UNDERSTANDING THE ISO 26000 SOCIAL RESPONSIBILITY STANDARD .
UNDERSTANDING THE ISO 26000 SOCIALRESPONSIBILITY STANDARD AND HOW ITRELATES TO AND CAN BE ASSESSED ALONGSIDEOTHER STANDARDSA discussion about social responsibility issues and how they can be managedwithin a business for the benefit of society today and in the futureJANUARY 2011AUTHORRebecca BowensGlobal Product Manager, Sustainability Report Assurance, SGS
ABSTRACTThe purpose of this white paper isto provide an introduction to the ISO26000 standard on Social Responsibility.This document is not intended to bea full explanation of the standard or ofits implementation. Rather, it aims topromote understanding of the standardand its benefits to organisationsadopting socially responsible behaviour,as well as providing information onhow the ISO 26000 standard relates toand can be assessed alongside otherstandards and assessments both at theinternational and national level.CONTENTSI. EXECUTIVE SUMMARY1II. CORPORATE SOCIAL RESPONSIBILITY AND THE ISO 260002III. THE FRAMEWORK FOR SOCIAL RESPONSIBILITY4IV. HOW ISO 26000 RELATES TO OTHER STANDARDS7V. STEPS TOWARDS SOCIAL RESPONSIBILITY14VI. THE BENEFITS OF FOLLOWING ISO 2600015VII. CONCLUSION17I. EXECUTIVE SUMMARYOrganisations today are responsiblefor the impact of their decisionsand activities on society and theenvironment. In addition, legislationin many countries enables accessto detailed information about theactivities of some organisations, whichmeans they are subject to increasedscrutiny by a wide variety of groupsand individuals. In consequence,organisations around the world, and theirstakeholders, are becoming increasinglyaware of the need for and benefitsof socially responsible behaviour. Fora business to be respected it has torespect the environment and respecthuman rights. Every organisationneeds to instigate actions aimed* Reference: ISO 26000:2010 standard1at making the world a better placeboth currently and for generationsto come. Businesses that neglectto incorporate socially responsiblebehaviour into their strategies, systemsand practices are likely to lose outto competitors as customers, staff,stakeholders, investors, businesspartners, governments and communitiesincreasingly decide not to supportcompanies that care little for the planetand the well-being of the people in it.responsible behaviour into existingorganisational strategies, systems,practices and processes*. By lookingat an organisation’s behaviour, theStandard evaluates to what extent ittransparently and ethically:The new ISO 26000 Standard, publishedin November 2010, provides guidanceon the underlying principles of socialresponsibility, the core subjects andissues pertaining to social responsibilityand on ways to integrate socially Is compliant with applicable laws andconsistent with international norms;and Contributes to sustainabledevelopment, including the health andwelfare of society; Takes into account the needs andexpectations of stakeholders; Integrates and implements thesebehaviours throughoutthe organisation.
II. CORPORATE SOCIAL RESPONSIBILITYAND THE ISO 26000WHAT IS SOCIAL RESPONSIBILITY?Social responsibility is a broad subjectand not one than can be overlooked byany organisation that wishes to havea successful future. It is centred ontaking ownership of the impact that anorganisation’s decisions and activitieshave on the society and environmentin which it operates. It is no longer anoption for an organisation to ignoresocial responsibilities as customers andinvestors favour businesses that arecaring and respectful to the world andthe people that exist in it.Corporate social responsibility is nota new concept; acceptable rules ofconduct for businesses and the peoplewithin them have been debated for aslong as business transactions have beenin existence. The 1953 book the ‘SocialResponsibilities of the Businessman’by Howard Bowen is often heralded asthe start of the modern debate aboutthe issues that organisations need toconsider, but it was in the 1970s that thefocus increased. The first considerationwas an organisation’s philanthropicactivity, such as giving to charity. Thisgradually expanded over the years toinclude elements such as labour and fairoperating practices, human rights, theenvironment, countering corruption andconsumer protection.Globalisation and the ease with whichinformation is shared on an internationalscale have majorly affected thenecessity to consistently considerthe affect of business practices. Withthese factors and concerns for globalenvironmental issues and the increasingeconomic interdependence of countriesaround the world, it is no surprise thatsocial responsibility has now cometo the forefront of corporate strategicplanning. There have also been anumber of international instrumentsand agendas that have emphasised thegrowing global interdependence suchas the Rio Declaration on Environmentand Development, the JohannesburgDeclaration of Sustainable Developmentand the Millennium Development Goals.Now, organisations are expected toexhibit their social responsibility throughtransparent and ethical behaviour thatcontributes to, and protects society in anumber of different ways. Organisationsneed to demonstrate explicitly thatthey act within internationally acceptednorms of behaviour at the sametime as complying with the lawsof each country. They also need toclearly contribute to the sustainabledevelopment of the societies theyoperate in, paying careful attention tohealth and welfare issues. In order to doall this effectively an organisation needsto integrate the views and wishes of allstakeholders and ensure that the fullrange of socially responsible behavioursare adopted throughout the organisationand are practised in all relationships.INCREASING AN ORGANISATION’SFOCUS ON SOCIAL RESPONSIBILITYAs organisations realise that if theyneglect to ensure that they are actingin a socially responsible manner theywill lose out to competitors, moreand more are looking for ways tobetter understand the breadth ofresponsibilities they need to consider. Itis a complex subject that applies to allorganisations. Irrespective of their size,line of business or service they need toensure social obligations are met. Thisis where the ISO 26000 Guidance onSocial Responsibility Standard comesin. It has been created to guide alltypes of organisations through the fullrange of issues and actions that needto be taken. By guiding organisationsthrough a myriad of approaches to socialand environmental issues it promotessustainable development on a globalscale. It is not designed to be a thirdparty assessment and certificationStandard, but instead provides aguidance framework that can be usedin conjunction with certified Standards.These could be other international ISOStandards or national level assessments.2
DEVELOPING THE ISO 26000 STANDARDWith such all-encompassing globalimplications one of the most importantattributes of the ISO 26000 Standard isthat it is internationally recognised andsupported. This is not just because ithas been launched by the InternationalOrganization for Standardization (ISO),but is more the result of its extensivemulti-stakeholder development process.There were over 400 experts from 80different countries involved in identifyingthe principles and core subjects relatedto social responsibility along withthe details of how these need to beexhibited by organisations. This in-depthprocess incorporated stakeholders fromgroups such as industry, consumers,3governments, labour, NGOs, service,support and research, among others.The process went even further toensure that a full and complete currentunderstanding of social responsibilitywas reached by involving 60 expertsfrom 34 Liaison Organisations. Theseexperts assisted with internationalleadership twinning processes that alsohelped to identify all the key aspects ofsocial responsibility and how to evaluatethem within the Standard. In addition,the content of the Standard has beensupported through Memorandum’s ofUnderstanding from the ILO, UNGCand OECD.This thorough development processhighlights the global recognition of theneed for organisations to focus on socialresponsibility for the benefit of society,the environment and the world asa whole.ISO Secretary-General Rob Steelenotes: “ whether they are businessenterprises, or public sectororganizations. Operating in a sociallyresponsible manner is no longer anoption. It is becoming a requirement ofsociety worldwide ISO26000 is basedon broad stakeholder input, includingfrom developing countries, business,government, consumers, labour, nongovernmental organisationsand others.”
III. THE FRAMEWORK FORSOCIAL RESPONSIBILITYHOW DOES THE ISO 26000STANDARD FUNCTIONThe ISO 26000 Standardcomprehensively covers the fullrange of current social responsibilityissues. It starts by asking questionsand challenging an organisation interms of the underlying principles ofsocial responsibility – accountability,transparency, ethical behaviour, respectfor stakeholder interests, respect for therule of law and international norms ofbehaviour, and respect for human rights.It then looks at whether the organisationtruly understands social responsibilityand the impacts its activities have onits sphere of influence. This phase alsoincludes guidance on identifying andengaging with stakeholders.STAKEHOLDERS AND the sphere of influenceProfessionalAssociationsCHAIN ofinfluencePartnersShareholdersBanksSUPPLY CHAINSupplier2nd TierSub-contractorASub-contractorA2nd TierSub-contractorBSub-contractorBClients AEmployeesOrganisationDistributorsConsumersClients BSuppliers ofraw aOrganisations have many stakeholders who are affected by their activities anddecisions and they must ensure that they have methods in place to identify thesestakeholders, recognise the issues of concern to their stakeholders and prioritise theactions that will be taken as a result. This may include an evaluation of their sphere ofinfluence as an organisation so that they can target their resources most effectively.4
The third key element of the standardis the social responsibility core subjects– organisational governance, humanrights, labour practices, environment,fair operating practices, consumerissues and community involvementand development. This is where theStandard goes into the most depth bytaking each of the subjects and drillingdown into them to really get to theheart of the questions that need tobe answered. By doing this it quicklybecomes evident how an organisationcan ensure it addresses its socialresponsibilities.THE ISO 26000 SEVEN CORE SUBJECTSHolistic approach6.8*Communityinvolvement anddevelopment6.3*Human rightsOrganisational governance6.7*Consumerissues6.4*Labour practicesORGANISATION6.6*Fair operatingpractices6.5*The environmentInterdependence5* The figures denote the corresponding clause numbers in ISO 26 000Source: ISOThe final phase provides guidanceon putting social responsibility intopractice in an organisation. In mostcases, organisations can build onexisting systems, policies, structuresand networks of the organisation tosignificant issues for the organisation,then building social responsibility forthese issues into procedures andprocesses. Finally, it includes someguidance on communication andachieving improvements.put social responsibility into practice,although some activities are likely tobe conducted in new ways or withconsideration for a broader range offactors. It also includes guidance onidentifying and prioritising the most
THE ISO26000 CLAUSESCLAUSE 4CLAUSE 5Two fundamental practices of social responsibilitySeven principles ofsocial responsibilityAccountabilityRecognising socialresponsibilityStakeholder identificationand engagementCLAUSE 6TransparencySocial responsibility core subjectsEthical behaviourRespect for stakeholderinterestsOrganisational governanceHuman rightsLabourpracticesTheenvironmentFair operatingpracticesCommunityinvolvement anddevelopmentConsumerissuesCLAUSE 7Respect forinternational normsof behaviourRespect forhuman rightsIntegrating social responsibility throughout an organisationThe relationship ofan organisation scharacteristics tosocial responsibilityVoluntary initiatives forsocial responsibilityReviewing and improvingan organization s actionsand practices related tosocial responsibilityUnderstanding the socialresponsibility ofthe organisationPractices forintegrating socialresponsibilitythroughoutan organisationSustainable developmentRelated actions and expectationsRespect for therule of lawCommunication onsocial responsibilityEnhancing credibilityregarding socialresponsibilityAnnex: Examples of voluntary initiatives and tools for social responsibilityReference: ISO 26000:2010 Standard6
IV. HOW ISO 26000 RELATES TOOTHER STANDARDSOTHER SERVICES RELATED TO SOCIAL RESPONSIBILITYWhile the ISO 26000 Standard offers a guidance framework it has close synergies with other standards, guides and internationalinstruments related to Social Responsibility and continuous improvement and can be assessed alongside them. In some instances thiscan be in the form of a joint assessment. The below details the assessments that are closely linked to each clause of the ISO 26000:Standards related to ISO 26000 Clause 4: PrinciplesMany standards require commitments to comply with legal and other requirements in relevant socially responsible areas suchas environment, occupational health and safety, and labour issues. Therefore organisations using these standards are likely to beadhering to some of the principles in ISO26000 already. Some of the standards below address other ISO26000 principles, such asthose relating to accountability, transparency and respect for stakeholder interests. UN Global Compact – allowsbusinesses to commit to aligningtheir operations and strategies withten universally accepted principlesin the areas of human rights, labour,environment and anti-corruption AA1000 Accountability PrinciplesStandard – provides a frameworkfor an organisation to identify,prioritise and respond to itssustainability challenges throughcommitments to three key principles– Stakeholder Inclusivity, Materialityand Responsiveness. One of theaims of the standard is to enableorganisations to be accountable totheir stakeholders and to respecttheir interests. GRI – creates conditions for thetransparent and reliable exchange ofsustainability information ISO14001:2004 EnvironmentalManagement System Certification– demonstrates an organisations’environmental responsibility andrequires commitment tolegal compliance OHSAS18001 – enables organisationsto manage operational risks andimprove performance and requires acommitment to legal compliance Equator Principles – benchmark fordetermining, assessing and managingsocial and environmental risk inproject financing SA8000 Certification / SocialAccountability – encouragesorganisations to develop, maintain andapply socially acceptable practicesin the workplace and requirescommitments to legal compliance andrespect for international norms andhuman rights Codes of Conduct on workplaceconditions (e.g. BSCI, CIS, EICC,ETI, FLA, WRAP) – require memberorganisations to comply with allelements with the codes includingcommitments to legal complianceand respect for international normsof behaviour, in particular withreference to human rights and labourpractices. Some of these codes alsoexpect organisations to engage withstakeholders, in particular employeesand suppliers.CLAUSE 4 - PRINCIPLES UN Global Compact AA1000 Accountability Principles Standard GRI ISO14001:2004 Environmental Management System CertificationISO 26000 OHSAS18001 Equator Principles SA8000 Certification / Social Accountability Codes of Conduct on workplace conditions(e.g. BSCI, CIS, EICC, ETI, FLA, WRAP)7
Standards related to ISO 26000 Clause 5:Recognising Social Responsibility and Engaging with StakeholdersStakeholder engagement is not a new concept and most organisations engage with a variety of stakeholders on relevant socialresponsibility issues. However, it is important to ensure that all stakeholders are identified and the relevant issues are recognised.This enables an organisation to determine engagement and improvement priorities while ensuring voice-less stakeholders are notignored. Specific standards in relation to stakeholder engagement are already available and other standards also make reference tospecific stakeholders and issues. In addition, some standards require an organisation to develop methodologies for identification ofsignificant issues. These methodologies could then be expanded to address the full range of social responsibility issues includedin ISO26000. AA1000 Accountability PrinciplesStandard – provides a framework foran organisation to identify, prioritiseand respond to its sustainabilitychallenges. The standard requiresorganizations to adhere to theprinciple of Inclusivity whichinvolves stakeholder engagement tounderstand the issues of concern tostakeholders and to prioritise issuesin terms of significance – this is linkedto the principle of materiality whichrequires organizations to take intoaccount the views of stakeholders indetermination of significant issues. AA1000 Stakeholder EngagementStandard – provides a framework tohelp organisations ensure stakeholderengagement processes are purposedriven, robust and deliver results- AA1000 Stakeholder EngagementManual – Volume 2 – PractitionersGuidance - Provides methodologiesand tools for stakeholderengagement SA8000 Certification / SocialAccountability – encouragesorganisations to develop, maintainand apply socially acceptablepractices in the workplace andincludes a requirement for outsidecommunication and stakeholderengagement BS 8900 Guidance for ManagingSustainable Development – helpsorganisations to develop an approachto sustainable development BS 8901 Sustainable EventManagement System – definesthe specification for a sustainabilitymanagement system for eventmanagement certificationCLAUSE 5 - Recognising Social Responsibility and Engaging with Stakeholders AA1000 Accountability Principles Standard AA1000 Stakeholder Engagement StandardISO 26000- AA1000 Stakeholder Engagement Manual SA8000 Certification / Social Accountability BS 8900 Guidance for Managing Sustainable Development BS 8901 Sustainable Event Management System8
Standards related to ISO 26000 Clause 6: Core Social Responsibility SubjectsThere are many existing and planned standards that refer to elements of the of ISO26000 Clause 6 core subjects. Annex A of thestandard contains a table with brief information on some, but it is not comprehensive, and other ISO standards and internationalinstruments are also referenced throughout the standard and bibliography. Organisations using these other standards candetermine whether the Clause 6 actions and the applicable core subject principles are already being met through their existingsystems or whether procedural changes are needed.Human Rights: SA8000 Certification / SocialAccountability – encouragesorganisations to develop, maintain andapply socially acceptable practices inthe workplace UN Global Compact – allowsbusinesses to commit to aligningtheir operations and strategies withten universally accepted principlesin the areas of human rights, labour,environment and anti-corruption GRI – creates conditions for thetransparent and reliable exchange ofsustainability information Equator Principles – benchmark fordetermining, assessing and managingsocial and environmental risk inproject financing Codes of Conduct on workplaceconditions (e.g. BSCI, CIS, EICC, ETI,FLA, WRAP) – set standardsfor performance in relation to forcedand child labour, discrimination,freedom of association anddisciplinary proceduresLabour practices: SA8000 Certification / SocialAccountability – encouragesorganisations to develop, maintain andapply socially acceptable practices inthe workplace OHSAS18001 – enables organisationsto manage operational risks
II. CORPORATE SOCIAL RESPONSIBILITY AND THE ISO 26000 2 III. THE fRAmEWORK fOR SOCIAL RESPONSIBILITY 4 IV. HOW ISO 26000 RELATES TO OTHER STANDARDS 7 V. STEPS TOWARDS SOCIAL RESPONSIBILITY 14 VI. THE BENEfITS Of fOLLOWING ISO 26000 15 VII. CONCLUSION 17 CONTENTS ABSTRACT The purpose of this white paper is to provide an introduction to the ISO
Member of US TAG for ISO 26000. Framework for the Session. 1. Introduction (5 minutes) 2. Background on ISO 26000 (15 minutes) 3. Ways ISO 26000 is already being used globally (15 minutes) 4. Suggestions for use of ISO 26000 by US companies (15 minutes) 5. Issues and questions raised by the audience (40 minutes) Carolyn Schmidt, Panelist .
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For first award of AS level in Summer 2017 For first award of A level in Summer 2018 Subject Code: 3210 CCEA GCE Specification in Business Studies Version 3: 13 November 2018. Version 3: 8 November 2018 . Contents . 1 Introduction 3 . 1.1 Aims 4 1.2 Key features 4 1.3 Prior attainment 4 1.4 Classification codes and subject combinations 4 . 2 Specification at a Glance 5 3 Subject Content 6 . 3 .
