UN Global Compact Reflections
The UN Global Compact (UNGC) occupies an important place in the global development of the corporate responsibility and sustainability movement. Since its beginnings in 2000, it has grown to become the largest corporate citizenship initiative in the world.
It is not without its critics – sometimes being accused of being a “mile-wide and an inch deep”. This claim has been answered by the continued development and requirements of the annual “Communication on Progress” or COP process for business signatories. Companies are required to “show their hand” as regards their commitment to the UNGC principles across their policies and business practices. It has prevailed over the last 15 years under the charismatic leadership of Georg Kell and the incredible talent and hard work of the team in New York, and its global networks – such as here in Australia.
The UNGC office recognised early on the importance of building the local relevance of the Compact, by encouraging the establishment of country Networks. Each of these reflect their own national characteristics- driving local relevance, connected to a global agenda. In 2009 I invited Georg Kell to launch the Australian Network of the UNGC at Parliament House Canberra, together with Senator Nick Sherry, the then Minister for Superannuation and Corporate Law where Georg emphasised: “Country networks are absolutely key for the UN Global Compact and increasingly are actually defining what the Compact is.” Since its launch the local Network has flourished to become the largest corporate sustainability initiative in Australia, under the leadership of the Executive Manager Alice Cope, and a committed board lead by the Chair, Catherine Hunter.
Two key factors drive the continued success of the UNGC:
- The UNGC’s 10 principles are based on internationally recognised declarations and conventions on human and labour rights, the environment and anti-corruption. These give the Compact a significant global authority and moral legitimacy across the world. These principles can be found embedded in many other related initiatives as the astute Sustainability Manager will know, for example the Global Reporting Initiative, the UN Guiding Principles on Business and Human Rights and the OECD Guidelines for Multinational Enterprises.
- Secondly, the UNGC, under the leadership of Georg Kell has adopted an inclusive approach towards partnerships with business, government and the NGO sector. It has encouraged and fostered the development of many important and related initiatives, some of which have gone on to be internationally significant in their own right. For instance – the UN Principles for Responsible Investment (PRI), the Principles for Responsible Management Education (PRME) and the Women’s Empowerment Principles. Each of these works to support and amplify the same principles across diverse sectors.
The UN Global Compact is now entering a new era as it transitions its leadership from Georg Kell to Lise Kingo and prepares to support the implementation of the Sustainable Development Goals (SDGs) through its post-2015 Business Engagement Architecture. It will be interesting to follow the next steps of the UN Global Compact journey. I for one wish them well!
