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Responsible Business Solutions UN Global Compact Communication on Progress 2009 and 2010

RESPONSIBLE BUSINESS SOLUTIONS ApS/ Carolinevej 12 / DK-2900 Hellerup / Denmark www.responsiblebusinesssolutions.com / phone +45 8880 8685

A message from Christian Honoré, CEO At Responsible Business Solutions, we believe that every company – regardless of size or location - should act ethically and minimise environmental impacts. This is not only the right thing to do, it is an essential part of managing risk, attracting talent, meeting stakeholder expectations and remaining profitable in the long term. In 2009, we signed the UN Global Compact to demonstrate our commitment to corporate social responsibility (CSR). We remain committed to integrating the ten principles into our company and advisory services. Being able to demonstrate strong values and performance in this area is essential for us as a CSR advisory company and essential for our own values and ambitions. While managing our own impacts is important, our role as CSR advisors to global businesses means that the greatest contribution we make to realising the ten principles is through our work with others. In 2009 and 2010, we worked with some of Denmark’s and the world’s largest companies on human rights, labour standards, environment and anti-corruption issues, and I believe our expertise is helping to bring real change in these areas. I am particularly proud of the UN Global Compact Dilemma Game which we developed in partnership with the Danish Ministry of Foreign Affairs and presented as a gift to the Global Compact in celebration of its 10th anniversary on 23rd June 2010 in New York. The game is a fantastic tool for raising awareness of how the ten principles are relevant to everyday business choices and it has been very well received by everyone who has played. The Danish Business Network for Human Rights - which we set up in 2010 together with John Morrison from the Institute of Human Rights and Business, A.P. Moller-Maersk and Danfoss - is another significant achievement. The network provides a collaborative environment where members from 13 global companies can discuss challenges in their organisations and ways to strengthen processes for protecting human rights. The inaugural meeting was held on 15 June 2010. I hope you enjoy reading this document which provides more information about our achievements and outlines how we are embedding the ten principles in our business and promoting them with our stakeholders.

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Management processes All employees are closely involved in developing and implementing the company strategy and management processes. In 2010, we underwent a process to formalise the values that define our working practices and the aims of our business. The team met twice during the year, and each person described what guides and motivates them in their work. The discussion also covered ethical issues associated with client work, including whether working for certain sectors, or taking on certain types of work would conflict with our company values. Through the process we defined the following values: Integrity – We are consistent, professional and show respect. Passion – We are motivated change agents and in business to make a difference. Credibility – We are experts in what we do and deliver what we promise. Innovation – We are radical in our thinking and practical in our solutions. Accountability – We do what we say and say what we do. All Responsible Business Solutions full-time employees are CSR experts and have a high level of awareness of the UN Global Compact principles and a strong understanding of how they relate to the company and their day-to-day work. As the company continues to grow, we will implement more formal policies and processes to ensure each employee knows what is expected of them and to ensure we continue to maintain high standards of corporate social responsibility.

Networks and engagement Responsible Business Solutions recognises the value of stakeholder engagement and participation in networks. Here is a summary of our engagement in 2009 and 2010: •

We are a member of the UN Global Compact Nordic Network. We attended their event in Copenhagen in May 2010 and played the UN Global Compact Dilemma game together with other members.

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We are a member of and have been running the secretariat of an anti-corruption network comprising large Danish companies.

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We are also a member of the UN Development Programme SME Network and CSR Forum Denmark.

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Our key issues We have identified the following issues as being most material (significant and important) to our business: •

The social and environmental impact of our advocacy and work for clients.

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Risks relating to taking on certain clients or types of work.

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Employment issues, including diversity and equal opportunities and employee development

We have not identified environmental impacts as a key issue for our company, however we believe it is important for all companies to take steps to reduce their impacts. We provide information below on what we have achieved. We aim to use a proportion of our profits to support communities in need. In 2009 we donated DK 25.000 to support relief efforts conducted by Save the Children.

The impact of our client work and advocacy (relevant to all ten principles) Client work We help global businesses to develop and implement strategies to strengthen their CSR performance and implement the UN Global Compact principles. This is a small sample of work completed in 2009 and 2010: •

Developing a code of conduct for a large pharmaceutical company, including scenarios to enable employees to deal with ethical dilemmas.

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Creating a CSR strategy for a business unit of a global transport company, helping the company to focus its efforts to become a more responsible business.

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Devising and writing a train-the-trainers ethical pack and e-learning for a pharmaceutical company.

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Facilitating workshops at several multinationals using the UN Global Compact Dilemma board game developed by Responsible Business Solutions.

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Developing and discussing dilemmas relating to human rights together through the Danish Business Network for Human Rights.

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UN Global Compact game The UN Global Compact Dilemma board game offers an engaging, hands-on way for companies to educate their employees about social and environmental business risks. The game is based around scenarios which demonstrate how business professionals are often faced with dilemmas involving CSR issues and the need to balance conflicting stakeholder views. “We often found that our clients were stalled in their decision-making process when confronted with difficult situations, or by simply not knowing how to implement the principles of the Global Compact in practice. That is why, we developed the idea of letting decision makers experience first hand some of the dilemmas we and other businesses had experienced, in a safe environment that does not place their businesses at risk,” explains Christian Honoré. The scenarios were developed by Responsible Business Solutions using our experience working in large businesses and through workshops in Kenya and Slovakia attended by businesses and NGOs. In 2010 we facilitated workshops using the game for multinational companies in Denmark, the Netherlands and the UK and a for leading Dutch ethical trading NGO. We aim to develop tailored versions of the game for procurement professionals and individual businesses.

Broader advocacy In 2009 and 2010, Responsible Business Solutions CEO, Christian Honoré advocated the benefits of CSR to a wider audience through: •

A webinar providing an introduction to why CSR is important to business and how it is relevant to managers in their day-to-day roles.

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An article in Berlingske Nyhedsmagasin, Denmark’s leading business publication, discussing CSR dilemmas encountered by companies and appropriate responses.

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Contributing to other books and publications on CSR trends and presenting at businesses and other organisations.

Managing reputational risks relating to client work (relevant to all ten principles) We undertake a variety of projects for companies across business sectors. We recognise that some companies are just starting to think about CSR, while others are experienced practitioners. We are happy to work with companies at all stages of maturity in this area, although we want to work with clients who are serious about CSR and making the changes necessary to be a responsible business. We are aware that association with some organisations involved in controversial business practices, or taking on certain types of work may damage our reputation and expose us to accusations of double standards. Client work that conflicts with our values could also undermine employee morale. UN Global Compact Communication on Progress

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To manage risks associated with client work, proposals for new clients and projects are discussed among the team and reviewed by Christian Honoré. We foster an open working environment and employees are encouraged to raise any concerns. To date, we have not refused to begin a relationship, or turned down work due to reputational risks associated with client work.

Employment issues (relevant to Principles 1-6) Our clients choose us because of the professionalism and expertise of our employees and our goal is to create a safe and inclusive work environment where innovation and collaboration flourish. Respect for the individual is paramount and we do not tolerate discrimination or harassment of any kind. As consultants, we recognise the importance of continual development of employees’ knowledge and skills. We encourage team members to take advantage of courses and to attend conferences and other events that promote their development. We have recruited students to work part-time whilst completing their masters courses, to give them the opportunity to develop knowledge of business and CSR. Our students are mentored by one of our advisors. Employees are free to join labour organisations and have the right to engage in collective bargaining. We comply with all Danish employment laws.

Environment (relevant to Principles 7, 8 and 9) As a small, service based company our environmental impacts are small. However, we believe that all companies should aim to minimise their impacts, regardless of their size. We also understand that our credibility as advisors on environmental issues depends on being able to demonstrate good performance in this area.

Travel •

Most of our employees bike to work or use public transportation.

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We use TAXI NORD, which operates a fuel efficient fleet and offsets the CO2 emissions from journeys.

Office impacts •

Employees use laptops rather than desktop computers (which consume more energy).

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All computers have energy saving settings enabled.

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We encourage our employees to print only necessarily material and file documents electronically

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Printers are set to double-sided, toner saving setting as default.

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