asq - social responsibility

ASQ’s Social ASQ’s Social Responsibility InitiativeResponsibility Initiative

Section 1508 Dinner MeetingSection 1508 Dinner MeetingMay 11, 2009May 11, 2009

Steve Babb, Past ChairSteve Babb, Past Chair

The Quality Triple

Bottom Line

Societal ISO 26000

Management ISO 9000

Environment ISO 14000

Social Responsibility (SR)Social Responsibility (SR)

“Responsibility of an organization for the impacts of its decisions and activities on society and the environment, through transparent and ethical behavior that:

• Contributes to sustainable development, including health and welfare of society

• Takes into account the expectations of shareholders• Is in compliance with applicable law and consistent with

international norms of behavior• Is integrated throughout the organization and practices

in its relationships”

ISO-26000, Draft

Why is ASQ Advocating SR?Why is ASQ Advocating SR?

• Quality management and improvement tools support the changes, measures, cost savings, and gains proposed in ISO 26000

• ASQ is uniquely positioned to provide expertise, education, tools, and resources for a successful and sustainable future

• “Good quality practices make for socially responsible organizations”

ASQ White Paper: “Seeking Sustainable Success: ASQ Integrates Quality and Social Responsibility”, 2009

Why is ASQ Advocating SR?Why is ASQ Advocating SR?

83% or respondents to Quality Progress Quick Poll (March, 2009) agreed that SR and environmental responsibility should be considered a part of quality management


Opinions of Executives and Opinions of Executives and InvestorsInvestors

• ??? % of investment professionals believe global economic turmoil has increased the importance of governance programs

Feb 2009 McKinsey Report


•45 % of investment professionals believe global economic turmoil has increased the importance of governance programs



• ??? % of chief financial officers agree that environmental, social, and governance programs create value for shareholders in typical times.



•66 % of chief financial officers agree that environmental, social, and governance programs create value for shareholders in typical times.



• ??? % of executives believe global economic turmoil has increased the importance of governance programs.



•66 % of executives believe global economic turmoil has increased the importance of governance programs.


Living Beyond Living Beyond Our MeansOur Means

MID 80’s: Humans started to exceed

nature's ability to regenerate

1999: Demand > 120%

1961: Humans using 70% of the capacity of

the global biosphere

X

XX

Source: PNAS

Clean Air Act (CAA)

Clean Water

Act (CWA)

SDWA

FIFRA

RCRACERCLA

SARATSCA

OPA

DOTIATA

Catastrophes Prompted Catastrophes Prompted Government ActionGovernment Action

Immediate Action Immediate Action NeededNeeded

Reduce Repeat Reduce Repeat IncidentsIncidents

Enormous Growth Enormous Growth in # Regulations in # Regulations

Enter….SustainabilityEnter….Sustainability

“…“…development that meets the development that meets the needs of the present without needs of the present without

compromising the ability of future compromising the ability of future generations to meet their own generations to meet their own

needs.”needs.”

Brundtland Report 1987Brundtland Report 1987

Shareholders are demanding much Shareholders are demanding much more more on behalf of Stakeholderson behalf of Stakeholders..

ISO-26000 Key Elements in ISO-26000 Key Elements in Social ResponsibilitySocial Responsibility

Organizational Governance

Organizational Governance

Community Involvement

and Development

Consumer Issues

Fair Operating Practices

The Environment

Labor Practices

Human Rights

ISO-26000, Draft

Companies Using SR TodayCompanies Using SR Today

• Johnson Controls measures supplier sustainability to create green collar jobs, $1.6 billion spent annually

• Baxter International and GE, among others, now report annual sustainability scorecards. Baxter reports a return of 3:1 on environmental projects

• Goodwill Industries in SE Wisconsin transformed operations through lean thinking to meet SR objectives

• More examples every day

ASQs Quality Toolbox for SRASQs Quality Toolbox for SR• Develop a network of best practices and

practitioners such as www.SRO.org

• Integrate with existing techniques – Lean, Six Sigma, ISO 9000, ISO 14000, etc.

• Leverage partnerships

• Systematic success – e.g. ASQ manages Malcolm Baldrige

• Understand ISO-26000 and its implications

• Be credible stewards of the standard

• Target elements to achieve maximum impact


asq - social responsibility

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