Developing responsible business practices in SMEs: Lessons learned from the UK
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Transcript of Developing responsible business practices in SMEs: Lessons learned from the UK
Dr Stavroula Leka CPsychol FRSHAssociate Professor in Occupational Health Psychology
Institute of Work, Health & OrganisationsUniversity of Nottingham
Developing responsible business practices in SMEs:
Lessons learned from the UK
Presentation objectives
Background
Research objectives
Research findings
Engaging SMEs
Next steps
Institute of Work, Health & Organisations
Applied research institute in OSH
WHO Collaborating Centre in OH
EASHW active participant in Topic Centre activities
EA-OHP: European Academy of Occupational Health Psychology (www.ea-ohp.org)
Psychosocial Risk Management
PRIMA-EF: Development of European Framework for Psychosocial Risk Management
EC FP6 Policy Research ProgrammePartners: BAuA, ISPESL, TNO, CIOP, FIOHSupported by WHO, ILOAdvisory Group: EASHW, European Foundation, DG-
Employment, DG-SANCO, ICOH WOPS, BUSINESSEUROPE, CEEP, ETUC, ETUI
Liaison Organisations: US NIOSH, University of South Australia, Singapore Ministry of Manpower, Institute for Social Policies (Bulgaria), HSE (UK), Cyprus International Institute (Harvard-Cyprus Initiative for the Environment & Public Health)
Background
• Research funded by Uni of Nottingham• Collaborative with Business School’s
International Centre for CSR (ICCSR) > developing focus on SMEs
• Training development through Business School’s Institute for Enterprise & Innovation
SMEs
SMEs are important to UK & EuropePredominant employer23 million in 25 member statesMore than 99% of all enterprisesEmploy more than 75 million in
EuropeDefinitions of SME
CSR & OSH 1
• Employee health and safety beyond legal requirements
• Using OSH as a criterion in the selection of subcontractors or in marketing
• Investing in OSH training
• Publicising OSH practices
CSR & OSH 2
CSR is likely to bring OSH closer to issues such as:HRWork and life balanceFundamental rights at workEnvironmental issuesPublic safety and healthProfitability and productivity
CSR as opportunity to raise company commitment to OSH
Research objectives
• Explore perceptions of CSR and OSH by SME owner/managers and identify barriers to their integration
• Review available case studies in SMEs and large organisations where the link between CSR & OSH has had positive outcomes in terms of OSH and CSR practices and identify critical success factors
• Develop framework for the integration of OSH and CSR in the SME context
• Test framework through further research
Sample & analysis
120 semi-structured interviews with owners/managers of SMEs from variety of sizes and sectors – more small enterprises, lack of representation of agriculture due to access problems
Initial thematic analysis
Currently further analysis is being conducted
Key findings 1
CSR is difficult to understand – term ‘corporate’ doesn’t apply
“ .. see it as things like recycling ….. probably not particularly applicable to us.”
(construction 22 emp)
However, ‘responsible business’ does apply
“when you run a small business I think you feel responsible for everything, our staff and customers are our livelihood”
(service 16 emp)
Key findings 2
•Majority of SMEs interviewed believe that they should pay significant attention to their social and environmental responsibilities•Better awareness and recognition by larger SMEs, and those that are members of business networks and associations
Key findings 3
Differences between small and medium firms“..as we grew there was more of a need to do things better, once we had over 60 people it became important that everybody knew what we were about ... you can’t use the excuse you didn’t know, it could cost you a lot”
(manufacturing 125 emp)
Differences between sectors
Key findings 4Key role of managers and their values “as far as possible it is my responsibility to make sure
people are safe while they are working for us”(service 12 emp)
“..he knows he should do more, but he’s got away with it for 13 years…he always says if they don’t like it they don’t have to work here.”
(construction 59 emp)
More focus on internal issues > staffing issues, employee skills, morale and motivation
Key findings 5
SME social and community activities are fragmented and informal
Many engaging in CSR but not aware of this“It’s so noisy in the factory, we’ve made a peaceful
garden for people to take their breaks outside and get fresh air they use it all year practically the staff say makes them feel better and like they’ve had a break”.
(manufacturing 9 emp)
Key findings 6
Limited awareness of and focus on health issues > safety prioritised
Need for more comprehensive approach to well-being to be promoted
Barriers to engagement 1
Main perceived barriers are fear of bureaucracy, time and cost
“…. The trouble is I’m not big enough, if one persons off I work a double day their job and mine.”
(construction 9 emp)
BUT companies that engage point out that barriers tend to be built on perceptions rather than reality
Barriers to engagement 2
Lack of knowledge and opportunities of engagement as barriers
Lack of clear, simple guidance
Language used
Framework –Prioritisation
Stakeholder Prioritisation
Are Prioritised issues being dealt with adequately?
Yes?What is the state of play?monitor situation and revisit in future:-Dialogue-Measurement-Reflection
No? What is the state of play? Go to Diag 2
Framework 2 –Impacts
Why is this not being dealt with?
What are the business
implications of this in the short run and
long run?
Is action needed?
No?monitor situation and revisit in future:-Dialogue-Measurement-Reflection
Yes? Go to diagram 3
Framework 3 –Implementation
Tools & Strategies-Allocation of responsibility-Codes-Guidelines-Employee management of issue-Issue Champions-Mechanisms of monitoring-Feedback mechanisms
What is your firm’s policy on this? (linked to mission/value statement)
Is extra training required?
In House?
Bought In?
Y N
Assessment of barriers to action
• Framework 4 –Implementation cont.
Has this been communicated internally and externally?-dialogue/ engagement-accountability mechanisms
Assessment of effectivenessdialogue
measurementreflection
Go Back to Diagram 1
Next steps
Interviews with key stakeholders in CSR and OSH across Europe > key elements of CSR of relevance to OSH > promote agreement
Action research > implementation of framework to limited number of SMEs and evaluation of impact on CSR & OSH practices
Conclusions• Further research• Promote awareness and understanding• Key CSR elements/indicators in relation to
OSH• Case studies• Use platform to disseminate• Provide framework and tools to apply and
evaluate