Communication on Progress “Public transparency and accountability are the cornerstones of the Global Compact” – Georg K

1. Communication on Progress “Public transparency and accountability are the cornerstones of the Global Compact” – Georg Kell

2. Our Desired Outcomes • Notables program better defined • Guidance refined • Incentives and Obstacles better understood • Work plan improved • Active engagement of a group of interested experts to provide on-going input

3. What is a Communication on Progress (COP)? • A COP is a communication to stakeholders on the progress the company has made in implementing the ten principles in its business activities and, where appropriate, what the company has done to support UN goals through partnerships.

4. COP Policy - Timeframe Company joins Global Compact

5. COP Policy - Timeframe Company joins Global Compact COP submitted within 2 years of join date Next COP due in 1 year

6. COP Policy - Timeframe Company joins Global Compact COP submitted within 2 years of join date COP submitted within 2 years of join date COP not submitted within 2 years of join date. Company listed as non- communicating Next COP due in 1 year

7. COP Policy - Timeframe Company joins Global Compact COP submitted within 2 years of join date COP not submitted within 2 years of join date. Company listed as non- communicating COP submitted N/C flag removed Next COP due in 1 year

8. COP Policy - Timeframe Company joins Global Compact COP submitted within 2 years of join date COP not submitted within 2 years of join date. Company listed as non- communicating COP submitted N/C flag removed Next COP due in 1 year

9. COP Policy -Timeframe Company joins Global Compact COP submitted within 2 years of join date COP not submitted within 2 years of join date. Company listed as non- communicating COP submitted N/C flag removed Next COP due in 1 year

10. COP Policy - Timeframe Company joins Global Compact COP submitted within 2 years of join date COP not submitted within 2 years of join date. Company listed as non- communicating COP submitted N/C flag removed Company inactive (de- listed) 1 year after classified as Non Communicating Next COP due in 1 year

11. COP Policy - Timeframe Company joins Global Compact COP submitted within 2 years of join date COP not submitted within 2 years of join date. Company listed as non- communicating COP submitted N/C flag removed Company inactive (de- listed) 1 year after classified as Non Communicating Next COP due in 1 year COP submitted company re-instated

12. COP Policy - Timeframe Company joins Global Compact COP submitted within 2 years of join date COP not submitted within 2 years of join date. Company listed as non- communicating COP submitted N/C flag removed Company inactive (de- listed) 1 year after classified as Non Communicating Next COP due in 1 year COP submitted company re-instated

13. COP Policy - Timeframe Company joins Global Compact Grace Period A 45 day grace period will be granted to companies that contact the Global Contact Office and request an extension. COP submitted within 2 years of join date COP not submitted within 2 years of join date. Company listed as non- communicating COP submitted company listed as active Company inactive (de- listed) 1 year after classified as Non Communicating Next COP due in 1 year COP submitted company re-instated

14. What active, inactive & non-communicating actually means

15. What do I need to do to fulfill the COP requirement? • Step 1) Create an annual Communication on Progress • Step 2)Share the COP with the company’s stakeholders • Step 3)Submit the COP to the Global Compact website

16. While there is no single structure for the creation of a COP, a COP must include: • Element 1: A statement of continuing support • Element 2: Description of practical actions: commitments made, systems implemented and actions taken • Element 3: Measurement of outcomes: use of the GRI G3 Guidelines is recommended

17. As of March 10, the Compact had: • 3130 Active Participants • 692 Non-communicators • 523 Inactives

18. Current Participant Status

19. Current SME Status

20. COPs Submitted, by Join Year

22. Incentives • Investment community pressure • Civil Society • Press and Media • Expectation of future regulation • Brand differentiation • Market Access

23. Obstacles • Company liquidation/bankruptcy • Lack of resources • Lack of understanding • Change in leadership • Free-riders

24. 2006 • Inactives • FAQs • Process Improvements • Due Diligence • Progress and Value Workshops • Introduce Notable Criteria

25. 2007 • Process Improvements • COP Review Project • Quality Feedback • Scale P and V workshop • Network Work Plan Best Practices • Green Guide Revision- Guidance improvements • Refine Notable Criteria • IAT Training

26. Next Steps ??? • Remove participants from the inactive list after one year of inactivity. • Refine efforts to support Local Networks. • Further develop the model that differentiates the leaders from the beginners. • Promote the use of the COP contents by stakeholders. • Strengthening of the GC’s relationship with CSR implementation schemes.

27. Contact Details