References

Many of the projects and resulting insights are confidential since they might contain information relating to competitive advantages. However, we can provide a selection of work examples that have been anonymized.

1. CR strategy development and organization

   Situation and challenge

   A leading provider in the process industry decided to integrate sustainability and Corporate Responsibility (CR) into its core business; a relatively late decision in comparison to its competitors and only due to increasing pressure from its customers. However, executive level support for such an ambitious concept and resilient implementation was missing. In light of these difficult conditions, S&C was entrusted by the company’s Board to assist in the development of a CR strategy from conceptualizing the project to the implementation of essential measures.

   Approach

   A carefully coordinated project plan was developed together with the corporate development department. A project team was established on the client side, which included the heads of major profit centers and cross-departmental functions. A major success factor was the fact that all decision-makers within the company were asked about their expectations, thoughts, and suggestions regarding the approach prior to the beginning of the project. A materiality workshop was carried out in every business area of the company. During the workshop, which was held in collaboration with the project team, critical sustainability issues were assessed to determine their relevance, priority, and need for action. All following steps regarding the conceptualization and implementation were also conducted in close cooperation with the client’s project team, and subsequently presented to the Board.

   Results

   A specific CR strategy, supported by concrete and ambitious but realistic objectives, was developed and tailored for every business area, depending on its specific business environment and stakeholder requirements. In addition to business area CR strategies, an overarching group CR strategy was developed in alignment with the corporate strategy. Furthermore, we defined all necessary organizational and operational structures, objectives, performance indicators, and reporting lines. The project also led to a greater recognition of CR at the executive level, thus gaining priority and status throughout the entire company.

2. Establishing responsible supply chain management

   Situation and challenge

   In light of serious repeated violations of human rights and health & safety guidelines in the textile industry, a mid-sized producer decided to take stronger and more preventative measures to monitor and influence its suppliers in these areas. S&C was mandated to develop a suitable management approach.

   Approach

   S&C, together with the procurement team, developed a method to rate the environmental and social risks from countries where goods were purchased. Existing and new suppliers were evaluated and classified into risk classes according to a systematic assessment of their compliance with minimum standards. To gather information from supplier “self-assessments” using an external online database was key. Very clear guidelines for dealing with sustainability criteria in supplier evaluations were defined for the procurement team. Finally, a training program to qualify suppliers was developed and tested in the form of a pilot project.

   Results

   In both corporate headquarters and national subsidiaries, newly defined processes guided the procurement teams to include sustainability criteria in supplier evaluations and to deal with issues of non-compliance. On that basis, the company felt it was sufficiently prepared to engage in a dialogue with critical stakeholders.

3. Conducting Due Diligence

   Situation and challenge

   In light of a leading international chemical company’s intended acquisition of a specialty chemicals producer, S&C was called in to conduct a critical assessment of specific sustainability risks.

   Approach

   By means of a broad literature and media analysis, a comprehensive and current overview of the relevant CR issues in the industry, as well as of critical events in the recent past was created. The company’s CR performance and risk profile was determined through expert interviews with customers and non-governmental organizations (NGOs). The evaluation of all relevant documents occurred in the data room. The results of the overall analysis were discussed in-depth with managers/ relevant functions of the company being acquired.

   Results

   The client received a comprehensive evaluation of the target company’s CR performance and a detailed description of the current and inherent risks. Additionally, recommendations for concrete measures aimed at minimizing these risks were discussed.

4. Establishing effective stakeholder management

   Situation and challenge

   A leading global provider of high-quality machinery purchases raw materials and components had to deal with a number of critical issues along its value chain. Despite performing well with regard to sustainability, the company had not openly communicated its strengths and had avoided discussions with critical stakeholders. Given the increasing pressure from important customers to actively establish a structured stakeholder dialogue, S&C was mandated to develop a process and assist in its implementation.

   Approach

   During analysis of the company’s current stakeholder management status, S&C also identified issues to address and external parties with whom to initiate a dialogue. A gap-analysis clarified organizations and issues to be included in a future dialogue. Together with the communications and sustainability departments, we developed a process to deal with relevant stakeholders and issues.

   Results

   S&C defined stakeholders to be included in the dialogue, including specific names and particular critical issues to be addressed. Additionally, we established a specific process and identified responsibilities for all the company functions that play an active role in such a dialogue. Stakeholders were successfully approached for the first time, which also led to well-attended Round Table events within the company.

5. Conducting a Hotspot analysis

   Situation and challenge

   A leading company in the Food & Beverage industry aims to differentiate itself in the market by actively communicating its strong sustainability performance to its retailers. S&C was instructed to create a strengths/weaknesses profile for one of its main sources of revenue and identify specific leverage points for further improvement.

   Approach

   Every step/phase along the entire value chain was analyzed and assessed in detail for the selected product. This included a broad yet detailed analysis of renowned and current scientific literature, as well as a survey including relevant stakeholders. Together with the decision makers in the company, we discussed the results of the analysis, which included the relevance and priority of the identified issues. Additionally, the need for action, necessary to further optimize the product, was derived from these discussions.

   Results

   The results of this so-called Hotspot analysis were presented to the client at various levels; from the most detailed level to an aggregated executive summary. In addition, measures that were agreed upon with process owners, and intended to significantly improve the product, were quickly implemented and marketed.

6. Establishing a meaningful performance management system for sustainability

   Situation and challenge

   A chemical company decided to purchase sustainability software to manage sustainability issues as well as to efficiently collect relevant data and information for report development. As a necessary prerequisite to the introduction of the new software, S&C was instructed to review and adapt the currently used performance indicators and reporting system.

   Approach

   Together with the client’s project team, we ensured that all performance indicators and reporting lines used by the CR/EHS, Controlling, and HR management divisions were relevant as well as clearly and thoroughly defined. Missing indicators were added and others that were no longer relevant were eliminated.

   Results

   The client obtained a reporting system that was adapted to the current standards (e.g. GRI), including all the relevant performance indicators, which was compatible with the internal system. The company had a resilient collection and validation system for performance indicators, which was described efficiently for people carrying out data analysis.

7. Developing an employee code of conduct

   Situation and challenge

   An international retail company decided to establish a code of conduct for all of its employees, due to reoccurring problems in the industry regarding corruption and re-labeling, among others. S&C was entrusted with the development of the code as well as with conceptualizing and implementing a training program.

   Approach

   Together with the client’s project team, which includes representatives from HR, Compliance, and the workers’ council, we agreed on objectives, tools, communication, approaches, and legal prerequisites. The code of conduct was strongly aligned with country-, function-, and process-specific requirements. Additionally, the company established a hotline for anonymous callers who wish to report violations and also designed a training program. After several rounds of adjustment and input from an external legal team, the code of conduct was finalized and approved by the Board.

   Results

   The client received a code of conduct that was ready for implementation and legally resilient, with its content covering current issues. Employees were provided with all necessary information including legal requirements and internal guidelines through trainings based on practical cases.