1. Existence of a published sustainable development (SD) or CSR national strategy

2. Governance and policy TOTAL AVALIABLE SCORE: 7.5 pts 1. Existence of a published sustainable development (SD) or CSR national strategy Why this is important • It is important for government to take the lead in creating CSR incentives for business. • This involvement raises public awareness of the issue and raises the significance of CSR within the policy/ government sphere. • Criteria / description of indicator • CSR/SD national strategy prepared through a consultative process with main stakeholders and adopted by the respective government body (e. g. Council of Ministers); • Existing action plan and budget; • Existence of a national body, e. g. a National Consultative Council constituting of all stakeholders which coordinates the elaboration, promotes the cooperation among the stakeholders, and monitors and evaluates the implementation of the state CSR policy. • Definition of a sustainable development strategy: According to Chapter 8 of the UN’s Agenda 21, the goal of a national SD strategy is to “build upon and harmonise the various... economic, social and environmental policies and plans that are operating in the country.” Applying this more specifically to CSR, one can begin to understand a CSR strategy as providing a framework for the private sector to fit into the sustainable development strategy. This would work by facilitating the development of policies and plans that businesses have already developed and offering guidance for businesses that have yet to enter this arena. The Danish government provides a good example of a national CSR strategy and how it can be used to support existing CSR initiatives and develop new CSR initiatives. The link to the Danish system is provided in the country report. 2.5 pts + 2.5 pts + 2.5 pts TOTAL SCORE: Data sources & contacts Evidence in this category can be a report, a web page, or any sort of document covering CSR or sustainable development The information can be obtained by contacting – by phone email or in person – the relevant government department(s) and/or online research. 7.5

3. Governance and policy TOTAL AVALIABLE SCORE: 7.5 pts 2. Existence of a named government department or other government body leading on CSR issues. Importance: This indicator establishes a base level of awareness that a government should have in order for CSR and sustainable development to gain credence within a society. • Criteria / description of indicator • A stand-alone department or body within government whose status and functions are fully dedicated to developing and coordinating CSR/SD strategies and policies. • Relevant data to collect includes: • a unit dealing with CSR • a particular person/ particular people dealing with CSR • the size of a CSR team • the percentage of funding used on the CSR function as a proportion of the overall department or ministry budget 7.5 pts Data sources & contacts Evidence in this category can be a report, a web page, or any sort of document covering CSR or sustainable development. The information can be obtained by contacting – by phone email or in person – the relevant government department(s) and or online TOTAL SCORE: 7.5

4. Governance and policy TOTAL AVALIABLE SCORE: 5 pts 3. Existence of specific legislation to promote the wide adoption of good CSR practices • Importance: - SHORTEN • While the European Union has established that CSR should remain a voluntary initiative and excessive legislation is not desirable, it is important for governments to create incentives for businesses to adopt CSR practices. In particular, it is important for a directive to come from government in a region where there is a tradition of government leadership in driving policy initiatives • These lawsrequirecompanies to report on how they are accounting for social and environmental considerations in their business conduct. While the reporting legislation does not prescribe a particular standard of social and environmental conduct, it does prompt companies to think about how they set their own standards in this regard, thus creating a business environment more conducive to CSR practice. Criteria / description of indicator A series of legislative areas are listed below. The scoring system is as follows KEY 1 of the laws 2 of the laws 3 of the laws 4 of the laws 5 + of the laws (SOURCE: European Parliament resolution of 13 March 2007 on corporate social responsibility: a new partnership (2006/2133(INI)) 1 pt 2 pts 3 pts 4 pts 5 pts Data sources & contacts Documentation can be collected by tracing the number of amended and/or drafted legal acts that reflect the provisions of CSR promotion. This could be anti-corruption legislation and/or reporting legislation pertaining to sound accounting standards. The information is to be found in published legal act drafts and amendments, but it may also be useful to establish contact with government experts who can assist on a regular basis (annually). TOTAL SCORE: 5

5. Governance and policy TOTAL AVALIABLE SCORE: 5 pts 4. Percentage of green procurement as part of total public sector procurement • Importance: • This indicator is quantifiable and embedded in the way that government does business. • Green public procurement means that public purchasers take account of environmental factors when buying products, services or works • Every year, the European public authorities spend the equivalent of 17% of the EU GDP on public procurement • The sheer size of government expenditure can play a pivotal role in shaping production and consumption patterns towards sustainability. • The EC encourages Member States to draw up publicly available National Action Plans (NAPs) for greening their public procurement. • The EC, together with stakeholders, has developed common GPP criteria for 10 products and services. • Criteria / description of indicator • National Action Plan (NAP) developed and adopted by relevant public sector bodies. In line with EC expectations, the NAP contains: • an assessment of the existing situation; • ambitious targets for the next three years; • a clear statement of the measures taken to achieve the targets; • an understanding that the NAP should be revised every three years • Additional points available when environmental criteria applied to: • ≥10% - <30% of total public procurement • ≥30% - <50% of total public procurement • ≥50% - <70% of total public procurement • ≥70% of total public procurement + 1 pt 1 pt 2 pts 3 pts 4 pts TOTAL SCORE: Data sources & contacts We are looking for a statistic showing the percentage of public procurement that incorporates environmentally responsible criteria. These estimates should be provided by the Government Public Procurement Office or its equivalent. Some contacts for each individual country are availiable in Apendix.1 5

6. Stakeholder engagement and communication TOTAL AVALIABLE SCORE: 5 pts 5. Percentage of active National Global Compact and other CSR networks members • Importance: • This indicator represents quantifiable stakeholder engagement with a credible standard and organisation. • Its standards are rooted in international law and it has affiliates at the national level • The Global Compact is a leadership platform, endorsed by Chief Executive Officers, and offering a unique strategic platform for participants to advance their commitments to sustainability and corporate citizenship. Criteria / description of indicator Percentage of top 100 companies by turnover that are national signatories to the UN Global Compact. Points are allocated as follows: *However companies that are classified as "Non-communicating", i.e. failing to develop a Communication on Progress by the relevant deadline, shall not be counted. KEY Membership: <5% Membership: ≥5% - <10% Membership: ≥10% - <20% Membership: ≥20% - <30% Membership: ≥30% - <40% Membership: ≥40% 0 pts 1 pt 2 pts 3 pts 4 pts 5 pts TOTAL SCORE: 5 Data sources & contacts The National Global Compact website lists the names of corporate members and their reports submitted to the network. http://www.unglobalcompact.org/participants/search

7. Stakeholder engagement and communication TOTAL AVALIABLE SCORE: 5 pts 6. Percentage of business associations having implemented sectoral CSR-related activities and/or tools • Importance: • This indicator is quantifiable and is important to account for sector-specific CSR needs, which can vary substantially. • CSR learning and collaboration are best addressed at an industry level, where businesses have many common needs but can benefit from a consolidated approach to common challenges. Criteria / description of indicator Business associations located within the country that have adopted industry codes of conduct and/or organised CSR activities, e.g. research & surveys, seminars & workshops, outreach activities and stakeholder engagement. Scores are allocated as follows: KEY Prevalence: <5% Prevalence: ≥5% - <20% Prevalence: ≥20% - <40% Prevalence: ≥40% - <60% Prevalence: ≥60% - <80% Prevalence: ≥80% 0 pts 1 pt 2 pts 3 pts 4 pts 5 pts TOTAL SCORE: 5 Data sources & contacts Data to be collected annually by email/phone using a questionnaire. Alternatively, association websites display commitments to industry codes or post social or environmental activities.

8. Stakeholder engagement and communication TOTAL AVALIABLE SCORE: 5 pts 7. Percentage of local companies that do regular structured CSR/SD reporting (Top 100 by turnover) • Importance: • A high percentage of companies producing CSR reports suggests a high level of awareness pertaining to CSR within the country. • The frequency of the reports will indicate how active the CSR re-evaluation process is. Criteria / description of indicator Assessment of top 100 companies, stratified according to turnover, to see whether they have produced an annual, dedicated CSR report, or a dedicated CSR section within the annual report. The reporting can be purely web-based. The indicator refers to local CSR/SD reports, not to global reports produced by multinational companies. Or at least there should be a country specific paragraph if the report is global. Scores allocated as follows: Prevalence: <5% Prevalence: ≥5% - <10% Prevalence: ≥10% - <20% Prevalence: ≥40% - <60% Prevalence: ≥60% - <80% Prevalence: ≥80% More advanced considerations for inclusion at later stages could be: 1. what percentage of companies use GRI or another set of established reporting guidelines in producing their reports? 2. what percentage of companies issue CSR reports separate from annual reports? 3. what percentage of companies report on their websites? 0 pts 1 pt 2 pts 3 pts 4 pts 5 pts TOTAL SCORE: Data sources & contacts The information can be obtained by browsing the latest annual report and/or the latest CSR/Sustainability reporting from the company’s website. If such information does not exist on the website, contact the external/investor relations department and make an assessment based on the criteria above. Information to be obtained annually. 5

9. Civic Society TOTAL AVALIABLE SCORE: 7.5 pts 8. Percentage of higher education institutions offering specific programs and/or courses in CSR/ sustainable development and/or ethics Importance: This indicator reflects a good way to embed the concept in society. It also reflects a good way to engage in debate around the issue and to engage with the public through seminars and lectures. Criteria / description of indicator Higher education institutions have degrees in CSR and/or sustainability. Higher education institutions offer courses in CSR and/or sustainability. KEY 0-5% 5-10% 10-15% 15-30% 30-60% ≥60% More advanced considerations for inclusion at later stages could be: 1. the number of students enrolled in CSR courses and degrees 2. whether CSR/SD courses are requirements for degree completion or just electives 1.5 pts 0 pts 3 pts 4.5 pts 6 pts 7.5 pts TOTAL SCORE: 7.5 Data sources & contacts Information to be collected by distributing a questionnaire to all higher education institutions in the country, excluding irrelevant vocational institutions such as nursing, veterinary and teaching academies. Alternatively, consult university websites for information on CSR and/or sustainability offerings.

10. Civic Society TOTAL AVALIABLE SCORE: 7.5 pts 9a. Number of mentions of CSR concept in public media/year - Option 1 Importance: Number of mentions in the media specifically of the “CSR concept” (by any of its names) is meaningful evidence of the success of the Government in raising CSR awareness. Criteria / description of indicator – OPTION 1: provides a fuller picture, but requires 3rd party assistance and incur costs The mainstreaming of CSR in the public domain can be tracked as it appears in media outlets, including print, web and broadcast. Hire media scanning service. 2. Briefing to media scanning service: scan public media sources for (i) number and (ii) source of mentions of 5 agreed key terms describing the CSR concept within the past year, e.g.: “CSR/Corporate Social Responsibility” “Corporate Responsibility” “Responsible business” “(Business) Sustainability” “Social business responsibility” 4. Calculate total number of mentions within print, web and broadcast respectively. 5. Allocation of scores (to be performed for each of the three media categories above and then added up): KEY Number of mentions down >5% Number of mentions up/down ≤5% Number of mentions up >5% - <10% Number of mentions up ≥10% Changes are measured against previous year. SCORE? 1 pts 0 pts 2 pts 2.5 pts + TOTAL SCORE: 7.5 ONLY COMPLETE 9a OR 9b NOT BOTH

11. Civic Society TOTAL AVALIABLE SCORE: 7.5 pts 9b. Number of mentions of CSR concept in public media/year – Option 2 Importance: Number of mentions in the media specifically of the “CSR concept” (by any of its names) is meaningful evidence of the success of the Government in raising CSR awareness. • Criteria / description of indicator- – OPTION 2: free • The mainstreaming of CSR in the public domain can be tracked as it appears in media outlets, including print, web and broadcast. • Decide on five specific CSR terms and perform Google News analysis for mentions of these terms in the past year. • Add the total number of hits together. • EDIT TO 1 or 2 less?? - Allocation of scores: • Number of mentions down >5% • Number of mentions down ≤5% • Number of mentions up <5% • Number of mentions up ≥5% - <10% • Number of mentions up ≥10% - <15% • Number of mentions up ≥15% - <20% • Number of mentions up ≥20% - <30% • Number of mentions up ≥30% - <40% • Number of mentions up ≥40% • Changes are measured against previous year. • Local experts to decide on best search terms in the local language. • Exercise to be repeated annually. 2 pts 1 pt 7.5 pts 0 pts 4 pts 5 pts 6 pts 7 pts 3 pts TOTAL SCORE: 7.5 ONLY COMPLETE 9a OR 9b NOT BOTH

12. Environment TOTAL AVALIABLE SCORE: 5 pts 10. Percentage of listed companies using environmental management systems Importance: This indicator is quantifiable and focuses on systems development, which is a good way to embed CSR in business practice. Criteria / description of indicator Percentage of listed companies using environmental management systems, namely: ISO 14001 EMAS KEY <5% 5-15% 15-30% 30-50% 50-70% ≥70% 1 pts 0 pts 2 pts 3 pts 4 pts 5 pts TOTAL SCORE: 5 Data sources & contacts This information can be obtained from certification or membership data from system bodies. Alternatively, check for CSR reports mentioning the use of environmental management systems.

13. Environment TOTAL AVALIABLE SCORE: 5 pts 11. GHG emissions and renewable energy use • Importance: • Governments play a big role in reducing GHG emissions and driving the transition towards renewable energy. • It might well be relative by country but will be an important indicator of year-on-year progress in each country. IS PUTTING THESE AS ½ and not asking them to multiply ok? Criteria / description of indicator This is an aggregate score, consisting of two indicators Indicator 1: Country level GHG emissions KEY CO2 emissions (metric tons per capita): ≥17 = 0 points CO2 emissions (metric tons per capita): ≥12 - <17 = 1 point CO2 emissions (metric tons per capita): ≥9 - <12 = 2 points CO2 emissions (metric tons per capita): ≥7 - <9 = 3 points CO2 emissions (metric tons per capita): ≥5 - <7 = 4 points CO2 emissions (metric tons per capita): ≤5 = 5 points Indicator 2: Electricity generated from renewable sources measured as % of gross electricity consumption. KEY 0-5% = 0 points 5-10% = 1 point 10-15% = 2 points 15-25% = 3 points 25-35% = 4 points >35% = 5 points 0.5 pts 0 pts 1 pts 1.5 pts 2.5 pts 2 pts 0 pts 1 pts 1.5 pts 2 pts 2.5 pts 0.5 pts + Data sources & contacts Indicator 1: As up-to-date, country-level GHG emissions are not currently available from any single information resource, the best option would be to obtain this information from the Government’s environment department. If this cannot be obtained, the best proxy is CO2 emissions (metric tons per capita) from the World Bank’s World Development Indicators although it is not fully up to date: http://data.worldbank.org/indicator/EN.ATM.CO2E.PC Indicator 2:   This indicator is the ratio between the electricity produced from renewable energy sources and the gross national electricity consumption for a given calendar year. It measures the contribution of electricity produced from renewable energy sources to the national electricity consumption. http://epp.eurostat.ec.europa.eu/tgm/table.do?tab=table&init=1&plugin=1&language=en&pcode=tsdcc330 TOTAL SCORE: 5

14. Environment TOTAL AVALIABLE SCORE: 4 pts 12. Total environmental protection expenditure • Importance: • Money spent on environmental protection is a good proxy for amount of interest and action taken in this area. • It provides us with additional information that is not covered by the indicator “Emissions of GHG per unit of GDP”. Criteria / description of indicator Government expenditure on environment protection* measured as percentage of GDP. KEY Spend <0.4% Spend ≥0.4% - <0.6% Spend ≥0.6% - <0.8% Spend ≥0.8% - <1.0% Spend ≥1.0% *Definition of environmental protection: “Environmental protection groups together all actions and activities that are aimed at the prevention, reduction and elimination of pollution as well as any other degradation of the environment”. 1 pt 0 pts 2 pts 3 pts 4 pts TOTAL SCORE: 4 Data sources & contacts Data for this indicator can be found in Eurostat government expenditures statistics by COFOG. http://epp.eurostat.ec.europa.eu/portal/page/portal/product_details/dataset?p_product_code=GOV_A_EXP We have used code 05: Environment protection: http://unstats.un.org/unsd/cr/registry/regcs.asp?Cl=4&Lg=1&Co=05

15. Labour issues TOTAL AVALIABLE SCORE: 3 OR 5 POINTS?? pts 13. Percentage of listed companies using labour management systems Importance: This indicator is quantifiable and focuses on systems development, which is a good way to embed CSR in business practice. Criteria / description of indicator Percentage of listed companies using labour management systems, namely: SA 8000 AA 1000 KEY <5% = 0 points 5-15% = 1 point 15-30% = 2 point 30-50% = 3 points 50-70% = 4 points ≥70% = 5 points 1 pt 2 pts 3 pts 5 pts 4 pts 0 pts TOTAL SCORE: 3 Data sources & contacts This information can be obtained from certification or membership data from system bodies. Alternatively, check for CSR reports mentioning the use of labour management systems.

16. Labour issues TOTAL AVALIABLE SCORE: 3 pts – ????? 14. Percentage of employees covered by collective bargaining agreements (CBAs) • Importance: • This represents a fundamental human right/labour right, as recognised in international law. • Furthermore, collective bargaining is by definition a multi-stakeholder initiative and can be used in organisations of various sizes. Criteria / description of indicator Freedom of association and collective bargaining, though considered fundamental rights, are extremely difficult rights to assess for a variety of reasons. One reason is that laws in this area vary quite widely from country to country. Another reason is that existing indicators do not completely and accurately assess whether the rights are being upheld adequately. In the absence of clearly defined standards and clearly useful indicators, the one proposed here is a quantifiable proxy clearly linked to the rights in question. National laws pertaining to these rights often do not uphold the spirit of the ILO core conventions on these topics, so it is often a good idea to assess these rights in comparison to the ILO definitions and assessments as well as national legal standards. KEY 0 -20% CBA coverage of workers 21 – 40% CBA coverage of workers 41 – 60% CBA coverage of workers 61 – 80% CBA coverage of workers 81 – 100% CBA coverage of workers 2 pts 3 pts 1 pt 4 pts 5 pts Data sources & contacts EIRO (European Industrial Relations Observatory), one of the partner organisations of Eurofound, maintains country profiles for EU Member States. These profiles contain “facts and figures” sheets that include the collective bargaining coverage in these countries. The website is: http://www.eurofound.europa.eu/eiro/country_index.htm Alternatively, country labour ministries or statistical offices often maintain this type of information. TOTAL SCORE: 3

17. Labour issues TOTAL AVALIABLE SCORE: 5 pts 15. Gender equality in business and government Importance: This is a clearly quantifiable indicator that addresses a major discrimination element of the project and a major concern in most countries. Criteria / description of indicator This is an aggregate score, consisting of two indicators Indicator 1: Proportion of female members of the highest decision-making body of the largest publicly quoted companies. KEY Female members <10% = 0 points Female members = ≥10 <15% = 1 point Female members = ≥15 <20% = 2 points Female members = ≥20% = 2.5 points Indicator 2:Proportion of seats held by women in national parliaments. KEY Female members <20% = 0 points Female members = ≥20 <30% = 1 point Female members = ≥30 <40% = 2 points Female members = ≥40% = 2.5 points 0 pts 2 pts 1 pt 2.5 pts 1 pt 0 pts 2 pts 2.5 pts + Data sources & contacts Indicator 1: European Commission, Employment, Social Affairs and Equal Opportunities DG, Database on women and men in decision making, updated annually. http://ec.europa.eu/social/main.jsp?catId=764&langId=en Indicator 2: World Bank. Human Development Indicators: http://data.worldbank.org/indicator/SG.GEN.PARL.ZS Both indicators can also be obtained from the publication: “Report on Equality between women and men” (published annually) http://ec.europa.eu/social/main.jsp?catId=418&langId=en TOTAL SCORE: 5

18. Labour issues TOTAL AVALIABLE SCORE: 4 pts 16. Fatal accidents/ 100,000 workers • Importance: • This is a clearly quantifiable indicator and a clear CSR indicator reflecting working conditions and labour standards. • Fatal accidents are strongly correlated with serious injuries, so it is a proxy for general workplace health & safety. • This is relevant regardless of sector but is more relevant to heavily industrialised workplaces. Criteria / description of indicator Information to be obtained from Eurostat. However, this information may not be fully up to date for all countries, so country experts may need to obtain it from their respective national statistics offices. KEY Fatal work accidents/100,000 workers: >5 = 0 points Fatal work accidents/100,000 workers: >4 - ≤5 = 1 point Fatal work accidents/100,000 workers: >3 - ≤4 = 2 points Fatal work accidents/100,000 workers: >2 - ≤3 = 3 points Fatal work accidents/100,000 workers: ≤2 = 4 points 0 pts 2 pts 3 pts 1 pt 4 pts TOTAL SCORE: 4 Data sources & contacts Source: Eurostat, health and safety at work: http://epp.eurostat.ec.europa.eu/portal/page/portal/health/health_safety_work

19. Transparency and the business environment TOTAL AVALIABLE SCORE: 10 pts 17. Level of corruption (as indicated by Transparency International) • Importance: • This is a quantifiable indicator with a direct link to responsible business behaviour. • Corruption is one of the key impediments to an environment in which companies act in open, transparent, and accountable ways, both to governments and to citizens. KEY Score: <2.3 Scores: ≥2.3 <3 Scores: ≥3 <3.7 Scores: ≥3.7 <4.4 Scores: ≥4.4 <5.1 Scores: ≥5.1 <5.8 Scores: ≥5.8 <6.5 Scores: ≥6.5 <7.2 Scores: ≥7.2 <7.9 Scores: ≥8.7 <9.4 Scores: ≥9.4 Criteria / description of indicator Placement on the International Corruption Perceptions Index (CPI). All the Project Countries would be expected to improve their score in the years to come. CPI is a robust piece of analysis; it is a "survey of surveys", based on 13 different expert and business surveys. 1 pt 0 pts 2 pts 3 pts 9 pts 5 pts 4 pts 6 pts 7 pts 8 pts 10 pts TOTAL SCORE: 10 Data sources & contacts The ranking is published annually on Transparency International’s website. http://www.transparency.org/policy_research/surveys_indices/cpi Alternatively, see enterprisesurveys.org

20. Transparency and the business environment TOTAL AVALIABLE SCORE: 5 pts 18. Existence of SRI activity • Importance: • As a measure for the existence and sophistication of the Social Responsible Investment market, this indicator provides strong evidence whether the national business environment is geared towards CSR • The existence of SRI activity in a country suggests a maturing awareness of the relation between financial markets and incentives for ethical business conduct Criteria / description of indicator This is an aggregate score, consisting of two indicators Indicator 1: Does the country have an SRI Index?  (2.5 points) Indicator 2: Does the country have a national SRI forum (eg., EuroSIF, UKSIF, etc.)? (2.5 points) + 2.5 pts 2.5 pts TOTAL SCORE: 5 Data sources & contacts These figures are normally easily available from the national fund management industry association.  A European organisation called EuroSIF (Social Investment and Finance) also provides figures for European countries.

21. SCORECARD 25 15 15 15 15 15 100