What is CSR?

CSR is a self-regulating business model that helps a company be socially accountable to itself, its stakeholders, and the public. It is voluntary, so is sometimes done internally and sometimes reported for clients or the public.

CSR brings together the actions by companies used to uphold principles of sustainable development, in all economic, social and environmental aspects.

Companies can become responsible by integrating social, environmental, ethical, consumer and human rights concerns into their business strategy and operations.

There is no single definition and a range of priorities which reflect the voluntary nature and the stakeholder groups. This means that they are not all carried out to the same level of detail.

Drivers

• Businesses have environmental and social responsibility as well as financial responsibility

• Expectations of employees (safety, human right protection), customers (interested in socially responsible companies), clients, pressure groups, and investors

• Legislation (Bribery Act, Modern Slavery Act)

• Impacts and reputation

UN Global Compact

UN Global Compact is the world’s largest corporate sustainability initiative. It supports companies to do business responsibly and take strategic actions to advance broader societal goals.

Focuses on Ten Principles for Human Rights, Labour, Environment, and Anti-corruption, on an international basis (looking at the whole supply chain).

The UN provides a framework for business and human rights, recommending three responsibilities to protect, respect and remedy.

UNGC Communication on Progress (COP) Requirements

• UNGC requires communication on progress annually

• Direct communication from business participants to stakeholders, so should be made widely available and must contain a statement by the chief executive, a description of practical actions taken, and a measurement of outcomes.

Global Reporting Initiative (GRI)

What to Report:

• Topics and indicators reflecting economic, environmental and social issues

• Issues relevant to stakeholders

• Wider sustainability issues

• Include supply chain

How to Report:

• Corporate strategy

• Profile - company activities and products

• Report boundaries - time period, issues, supply chain, measurement processes and auditing

• Governance

• Key Performance Indicators

Core Indicators

• Social: Community, Corruption, Public Policy and Compliance

• Environmental: Emissions, Effluents and Waste

GRI: Construction Industry

In the construction industry, there is more environmental and social reporting, and less economic, probably due to other financial documents.

• Environment Performance Measures: greenhouse gas emissions, water consumption, electricity consumption, volume of construction waste generated, recycling rate of waste, etc.

• Social Indicators Used: fatal incident rate, accident rate, percentage comparison of male and female employees, etc.

• GRI Additional Indicators recommended for construction sector: product and service labelling, building energy intensity, water intensity, GHG emissions relating to buildings in use, labour health and safety topics, resettlement of local communities, etc.

UN Global Compact and GRI are linked as UNGC requires COP based on GRI Sustainability Reporting Guidelines. It is suggested that COP indicators should address each of the ten UNGC principles.