Rev.02 7 February 2012 P Martin

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The Earth Charter in Business Project

Increasingly, business leaders recognise that a business will not be sustainable if the wider world in which it operates is not sustainable. This involves considering not just revenue, markets and financial systems but also social and economic issues, respect and care for the wider community of life, ecological integrity and climate change. While an individual business cannot solve the world's problems, active engagement can help a company to reach beyond a narrow focus on wealth creation and develop a contribution that is more highly valued by direct stakeholders and beyond.

This, in turn, helps employees not only to have work and purpose but also to enjoy a greater sense of fulfilment than may be derived from profit making alone. Many businesses are now engaged in exploring how they can actively help respond to global issues and problems. The public at large is also increasingly demanding that businesses not only wear a cloak of respectability but also demonstrate that they are indeed a force for good in the world.

Aims of the Earth Charter in Business project

Since it was launched in the year 2000, the Earth Charter has been endorsed by thousands of public bodies, NGOs and other organisations around the world. It provides a values framework that is being used to guide policy-making, as an educational tool and as a call to action. Until now, however, it has been used or supported by only a small number of businesses. Earth Charter UK, together with partners CarbonSense and with support from DFID, is now beginning a project to work with businesses in the UK.

In summary, the aims of the project are: 1. To identify and develop ways of working with the Earth Charter to

enhance global awareness and understanding, responsible practices and sustainable development in business.

2. To develop and make available training materials and other resources.

3. To disseminate learning, guidance and examples of good practice.

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Applications of the Earth Charter in business

Some examples of ways in which the Earth Charter may be used in a company are to: • inspire and motivate staff, customers and suppliers to identify new business opportunities, products and

services. • introduce new business strategies that address the challenges of a changing world. • help and train employees adjust to, and work effectively in, a globalised operating environment. • assess a company vision and where a business stands in relation to key global issues and human

values. • show commitment to responsible practice and shared values.

Business benefits The potential benefits of becoming involved in the project are many and varied, depending upon the circumstances and approach taken within a given company. We anticipate that they could include, for example, to:

• improve understanding of issues, drivers and solutions in an

increasingly globalised operating environment. • engage a wider community. • guide organisational development. • establish a framework for setting and testing business strategies

for sustainability. • identify gaps between communicated values and operational

practice. • inspire staff, customers and suppliers in building or renewing

commitment to work together towards sustainability.

• develop employee understanding and engagement with global issues affecting the business, including the Millennium Development Goals and climate change.

• develop policy or practice concerned with environmental issues, livelihoods and trade in developing countries, equal opportunities, community engagement, employee development etc.

• enhance brand and corporate reputations. • reconnect with nature and recognise the intrinsic value of the

natural world.

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Examples of companies around the world that are engaging with the Earth Charter Hilton Arlington

The Earth Charter has become a part of everyday life and business at the Hilton Arlington, which is situated just fifteen minutes by metro from the White House. Vickie Hann, Human Resources Director at the hotel, was introduced to the Earth Charter in 2007. After introductions to management staff and all associates, working with the Earth Charter has inspired many actions. To date, these include:

The Hilton Arlington is situated a short distance

from the White House

• a five year capital plan developed with the aim of making the hotel 100% sustainable • Earth Charter training for all staff and a 'Town Hall Meeting' for associates and their children • ESL (English as a second language) for non-English speaking associates (40 countries are represented in the workforce) • partnerships with Ashlawn Elementary School and Kenmore Middle School, including collaboration on community projects such as bagged

lunches for the homeless, park clean ups and planting vegetable gardens • a wide range of energy saving and housekeeping improvements.

Promotora Ambiental Promotora Ambiental is a waste management, water management and steel recycling company that employs about six thousand people in Mexico. Since endorsing the Earth Charter in 2005, workshops using videos and original music have been rolled out to employees and other stakeholders. The company has financed the design of an academic degree in Education for a Sustainable World, organised a workshop for 300 primary teachers and given a workshop for 150 civil society participants. In 2009, the company values were revised to incorporate additional elements based on Earth Charter principles.

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ADAS

ADAS is a UK-based independent provider of environmental consultancy, rural development services and policy advice with expertise in environmental services, sustainable crop management, animal health and other specialist areas. The Earth Charter was introduced to Richard Laverick, Director Corporate Sustainability, in 2010 at a time when the business was developing the breadth of its sustainability services. Working with the Earth Charter has provided a way of developing connections around sustainability amongst diverse specialists and helped to further a collaborative approach in a changing market place.

ADAS has an ongoing community engagement programme and Richard also envisages that working with the Earth Charter will facilitate engagement.

Chris Fawcett, Technical Services Manager at ADAS, Wolverhampton will be taking part in a ‘Forest Schools’ project at a Worcestershire primary school in which a woodland setting is used to help pupils learn about the environment

and develop a wide range of social skills.

Pentland Pentland is a family-owned group of companies in the sports, outdoor and fashion sectors. It is the owner or licensee of a number of leading worldwide sports and fashion brands including Speedo, Ellesse, Kickers, Red or Dead and Lacoste. Pentland aims to engage with as many people as possible in support of human rights, the natural environment and the communities in which it operates. It is committed to acting as a socially responsible company and has published business policies to guide implementation. Pentland is a founder member of the Ethical Trading Initiative (ETI) and aims to establish long-term trading relationships and, when necessary, help to build local capacity. For example, working with the Vietnamese Chamber of Commerce and Industry, Pentland is developing best practice and liaising with government departments to improve standards. Pentland has also worked with suppliers in Portugal, India and Pakistan to improve the working conditions of homeworkers, and with suppliers in India and Pakistan on a community programme for children who have prematurely dropped out of school. Pentland has also disengaged with supplier factories because of poor business standards. As a founding sponsor, Pentland has been a mainstay of support for Earth Charter UK.

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Lush Lush is a multinational company producing cosmetics and toiletries. The company excludes suppliers that test ingredients on animals, has numerous policies relating to waste, energy, aviation and the environmental impact of ingredient sourcing, and conducts environmental education projects. It also has a grant programme to support charitable projects that meet criteria concerned with environmental responsibility, non-violence and human rights. Lush Italy is partnering with the Earth Charter and Brighton University in a unique project to test and develop indicators and assessment tools for civil society and business that promote values-based education for sustainable development. In the case of a company such as Lush that prides itself on its specific ethical and environmental policies, which are used as part of its marketing strategy, it has been shown that such indicators can help managers to highlight and address any gaps that exist between policy and practice as well as identifying priorities for future action.

Lush Italy photo from

ESDinds project

Philips Philips Brazil has used the Earth Charter Principles in sustainability reporting, in conjunction with the GRI guidelines, the Global Compact, the Millennium Development Goals and the Ethos CSR Indicators. Founded in 1924 to facilitate imports from its European partners, Philips Brazil currently operates in the healthcare equipment, household electronics and lighting sectors. With four manufacturing plants, six research centres and over 4,000 employees, the company is one of the largest privately-owned employers in Brazil. The 2010 Sustainability Report presents information on actions by Philips Brazil in areas such as water purification, climate change and energy efficiency, employment practices and the strengthening of local communities through business. Links between every issue and policy discussed, and the corresponding principle from the Earth Charter and other instruments are clearly marked, enabling the company to analyse its performance from a variety of perspectives. Together with GRI-based indicators, this cross-reference approach enhances transparency and accountability to stakeholders.

Philips Brazil 2009 - 10

Sustainability Report

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Project Partners

Earth Charter UK The Earth Charter was launched in The Hague in 2000, after a decade-long, worldwide, cross-cultural conversation about common goals and shared values, and has been widely endorsed. In 2007, Earth Charter UK was set up to increase awareness and encourage active engagement with the values and principles of the Earth Charter in the UK. Five key areas were identified: Governance (national, local and NGOs), Education, Young People, Faith Communities and Business. Patrons are Karen Armstrong, Sir Chris Bonnington, Frances Cairncross, Herbie Girardet, Jane Goodall, Bianca Jagger and Jonathon Porritt. The Charter has been welcomed for providing an impressive and powerful analysis of the issues which face us. Its comprehensive and integrated approach encourages immediate ‘joined-up’ thinking and action. For example, in 2008 it was endorsed by Bournemouth Borough Council and work with the Charter is assisting the town’s current ‘Go Green’ Campaign. There is increasing interest in the Charter in universities, schools and faith communities, and Earth Charter UK plans a joint symposium with the Commonwealth Foundation in 2011. Earth Charter UK 8 Manchester Square London W1U 3PH +44 (0) 207 183 1847 www.earthcharteruk.org

CarbonSense

CarbonSense has become highly regarded in the realm of carbon, climate change and sustainable development. Established in 2003, we have helped many companies to develop leadership and creative communications, pioneering innovative approaches to strategy and engagement at board level, with employees and other stakeholders, and in the community. With project teams drawn from sustainability, change management, communication and the arts, our thought leadership has been valued by BT, the Carbon Disclosure Project, Natural History Museum, Telenor, TNT and Virgin Group amongst many others in the UK and Europe. Our ability to bring issues "alive" - for example, with our carbon visualisation services (see carbonvisuals.com) - is proving helpful to businesses, local authorities and others, and attracting attention internationally. We endorsed the Earth Charter in 2008 and, having recently started to expand the scope of our sustainability work, including climate change adaptation and development issues, we are now working in partnership with Earth Charter UK on a programme of business engagement.

CarbonSense Highleigh House

Teignmouth TQ14 8TL

+44 (0) 1626 777274 www.carbonsense.org