Sunday, November 9, 2014

Three Takeaways from the BSR Conference

I plan to write-up a few in-depth posts this week but wanted to share some quick notes about the recurring themes I heard at the BSR Conference:

1. Long-term focus: across industries and professions, people spoke about the challenge of shifting market, media, and investor focus from short-term earnings to long-term financial sustainability. As social and environmental responsibility becomes less about initiatives and more integrated within business operations, meeting quarterly earnings projections becomes less pertinent to the corporate mission. We need stock analysts capable of looking beyond dollar per share, who understand and focus on social and environmental impact as a component of long-term financial stability, as well as a media willing to shift away from sensationalized ticker alarmism toward presenting a larger picture of corporate stability.

2. Collaboration: more than ever, companies are partnering together and with NGOs to answer the most difficult social and environmental challenges around the world. Look for more about collaboration in Myanmar/Burma, where companies are addressing the lack of legal and regulatory infrastructure together, with local and international NGOs, and with guidance from several arms of the UN. The challenges are too big and systemic, in Myanmar/Burma and throughout the world, to be solved by one company or NGO alone. Sustainability leaders spoke about the willingness of their companies to work together on these issues, understanding that competition and collaboration must coexist.

3.Transparency: another major message was transparency, even when the picture isn't pretty. Companies are more willing to openly discuss challenges alongside victories, to give a complete picture of their social and environmental efforts. It's no longer important to project a perfect image of errorless operations but, rather, focus on management's ability to learn from and respond to challenges and mistakes. The discussion was less about "how transparent?" and more about "how does transparency spread through the corporate culture?" through messaging and reward structures, so that employees feel free to share successes and challenges in the spirit of corporate learning.

Some of my favorite moments came when speakers gently reminded their audience the people most impacted by the initiatives discussed at the conference probably did not even know about the conference, let alone attend it. This message was not lost on the people I spoke with, and there was a deep understanding of their responsibility to look beyond the inevitable elitism of a corporate gathering. As expected, the truly inspirational moments from the conference came during the sharing of stories, moments of understanding about shared challenges, and the acknowledgement that everyone there was doing something important, no matter how small or big, to make this world a better place for everyone.


Thursday, November 6, 2014

Preview: BSR Conference, Thursday

Today, the last day of the BSR Conference, is chock-full of interesting speakers. Here's a summary of some of the highlights:

Human Rights in the Technology Sector

Speakers:

Brad Smith, Executive Vice President and General Counsel, Legal and Corporate Affairs, Microsoft Corporation
Mark Chandler, Senior Vice President, General Counsel and Secretary, Chief Compliance Officer, Cisco Systems Inc.
Eileen Donahoe, Director, Global Affairs, Human Rights Watch

It will be interesting to hear lawyers speak on human rights. In my experience, corporate lawyers tend to be more concerned with protecting the company than protecting those affected by company operations, so I'll be curious to see if these two break that mold.

Eileen Donahoe's inclusion on this panel likely means the focus will be on internet freedom, rather than supply chain sustainability and conflict minerals.

Breakout Session: Can Voluntary Frameworks Ensure Companies Respect Human Rights?

Speakers:

Ursula Wynhoven, General Counsel and Chief, Governance and Social Sustainability, United Nations Global Compact
Chris Albin-Lackey, Senior Researcher, Business and Human Rights Program, Human Rights Watch
Melike Ann Yetken, Senior Advisor for Corporate Responsibility, U.S. Department of State

This debate has been going on since long before the UN Guiding Principles on Business and Human Rights were developed, so it will be interesting to hear if any of these players have shifted their opinion based on the progress and challenges in implementing a voluntary framework thus far.

Rona Starr

Rona Starr is the Director of Supplier Workplace Accountability at the McDonald's Corporation. Beyond a summary of McDonald's efforts to promote human rights throughout their supply chain, I'll be interested in the tone of her presentation. Specifically, I'll be looking for how much emphasis is placed on making a business case, as compared to a moral argument, to sell sustainability initiatives within the organization. As I'll explain in a future blogpost, I've noticed a trend during this conference and I'm curious if it will hold.

Darren Walker

Darren Walker is the President of the Ford Foundation, which provides grants and fellowships to individuals and organizations, focusing on eight social justice issues:

  • democratic and accountable government
  • economic fairness
  • educational opportunity and scholarship
  • freedom of expression
  • gender, sexuality, and reproductive justice
  • human rights
  • metropolitan opportunity
  • sustainable development

I wouldn't even dare to guess what Mr. Walker will focus on during his presentation but, if it's fantastic, I'll be sure to blog a bit about it and send a link to the video, when and if it becomes available.

Oh yeah and Bill Nye is closing the conference! If you want to see his presentation, check out the livestream at 6:40pm ET.

Note: I'm still deciding which afternoon breakout sessions to attend so, instead of previewing my options, I'll be sure to summarize the winners in a future blogpost.


The BSR Conference runs Tuesday through Thursday, in New York. The Agenda and link to livestream of selected events can be found here. Follow events at #BSR14 on twitter and stay tuned for more from me!

Wednesday, November 5, 2014

Preview: BSR Conference, Wednesday

Today, the first full day of the conference, is packed with cool panels and speakers. Here's a highlight of the events I will be attending.

Jeffrey Wright

Actor Jeffrey Wright is co-founder of the Ebola Survival Fund and is on the advisory board of the United Nations Democracy Fund. He tweets at @jfreewright about his efforts to #CrushEbolaNow.

Breakout Session: Responsible Business in Myanmar

Speakers:
Mai Oldgard, Vice President and Head of Sustainability, Telenor Group
Marcus Chung, Vice President, Social Responsibility and Vendor Compliance, The Children's Place
Fiona Sadler, Director, Ethical Sourcing, Marks & Spencer

It appears the discussion will focus on proactively engaging stakeholders to catalyze sustainable development. I will primarily be looking for any efforts by these companies to protect the Rohingya Muslim minority against human rights abuses. I will also be interested in how they address child labor and their approach to developing in conflict areas.

Additional information:

Nils S. Andersen

Nils Andersen is Group CEO of The Maersk Group, a global trade, shipping, and energy company, operating in 130 countries. Maersk's sustainability focuses on three areas:

  • Energy efficiency - increasing trade and economic opportunities while improving energy efficiency of their global transport supply chains and reducing carbon emissions from their containerized transport
  • Enabling trade - improving conditions for businesses and industries to participate in global trade by reducing external barriers to trade, providing transport and logistics to local farmers, and engage with governments regarding infrastructure improvements
  • Investing in education - training and education to build skills in growing markets, encouraging diversity in enrollment, targeting women and communities currently unable to access education opportunities

This is a broad strategy and I don't know where Mr. Andersen will focus, but I hope he spends some time discussing Maersk's anti-corruption efforts, as well as their progress toward integrating the UN Guiding Principles on Business and Human Rights throughout their operations.

Breakout Session: Innovative Approaches to Sustainable Supply Chains

Speakers:
Kelly Goodejohn, Director, Ethical Sourcing, Starbucks Coffee Company
Tu Rinsche, Manager, International Labor Standards, The Walt Disney Company
Greg Priest, Head of Sustainability Policy, IKEA Group
Deborah Kops, Managing Principal, Sourcing Change

As always, I'll be interested to hear if, and to what extent, Starbucks, Disney, and IKEA have integrated the UN Guiding Principles on Business and Human Rights in to their supply chains. I'll also be interested in if and how Sourcing Change prioritizes human rights through supply chain change management.

The BSR Conference runs Tuesday through Thursday, in New York. The Agenda and link to a livestream of selected events can be found here. Follow events at #BSR14 on twitter and stay tuned for more from me!


Tuesday, November 4, 2014

Preview: BSR Conference, Tuesday

I'll be at the BSR Conference this week and will be blogging about the presentations and discussions, with a particular focus on sustainable supply chains and business development in Myanmar/Burma. I imagine, after looking at the agenda, there will also be some interesting discussions about how business can contribute to the fight against Ebola.  Here's a preview of the two speakers opening the conference tonight.

Dame Ellen MacArthur

Dame Ellen MacArthur, founder of the Ellen MacArthur Foundation, will open the conference on Tuesday evening.

I imagine Dame MacArthur will speak about the work done by her Ellen MacArthur Foundation toward accelerating a transition to a regenerative circular economy.  A circular economy is one that is regenerative by design, less linear, more organic.

A regenerative circular economy uses biological materials, designed to re-enter the biosphere, and technical materials, designed to circulate with minimal loss of quality.

Go here for an interactive version of this diagram

A transition would require a systems level re-design to an economy that is restorative by intention, which aims to rely on renewable energy, and minimizes, tracks, and hopefully eliminates the use of toxic chemicals, while eradicating waste through careful design.

The circular economy shifts the focus from product ownership to "functional service," whereby manufacturers or retailers retain the ownership of their products, selling the use of their products instead of one-way consumption. Products are designed to be more durable and to be easily disassembled and refurbished for repeated use.

I will be interested to hear about progress and feedback from manufacturers, customers, and other stakeholders.

Sir Andrew Witty

Sir Andrew Witty is the CEO of GlaxoSmithKline, a global healthcare company that researches and develops vaccines, medicines, and consumer products. Previously, he has worked in GSK's International New Products groups, in respiratory and HIV and infectious disease fields.

GSK has several socially responsible initiatives in progress, including:

  • reinvesting 20% of profits made from sales in least developed countries back in to strengthening healthcare systems in those countries, partnering with NGOs to train frontline healthcare workers to reduce child and material mortality as well as meet wider community healthcare needs
  • developing the world's first malaria vaccine which, if approved and recommended for use, will be preferentially (affordably) priced in affected least developed countries, as well as working in partnership with other organizations to develop new tools and increase the use of existing tools (bed nets, spraying) to combat malaria
  • contributing to the United Nationals Millennium Development Goals by supplying medicines and vaccines and supporting development organizations which help women overcome poverty, among other commitments
These are all interesting, but I hope Sir Witty will spend some time discussing GSK's efforts to develop an Ebola vaccine.  Their Ebola vaccine has shown promising results in preclinical (non-human) studies and is in currently in phase 1 safety trials (human). Results are expected by the end of 2014. If successful, the vaccine will given to thousands of frontline healthcare workers in Sierra Leone, Guinea, and Liberia in early 2015. If the results of that phase show the vaccine successfully protects healthcare workers against Ebola without causing significant side effects, GSK intends to be prepared to accelerate production of the vaccine. Given the current situation in afflicted countries in West Africa, this is welcome news.

I will be interested to hear a status report and Sir Witty's response, if any, to recent comments by Dr. Margaret Chan, the director general of the World Health Organization.

The BSR Conference runs Tuesday through Thursday, in New York. Follow events at #BSR14 on twitter and stay tuned for more from me!

Sunday, September 14, 2014

Here we go again...

So I woke-up this morning to this op-ed written by Jonah Goldberg (@JonahNRO on twitter):
Let me focus attention on a few things written here:



Because don't we all demand our "moderate, decent" friends of various religions stand on soap boxes and condemn each and every offensive act perpetrated in the name of their religion?

No. No we don't.

I don't feel the need to call my "moderate, decent" Christian friends every single time Westboro Church protests a funeral, to ensure they demonstrate the appropriate level of disgust. Nor did I call them when Terry Jones threatened to and then did burn a Quran. "Why not?" you may ask. Because I consider them decent people and friends and I assume they are disgusted. Maybe they've expressed their agreement about the stupidity of these actions at some point in the past and, frankly, that is enough for me.

And while we are on the topic, who defines "moderate" here? I don't ask my Christian or Jewish friends if they are moderate Christians and Jews. I don't consider myself a "moderate Irish woman" or a "moderate atheist." Why do we feel Muslims must identify as moderate or not moderate, and who sets those guidelines?

Anyway, there's more:

Seriously? Every single Muslim must publicly and loudly express disgust or what? We label them an ISIS-sympathizer? Guilty until proven innocent? There's something in the Bill of Rights about that.



Wednesday, September 10, 2014

The Inevitable Failure of Dodd Frank 1502

Section 1502 of the Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank) requires all U.S. publicly traded companies to report sourcing details about conflict minerals in their supply chains to the SEC, if and when they source minerals from eastern Democratic Republic of the Congo (DRC) or neighboring countries. The underlying purpose was to cut off the flow of funds to violent actors in the region.  The unintended consequence was that many U.S. companies chose to stop sourcing from the region, due to the difficulty in meeting these requirements.  But this consequence was not unanticipated, and we began to see the fallout during the last week.

So what happened? Yesterday I began to see a slew of tweets indicating some major disclosures about Dodd-Frank's conflict mineral section were coming soon.  It started with this tweet:

So I started digging and found these tweets:



Tuesday, September 9, 2014

Sheets, Shirts, and Uzbekistan's Slave Labor Economy


In April 2014, the Uzbek government signed a framework agreement with the ILO for a three-year project aimed at improving labor rights to conform with international labor conventions. The Uzbek government recently claimed they have conducted seminars and workshops to educate government employees about these changes, which they say will improve the lives of ordinary citizens.

Evidence from the fields, however, shows these changes have yet to reach ordinary citizens. It appears the harvest is going forward this year as it has gone on in the past, treating farmers, doctors, nurses, teachers, students, and children as slave laborers in an industry that only benefits high-ranking government officials and a select elite. Recent press reports indicate that these ordinary citizens are not aware of these very big policy changes and are, thus, not aware of their newly granted rights.

The annual cotton harvest in Uzbekistan has begun.

Quotas

Government set quotas are strictly enforced and closely monitored at the local level. District khokims (similar to governors) commit to quota levels and use police and courts to enforce the quotas. Many farmers don’t actually own their land, they rent it from the government. These farmers can be kicked off their land for missing quotas too frequently or failure to repay debts incurred to ensure adequate harvest and support their families. Khokims and their enforcers use threats of eviction to intimidate any farmers who dare object to the annual cotton production.

If farmers don’t meet quotas, they can be sued for damages at about 25% of the purchasing price of the shortage These shortages are never officially recorded in the cotton registry, so those who oversee the cotton industry are never aware of actual production. Cotton packers manipulate the books then make money on the side from fines and selling excess cotton. Packers will only purchase 10% excess over quota from any individual farmer, thus farmers sell remaining excess to other farmers who are short of their quota. There are rumors of physical abuse perpetrated by khokims against farmers who don’t meet quotas, but nothing reliably documented.

Farmer Rights: Uzbek law states that farmers can use any unpurchased cotton for personal use. However, most farmers are unaware of this right and many have been accused by local officials of stealing from the government if they keep any cotton for personal use. As a result, anything that cannot be sold or bartered is left in the fields. Uzbek law also states that farmers must pay all workers, yet farmers typically only pay hired workers. All public sector employees and students work without pay, even though they are entitled to pay.

The Future: Farmers expect cotton-picking machines will finally be made available starting in 2016. Up until 2003, farmers had adequate farm equipment but the machines were not maintained properly and, at this point, there are virtually no cotton-picking machines in Uzbekistan. One farmer estimates that hand picking cotton costs five times more than using the machines. Farmers are not using fertilizers, meaning their harvests are a third to half of potential volume. Fertilizers are too expensive, given the prices farmers receive currently. If farmers could use cotton-picking machines, however, they would save enough money to use fertilizer and increase production. Farmers don’t make enough money to live on from the cotton harvest (in fact, many report losing money).

More about cotton production from the farmer's viewpoint here.



Forced Labor

Monday, March 10, 2014

Some of the things I read today

Busy day today so I missed/forgot a couple things I wanted to include, but here's what I put together:
  • Human Rights Watch Daily Brief
  • More about Thailand human trafficking
  • Vietnam and labor rights
  • Child labor and mineral make-up
  • A collection of articles about elephants, poaching and #bloodivory
  • #SyriasChildren of War - NBC News "live documentary"
  • Book Club: "The Evolution of a Corporate Idealist: When Girl Meets Oil"
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Human Rights Watch Daily Brief

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Thailand Human Trafficking (GlobalPost/NBC News)


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Vietnam and Labor Rights (Guardian Sustainable Business)


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Mineral Make-Up and Child Labor (Guardian Sustainable Business)




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Elephants, Poaching, and #BloodIvory


allAfrica.com - Tanzania: Vietnam Commits to Fight Poaching

The Cape Times/Conservation Action Trust - Measures to Curb Ivory Trade

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#SyriasChildren - 48-hour "live documentary" coverage on NBC platforms


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Book Club: The Evolution of a Corporate Idealist: When Girl Meets Oil by Christine Bader


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Friday, March 7, 2014

Some of the things I read today

For the foreseeable future, my twitter time is going to be restricted, so I'm gathering some things that I would normally tweet in one spot. Until my schedule frees up, I'll do this (when time permits), especially when directly RTing all of the links seems excessive.

Below, I've included links to:
  • reports on #CARcrisis
  • story about China's destruction of a Uigher Old City
  • plight of the Crimean Tatars
  • AFP video from Caracas, Venezuela
  • report on human trafficking in Thailand
  • annual report from the International Service for Human Rights
  • latest developments in Bangladesh Rana Plaza victim compensation efforts
  • and a couple articles on Beacon Reader (subscription required and recommended).

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  • #CARcrisis (Amnesty International story map and HRW backgrounder)


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  • China - destruction of Uigher Old City (New York Times article)

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  • Ukraine - Crimean Tatars (New Yorker article)

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  • Venezuela Protests - Caracas (AFP video - click the link to watch it on youtube)



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  • Human Trafficking - Thailand/Myanmar (Burma) (CNN Freedom Project)

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  • International Service for Human Rights - annual report

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  • Bangladesh - developments re: Rana Plaza victim compensation

Statement from the Accord on Fire and Building Safety in Bangladesh (Accord) regarding the Rana Plaza Arrangement
Posted on March 7, 2014 by Bangladesh Accord

“The Accord welcomes and supports the Rana Plaza Arrangement, a comprehensive and independent framework, consistent with international labour standards, which will provide the much-needed support for loss of income and medical expenses to the victims and dependents of the tragic collapse of the Rana Plaza building. Compensation falls out of the scope of the Accord, which is why we are very pleased that a common framework, the “Rana Plaza Arrangement”, has been agreed by all relevant stakeholders nationally and internationally, with the ILO acting as a neutral chair.

Full statement: http://www.bangladeshaccord.org/2014/03/rana-plaza-arrangement/

Rana Plaza Arrangement site: http://www.ranaplaza-arrangement.org/

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  • Stuff on Beacon (subscription required and recommended)

By the way, if you are thinking about subscribing to Beacon but don't know which journalist to sponsor, I can help with some recommendations.  Regardless of who you sponsor, you get access to all work posted by all of their journalists.

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