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25 September 2014

AFTERNOON TEA: Evaluation methods of CSR and their practical usage

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TNT Express, Heineken, PwC – global companies strong in their CSR strategies shared their best practices with the members of the Netherlands-Czech Chamber of Commerce (NCCC).

The event took place in the TNT Express premises in Chrášťany, Prague – West, on 10th June and we would like to thank them for their great organization.

TNT provides a wide range of transportation and express services to business and consumers in 200 countries and works with about 77.000 employees. This globally responsible company operates with about 30.000 cars and 46 cargo planes. Petra Zděnková, Quality Development & Corporate Responsibility Manager, gave us an overview of applied assessment methods of CSR evaluation: Exact methods + Index and benchmarketing methods. Czech KORP method is based on internationally certified systems: Global Reporting Initiative (GRI), EFQM and CAF and has two evaluation levels – Internal (realisedbased on knowledge of the team members and valid company documents, output = CSR report) and External (based on a CSR report and evaluation by externs, output = score for National Award for CSR). The human rights and improvement of working conditions are a main standard requirement of SA 8000 (Social Accountability). OECD Guidelines for Multinational Enterprises are an International code of ethical principles, obligatory for governments, voluntary for multinational organizations.

Exact methods: AA 1000 (Accountability/Assurance Standard) is a generally applicable standard for all types of organizations focused on verifying the integrity and quality of reporting (economic, social, environmental and ethical responsibilities). London Benchmarking Group (LBG) accurately defines the costs incurred on donor activities and determines the eff ects of their impact. Other used exact methods: SAN Ltd. (Social Audit Network), ISO 26000:2011 – Guidance on Social Responsibility.

Index and benchmarketing methods:

• Measurement based on the content analysis of annual reports. The availability of the information is definitely an advantage. On the other hand, input data could be inconsistent and the approach in the scope and content of the published reports could be different.

• Measurement based on knowledge gained from the questionnaires. It is easily compiled and applicable but there is a risk of accidental or deliberate distortion of actual respondents

• Pollution index/indicator

• Information obtained from credit rating agencies.

Radka Nedvědová, manager at PricewaterhouseCoopers, introduced to us the sustainability reporting principles of the Global Reporting Initiative (GRI) / G4 Guidelines, together with general and specific disclosure requirements (detailed information available on Radka Nedvědová coordinated the discussion about prioritization and the balance between the social, environmental and economic aspects, as those are always the most difficult questions from the company leaders and “CSR beginners” to be answered. Every company is different and you should always responsibly consider all three aspects together.

Heineken is the no. 1 beer producer in Europe, the no. 2 worldwide and the no. 3 in the Czech Republic. A global company influencing consumers in 70 countries worldwide. Brewing a better future requires thinking ecologically and an interest in their social impact. Jiří Hauptmann, Head of Corporate Relations and Public Affairs, explained to us that in practice, each department in their company (e.g. Marketing, Sales, Logistics) have their own priorities and focus on the measured facts, e.g. promoting responsible consumption, water resources protection, reducing water consumption, CO2 reduction from production/cooling/distribution). Planning is an important part of the strategy – e.g. quarterly analysis, yearly plan, further visions. Data availability, internal functional system available for monthly reporting, transparency, sustainable purchases, support of local businesses, regular discussions with professionals – those are just some of the important strategies which help the company to be a market leader.

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