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CSR and Stakeholders: definitions, maps, configurations and strategies

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François Mangin

The document outlines a corporate social responsibility and business ethics session focused on stakeholder engagement, defining stakeholders and their roles in sustainable development. It covers strategies for stakeholder management, the significance of engagement in decision-making processes, and various techniques for lobbying and addressing controversies. Additionally, it emphasizes the importance of stakeholder interactions in shaping corporate strategies and public policies.

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samedi 13 février 2016 111 CORPORATE SOCIAL RESPONSIBILITY & BUSINESS ETHICS Session 2 : The company and the stakeholders François MANGIN 2015-2016
samedi 13 février 2016 222 The company and the stakeholders
samedi 13 février 2016 333 Session 2 Learning objectives By the end of the session, each student is able to:  Explain what a stakeholder is and the role stakeholders play in the Sustainable Development agenda;  In a given situation, identify, qualify and map stakeholders  Present and explain the configurations of stakeholder management a company can engage in, and list the specific stakes of each one,  Present and explain the method and the tools for engaging stakeholders in strategy design and in the projects to be implemented by the company;  Explain and use the concepts that allow to identify the way a controversial situation is structured, and to predict its developments;  Present the stakes of stakeholder engagement in the public decision- making processes ;  Explain and identify the main techniques of lobbying that stakeholders use, as well as the way for a more responsible lobbying;  Critically assess companies’ stakeholder engagement and lobbying practices.
samedi 13 février 2016 444 Session 2 outline 1. Stakeholders: concept, definition et roles 2. The company and its stakeholders 3. Dealing with the stakeholders: configurations, strategies and tools – Designing the strategy – Implementing a project – Facing a controversy 4. The State and its stakeholders: – Public decision-making and private interests – Lobbying: stakeholders in action
samedi 13 février 2016 555 1 Stakeholders Concept, Definition & Roles
samedi 13 février 2016 666 Stakeholder Person, group, organization: • Whose interests are impacted by the operations or by a project • That has an influence on the operations or on the project
samedi 13 février 2016 777 Impacts & reactions Operations Project Impacts Affected interests Reactions
samedi 13 février 2016 888 Activity or Project: X Stakeholder Interests Impacts of the activity or project Stance / activity or projectPositive Negative Vedanta Orissa State … Analysis grid
samedi 13 février 2016 999 Roles of the stakeholders • Representing interests • Increasing the perception and understanding of the impact of the operations or of the project  Adding decision criteria  Improving decisions
samedi 13 février 2016 101010 Interests & representation • Non represented interests – Shareholders – Suppliers • Collectively represented interests – « Ad-hoc » associations – Consumers associations, NGOs… – Business associations, unions… • Commons (e.g.: biodiversity) – NGOs… • Who represents the general interest ? (to be continued…)
samedi 13 février 2016 111111 Areas of action for stakeholders • Entering into dialogue with: – Public bodies – Companies • Seeking information for assessing impacts • Advocating and creating public awareness – Campaigns – Involvement in controversies • Legal representation and lawsuit – Standing (locus standi) – Class action – Implementing soft law through lawsuits
samedi 13 février 2016 121212 Class action A procedural device that permits: • one or more plaintiffs to file and prosecute a lawsuit on behalf of a larger group, or "class" • to claim damages that will be paid to each member of the class, even if they were not personally party to the proceedings.
samedi 13 février 2016 131313 Synthesis: • A stakeholder represents an interest that is affected by the operations or a project and/or can influence it. • Stakeholder engagement is a key component of SD and CSR by giving to the public and corporate decision-makers the means to take more sustainable and responsible decisions. • An important stake: giving voice (including by lawsuit) to some up-to-now neglected stakeholders.
samedi 13 février 2016 141414 2 The company and its stakeholders
samedi 13 février 2016 151515 One concept, 3 perspectives Dealing with demands • The manager must deal with other demands than those of shareholders Procuring Resources • The company depends of external resources to pursue its strategy Contributing to the social good • The company must take into account its externalities
samedi 13 février 2016 161616 Typical stakeholders Company Shareholders External auditors Standards Setters Banks & Creditors Investors Prescriptors Customers Users Competitors Suppliers Sub- contractors Funders Experts Medias & social networks Lobbies Working population Employees Unions Local authorities Side residents Legislators Regulatory bodies Courts Citizens
samedi 13 février 2016 171717 3 major categories Stakeholders to whom the company has legal, financial or operational responsibilities Stakeholders who can directly or indirectly influence the company’s decisions and performance Stakeholders who are affected by the company’s decisions and activities
samedi 13 février 2016 181818
samedi 13 février 2016 191919 Closeness & Frequency • Members of the company • Employees • Managers • Works Council, Health & Safety Committee Internal Stakehold. Close and frequent relationships: • Customers • Suppliers… External Stakehold. Infrequent and loose relationships • Nearby residents • Local government • Medias Distant Stakehold.
samedi 13 février 2016 202020 Company’s dependency Secondary Stakeholder Low or moderate dependency NGOs, consumers associations, communities, government, medias… Primary Stakeholder Critical dependency Shareholders, managers, employees, suppliers and customers, et clients, providers of licenses to operate, creditors…
samedi 13 février 2016 212121 Stakeholders
samedi 13 février 2016 222222 Engaging stakeholders • Who? – stakeholder selection • Why? – objectives of the relationship • How? – means and medias • Which level of involvement in the decision- making process? • Which level of influence on the decisions?
samedi 13 février 2016 232323 Stakeholder engagement Employés •Dialogue avec Rep. du personnel •Forums libre expression •Enquêtes de satisfaction •Formation Patients •Panels de patients •Panels d’assoc. de patients Prof. de santé •Groupes de travail •Réunions scientifiques •Études cliniques •Enquêtes de satisfaction Régulateurs •Études cliniques •Négociation des prix et des remboursements Fournisseurs •Sensibilisation aux droits de l’homme, conditions de travail et environnement •Évaluation Concurrents •Participation aux instances professionnelles du secteur Agences de notation •Réponses aux enquêtes et aux questions Investisseurs •Réunions d’analystes •Réponse aux questionnaires •Roadshows •Interactions avec agences proxy et agences d’évaluation ESG Actionnaires individuels •Conseil consultatif •Réunions spécifiques (F) •Assemblée générale •Salons (F, USA) ONG •Initiatives mixtes •Réponse aux questionnaires •Participation à des forums •Enquêtes de satisfaction Citoyens •Forums de consultation Communautés locales •Panels de riverains •Dialogue avec autorités locales
samedi 13 février 2016 242424 Types of relationship Information Consultation Dialogue Negotiation Association Integration Mandatory Further Readings on Moodle Critical Friends: Engaging stakeholders
samedi 13 février 2016 252525
samedi 13 février 2016 262626 Compliance or Commitment? Rational Commitment Regular and deep relationships with internal and external stakeholders Dialogue with critical stakeholders Radical activism Employees are members of the Board Partnerships with some critical stakeholders Social Mimetism Infrequent consultation with some non critical external stakeholders Legal Compliance Information of stakeholders to whom the company has legal, financial or operational responsibilities Risk management Commitment
samedi 13 février 2016 272727 Synthesis: • Stakeholders engagement is a fundamental part of CSR/SD, to prevent externalities and making better decisions. • Beyond the principle of “dialogue”, the way stakeholder engagement is implemented is a key indicator of a strong and genuine commitment in CSR/SD.
samedi 13 février 2016 282828 3 Contexts of interaction
samedi 13 février 2016 292929 3 configurations
samedi 13 février 2016 303030 3.1 Stakeholders and the design of the strategy
samedi 13 février 2016 313131 Aligning CSR strategy with the strategy Stakes and Impacts Assessment Choice of areas for action Projects Objectives Indicators Implementation Control and Outcomes’ Measurement Communication and CSR Reporting Stake- holders Stake- holders
samedi 13 février 2016 323232 Selecting the stakeholders
samedi 13 février 2016 333333 Materiality Analysis Method that compares the importance of CSR/DD issues: • to the stakeholders’ eyes • to the company’s eyes and represents the positions in a materiality matrix.
samedi 13 février 2016 343434 Positioning then selecting the issues Responsible Critical Not pertinent Strategic Stakeholders’ opinion on the importance of the issues Company’s assessment on the importance of the issues • Stakeholder Consultation • Benchmarking international companies • Media Review • Analyzing external questionnaires from extra-financial agencies and investors
samedi 13 février 2016 353535 The company’s view: 5 criteria for selecting the CSR/SD issues: A. Issues with short-term financial consequences B. Issues in alignment with the strategic commitments of the company C. Issues generally considered as pertinent by the industry D. Issues sufficiently important to the stakeholders’ eyes for creating their present or future involvement E. Issues that will be subject to standards in the future D’après: Zadek & Merme: Redfining materiality - Accountability, 2003
samedi 13 février 2016 363636
samedi 13 février 2016 373737 Compliance or Commitment? Rational Commitment Enlarged sphere of influence CSR issues with some impact from/on the core business Radical activism Large sphere of Influence CSR issues that will request major changes of the core business Social Mimetism Limited sphere of influence Anecdotal CSR issues with no impact from/on the core business Legal Compliance Minimalist CSR Reporting (if mandatory) Risk management Commitment
samedi 13 février 2016 383838 3.2 Implementing a project
samedi 13 février 2016 393939 Specific stakes • Technical issues • Assessing the impacts of the project • Reducing/Compensating the negative impacts • Political stakes • Finding allies • Defusing oppositions
samedi 13 février 2016 404040 Impacts, reactions… & influence Project Impacts Affected interests Reactions Resources Allies
samedi 13 février 2016 414141 Stakeholder Interests Impacts Resources Influence Stance Positive Negative Present Required Side residents Local authorities Political opponents Chamber of Commerce Environmental Activists … Stances analysis
samedi 13 février 2016 424242 Stakeholder mapping Using two differentiation criteria and drawing a matrix to : • identify high priority stakeholders • define the relationship to establish • Objectives • Means
samedi 13 février 2016 434343 Typical matrix SH SH SH SH SH SH SH Differentiation Criteria #1 High Low Differentiation Criteria #2 HighLow
samedi 13 février 2016 444444 Power/Dynamism matrix Low risk stakeholders Unpredictable but manageable stakeholders Predictable risk stakeholders High risk & hardly manageable stakeholders Power on the decision- maker/the project Aptitude for action HighLow High Low D’après Gardner, Rachlin and Sweeney (1986) Handbook of Strategic Planning, Wiley
samedi 13 février 2016 454545 Power/Interest matrix Marginal stakeholders: no effort needed Stakeholders to keep informed Stakeholders to keep satisfied Critical stakeholders: establish continuous and satisfying relationships Interest for the issue HighLow High Low Power on the decision- maker/the project D’après Mendelow, A. (1991) ‘Stakeholder Mapping’, Proceedings of the 2nd Int’l Conference on Information Systems, Cambridge, MA
samedi 13 février 2016 464646 Influence/Support matrix Silent Opponents Monitor the influence Supporters Keep satisfied, try to enlarge their audience Negative Leaders Try to convince, but not reinforce Promoters Support and empower Influence on other stakeholders Stance on the project SupportOpposition High Low D’après Anderson, Brsyson & Crosby (1999): Leadership for the Commun Good, University of Minnesota, Saint Paul ,MN
samedi 13 février 2016 474747 Risks • Purely political approach, without reassessing the impacts or/and improving the compensations • Perceptions of the project leader vs reality – Biased stakeholder selection – Low understanding of the prevailing stakes – Deficient assessment of the power and influence of allies and opponents • Fast changing stances of stakeholders • New stakeholders involved
samedi 13 février 2016 484848 Compliance or Commitment? Rational Commitment Implementation of tailored compensation programs and changes in the project to reduce impacts Radical activism Reassessment and even withdrawal of the project after extensive impact reassessment Social Mimetism Implementation of ready- made compensation actions with no change in the project Legal Compliance Formal compliance with consultation regulations… and no taking into accounts of its results Risk management Commitment
samedi 13 février 2016 494949 Mondavi Case
samedi 13 février 2016 505050 3.3 Facing a controversy
samedi 13 février 2016 515151 Specific stakes • Context: – Project becoming highly controversial – Industrial accident, scandal… • Political stakes • Defusing criticism and opposition • Controlling the escalation risks • Containing or deflecting attacks • Communication stakes • Dealing with media and social network involvement • Crisis communication
samedi 13 février 2016 525252 Medias & publics Opponent SH Criticizing SH Supportive SH Partner SH General public Medias & Social Networks Attentive public Interested public Identifiying public Neutral SH Neutral SH D’après Padiloleau: La lutte politique quotidienne, in l’Etat au concret, 1982
samedi 13 février 2016 535353 Responding to controversies • Mobilizing • New stakeholders • Medias & Social networks • Alliances and Coalitions • (Re)defining the situation – Providing an interpretative framework • Sense giving & sense making – Scaling up by repositioning the situation in more global (and often pre-existing) debates, that will help to mobilizing new allies
samedi 13 février 2016 545454 Mondavi’s project: Job creation? Promotion of Aniane’s terroir and wines? Economic development Tourism? Small winegrowers and young applicants eviction? Victory of the branded wine over the terroir wine? Submission to the US big business? Loss of national sovereignty?
samedi 13 février 2016 555555 Synthesis: Configuration: • Objective: • Stakes: • Stakeholder selection • Method • Level of control • Tools Strategic Design • Designing a CSR strategy • Creating consensus and involvement • By the decision- maker • Rational and open • Predictable High • Materiality matrix Project • Implementing the project • Anticipating & involving opinion leaders • By the decision - maker depending on the situation • Prospective and political • Predictable High but can decrease • Mapping & Public relations Controversy • Getting out of a controversy • Defending oneself against charges Finding allies • Depending on the situation • Reactive & Defensive • Unpredictable Very low • Mapping & Lobbying
samedi 13 février 2016 565656 4 The State and the stakeholders
samedi 13 février 2016 575757 4.1 Public decision-making and individual interests
samedi 13 février 2016 585858 2 perspectives on the general interest • The general interest is greater than the sum of individual interests. It is of a different nature. • Higher Civil Servants are the protectors of the general interest • They have the expertise to assess and make decisions • Civil society and intermediate bodies are kept away from public decision • Symbol: the “Grands Corps de l'Etat” and the rejection of “lobbies” • The general interest is, at some point, a compromise between the interests. • Civil servants did not have a monopoly on the expertise nor the definition of the public interest • They solicit civil society and intermediate bodies for information and to take account of all the consequences • Symbol: the parliamentary committee hearings and lobbies
samedi 13 février 2016 595959 Grenelle de l’environnement a political innovation in France 5 stakeholder groups State, local authorities, Business, Unions, NGOs Steps and means • Public & stakeholders consultations • Negotiations of the agendas • Legal implementation – Grenelle 1 Bill (Aug 2009) – Grenelle 2 Bill (July 2010) • Voluntary commitments
samedi 13 février 2016 606060 Engaging stakeholders • Call for contributions and inquiries before launching a legislative process or a project • Steering consultative committees
samedi 13 février 2016 616161
samedi 13 février 2016 626262
samedi 13 février 2016 636363 4.2 Lobbying Stakeholders in action
samedi 13 février 2016 646464 Lobbying Contribution of specific interests to the elaboration of public policies and to the legislative process, aiming: • to improve public understanding, visibility and the legitimacy of their activities and interests; • to provide policy-makers and stakeholders with information to advise them of the consequences and the effective scope of legislative proposals and policies.
samedi 13 février 2016 656565 Lobby Representative of interests who informs and influences the public decision-makers, in order to have them taking into account these interests
samedi 13 février 2016 666666 Tools & techniques Documentation Impact studies Expertise Arguments Scale up! Communication Opinion makers Medias & social networks Publics
samedi 13 février 2016 676767 Arguing • Putting forward the general interest • Overstating – the impact magnitude (e.g. implementation issues, costs) – the number of affected stakeholders • Scaling up – Will ease the identification and mobilization of other stakeholders, yet not involved • Hiding vested interests behind the general interest or specific but more legitimate interests – Staying behind larger interests – Putting the smallest and weakest in the forefront
samedi 13 février 2016 686868 At what step? • Early (pre-law/decision) phases – Preparatory works/Hearings – Law proposals/projects – Commissions – Amendments • Post-law/decision phases – Constitutional review (for a law) – Implementation regulation (time for entry to force, detailed provisions): executive decrees, transposition of European directives… – Legal remedies…
samedi 13 février 2016 696969 Triggering the public decision- making process Initiate a debate for getting the legislature or the government to change the law • Campaigns • Legal action – Voluntary offence – Lawsuit – Remedy of unconstitutionality, of non-compliance with the European Union rules… • Controversies
samedi 13 février 2016 707070
samedi 13 février 2016 717171 For a democratic lobbying Transparency Traceability of the legislative process Integrity in the relationship controlling conflict or interests & influence pedding Fair access Mandatory Further Readings on Moodle Dossier: Lobbying landscape in France & AXA policy.
samedi 13 février 2016 727272 Synthesis: • Companies and business are legitimate stakeholders for the public-decision making. • All stakeholders (including NGOs) are using lobbying techniques in order to defend and promote the interests they are representing. • The real stake is to establish a level playing field for all stakeholders. • Two issues are remaining: • What is the representativeness threshold? • What is the general interest, who defines it and how? Mandatory Further Readings on Moodle Emilien Matter et Xavier Schmitt. « La société civile, entre devoir d’alerte et droit au chantage ». Slate.fr, 3 avril 2012

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CSR and Stakeholders: definitions, maps, configurations and strategies

  • 1. samedi 13 février 2016 111 CORPORATE SOCIAL RESPONSIBILITY & BUSINESS ETHICS Session 2 : The company and the stakeholders François MANGIN 2015-2016
  • 2. samedi 13 février 2016 222 The company and the stakeholders
  • 3. samedi 13 février 2016 333 Session 2 Learning objectives By the end of the session, each student is able to:  Explain what a stakeholder is and the role stakeholders play in the Sustainable Development agenda;  In a given situation, identify, qualify and map stakeholders  Present and explain the configurations of stakeholder management a company can engage in, and list the specific stakes of each one,  Present and explain the method and the tools for engaging stakeholders in strategy design and in the projects to be implemented by the company;  Explain and use the concepts that allow to identify the way a controversial situation is structured, and to predict its developments;  Present the stakes of stakeholder engagement in the public decision- making processes ;  Explain and identify the main techniques of lobbying that stakeholders use, as well as the way for a more responsible lobbying;  Critically assess companies’ stakeholder engagement and lobbying practices.
  • 4. samedi 13 février 2016 444 Session 2 outline 1. Stakeholders: concept, definition et roles 2. The company and its stakeholders 3. Dealing with the stakeholders: configurations, strategies and tools – Designing the strategy – Implementing a project – Facing a controversy 4. The State and its stakeholders: – Public decision-making and private interests – Lobbying: stakeholders in action
  • 5. samedi 13 février 2016 555 1 Stakeholders Concept, Definition & Roles
  • 6. samedi 13 février 2016 666 Stakeholder Person, group, organization: • Whose interests are impacted by the operations or by a project • That has an influence on the operations or on the project
  • 7. samedi 13 février 2016 777 Impacts & reactions Operations Project Impacts Affected interests Reactions
  • 8. samedi 13 février 2016 888 Activity or Project: X Stakeholder Interests Impacts of the activity or project Stance / activity or projectPositive Negative Vedanta Orissa State … Analysis grid
  • 9. samedi 13 février 2016 999 Roles of the stakeholders • Representing interests • Increasing the perception and understanding of the impact of the operations or of the project  Adding decision criteria  Improving decisions
  • 10. samedi 13 février 2016 101010 Interests & representation • Non represented interests – Shareholders – Suppliers • Collectively represented interests – « Ad-hoc » associations – Consumers associations, NGOs… – Business associations, unions… • Commons (e.g.: biodiversity) – NGOs… • Who represents the general interest ? (to be continued…)
  • 11. samedi 13 février 2016 111111 Areas of action for stakeholders • Entering into dialogue with: – Public bodies – Companies • Seeking information for assessing impacts • Advocating and creating public awareness – Campaigns – Involvement in controversies • Legal representation and lawsuit – Standing (locus standi) – Class action – Implementing soft law through lawsuits
  • 12. samedi 13 février 2016 121212 Class action A procedural device that permits: • one or more plaintiffs to file and prosecute a lawsuit on behalf of a larger group, or "class" • to claim damages that will be paid to each member of the class, even if they were not personally party to the proceedings.
  • 13. samedi 13 février 2016 131313 Synthesis: • A stakeholder represents an interest that is affected by the operations or a project and/or can influence it. • Stakeholder engagement is a key component of SD and CSR by giving to the public and corporate decision-makers the means to take more sustainable and responsible decisions. • An important stake: giving voice (including by lawsuit) to some up-to-now neglected stakeholders.
  • 14. samedi 13 février 2016 141414 2 The company and its stakeholders
  • 15. samedi 13 février 2016 151515 One concept, 3 perspectives Dealing with demands • The manager must deal with other demands than those of shareholders Procuring Resources • The company depends of external resources to pursue its strategy Contributing to the social good • The company must take into account its externalities
  • 16. samedi 13 février 2016 161616 Typical stakeholders Company Shareholders External auditors Standards Setters Banks & Creditors Investors Prescriptors Customers Users Competitors Suppliers Sub- contractors Funders Experts Medias & social networks Lobbies Working population Employees Unions Local authorities Side residents Legislators Regulatory bodies Courts Citizens
  • 17. samedi 13 février 2016 171717 3 major categories Stakeholders to whom the company has legal, financial or operational responsibilities Stakeholders who can directly or indirectly influence the company’s decisions and performance Stakeholders who are affected by the company’s decisions and activities
  • 18. samedi 13 février 2016 181818
  • 19. samedi 13 février 2016 191919 Closeness & Frequency • Members of the company • Employees • Managers • Works Council, Health & Safety Committee Internal Stakehold. Close and frequent relationships: • Customers • Suppliers… External Stakehold. Infrequent and loose relationships • Nearby residents • Local government • Medias Distant Stakehold.
  • 20. samedi 13 février 2016 202020 Company’s dependency Secondary Stakeholder Low or moderate dependency NGOs, consumers associations, communities, government, medias… Primary Stakeholder Critical dependency Shareholders, managers, employees, suppliers and customers, et clients, providers of licenses to operate, creditors…
  • 21. samedi 13 février 2016 212121 Stakeholders
  • 22. samedi 13 février 2016 222222 Engaging stakeholders • Who? – stakeholder selection • Why? – objectives of the relationship • How? – means and medias • Which level of involvement in the decision- making process? • Which level of influence on the decisions?
  • 23. samedi 13 février 2016 232323 Stakeholder engagement Employés •Dialogue avec Rep. du personnel •Forums libre expression •Enquêtes de satisfaction •Formation Patients •Panels de patients •Panels d’assoc. de patients Prof. de santé •Groupes de travail •Réunions scientifiques •Études cliniques •Enquêtes de satisfaction Régulateurs •Études cliniques •Négociation des prix et des remboursements Fournisseurs •Sensibilisation aux droits de l’homme, conditions de travail et environnement •Évaluation Concurrents •Participation aux instances professionnelles du secteur Agences de notation •Réponses aux enquêtes et aux questions Investisseurs •Réunions d’analystes •Réponse aux questionnaires •Roadshows •Interactions avec agences proxy et agences d’évaluation ESG Actionnaires individuels •Conseil consultatif •Réunions spécifiques (F) •Assemblée générale •Salons (F, USA) ONG •Initiatives mixtes •Réponse aux questionnaires •Participation à des forums •Enquêtes de satisfaction Citoyens •Forums de consultation Communautés locales •Panels de riverains •Dialogue avec autorités locales
  • 24. samedi 13 février 2016 242424 Types of relationship Information Consultation Dialogue Negotiation Association Integration Mandatory Further Readings on Moodle Critical Friends: Engaging stakeholders
  • 25. samedi 13 février 2016 252525
  • 26. samedi 13 février 2016 262626 Compliance or Commitment? Rational Commitment Regular and deep relationships with internal and external stakeholders Dialogue with critical stakeholders Radical activism Employees are members of the Board Partnerships with some critical stakeholders Social Mimetism Infrequent consultation with some non critical external stakeholders Legal Compliance Information of stakeholders to whom the company has legal, financial or operational responsibilities Risk management Commitment
  • 27. samedi 13 février 2016 272727 Synthesis: • Stakeholders engagement is a fundamental part of CSR/SD, to prevent externalities and making better decisions. • Beyond the principle of “dialogue”, the way stakeholder engagement is implemented is a key indicator of a strong and genuine commitment in CSR/SD.
  • 28. samedi 13 février 2016 282828 3 Contexts of interaction
  • 29. samedi 13 février 2016 292929 3 configurations
  • 30. samedi 13 février 2016 303030 3.1 Stakeholders and the design of the strategy
  • 31. samedi 13 février 2016 313131 Aligning CSR strategy with the strategy Stakes and Impacts Assessment Choice of areas for action Projects Objectives Indicators Implementation Control and Outcomes’ Measurement Communication and CSR Reporting Stake- holders Stake- holders
  • 32. samedi 13 février 2016 323232 Selecting the stakeholders
  • 33. samedi 13 février 2016 333333 Materiality Analysis Method that compares the importance of CSR/DD issues: • to the stakeholders’ eyes • to the company’s eyes and represents the positions in a materiality matrix.
  • 34. samedi 13 février 2016 343434 Positioning then selecting the issues Responsible Critical Not pertinent Strategic Stakeholders’ opinion on the importance of the issues Company’s assessment on the importance of the issues • Stakeholder Consultation • Benchmarking international companies • Media Review • Analyzing external questionnaires from extra-financial agencies and investors
  • 35. samedi 13 février 2016 353535 The company’s view: 5 criteria for selecting the CSR/SD issues: A. Issues with short-term financial consequences B. Issues in alignment with the strategic commitments of the company C. Issues generally considered as pertinent by the industry D. Issues sufficiently important to the stakeholders’ eyes for creating their present or future involvement E. Issues that will be subject to standards in the future D’après: Zadek & Merme: Redfining materiality - Accountability, 2003
  • 36. samedi 13 février 2016 363636
  • 37. samedi 13 février 2016 373737 Compliance or Commitment? Rational Commitment Enlarged sphere of influence CSR issues with some impact from/on the core business Radical activism Large sphere of Influence CSR issues that will request major changes of the core business Social Mimetism Limited sphere of influence Anecdotal CSR issues with no impact from/on the core business Legal Compliance Minimalist CSR Reporting (if mandatory) Risk management Commitment
  • 38. samedi 13 février 2016 383838 3.2 Implementing a project
  • 39. samedi 13 février 2016 393939 Specific stakes • Technical issues • Assessing the impacts of the project • Reducing/Compensating the negative impacts • Political stakes • Finding allies • Defusing oppositions
  • 40. samedi 13 février 2016 404040 Impacts, reactions… & influence Project Impacts Affected interests Reactions Resources Allies
  • 41. samedi 13 février 2016 414141 Stakeholder Interests Impacts Resources Influence Stance Positive Negative Present Required Side residents Local authorities Political opponents Chamber of Commerce Environmental Activists … Stances analysis
  • 42. samedi 13 février 2016 424242 Stakeholder mapping Using two differentiation criteria and drawing a matrix to : • identify high priority stakeholders • define the relationship to establish • Objectives • Means
  • 43. samedi 13 février 2016 434343 Typical matrix SH SH SH SH SH SH SH Differentiation Criteria #1 High Low Differentiation Criteria #2 HighLow
  • 44. samedi 13 février 2016 444444 Power/Dynamism matrix Low risk stakeholders Unpredictable but manageable stakeholders Predictable risk stakeholders High risk & hardly manageable stakeholders Power on the decision- maker/the project Aptitude for action HighLow High Low D’après Gardner, Rachlin and Sweeney (1986) Handbook of Strategic Planning, Wiley
  • 45. samedi 13 février 2016 454545 Power/Interest matrix Marginal stakeholders: no effort needed Stakeholders to keep informed Stakeholders to keep satisfied Critical stakeholders: establish continuous and satisfying relationships Interest for the issue HighLow High Low Power on the decision- maker/the project D’après Mendelow, A. (1991) ‘Stakeholder Mapping’, Proceedings of the 2nd Int’l Conference on Information Systems, Cambridge, MA
  • 46. samedi 13 février 2016 464646 Influence/Support matrix Silent Opponents Monitor the influence Supporters Keep satisfied, try to enlarge their audience Negative Leaders Try to convince, but not reinforce Promoters Support and empower Influence on other stakeholders Stance on the project SupportOpposition High Low D’après Anderson, Brsyson & Crosby (1999): Leadership for the Commun Good, University of Minnesota, Saint Paul ,MN
  • 47. samedi 13 février 2016 474747 Risks • Purely political approach, without reassessing the impacts or/and improving the compensations • Perceptions of the project leader vs reality – Biased stakeholder selection – Low understanding of the prevailing stakes – Deficient assessment of the power and influence of allies and opponents • Fast changing stances of stakeholders • New stakeholders involved
  • 48. samedi 13 février 2016 484848 Compliance or Commitment? Rational Commitment Implementation of tailored compensation programs and changes in the project to reduce impacts Radical activism Reassessment and even withdrawal of the project after extensive impact reassessment Social Mimetism Implementation of ready- made compensation actions with no change in the project Legal Compliance Formal compliance with consultation regulations… and no taking into accounts of its results Risk management Commitment
  • 49. samedi 13 février 2016 494949 Mondavi Case
  • 50. samedi 13 février 2016 505050 3.3 Facing a controversy
  • 51. samedi 13 février 2016 515151 Specific stakes • Context: – Project becoming highly controversial – Industrial accident, scandal… • Political stakes • Defusing criticism and opposition • Controlling the escalation risks • Containing or deflecting attacks • Communication stakes • Dealing with media and social network involvement • Crisis communication
  • 52. samedi 13 février 2016 525252 Medias & publics Opponent SH Criticizing SH Supportive SH Partner SH General public Medias & Social Networks Attentive public Interested public Identifiying public Neutral SH Neutral SH D’après Padiloleau: La lutte politique quotidienne, in l’Etat au concret, 1982
  • 53. samedi 13 février 2016 535353 Responding to controversies • Mobilizing • New stakeholders • Medias & Social networks • Alliances and Coalitions • (Re)defining the situation – Providing an interpretative framework • Sense giving & sense making – Scaling up by repositioning the situation in more global (and often pre-existing) debates, that will help to mobilizing new allies
  • 54. samedi 13 février 2016 545454 Mondavi’s project: Job creation? Promotion of Aniane’s terroir and wines? Economic development Tourism? Small winegrowers and young applicants eviction? Victory of the branded wine over the terroir wine? Submission to the US big business? Loss of national sovereignty?
  • 55. samedi 13 février 2016 555555 Synthesis: Configuration: • Objective: • Stakes: • Stakeholder selection • Method • Level of control • Tools Strategic Design • Designing a CSR strategy • Creating consensus and involvement • By the decision- maker • Rational and open • Predictable High • Materiality matrix Project • Implementing the project • Anticipating & involving opinion leaders • By the decision - maker depending on the situation • Prospective and political • Predictable High but can decrease • Mapping & Public relations Controversy • Getting out of a controversy • Defending oneself against charges Finding allies • Depending on the situation • Reactive & Defensive • Unpredictable Very low • Mapping & Lobbying
  • 56. samedi 13 février 2016 565656 4 The State and the stakeholders
  • 57. samedi 13 février 2016 575757 4.1 Public decision-making and individual interests
  • 58. samedi 13 février 2016 585858 2 perspectives on the general interest • The general interest is greater than the sum of individual interests. It is of a different nature. • Higher Civil Servants are the protectors of the general interest • They have the expertise to assess and make decisions • Civil society and intermediate bodies are kept away from public decision • Symbol: the “Grands Corps de l'Etat” and the rejection of “lobbies” • The general interest is, at some point, a compromise between the interests. • Civil servants did not have a monopoly on the expertise nor the definition of the public interest • They solicit civil society and intermediate bodies for information and to take account of all the consequences • Symbol: the parliamentary committee hearings and lobbies
  • 59. samedi 13 février 2016 595959 Grenelle de l’environnement a political innovation in France 5 stakeholder groups State, local authorities, Business, Unions, NGOs Steps and means • Public & stakeholders consultations • Negotiations of the agendas • Legal implementation – Grenelle 1 Bill (Aug 2009) – Grenelle 2 Bill (July 2010) • Voluntary commitments
  • 60. samedi 13 février 2016 606060 Engaging stakeholders • Call for contributions and inquiries before launching a legislative process or a project • Steering consultative committees
  • 61. samedi 13 février 2016 616161
  • 62. samedi 13 février 2016 626262
  • 63. samedi 13 février 2016 636363 4.2 Lobbying Stakeholders in action
  • 64. samedi 13 février 2016 646464 Lobbying Contribution of specific interests to the elaboration of public policies and to the legislative process, aiming: • to improve public understanding, visibility and the legitimacy of their activities and interests; • to provide policy-makers and stakeholders with information to advise them of the consequences and the effective scope of legislative proposals and policies.
  • 65. samedi 13 février 2016 656565 Lobby Representative of interests who informs and influences the public decision-makers, in order to have them taking into account these interests
  • 66. samedi 13 février 2016 666666 Tools & techniques Documentation Impact studies Expertise Arguments Scale up! Communication Opinion makers Medias & social networks Publics
  • 67. samedi 13 février 2016 676767 Arguing • Putting forward the general interest • Overstating – the impact magnitude (e.g. implementation issues, costs) – the number of affected stakeholders • Scaling up – Will ease the identification and mobilization of other stakeholders, yet not involved • Hiding vested interests behind the general interest or specific but more legitimate interests – Staying behind larger interests – Putting the smallest and weakest in the forefront
  • 68. samedi 13 février 2016 686868 At what step? • Early (pre-law/decision) phases – Preparatory works/Hearings – Law proposals/projects – Commissions – Amendments • Post-law/decision phases – Constitutional review (for a law) – Implementation regulation (time for entry to force, detailed provisions): executive decrees, transposition of European directives… – Legal remedies…
  • 69. samedi 13 février 2016 696969 Triggering the public decision- making process Initiate a debate for getting the legislature or the government to change the law • Campaigns • Legal action – Voluntary offence – Lawsuit – Remedy of unconstitutionality, of non-compliance with the European Union rules… • Controversies
  • 70. samedi 13 février 2016 707070
  • 71. samedi 13 février 2016 717171 For a democratic lobbying Transparency Traceability of the legislative process Integrity in the relationship controlling conflict or interests & influence pedding Fair access Mandatory Further Readings on Moodle Dossier: Lobbying landscape in France & AXA policy.
  • 72. samedi 13 février 2016 727272 Synthesis: • Companies and business are legitimate stakeholders for the public-decision making. • All stakeholders (including NGOs) are using lobbying techniques in order to defend and promote the interests they are representing. • The real stake is to establish a level playing field for all stakeholders. • Two issues are remaining: • What is the representativeness threshold? • What is the general interest, who defines it and how? Mandatory Further Readings on Moodle Emilien Matter et Xavier Schmitt. « La société civile, entre devoir d’alerte et droit au chantage ». Slate.fr, 3 avril 2012

Editor's Notes

  • #2: MAJ du 17/01/2016 à 22h30 Corrections d’anglais apportées à la traduction par Maria Correction des lectures complémentaires obligatoires (textes en anglais)
  • #7: La définition du standard AA 1000 SES (spécialisé sur les rapports avec les PP) ajoute aux impacts provoqués par l’entreprise (à laquelle se limite de facto l’ISO), l’influence exercée sur l’entreprise Cela renforce notablement la dimension “Gestion des risques” du concept comme du management des parties prenantes…
  • #8: L’espoir d’un cycle vertueux et pluraliste: les réactions sont prises en compte pour faire évoluer l’activité ou le projet.
  • #9: Attention: les parties prenantes s’analyse projet/activité par projet/activité. Pour une entreprise comme Casino par exemple, les parties prenantes sont très différentes sur des sujets comme l’étiquetage nutritionnel des produits à sa marque, les délais de paiement, les livraisons en ville, la création d’un nouvel hypermarché ou la sous-traitance asiatique…
  • #12: Recherche d’info Riverains: information sur les nuisances, pollutions et toxique, remise en cause des projections économiques… ONG: obtention d’information sur les conditions de travail chez les sous-traitants, les conditions d’élevage dans l’IAA, etc.
  • #13: Rétablit l’équilibre entre le “petit” consommateur individuel “arnaqué” de quelques euros et la grosse entreprise qui en profite en toute impunité quand le coût du procès excède le préjudice et les dommages et intérêts à attendre. Introduit très difficilement en France en dépit des promesses de deux présidents (Chirac et Sarkozy), avec un lobbying anti class action très fort du patronat
  • #16: La notion de partie prenante émane de différents champs de la recherche sur les entreprises Approche managériale Le dirigeant de l’entreprise s’autonomise par rapport aux propriétaires/actionnaires Un rôle essentiel du dirigeant est de savoir gérer aux mieux les demandes de ses différentes parties prenantes, pas seulement la satisfaction de ses actionnaires Exemple: des dividendes pour les actionnaires, des salaires pour les salariés, des prix de vente pour les clients, des prix d’achat pour les fournisseurs, des profits non distribués pour l’investissement… Approche politique L’entreprise dépend pour sa survie des ressources et du soutien qu’elle trouve dans son environnement, et donc des acteurs qui les contrôlent Exemples: droits d’opérer/de construire, accès à des réseaux de distribution, des sources de financement, des faiseurs d’opinion Approche éthique et normative (théorie des parties prenantes) La mission de l’entreprise n’est pas seulement de faire du profit et de satisfaire ses actionnaires, mais de répondre aux besoins qu’expriment les parties prenantes C’est ce qui peut refonder la légitimité de l’entreprise dans la société moderne Les approches politiques et managériales sont très présentes dans les outils de gestion des PP (identifier les PP puissantes, maîtrisant des ressources vitales, susceptibles de présenter des demandes urgentes).
  • #22: Extrait du rapport RSE Parties prenantes très liées à la stratégie de l’entreprise: Au-delà des PP classiques, Etabl. Enseignement, candidats, alumni, porteurs de projets… Quels enjeux dans une entreprise de conseil en innovation & ingénierie? Quels enjeux RSE/DD?
  • #24: Des PP « classiques » et des PP RSE/DD Des objectifs classiques/business (enquêtes satisfaction) et des objectifs RSE/DD (sensibilisation DDH des fournisseurs) De la communication top-down ou de l’échange
  • #25: Négociation Ex: entre Flotte de pêche Intermarché et l’ONG Bloom pour limiter la pêche en eau profonde (fin 2013) Association Projets entreprises-ONG: Ex Transparency International France a travaillé avec Lafarge et Aéroports de Paris sur la prévention de la corruption Intégration: Sous-traiter des activités à la partie prenante ex HP sous traite des programmes d’enpowerment des salariés dans sa chaine de sous-traitance à des ONG locales de défense des droits des travailleurs
  • #27: Positionnement à contextualiser selon les pays
  • #31: S’engager sur des enjeux/des impacts RSE concrets et significatifs pour l’entreprise comme pour les parties prenantes Objectifs version Business Concentrer les ressources sur des axes concrets Rassurer les parties prenantes traditionnelles (actionnaires) sur l’impact positif des axes d’action RSE sur le business et la stratégie Faciliter la communication interne et externe
  • #32: S’engager sur des enjeux/des impacts RSE concrets et significatifs pour l’entreprise comme pour les parties prenantes Objectifs Concentrer les ressources sur des axes concrets Rassurer les parties prenantes traditionnelles sur l’impact positif des axes d’action RSE sur le business et la stratégie Faciliter la communication interne et externe How to: test et matrice de matérialité
  • #33: Illy décide d’intégrer ses fournisseurs sa stratégie et de faire de sa sous-traitance un axe majeur de sa stratégie RSE/DD NB: les différences de pictogrammes entre la zone « Nord » et « Sud » des activités d’Illy sont assez intéressantes à analyser :-/
  • #38: Positionnement à contextualiser selon les pays
  • #46: Matrice qui détermine l’intensite et la nature de la relation à établir avec les parties prenantes
  • #47: Matrice qui prend en compte les relations entre parties prenantes, et ne se limite plus au face à face PP – entreprise.
  • #49: Positionnement à contextualiser selon les pays
  • #53: Le public pouvant s’identifier est susceptible de s’engager et de soutenir ou faire pression sur des parties prenantes
  • #54: Le passage en mode controverse va entraîner: L’entrée en jeu de nouvelles parties prenantes Associations ad-hoc (Assoc. de défense de…) PP jusqu’alors pas impliquées Médias Public Politiciens Leaders d’opinion Des redéfinitions de la situation Généralisations Des reclassements et changements de positions acquisition/perte de pouvoir acquisition/perte de légitimité Implication plus marquée/désengagement Des stratégies d’alliance Rupture d’alliances existantes Recherche d’alliés/Arrivée d’alliés Conclusion de nouvelles alliances Un enjeu structurel: la « définition du problème/de la situation » L’étiquette: « C’est un problème de... » La définition du problème est déterminante Qui est en cause/responsable? Quelle est la nature/la forme de la solution Problème de communication: mieux communiquer… et laisser de côté le reste. Elle l’inscrit dans un cadre plus général et bien structuré Surtout si le problème général est classique et bien connu (causes, solutions…) Elle génère « mécaniquement » soutiens et oppositions Surtout s’il a suscité des positions argumentées de la part d’acteurs établis Mettre la « bonne » étiquette sur un problème est l’enjeu majeur de toute controverse
  • #56: Controverse: Difficulté sur un projet Accudent/Scandale
  • #59: Optionnel
  • #60: Créer les conditions du changement, en mobilisant la société française pour inscrire son développement dans une perspective durable 5 collèges: l’État, les collectivités locales, les ONG, les entreprises et les salariés. Processus lancé en 2007 Élaboration de propositions (6 groupes de travail) Consultation du public (forums, débats) et de parties prenantes Négociation sur le programme d’action (octobre 2007) Opérationnalisation (chantiers opérationnels) Élaboration de lois Loi Grenelle 1 (août 2009) Loi Grenelle 2 (juillet 2010) Engagements volontaires d’acteurs Mise en œuvre d’une approche plus ouverte du processus de décision Gouvernance à 5 avec des acteurs aux vues initiales parfois opposées (mais sélection des ONG) Travail avec les parties prenantes et propositions élaborées et négociées en amont du processus législatifs Ambiance de travail positive et collaborative Approche pragmatique: définir collectivement un diagnostic partagé sur des points sélectionnés comme prioritaires un catalogue de mesures pouvant devenir des moyens d’action gouvernementaux Sujets sans consensus nucléaire, OGM, agro-carburants, réduction de la vitesse de 10 km/h sur autoroutes et routes, pesticides…
  • #65: Elaboration politiques publiques et processus législatif: Promouvoir ou lutter contre un texte nouveau, un changement des textes existants, au niveau local, national, communautaire ou international
  • #67: Fond: études d’impact & experts Ampleur de l’impact Nombre d’acteurs touchées Argumentation Grossir les impacts à venir Généraliser: Augmenter le nombre d’acteurs touchés Faciliter l’identification d’autres parties prenantes pas encore impliquées Se dissimuler derrière le nombre, mettre en avant les petits/les menacés (stratégie du MEDEF sur la class action, de la FNSEA sur l’agriculture productive Communication Médias & réseaux sociaux Leaders d’opinion Publics attentifs, intéressés Grand public
  • #69: Projet de loi: réalisé par l’executif Proposition: rédigée par des députés L’action en amont/en aval peut être de pousser ou de freiner/bloquer Cas remarquable de freinage: En amont: class action à la française, promise par 2 Pdts (Chirac, Sarkozy) et créée par un 3e… En aval: obligation de reporting RSE suite Grenelle: seuils et contenus
  • #71: Foodwatch : ONG allemande qui s’implante en France et lance le débat sur le laxisme de la loi française sur l’étiquetage des produits alimentaires.