csr sustainability

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Sustainable strategies EVERAL COMPANIES IN THE UAE have broadened the scope of corporate social responsibility (CSR) by homing in on eco-friendly projects. These programmes, they feel, will make the world a better place. By ~..I ,4 ~. ... ~\~ .'"L J' Ida TllIIsch, director, business development and marketing, EWS- WWF Major business houses always had a strong head, but now they also seem to possess a large - and green - heart. Till recently many companies were only worried about their bottom line. Issues like community development, eco conservation and adhering to, and encouraging, ecologically safe practices rarely featured on their project plans. But that has all changed. Today several large organisations are willing to look beyond their immediate short- and long-term goals and are keen to give back to society without expecting any fiscal gains. And they have a name for it - Corporate Social Responsibility (CSR). This is not a compromise worked out by big companies to placate their consumers or society. On the contrary it is a hard-edged business decision that seeks to enhance a company's profile and brand equity. Today, CSR is not limited to sponsoring a musical evening or helping organise a flower show in aid of a local charity. Organisations today are acutely aware that they are partners with the government and other administrative agencies and have to make a more substantial contribution towards community development. It is a culture that is being nurtured by the expectation of people. People who want popular brand-driven organisations to not just rake in profits, but to also integrate their goals with that of the community on a continued and long-term basis. Anita Roddick, owner of The Body Shop, seemed to get it right. In her book Business As Usual, she says: "In terms of power and influence... there is no more powerful institution in society than business. The business of business should not be about money; it should be about responsibility. It should be about public good, not private greed." The good news is that there are many companies in the UAE that have expanded their roles of CSR and have made eco-sustainability a very focused goal. Several of them have adopted 'green' projects that may not have given them instant recognition or boosted their image overnight, but are sure to have a lasting impact on communities around them. In collaboration with the government, environmental agencies and municipalities, some companies have proved that they are keen to make the world a better place. Dolphin Energy, for instance, has successfully collaborated with the Abu Dhabi government, and the Emirates Wildlife Society in association with the World Wildlife Fund (EWS - WWF) on a two-year programme to revive and conserve many important coral reefs in the UAE and Qatar. At the recently held CSR Arabia Awards, the chairman of the Emirates Environment Group (EEG), Habiba Al Marashi, pointed out that the need of the hour was for all organ isat ions to rise above superficiality and integrate sustainability and social responsibility as part of their core strategy. Despite economic challenges, CSR has not been affected and companies are marching forward with specific and definite policies underscoring their Today, several large organisations are keen to give back to society without expecting any fiscal gains. Friday 29

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Sustainable strategiesEVERAL COMPANIES IN THE UAE have broadened

the scope of corporate social responsibility (CSR)by homing in on eco-friendly projects. Theseprogrammes, they feel, will make the worlda better place. By

~..I

,4 ~....

~\~

.'"L J'Ida TllIIsch,

director, businessdevelopment andmarketing, EWS-WWF

Major business housesalways had a strong head,but now they also seemto possess a large - andgreen - heart.

Till recently manycompanies were onlyworried about theirbottom line. Issues like

community development,eco conservationand adhering to, andencouraging, ecologicallysafe practices rarely featuredon their project plans.

But that has all changed. Todayseveral large organisations are willingto look beyond their immediateshort- and long-term goals and arekeen to give back to society withoutexpecting any fiscal gains.

And they have a name for it- Corporate Social Responsibility(CSR). This is not a compromiseworked out by big companies toplacate their consumers or society.On the contrary it is a hard-edgedbusiness decision that seeks to

enhance a company's profile andbrand equity. Today, CSR is notlimited to sponsoring a musicalevening or helping organise aflower show in aid of a local charity.Organisations today are acutelyaware that they are partners with thegovernment and other administrativeagencies and have to make a moresubstantial contribution towards

community development.It is a culture that is

being nurtured by theexpectation of people.People who want popularbrand-driven organisationsto not just rake in profits,but to also integrate theirgoals with that of thecommunity on a continuedand long-term basis.

Anita Roddick, owner ofThe Body Shop, seemedto get it right. In her book

Business As Usual, she says: "In termsof power and influence... there is nomore powerful institution in societythan business. The businessof business should not be about

money; it should be aboutresponsibility. It should be aboutpublic good, not private greed."

The good news is that there aremany companies in the UAE thathave expanded their roles of CSR andhave made eco-sustainability a veryfocused goal. Several of them haveadopted 'green' projects that may nothave given them instant recognition

or boosted their image overnight,but are sure to have a lasting impacton communities around them.

In collaboration with the

government, environmental agenciesand municipalities, some companieshave proved that they are keen tomake the world a better place.

Dolphin Energy, for instance,has successfully collaborated withthe Abu Dhabi government, andthe Emirates Wildlife Society inassociation with the World WildlifeFund (EWS - WWF) on a two-yearprogramme to revive and conservemany important coral reefs in theUAE and Qatar.

At the recently held CSR ArabiaAwards, the chairman of the EmiratesEnvironment Group (EEG), Habiba AlMarashi, pointed out that the need ofthe hour was for all organ isat ions torise above superficiality and integratesustainability and social responsibilityas part of their core strategy. Despiteeconomic challenges, CSR has notbeen affected and companies aremarching forward with specific anddefinite policies underscoring their

Today, several large

organisations are keen to giveback to society without expecting

any fiscal gains.Friday 29

GNARCHIVE

NataschaEdelmann,head of marketingat Masafi

responsibility to the community andfuture generations.

Dolphin Energy is not alone. The AlFahim group sponsored the Ghaf TreeCampaign to raise public awarenessabout the multiple values of the ghaf,while encouraging UAE nationalsto vote for the ghaf to be designateda natural treasure of the UAE. The

National Bank of Abu Dhabi organisesinternal campaigns to spreadawareness about ecological issues. Italso encourages staff to avoid wastingpaper and to recycle it as best theycan. There's more: there's Geant and

Le Marches no plastic bags initiativeand Al Dar and Emirates Foundation

sponsored the Interactive Enviro-Spellathon, an online environmentaleducational programme aimingto raise awareness about the local

environment among thousands ofschoolchildren across the UAE.

Then there are Nokia and Nokia

Siemens Networks (both part ofWWF climate savers) and Canon

ME which sponsors the polar bearproject in the Arctic to name just afew companies that have taken on thetask of heightening awareness aboutecological issues.

Commenting on this encouragingtrend in the UAE, Ida Tillisch,director of business developmentand marketing, EWS-WWF, says,"Consumers all over the globe aredemanding sustainable goods andservices and want to see companiesdemonstrate that they are working

c6ll~c~ori van on"abusine!;s call--

towards a more sustainable future

and a healthy planet. This of coursecauses sensible companies to takeaction and look into how they canconduct business and at the same

time contribute to improving thelocal environment.

"Many companies have realised thatgrowing their businesses and helpingthe planet are more than compatible,they are complementary. In myopinion CSR is not just a buzzword,it is here to stay, and companies needto implement CSR [practices] in theirlong-term strategies and take action ifthey want to survive in the market."

Joining hands with the governmentA real paradigm shift hashappened; most organisationsare now voluntarily opting foreco-sustainability as part oftheir integrated programme ofeconomic development, acting liketrue collaborators along with thegovernment on social welfare.

"While traditionally it is the

"Consumers all over the globe want

to see firms demonstrate they areworking towards a more sustainable

future," says Ida Tillisch.30 Friday

governments that give businessesenvironmental targets, we saw atthe G-8 recently that many of theworld's leading companies are alrea,ahead on the issue, and are urginggovernments to deliver a strong ,framework to reduce C02 emissions.globally,"says Tillisch. I

'~Iso, we see some of the world's

I

most successful and high-profilecompanies are already leading by

setting aside large sums [of money] ifor eco-conservation. Companies .

[have realised the] benefits of a livin!planet. After all, you can't do busineon a dead planet."

Tillisch believes that over the yearslher organisation and other non-government environmental agencieshave acquired a special role in termsof giving direction and shape to these.CSR policies. "EWS-WWF can helpcompanies, and we have a rangeof tools that we use. On one sideof the. spectrum are the traditionaltools that we use to push businesses,including campaigns, scorecards,etc. But perhaps more interesting isthe growing set of tools that we areusing to pull or positively encouragecompanies to do the right thing.A clear trend in our private sectorengagement is cooperation focusedon solutions, maximising mutualbenefit with a strong element ofchallenge, and encouraging our

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SUPPLIED PHOTO

corporate partners to achieveambitious targets to improve theirenvironmental performance."

In the near future she sees CSR in

the region acquiring a more articulateand well-defined shape. "Thebusiness of business in the UAE, aselsewhere, must be in creating valuefrom products and services that aregood for people and the planet, andin providing solutions to our needsand problems. This is really the onlysustainable option for our planet- and thus the only viable businessplan beyond the very short term."

Tillisch feels that in their tireless

campaign for environmentalsustainability the smallestorganisation with a limited CSRbudget can also playa big rolein financing eco-projects. Everylittle company, however small itmay be, has an important place inthe scheme of things. "Every littledonation helps. In fact we can't do itwithout support from the corporatesector. Of course, if a companyhas a substantial budget for theenvironment, we can implement aconservation or education projectright away. But companies that onlyhave a small budget for CSR can alsohelp significantly by donating perhapsDh5,000 or DhI5,000. We have acorporate membership programmecreated especially for these

KalthamAI Kohejl,regional headof corporatesustainability,HSBCBankMiddle East

companies. It is a great wayfor companies to contributeto environmental projectsand at the same time getinvolved and be introducedto the environmental issuesin the UAEand the region."

Companies in theCorporate MembershipProgramme receiveinformation and advice onhow to get on the routetowards more sustainablebusiness practices while atthe same time contributing to aliving planet. Companies interestedin supporting EWS-WWFcan e-mailTillisch on [email protected]

There are a few companies in theUAEwho have an impressive CSRrecord. They illustrate what impacta responsible organisation can haveon our community. Take for exampleMasafi, HSBCand Shell.

Masafi: A studyin successfulplasticrecyclingMasafi, a leading mineral watercompany in the region since 1976,kicked off a campaign last yearto educate consumers about theimportance of recycling plastic,facilitating collection centres andalso making sure that plastic bottlescollected were disposed of toa recycling company that madenon-food grade plastic.

It was a massive coordinationprogramme for which the companyappointed recycling inspectors andcollection personnel, set up recyclingcentres and launched a campaign inschools and organisations to instil inthem the significance of this venture.

Their efforts paid off, and this yearnearly 34 per cent of the four-gallonPET bottles were redeemed. Nearly179mega-tonnes of plastic weresourced through this campaign tobe sent to the recycling centres. Theorganisation was not only awarded thebusiness achievement award for 2008,but also won the Idea of the Yearaward at the Ideas Arabia Conference.

Natascha Edelmann, head ofmarketing at Masafi is spearheadingthis initiative: "Despite our successfuldiversification over the past threeyears, our natural mineral waterbusiness still contributes 60 per centof our total revenue. The implicationis that we as a company are dependenton nature for a sustainable business,"

she explains. "Masafi'srecognition of thisdependency leads us tofocus on the environmentalplatform of CSR.Wehave developed a 3-tierstrategy that helps us offsetour carbon footprint byinitiatives that are gearedto collecting and disposingof our (and competitor)PET wastes properly andto educate the public andfuture generations.

"In October 2008 we started withour unique corporate recyclingservice. Today we are delightedto announce that we have signedup more government and privateorganisations to the CorporateRecycling Service than ever before.In addition to 24 schools and 10public recycling centres, we havesigned up with 89 companies acrossall of the emirates.

"We have enrolled 52 new partnersin 2009.The natural source atMasafi also dictates our product andpackaging development for all newlaunches and businesses.

"If the attribute of 'natural' is notrespected, we do not pursue it - asthis forms a core pillar of the valuesfor which Masafi stands.

"Last year we introduced the 'browncarton' to reduce the amount of lead-based paint used in design, thereforemaking it more environmentallyfriendly. It's these grassroots, team-building, immediate-result-bringingthings that inspire us. It's a smallworld and it's a small effort - we justhave to keep making them."

HSBC: Conserving anendangered siteFor three years, HSBC worked incollaboration with the EWS-WWF

and Fujairah municipality to conservethe UAE's national heritage, thepicturesque 129-km Wadi Wurayah,an important water resource that hasbeen home to a variety of endangeredspecies of animals such as the Arabiantahr and Arabian leopard. The wadiis located within the Ecoregion127 '~rabian Highlands and Shrublands", one of the WWF Global 200Ecoregions which regroup the richest,rarest and most distinctive of theearth's natural habitats.

A constant monitoring of thearea for three years as part of the

Friday31

Above:For three years, HSBCworked with the EWS-WWFand Fujairah municipality to

conserve the picturesque 129km Wadi Wurayah

an educated society and skilledworkforce living in a healthy andsustainable environment.

"Managing the environmentalfootprint of our global operations isnow firmly embedded throughoutHSBC, and we saw some significantachievements in 2008.

"Globally and locally HSBC hasinvested in new technologies that helpcut costs as well as carbon emissions;we set new targets for water, waste,carbon dioxide and energy usage;and we have taken further stepsto ensure consistent applicationof our sustainability programmesthroughout our operations. Apartfrom the Wadi Wurayah Project,HSBC has also collaborated on a five-year partnership between the bankand The Climate Group, EarthwatchInstitute, Smithsonian TropicalResearch Institute and WWF. HSBC's$100 million investment - the largestever corporate donation to each of

these four world-classenvironmental charities

aims to combat the urgentthreat of climate changeby inspiring action byindividuals, businesses andgovernments worldwide.

"The basis for anyinitiative to protect theenvironment is intrinsicallylinked to ensuring thewelfare of the people. Thisglobal HSBC initiative to

conservation project revealed thepresence of, among others, 12 speciesof mammals, 73 species of birds and17species of reptiles and amphibians.

More than 300 species of plantshave been documented in the area,including species that are foundonly in wetlands such as Typhadomingensis and the unique orchidspecies indigenous to the UAE,Epipactis veratrifolia.

It was a significant achievement,not only for the environmentalagency and the country, but also afeather in the cap for the ongoingCSR programme of the bank.Kaltham Al Koheji, chairperson ofHSBC in the CommunityMiddle East Foundation

discusses the project, "AtHSBC we start from the

premise that what is goodfor society is good forHSBC, because we believethat business and societyare interdependent.

"Strong economic growthis what HSBC relies onto continue to build its

business, and this requires

32 Friday

- ,

~.-..-..

.~.~-.

Omar AI Qurashi,communicationsmanager,Shell MarketsMiddle East

create awareness and take action

now will positively impact uponthe environment."

Shell: A perceptive playerFor many years Shell Middle Easthas been an active partner with thegovernment, working on a varietyof community and environmentalprojects in Dubai and Abu Dhabi.Among some of the more successfulenvironment projects have beenthe coral reef conservation projectoff the Abu Dhabi coast, and theconservation of mangroves, turtles,

etc in collaboration with the Marine IEnvironment and Research Centre I(MERC). A highly successful ongoingproject by Shell is the institution Iof the Better Environment Award I(BEA) for students in the age group Iof 14 to 18 in UAE schools. Citationsand medals are presented to teams

working in the area of atmospheric Lpollution and conservation by doing -things such as recycling paper,plastics., etc. and in the field ofenvironment studies more generally.Shell also supports the Enviro-Spellathon programme that helpsthousands of students acquire arich vocabulary and awareness ofenvironment conservation related

words and concepts through quizzes.Omar Al Qurashi, communications

manager, Shell Markets (Middle East)Limited prefers to call his company'sinitiative sustainable development.

"The sustainable developmentmindset is a way of thinking andof approaching all our day-to-dayactivities," says Omar Al Qurashi.

"Sustainable Development (SD)and Corporate Social Responsibility(CSR) are sometimes usedinterchangeably in external debates.In our organisation we talk aboutsustainable development. Forus, contributing to sustainabledevelopment means helping meetthe world's growing need forenergy in economically, socially andenvironmentally responsible ways.

"The sustainable developmentmindset is a way of thinking andof approaching all our day-to-dayactivities, everyone in the companyneeds to have it. This is embedded inour Business Principles, which since1997have included our commitmentto contribute to sustainabledevelopment. This is how we balanceshort- and long-term interests,integrate economic, environmentaland social considerations intobusiness decisions and regularlyengage with our many stakeholders.This mindset is also about beingdetermined to tackle seeminglyinsurmountable environmental andsocial problems through creativityand perseverance, to secure aresponsible energy future.

"Through our portfolio andproducts, we deliver benefits byproviding the energy that people andmodern economies need in order toprosper, and we help reduce impactsby offering cleaner products likenatural gas and biofuels. Throughour operations we look to deliverlasting economic and social benefits,for example by employing localpeople and using local contractorsand suppliers, and by setting agood example through our businesspractices and ethics.

''At the same time, we work toreduce environmental and socialimpacts in such ways as: safeguardingthe health and safety of ouremployees and neighbours; reducingdisruptions to communities; loweringour emissions including greenhousegases; reducing our impact onbiodiversity; and using less energy,water and other resources.

"It starts with understanding thesocial and environmental impactsand opportunities for both ouroperations and our products. Itcontinues with delivering benefitsand reducing impacts to thecommunities where we operate andto the society as a whole."

He emphasises the differencebetween the two concepts: "InShell we talk about sustainabledevelopment and not corporatesocial responsibility, for the followingreasons:

. CSR,as a title, loses any referenceto improving environmentalperformance. Whereas sustainabledevelopment covers both social andenvironmental dimensions.

. CSR,with its focus on'responsibility', emphasises meetingrequirements or paying back debts,rather than harnessing markets andcapturing new business opportunitiesfrom addressing environmentaland social impacts effectively.Yetharnessing markets is the only wayto get truly large-scale change, andaddress the massive environmentaland social challenges - like climatechange - that the world faces. That ispartly why discussions of CSR tend tofocus on social investment activities.

. Unlike CSR,sustainabledevelopment rightly emphasisesdevelopment in its title, and hencethe central role of economic growthin alleviating poverty (and Shell'sbusiness success).

"In these tough economic times, ourbusiness success depends more thanever on winning and maintaining ourneighbours' trust. Trust depends onrelationships. And relationships areonly built over time: by listening tothe many different points of view ina community."

The change in society has beenslow and gradual, but over the yearsit has gained momentum to becomesubstantial enough for all those stillwaiting in the wings to join the eco-sustainability juggernaut.

- Suchitra Bajpai Chaudhary is

Senior Features Writer, Friday

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