Cambridge CSR

na

Science-based targets are those adopted by companies to reduce greenhouse gas emissions in line with what the latest climate science says is necessary to meet the goals of the Paris Agreement — to limit global warming to well-below 2°C above pre-industrial levels and pursue efforts to limit warming to 1.5°C.

“Stranded assets” are assets that have suffered from unanticipated or premature write-downs, devaluations, or conversion to liabilities (for example, oil and coal from divestment due to climate change considerations). This term could also apply to an asset that becomes obsolete or is no longer able to create value (for example equipment, buildings or degraded soil (in the case of an agricultural business).

Circle

Strategic

• Brand and reputation - key stakeholder relations
• Business Model and propositions
• Stranded assets

Operational

• Productivity and employee engagement
• Operational disruption
• Input price rises (price volatility) and regulatory compliance costs

Creating shared value is an example of an approach that seeks to connect social progress and business value. The purpose of shared value is for companies to find a way to turn social problems into business opportunities that help to solve these problems instead (Shared Value Initiative, 2016). Furthermore, it is about creating value for both the business (in the form of profits) and society (for example, through job creation, training and development initiatives). Shared value is not simply about “doing the right thing” by donating money to causes. It is a management strategy that aims to empower individuals and communities while simultaneously delivering on financial value for a business (Driffill, Hacking, & Styles, 2016)

built on trust between co and stakeholders

Shifting corporate responsibility

• move to integrated reporting
• think about societal impact on value

Shared value

• shift debate to a source of competitive advantage
• opps in addressing societal problem (also ST to LT)

philanthropy

CSR (manage risks)

Creating shared value (competitive advantage)

CSR has an element of transfer of money, e.g. in fair trade you pay a farmer a fair price (paying more for the same thing, which according to Porter is not sustainable). With CSV you are improving the farmer, so that he can produce more efficiently. 

3 Levels of shared value

1. Reconceive products and markets
2. Redefine productivity in value chains
3. Enable local cluster development

1. AIA: Incentivizing good behavior by giving rewards leading to lower mortality rates and therefore smaller death benefits to be paid

2. Nestle: Train and equip farmers as suppliers

3. talent pool of jointly trained youth to offset low supply of educated employees

If we are honest, we have been living with the ambiguity created by the debate on the value of CSV for a long time. In lecturing to business people, we tend to stress the business case of sustainability and the corporate benefits of their social engagements, be it in the form of efficiency gains, reputational benefits or stronger market positions, because we know this relates to the world that they live in. In discussions with our academic peers, however, we freely discuss the limitations and shortcomings of such win-win approaches. We are fully aware of this inherent ambiguity and yet we realise that they both have their own truths.

1. Unoriginal / repackaging of strategic CSR etc.

2. Ignores tension between social and economic goals  (ignore need of trade offs)

3. Naive about bus. compliance

4. Too narrow on island, not overall system. Cherry picking

na

Clear business case

Proven model (to drive social case)

Internal champion to drive change

Businesses can gain long-term advantages by understanding such shifts and the opportunities they present. In past crises, companies that invested in innovation delivered superior growth and performance postcrisis. Organizations that maintained their innovation focus through the 2009 financial crisis, for example, emerged stronger, outperforming the market average by more than 30 percent and continuing to deliver accelerated growth over the subsequent three to five years

1) Tax unfavorable impacts

2) Regulatory interventions of pricing mechanism

3) Increase transparency

outer ring REC: Resource security, Healthy Ecosystems, Climate stability

Inner (human) (Basic Wow). Basic Needs, Wellbeing, Decent work

Economy

Finance, business, government

The vision of the plan is to lift and tilt the playing field for business such that, over time, the economy generates positive outcomes for people within safe environmental limits

non

55

Leadership Context

• External
• Internal

Individual Leader

• Traits
• Styles
• Skills
• Knowledge

Leadership Actions

• Internal (informed decisions, strategic direction, mgt incentives, accountability, empowerment...)
• External (partnerships, S products, S awareness, Stakeholder transparency)

A sustainability leader is someone who inspires and supports action towards a better world

na

Education and Climate change

It's growht without stealing from the future generations.  

Integrating social, E and economic performance. 

1750s England.. James watt

1.7x , project 2x in 2030

The planetary boundaries concept presents a set of nine planetary boundaries within which humanity can continue to develop and thrive for generations to come (to remain in holoscene era, but 3 large have evidence of alone being tipping point, other 6 contribute to or accumulate together as tipping point): Climate system, ocean acidification, stratospheric ozone layer).  Transgressing these boundaries could generate abrupt and irreversible E changes (from Holocene to anthropozene state).

Climate change

Novel entities

Stratospheric Ozone depletion

Atmospheric aerosol loading

Ocean acidification

Biochemical flows

Freshwater use

Land-system change

Biosphere integrity.

Earth entered into new epoch, how earth functions, based on human activity a/o rapid acceleration in human development. Probably around 1950s