standard, and a debate about the historic changes in the Arab world are other major topics explored. Among this year’s prominent authors are Lord Michael Hastings, NGO activist Sasha Courville, and the former Director-General of the United Nations Office at Geneva, Sergei A. Ordzhonikidze.

Over the last several years, the United Nations has become a trailblazer in promoting corporate responsibility. “In the 11 years since its launch, the United Nations Global Compact has been at the forefront of the UN’s effort to make the private sector a critical actor in advancing sustainability,” UN Secretary-General Ban Ki-moon says in the 2011 edition of the Global Compact International Yearbook. Edited by the German publishing house macondo, the new Yearbook offers insights on political as well as sustainability issues.

Exemplary entrepreneurial commitments can foster and create incentives for other companies. To guide companies along this road, they need a blueprint for corporate sustainability. This is the focal topic of the new Global Compact International Yearbook. Guidelines for consumer standards and labels, an analysis of the new ISO 26000 SR Standard, and a debate about the historic changes in the Arab world are other major topics explored. Among this year’s prominent authors are Lord Michael Hastings, NGO activist Sasha Courville, and the former Director-General of the United Nations Office at Geneva, Sergei A. Ordzhonikidze.

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Agenda<br />

Blueprint<br />

By Bill Baue and Dr. Marcy Murninghan<br />

The Accountability Web:<br />

Weaving Corporate<br />

Accountability with<br />

Interactive Technologies<br />

It is guerilla warfare out there for companies that are not<br />

careful. Last year, Greenpeace “punked” Nestlé over palm oil<br />

sourcing with a YouTube video and Facebook campaign. In<br />

April <strong>2011</strong>, The Yes Men punked GE over tax payments with a<br />

fake press release, and coal companies over “clean coal” with<br />

a hoax website. These are just a few high-profile examples of<br />

activist campaigns seeking to hold companies accountable<br />

through social media and other web-based tools. On the flip<br />

side, companies such as Shell, Patagonia, Timberland, Natura,<br />

SAP, and Guardian News & Media use social media to proactively<br />

engage stakeholders, which enhances their corporate<br />

sustainability and corporate social responsibility (CSR) work<br />

in innovative ways.<br />

Using Web 2.0 tools for corporate accountability makes inherent<br />

sense, as they share a common thread: Both are rooted in<br />

interaction and thrive on engagement. We call this intersection<br />

The Accountability Web, the title of the report we wrote<br />

last year during a research fellowship for the CSR Initiative at<br />

the Harvard Kennedy School. In it, we identified the dynamic<br />

nature of accountability, which “establishes a dialogic relationship”<br />

between actors on all sides of the equation, according<br />

to academic Andreas Schedler.<br />

While Tim Berners-Lee included interactivity into his 1989<br />

conception of the World Wide Web, it remained latent for the<br />

medium’s first decade – it was not until the late 1990s that<br />

interactive Web 2.0 applications began emerging in earnest.<br />

Likewise, corporate accountability has lagged in its interactive<br />

potential, with most early-stage accountability taking the<br />

form of one-way campaigns, with companies and stakeholders<br />

talking at each other more than with each other.<br />

From Accountability 1.0 to Accountability 2.0<br />

Borrowing from computer terminology, we dubbed this dynamic<br />

Accountability 1.0, which creates self-reinforcing feedback loops<br />

of antagonism, confrontation, and mistrust between companies<br />

and stakeholders. At about the same time the web went interactive,<br />

so too did accountability with the advent of multistakeholder<br />

initiatives such as the <strong>Global</strong> Reporting Initiative and<br />

Forest Stewardship Council – ushering in Accountability 2.0.<br />

Characterized by two-way communication and cooperation,<br />

Accountability 2.0 allows actors in the accountability ecosystem<br />

to continue disagreeing over substantive issues while engaging<br />

in respectful dialog toward the goal of mutual understanding<br />

and compromise leading to solutions. This progression also<br />

shifts from the unidirectional Accountability 1.0 practice<br />

of one group seeking to hold the other accountable, to the<br />

multidirectional Accountability 2.0 practice of groups being<br />

accountable vis-à-vis each other – otherwise known as<br />

mutual accountability, a core concept in civil society and the<br />

field of sustainable development institutionalized in the Paris<br />

Declaration on Aid Effectiveness.<br />

These notions align with thought leadership that emerged in<br />

<strong>2011</strong>. For example, in a January/February <strong>2011</strong> Harvard Business<br />

Review cover article, Michael Porter and Mark Kramer<br />

advocate for “creating shared value” that benefits business and<br />

society – an outcome that requires communication between<br />

companies, governments, civil society, and other stakeholders<br />

to identify mutual priorities. The next month, HBR published<br />

“Capitalism for the Long Term,” in which Dominic Barton of<br />

McKinsey argued for “fighting the tyranny of short-termism” by<br />

“serving stakeholders” as a means of “enriching shareholders”<br />

over the long term. Here again: Serving stakeholders requires<br />

engaging them on equal terms.<br />

In his February <strong>2011</strong> book, The Age of Responsibility, Wayne<br />

Visser describes a progression from “paternalistic” CSR 1.0<br />

to “collaborative” CSR 2.0 built on principles of “connectedness,”<br />

“responsiveness,” and “circularity” – all elements of<br />

stakeholder engagement. And Umair Haque’s January <strong>2011</strong><br />

book, The New Capitalist Manifesto, similarly advocates “responsiveness”<br />

that moves “from value propositions to value<br />

conversations.” Says Haque: “Imagine an economy powered<br />

by organizations whose stakeholders are all associating, deliberating,<br />

and participating in public spaces.” In other words,<br />

interacting in the Accountability Web.<br />

Weaving the Accountability Web<br />

Reeling from the mid-1990s Brent Spar and Saro-Wiwa controversies,<br />

Shell moved more proactively into risk-avoidance by<br />

ramping up its stakeholder engagement (among other tactics).<br />

In 1998, the company became one of the first to experiment<br />

with leveraging the interactivity of the web to engage with<br />

stakeholders through its TellShell portal. In 2007, Shell rebranded<br />

this effort ShellDialogues with a dedicated website<br />

18 <strong>Global</strong> <strong>Compact</strong> <strong>International</strong> <strong>Yearbook</strong> <strong>2011</strong> <strong>Global</strong> <strong>Compact</strong> <strong>International</strong> <strong>Yearbook</strong> <strong>2011</strong><br />

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