for conscious consumption . 2 consume without consuming the world you live in !
TRANSCRIPT
for conscious consumption
www.akatu.org.br
2
Consume without consuming the world
you live in !
3
% “interested” per country
Mexico
France
Italy
Brazil
India
USA
Germany
UK
Argentina
Spain
83
76
76
72
69
67
66
61
47
45
Interest of consumers in learning more about Interest of consumers in learning more about what companies do to become more socially what companies do to become more socially
responsibleresponsible
SOURCE: Akatu/Ethos - Corporate Social Responsibility – Perception of the Brazilian Consumer (2004 poll)
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Have you ever seen a report of any company on the social area or environment? You would say...
Base: entire sample
Brasil: reading business social reports Brasil: reading business social reports
%%%%%
6779798882No, I didn’t read or hear about any report
2--31NS/NR
99947No, but I have heard some people who have talk about one of these reports
84424Yes, I glanced at one of those reports
168847Yes, I have read one of those reports
LeadersDebatersListenersNon-ParticipantsTotal
Table 9
SOURCE: Corporate Social Responsibility – Perception of the Brazilian Consumer (2004 poll)
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Did the fact that you have read or heard about one of these reports make you take one of the following attitudes?
% Yes
Brasil: reaction to business social reportsBrasil: reaction to business social reports
Table 10Base: read or heard about reports in the social or environmental area of some company (171 cases)Source: C6 – Stimulated response
%%%%%
2534233629Invest in the company
6865626665Buy the company’s goods or services
8576587472Speak well of the company to other people
8584626873Improve your opinion about the company
LeadersDebatersListenersNon-ParticipantsTotal
SOURCE: Corporate Social Responsibility – Perception of the Brazilian Consumer (2004 poll)
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Information and instruments to help the practice and dissemination of Conscious Consumption
Akatu Reference Centerfor ConsciousConsumption
Conscious Consumption Library
Companies and Products Guide
Conscious Consumption Indicators
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Evaluation of CSR by consumersEvaluation of CSR by consumers
Premise– Consumers have to change their
way of looking at companies: from negative and specific to broad and balanced
Social ResponsibilitySocial Responsibility
Akatu - Ethos Akatu - Ethos ReferencesReferences
for Corporate Social for Corporate Social ResponsibilityResponsibility
The Akatu Proposition
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4.1 Has a program for hiring and adapting handicapped people into his work force
8.4 Evaluates the environmental impact of his company’s activities, products and services, and acts preventively to minimize their effects
12.1 Has clear rules to ensure that his advertising is consistent with the company’s stated values and principles
Evaluation of Corporate Social ResponsibilityEvaluation of Corporate Social Responsibility
Current status of practices
Akatu Research: 630 companiesEthos Survey: 330 companies
60 References
Sensitivity researchwith 600 conscious
consumers
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1st WeightingBy company level of practice
2nd WeightingBy the degree of importance assigned by
consumers
1st WeightingBy company level of practice
2nd WeightingBy the degree of importance assigned by
consumers
1 Point
Average between “a” and “c”
The lower the number of companies with implemented practices, the nearer
to 1 point
Zero points
Evaluation of Corporate Social ResponsibilityEvaluation of Corporate Social ResponsibilityReference Weighting Reference Weighting
Levels of practice for each reference:
a) Implementeda) Implemented
b) Being implemented in 2005b) Being implemented in 2005
c) c) Being analyzed, resources already Being analyzed, resources already investedinvested
d) Never been discussedd) Never been discussed
e) Will never be implementede) Will never be implemented
f) Doesn´t applyf) Doesn´t apply
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Evaluation of Corporate Social ResponsibilityEvaluation of Corporate Social ResponsibilityReference WeightingReference Weighting
Consumer weighting methodology
1st WeightingTangible
60 References
9,6
6,9
140
100
2nd WeightingConceptual17 Themes
11
Evaluation of Corporate Social ResponsibilityEvaluation of Corporate Social Responsibility
17 Social Responsibility Themes
Principles and Standards of Conduct
Transparency towards Society
Employee Participation and Free Discussion
Promotion of Social Inclusion as Employer
Mindfulness of Employees
Fair Work Practices
Care for the Environment
Environmental Impact Management
Partnership Work with Suppliers
Supplier Selection and Evaluation
Responsible Consumer Relations
Advertising and Communication with Consumers
Relations with the Immediate Community
Contribution to the Society in general
Political Transparency
Anticorruption Practices
Social Leadership
12
Evaluation of Corporate Social ResponsibilityEvaluation of Corporate Social ResponsibilityReference WeightingReference Weighting
Consumer weighting methodology
1st WeightingTangible
60 References
2nd WeightingConceptual17 Themes
140
100
Final Weighting
196
100
9,3
6,7
140
100
13
Evaluation of Corporate Social ResponsibilityEvaluation of Corporate Social ResponsibilityAkatu CategoriesAkatu Categories
Company categories Scale
Akatu CSR Categories for Companies
300 to 549 points
550 to 729 points
Less than 300 points
More than 730 pointsLevel 4
Level 1
Level 3
Level 270%
10%
15%
5%
Simulation based on Akatu Research, 2004
(630 Companies)
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Visibility for the ConsumerVisibility for the ConsumerComparison between companyComparison between company
Company A Company B
13 – Relations with the immediate community13 – Relations with the immediate community
14 – Contribution to the General Society
15 – Political Transparency
Akatu CSR Ranking
13.1 Does you company analyze and acknowledge the consequences of its activities for the communities directly affected by them?
13.2 Does your company, on its own or together with organizations of the civil society, prepare and implement social or environmental projects designed to benefit its immediate communities?
13.1 Does you company analyze and acknowledge the consequences of its activities for the communities directly affected by them?
13.2 Does your company, on its own or together with organizations of the civil society, prepare and implement social or environmental projects designed to benefit its immediate communities?
14.1 Does your company develop social or environmental projects, which involve donating money or materials, services, management support, or technology?
14.2 Does your company allot part of its annual budget for social or environmental projects, using criteria known to everyone involved?
14.3 Is the primary criterion for your company’s support of social or environmental projects the benefit they will being to society, rather than just commercial interests?
14.4 Does your company evaluate and keep track of the social or environmental projects that it supports to check if they are achieving results, and does it take steps to improve them?
14.5 Does your company cooperate with other companies or organizations to broaden the effects of the socioenvironmental projects that it develops or supports?14.6 Does your company encourage its employees to do voluntary work in socioenvironmental projects which benefit immediate communities or the general society?
15.1 If your company backs campaigns for political parties or candidates, does it divulge the amount of its contributions? (If your company does not contribute to political campaigns, regard this as an “implemented action”.)
c) Being studied**
a) Implemented a) Implemented
a) Implemented
a) Implemented a) Implemented
a) Implemented a) Implemented
a) Implemented a) Implemented
a) Implemented a) Implemented
a) Implemented a) Implemented
a) Implemented a) Implemented
b) Never been discussed
b) Never been discussed
a) Implemented
a) Implemented
My WeightsStardart Weights My WeightsStardart Weights
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Information and instruments to help the practice and dissemination of Conscious Consumption
Conscious Consumption Library
Company and Product Guide
Conscious Consumption Indicators
Akatu Reference Centerfor ConsciousConsumption
16
Information data-base
Companies Brands Products Product Types
Corporations
Consumer Information Consumer Information
Key-Word
Consumers
MediaGovernment
Organized Social Groups
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Companies Brands Products Product Types
Consumer InformationConsumer Information
Key-Word
Akatu Rating
AddComments
ReadComments
Social Area
Go to Products
Go to Brands
Related Documents
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Information data-base
Companies Brands Products Product Types
Comments and AnswersComments and Answers
Records: Companies, Brands & ProductsRecords: Companies, Brands & Products
Akatu-Ethos ReferencesAkatu-Ethos References
Conscious Consumption LibraryConscious Consumption Library
The MediaPublic Offices
Organized Social Groups
Companies
Consumer InformationConsumer Information
Key-Word
Consumers
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Consumer consciousnessConsumer consciousness
Brazilian consumer
Consciousness
37%
6%
Committed
Conscious
Source: Akatu polls 2004
20
10
20
90
80
70
60
50
40
30
100
0100 110 120 130 140 150 160 170 180 190 200
Importance for 600 “conscious” and “committed” consumers (“weight”)
“Im
ple
men
tati
on
by t
he 6
6 c
om
pan
ies”
(%)
PRO-ACTIVITY OF COMPANIES
NEGATIVE CONVERGENCE
WEAK CORPORATE
ACTIVITY
UNDEREXPLOITED
OPPORTUNITIES
CONCENTRATINGATTENTIONS
POSITIVE CONVERGENCE
Corporate practices X consumer prioritiesCorporate practices X consumer priorities
21
170 180 190 200
30
20
10
0
40
60
50
70
4 of the 11 most valorized practices are among the least adopted by companies
Recruiting the physically disabled
Regulations and practices against bullying and sexual harassment
Support in the cultural and social development of employees’ children
Support for relocation and retraining of dismissed employees
Corporate practices X consumer prioritiesCorporate practices X consumer priorities
22
170 180 190 200
90
100
80
70
60
6 of the 11 most valorized practices are adopted by more than 65% of companies:
Avoid differences in remuneration due to race or gender
Have clear rules for career and remuneration of employees
Extend benefits to families of the employees
Promote employee education beyond the job training
Combat children and forced labor and encouragessuppliers to do the same
Have a company profit-sharing program for employees
Corporate practices X consumer prioritiesCorporate practices X consumer priorities
23
170 180 190 200
60
70
80
90
100
30
40
50
10 of the 11 practices most valorized by the consumer refer to the company’s role as employer.
The only exception is:Have programs for rational use of water and energy
Corporate practices X consumer prioritiesCorporate practices X consumer priorities
24
100 110 120 130 140 150
90
80
70
60
100
The 2 least valorized practices by consumers are adopted by more than 65% of companies; they are:
If the company contributes to political campaigns or candidates, it must:
Have known and clear rules for deciding on this support
Publicly announce its contributions
Corporate practices X consumer prioritiesCorporate practices X consumer priorities
25
100 110 120 130 140 150
90
80
70
60
100
“Fair long-term relations with suppliers”
4 of the least valorized practices refer to “suppliers”
One is frequently adopted by companies:
Corporate practices X consumer prioritiesCorporate practices X consumer priorities
26
The other 3 actions relating to “suppliers” are seldom adopted by companies:
Support programs for development and training of suppliers
Channels to listen to and answer to suppliers (aside of the procurement staff)
Talking to suppliers about environmental impacts of their goods or services
70
60
50
40
30120 130 140 150
Corporate practices X consumer prioritiesCorporate practices X consumer priorities
27
130 140 150 160 170
90
80
70
60
50
40
Clearly forbid the practice of bribery and corruption, even when benefiting the company.
Another 3 actions underscored as least appreciated by the consumer:
Give freedom for trade unions to act
Have defined mission, values and code of ethics
Corporate practices X consumer prioritiesCorporate practices X consumer priorities
28
130 140 150 160 170
90
80
70
60
50
40
• clearly forbidding the practice of bribery and corruption, even when benefiting the company.
Consumers give more value to practice than to intentions:
Consumers give value to:• checking compliance with the code of ethics• publishing a yearly social report
rather than:
• having defined mission, values and code of ethics
Corporate practices X consumer prioritiesCorporate practices X consumer priorities
29
20
70
60
50
40
30
150 160 170 180
Other actions where corporate practice does not meet the consumer’s expectations:
The same working conditions for outsourced labor as for its own employees
Selective treatment of non-industrial waste
Socio-environmental certifications
Have cooperatives as suppliers and to support social inclusion programs
Inform the consumer about the environ-mental impact of its goods/ services
Corporate practices X consumer prioritiesCorporate practices X consumer priorities
30
90
80
70
60
100
140 150 160 170 180
The 3 actions most often taken by companies:
Meet consumer requirements as soon as possible.
Develop/support environmental or social projects.
Instruct consumerson the correct use of its goods/services.
Corporate practices X consumer prioritiesCorporate practices X consumer priorities
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In short...In short...
• Consumers generally give major importance to CSR.
• Ten of the 11 top priorities refer to the company as an employer.
• Rational use of water and energy is also a top priority.
• The mix “company” x “politicians” is rejected.
• There is little praise and little work on the supply chain.
• The consumer prefers action and information rather than intention.
• There are great opportunities for companies to be aligned with the consumer opinion.
for conscious consumption
www.akatu.org.br