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IBLF Insight: Voluntary coalitions - in crisis or just growing up

Building on his comments in a Financial Times article on 9 June, IBLF's Acting CEO Graham Baxter explains why voluntary coalitions risk losing their potency when they become detached from the leadership agenda

IBLF Insight: Voluntary coalitions - in crisis or just growing up

Building on his comments in a Financial Times article on 9 June, IBLF's Acting CEO Graham Baxter explains why voluntary coalitions risk losing their potency when they become detached from the leadership agenda

Published 06-10-10

Submitted by International Business Leaders Forum

Graham Baxter, Acting CEO, IBLF

"Once leadership of the agenda for tackling specific corporate responsibility challenges moves from the CEOs office to the operational areas, there is a natural shift to focusing more on compliance - about the tactics needed to meet and stay within the prescribed limits. The strategic imperative of staying engaged with evolving social expectations on responsible business - to shape, set and drive new frontiers in responsible behaviour - starts to take a back seat. That is when commoditisation and complacency can set in," explains Graham.

These considerations come at a time when there is some question about the viability of consensus-based, multilateral approaches to sustainability challenges.

"The case for working in a multi-stakeholder group remains strong and of course requires operating units to be engaged. Fine HQ commitments butter no parsnips in the company's operating centres. However, like any other organism, these groups need to evolve to stay ahead. There are coalitions that have been effective in delivering benefits to the security, safety and accountability to communities affected by company activities. They have made a huge difference to the lives and livelihoods of those people."

IBLF's long-standing experience of the efficacy of multi-stakeholder approaches includes co-hosting the secretariat for the Voluntary Principles on Security and Human Rights initiative. This tripartite, multi-stakeholder coalition marked its tenth anniversary this year amidst claims that despite the backing of the major oil, gas and mining companies, the UK, USA, Canadian and Norwegian Governments as well as International NGOs, the initiative is showing signs of mid-life crisis.

Building on his comments in the Financial Times on 8 June 2010, Graham explains, "I do not accept that the work of the Voluntary Principles is done. I do believe, however, that it needs to go back on the agenda of the CEO and his or her executive team. They have to grab the ball back and run with it. Without that commitment and support, it runs the risk of being seen to be ineffective at least or 'greenwash' at worst."

IBLF has a long proven track record in helping make the case for business' role in society. Graham states, "Our vision is of a world in which business behaves responsibly in all aspects of its performance and makes a positive contribution to society. We play our part in this by promoting business responsibility globally through standard setting, creative engagement and collaborative action. Business can only operate profitably over the long term in communities that are sustainable. Equally, communities are dependent on private sector development for their sustainability."

IBLF supports the profitability of business and the sustainability of communities by helping leaders successfully integrate responsible business practices into their businesses. The organisation brings together multiple stakeholders to collectively address local and global development challenges.

Through its programme The Partnering Initiative, IBLF is an acknowledged premier thought leader and practitioner in cross-sector partnerships, with 20 years' experience of developing partnership methodologies and educating people in their use and delivering collective action on the ground.

Along with the Voluntary Principles, IBLF is also the preferred facilitation and secretariat partner for other networks - such as UK Network of the UN Global Compact, Business Call to Action, Roll Back Malaria - bringing into play its valuable role as a neutral facilitator, unaligned to any political, partisan or national interests.

International Business Leaders Forum

International Business Leaders Forum

The International Business Leaders Forum (IBLF) is an independent, not-for-profit organisation working with business leaders and their companies to manage sustainabile programmes worldwide. Headquartered in London, IBLF has regional offices spanning Asia-Pacific, Russia and North America.

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