Summary of Norwegian Brazilian Chamber of CommerceCorporate Social Responsibility (CSR) Seminar of March 2006

Mediator: A. Cristian Nacht, Chairman, Mills Andaimes Tubulares do Brasil

• CSR must be a key responsibility of the Chairman/CEO, and the responsible executive must answer to the CEO.
• Effective CSR will influence the values of the company and be part of virtually all decisions. Ethics and transparency are fundamental.
• CSR is not just a challenge but also an opportunity.
• A company’s image can be significantly impacted by CSR. Good relations with the press are important, but it may be necessary to work at motivating the press to report on positive events.
• Norway is a leader and worldwide reference in CSR, which gives the Norwegian companies a "head-start" in Brazil.
• CSR is not just philanthropy.
• CSR should be implemented professionally, with the same competencies used in running your business.

• Gather information and learn about what is already being done locally, what works and what doesn’t, and build up your knowledge base.

• However simple, prepare a strategic plan for your entry into CSR, and integrate it with your company’s business plans and interests.

• Clearly define your spheres of interest in order to prioritize resources.
  Two examples of spheres of interest:

• Internal people, Partners, Supply chain, Markets and consumers, Society.
• Community, Employees, Social Activities, Press and Communication, Shareholders.

• Core commitments: labor and human rights, transparency, and local content; must strengthen the overall objective of the company.
• Education, culture, and generating employment/work and income.

• Be careful in managing expectations; be realistic. Costs have to match benefits, to the company and the community. There will always be more demands than resources.
• Performance indicators are not easy to find. However, always establish some measures of performance, quantitative or qualitative, in order to monitor and evaluate your projects’ performance. There are specialized organizations that have developed evaluation criteria for CSR.
• Sustainable development is a prime objective of CSR and is frequently assisted by a network of players: NGOs, labor organizations, universities, industry associations, government. Networking, like in business, is a good practice.
• Partnering with local organizations helps keep the company’s CSR structures small as well as supplying local know-how and content. It can also help in the sustainability of projects.

• Choice of partnering NGOs should consider the organizations’ past record, their culture and competence, particularly in relation to ethics, transparency, financial accountability. Careful due diligence before partnering is advisable.
• You may also choose to support an ongoing project; not necessary to start from scratch. It may also help towards the sustainability of the project.
• Partnering with other companies in one project is another alternative.

• CSR is not about replacing government nor taking over governmental responsibilities towards society as a whole.
• Integrating several programs or projects of different companies, but with a common objective, may be a powerful way to increase the social impact of CSR efforts. This may be a particularly appropriate strategy for the members of the Norwegian Brazilian Chamber of Commerce, given their relatively small size and short history in Brazil.
• There are some incentives and funding possibilities for projects within a framework of CSR.

Instituto Ethos: www.ethos.org.br

GIFE: www.gife.org.br

IBASE: www.ibase.org.br

Ashoka: www.ashoka.org.br

FIRJAN: www.firjan.org.br

Viva Rio: www.vivario.org.br

These meetings around the subject of CSR are part of a process with the following objectives:

• Fact finding;
• Exchange of information, particularly of practices that work;
• Increase the effectiveness of the group’s CSR efforts.
• Prepare the Norwegian companies in Rio de Janeiro to support the Norwegian government’s policy of increasing CSR activities abroad.

Members who have any particular queries or interests should contact the NBCC. Future meetings may be organized around these issues.

ACN

22/03/2006