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ISO 26000 Guidance on Social Responsibility

ISO 26000 Guidance on Social Responsibility. Development Status, June 2009 An Industry View. Applicability Aspects. David Felinski, Vice-President IFAN (International Federation of Standards Users) and IFAN Expert to ISO/TMB WG SR, and Guido Guertler , ICC Observer to ISO/TMB WG SR.

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ISO 26000 Guidance on Social Responsibility

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  1. ISO 26000 Guidance on Social Responsibility Development Status, June 2009 An Industry View Applicability Aspects David Felinski, Vice-President IFAN (International Federation of Standards Users) and IFAN Expert to ISO/TMB WG SR, and Guido Guertler, ICC Observer to ISO/TMB WG SR

  2. Available Slide Series The Project ISO 26000 Contents and Players Applicability Aspects ISO 26000 CD Vote by March 2009 Success Criteria Risk of Failure Tool: Check of Effectiveness The present subset is the one marked in bold

  3. Outline • What is a Guidance Standard? • Stakeholder Definition • Other Standards and Codes • Who decides about the applicability of ISO 26000? • User Groups, Estimation • Applicability to Stakeholder Groups • Applicability to Certification Organizations

  4. What is a Guidance Standard? (1/5) It offers guidance advice orientation recommendations The user decides on whether and how to use it, often in dialogue with stakeholders

  5. What is a Guidance Standard? (2/5) requirements It can not be used for Certification Contracts Procurement It does not contain

  6. What is a Guidance Standard? (3/5) …and what ISO 26000 is not? World TradeOrganization The ISO 26000 is not an ‘international standard‘ under the terms of WTO agreements.

  7. What is a Guidance Standard? (4/5) …and what ISO 26000 is not? The draft scope (of 19 June 2009) explains clearly: This International Standard is intended to provide guidance to organizations concerning social responsibility and may used as part of public policy activities. However, for purposes of the Marrakesh Agreement establishing the World Trade Organization (WTO) it is not intended to be interpreted as an “international standard”, “guideline” or “recommendation”. Further, it is not intended to provide a basis for legal actions, complaints, defenses or other claims in any international, domestic, or other proceedings, nor is it intended to be cited as evidence of the evolution of customary international law.

  8. What is a Guidance Standard? (5/5) ISO 26000 is voluntary in use and does not prescribe anything: One can notcomply, or be in compliance with, a guidance* One can notconformto, or be in conformity with a guidance* One can followa guidance * …even if some circles want to make one believe it. One can comply withlaw, conform to astandard, but one can neither comply nor conform withguidance.

  9. Stakeholder Definition (1/2) • The 19 June 2009 definition reads: “2.19 stakeholder individual or group that has an interest* in any* activities or decisions of an organization” Since „stakeholder“ is a key term, this unrealistic definition may detract from the image of the entire document. * These are undefined terms (that should not occur in a “definition”): by this definition everyone/anyone simply declaring any interestwould be a “stakeholder”!

  10. Stakeholder Definition (2/2) The ICC answer: “Individual or group significantly affected by an organization’s activities.” Only practicabledefinitions will make the ISO 26000 applicable.

  11. Other Standards and Codes (1/4) ISO 26000 will meet, in the “market place”, other standards, codes, and regulations that are… …short, precise, and free of repetitions and redundancies* …proven in daily practice, and… * like „standards“ normally are

  12. Other Standards and Codes (2/4) There are numerous other non-consensus* documents around, like • SA8000, AA1000, OHSAS 18000all examples of private initiatives that were primarily set up to generate revenues from certification • National laws and regulationsin different countries at different levels of detail * Not having passed a public consensus process

  13. Other Standards and Codes (3/4) • Enterprise Codes of Conduct:issued by larger organizations, self-committing, and used in supply chains • Associations’ Codes of Conduct:*for orientation of association members, * as an offer to publicize subscription on the association’s website* of high value for SMOs

  14. Other Standards and Codes (4/4) Since these „other ones” are already practically used…. …the “added value” of ISO 26000 will determine & shape …its global market use, its usefulness and ultimate success

  15. User Groups, Estimation Industry and services stand for 96% of all users. 36% 60%

  16. Applicability to Governments (1/6) • Governments are “organizations”: if the ISO 26000 scope claims to give guidance applicable by ALL organizations, it does include governmental organizations • Governments run different types of organizations:- constitutional, judicial, regulatory organs- administration agencies- commercial organizations

  17. Applicability to Governments (2/6) • At the national level primarily exist these organizations:- national or federal government departments, ministries, agencies, bureaus, etc. - sub-national government authorities - national standards bodies - governmental run or owned advisory or research institutions, laboratories • At the regional level exist these organizations: - regional or state government authorities • At the international level exist these organizations: - intergovernmental organizations (e.g. United Nations, OECD, and others)

  18. Applicability to Governments (3/6) Is ISO 26000 applicable to… …commercial organizations?* YES! …administration agencies? YES! …constitutional, judicial, regulatory organs? NO*, *Offering guidance on legal matters is not within ISO’s role at any time; ISO has no authority under any jurisdiction anywhere * From a global perspective, governments are owners (to 100% or less) of an uncountable number of commercial organizations (enterprises)

  19. Applicability to Governments (4/6) By global numbers, governments own/run organizations … …millions of commercial organizations …many thousands of administrative agencies ISO 26000 needs to express clearly that the term ALL ORGANIZATIONS includes administrative and commercial entities regardless of ownership

  20. Applicability to Governments (5/6) • 3.4 The state and social responsibility (as of 19 June 2009) reads: "The state can assist organizations in their efforts to operate in a socially responsible manner in many ways, in particular by ensuring the application of law and regulations so as to foster a culture of compliance with law.” ISO 26000 needs to express more clearly that properly working legal and regulatory systems are a prerequisite for sustainabledevelop-ment of SR activities by the private sector

  21. Applicability to Governments (6/6) • 3.4 The state and social responsibility (as of 19 June 2009) reads: "The state can assist organizations intheir efforts to operate in a socially responsible manner in many ways, in particular by ensuring the application of law and regulations so as to foster a culture of compliance with law.” It will be interesting to see how governmentsnot only assist others but use ISO 26000 in their own organizations (agencies and governmentally owned commercial organizations) and how they will demonstrate their social responsibility.

  22. Applicability to Labor Organizations These are basically unions. They have many employees and run their own commercial organizations/operations. It will be interesting to see howunions and union-owned organizations will use ISO 26000 and how they will demonstrate their social responsibility.

  23. Applicability to Consumers (1/2) • Remember: ISO COPOLCO, the Consumer Policy Committee, was the initiator of the project It will be interesting to see howconsumer organizations like CI (Consumers International)and others will use ISO 26000 and how they will demonstrate their social responsibility.

  24. Applicability to Consumers (2/2) • ISO COPOLCO members are the 160 National Standards Bodies (NSBs) which are members of ISO.(http://www.consumersinternational.org/Templates/Internal.asp?NodeID=96556 21 June 2009) It will be interesting to see howISO national member bodieslike ANSI, AFNOR, BSI, DIN, etc. will use ISO 26000 and how they will demonstrate this.

  25. Applicability to NGOs NGOs (Non-Governmental Organizations) are “organizations” in the context of the guidance standard. They generally cultivate an image of providing public interest oversight to the behavior and conduct of other organizations. Several of them are WG SR members. It will be interesting to see how NGOswill use ISO 26000 and how they will demonstrate their social responsibility.

  26. Applicability to Certification Organizations (1/3) • Certification bodies are commercial organizations regardless of being:- internationally active like DNV or TUV- separate legal entities, or- sub-organizations of other entities like ISO national member bodies- a testing & certification body for technicalproducts or “management systems”

  27. Applicability to Certification Organizations (2/3) • The ISO 26000 scope (of 19 June 2009) says: “Any offers to certify, or claims to be certified, to ISO 26000 would be a misrepresentationof the intent and purpose of the International Standard.” This clear wording was introduced after identifying the first cases of ISO 26000 certification offers well before its publication

  28. Applicability to Certification Organizations (3/3) In the context of ISO 26000, certification bodies are organizations like any other organizations. It will be interesting to see howcertification organizations will use ISO 26000 in their own organizations and how they will demonstrate this.

  29. Applicability to Industry and Services (1/5) Structure of potential users: • Industry and Services are commercial organizations and represent some 96% of all potential ISO 26000 users • Some 98% of that 96% are SMOs; the other 2% are “large” organizations • Some 3% of SMOs may be medium, some 97% small or microorganizations

  30. Applicability to Industry and Services (2/5) Large organizations (more than 250 persons*): • In general, they issue their own “Codes of Conduct” and adhere to them. ISO 26000 may be a source of developing such “Codes” further *micro up to 10, small up to 50, medium up to 250, large more than 250: this grouping follows European practices; other regions may practice other groupings

  31. Applicability to Industry and Services (3/5) Medium organizations (between 50 and 250 persons): • They contribute more to economy than the “large” ones • They often follow their association’s Codes ISO 26000 may be a source for developing or enhancing their own or their associations’ Codes

  32. Applicability to Industry and Services (4/5) Small organizations (up to 50 persons): • They are the principle drivers of economy, mostly privately owned or led by the owner • Most of them run local or national operations, and follow the guidance of their customers ISO 26000 may be “interesting” for them, but of nominal value and not a particularly compellingreason to change practices

  33. Applicability to Industry and Services (5/5) Micro organizations (up to 10 persons): • Regularly privately owned andmanaged • They normally run localoperations only • They follow the guidance of their customers • Struggling to survive prevails over all other issues ISO 26000 may be of negligible value

  34. Who decides finally about ISO 26000’s applicability? Not ISO Not the Working Group* …only the “market” * …regardless of whoever claimed “consensus” was achieved.

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