More than 500 business leaders and representatives of government, civil society, labour and academia from around the world gathered in Shanghai on 30 November-1 December 2005 for the UN Global Compact Summit: China -- the largest event ever held in China on the topic of corporate citizenship. International participants engaged in substantive peer-to-peer dialogues and debates on corporate responsibility and the Global Compact. Importantly, the Summit offered Chinese leaders the opportunity to discuss the emerging corporate responsibility movement in China and how the Global Compact’s ten principles can be used to contribute to sustainable development and poverty alleviation, in addition to their value in further integrating Chinese enterprise into the global economy.

By necessity, Pfizer and other research-based pharmaceutical companies must think and plan in terms of sustainability.  We think not only quarter to quarter, but also generation to generation. It takes about a decade and a billion dollars to bring a new medicine from the lab to the patient. But given the complexity and interconnectedness of today’s world, “sustainability” has taken on a larger meaning at Pfizer.  We ask ourselves: “How can we help meet the health needs of people today without compromising our ability to meet the health needs of people tomorrow”?

In 1982 my brothers and I created New Hope with funds scraped together from selling our own watches and bicycles. Today, it has grown to be China’s largest corporation in the agriculture and livestock sector with 35,000 employees and approximately 20 billion yuan in annual revenue (US$2.48 billion, €2.05 billion). Necessitated by our own situation, we have made continuous efforts over the years to improve the management of our company, raise ethical standards, protect our workers’ rights and protect the environment. We are among the first of the large private companies in China to establish employee unions. Concerted efforts have been made by New Hope to tie core values to core business, including a multi-step response plan to avian flu threats, partnerships in the dairy industry to increase milk production and work to raise environmental standards.

The United Nations Global Compact announced the "Shanghai Declaration" at the close of its summit on the topic of corporate citizenship on 1 December 2005. Mr. Georg Kell, Executive Head of the Global Compact, released the 15-point Shanghai Declaration with the support of over 500 international business leaders and representatives of government, civil society and labour who were assembled for the UN Global Compact Summit: China. "The Shanghai Declaration reflects the aspirations, commitments and goals of the many participants of the Global Compact", said Mr. Kell. The Declaration notes that: "The ongoing transformation and expansion of markets around the world remains an uneven and fragile process. Due to the expanding reach of business, embedding universal principles in the global marketplace has become an imperative for creating more robust and equitable societies".

Download the Shanghai Declaration.

Few people seriously doubt that being responsible can be a source of profitability and competitive advantage for global brands like General Electric, BP and Nike. A growing number of global corporations are doing what companies that are successful over generations do best: making profits by providing products, services and more broadly meeting society's changing expectations and needs. But what does this mean for businesses and the emerging economies of Asia, Africa and Latin America? Can being responsible support successful competitive tactics of these new players in today’s global markets? The simple fact is that responsible business practices are becoming drivers of national and regional economic competitiveness. This was the conclusion of a new report by AccountAbility, "Responsible Competitiveness: Reshaping Global Markets through Responsible Business Practices".

Anders Dahlvig, President and CEO of the IKEA Group, shares his honest assessment of the opportunities and risks faced when doing business in Asia. Dahlvig is frank in admitting that there are a multitude of possible risks -- from poor working conditions and substandard environmental enforcement to political unpredictability and quality assurance issues -- but argues that risks can be averted and progress can be made when a company is dedicated in its actions and policies. Global alliances are also critical to successful sustainable development according to Dahlvig. In his opinion, "if we want to remain competitive in Asia, companies like ourselves, along with suppliers, governments, labour organizations, employers organizations, authorities and others must share the same view. We must agree that over time we need to meet the rising demands on working conditions and the environment as defined in legislation, global standards and company codes of conduct."

Sybill Storz visits a training center at St. Joseph's Hospital in Chennai, India

The Women's Health Initiative (WHI) to Promote Health Care for Women and Girls in India was launched in 2005 by Sybill Storz, Chief Executive Officer of KARL STORZ, the world's leading producer of endoscopes and accessories. The aim of the WHI is to promote medical care for disadvantaged women in India by conducting targeted training for gynecologists and setting up medical examination centers equipped with modern technology. The project is a public-private partnership between KARL STORZ, the German Association for Technical Cooperation, the German Federal Ministry for Economic Cooperation and Development, and the United Nations University. The project is designed for self-sufficiency, based on a train-the-trainer approach, and hopes to serve as a model for other countries where access to high-quality health care for women is severly lacking.

Small- and medium-sized enterprises (SMEs) face difficulties in assessing their CSR performance comprehensively. In order to support SMEs in this task, the United Nations Industrial Development Organization (UNIDO) launched REAP, the Responsible Entrepreneurs Achievement Programme. REAP is based on a special Triple Bottom Line approach, which is a framework for measuring and reporting not only the financial performance of an enterprise (the traditional “bottom line”), but also its social and environmental performance. REAP is a CSR-based management and reporting tool. It assists companies in their efforts to implement CSR-based management approaches and operation methods.

Launched at the 2005 China Summit, the Global Compact Environmental Principles Training Package provides a practical kit for trainers, managers and employees to improve their understanding of how to implement the three environmental principles. It provides an up-to-date introduction to corporate environmental responsibility and makes the link with quality management, introducing the Global Compact Performance Model. The package comprises a Trainer's Manual and a Delegates' Manual for trainees.

The Human Rights Compliance Assessment (HRCA) is a self-assessment diagnostic tool that helps companies detect their human rights risks. The HRCA was launched internationally in December 2005 by the Danish Institute for Human Rights and the Confederation of Danish Industries. The tool contains over 350 questions and 1,000 human rights indicators, derived from the Universal Declaration of Human Rights, the 1966 Dual Covenants and over 80 other major human rights instruments, and ILO conventions. Running the HRCA tool produces a computerized report which identifies a company’s areas of compliance and non-compliance with human rights. Where there are weaknesses, the HRCA offers suggestions for how to strengthen the rights at greatest risk.  The company’s overall performance is quantified, so that continued improvements can be measured and tracked on a regular basis.

To help companies deal with corruption in every aspect of their operations the United Nations Global Compact, the Prince of Wales International Business Leaders Forum, and Transparency International, jointly published "Business against Corruption - a framework for action". It is a first guide for companies preparing themselves to implement the objectives of the tenth principle and to deal with corruption in every aspect of their operations. It provides a road map to sources and tools which will assist in the practical application of policies designed to eliminate corruption.

Read news from Global Compact networks located in Europe, the Americas, Africa and Asia. Recent activities include the creation of the first public-private partnership between China and Africa; network launches in Hungary and Pakistan; learning events in Lithuania and Macedonia; a public-service sector meeting in Colombia; poverty alleviation projects in Madagascar and Zambia; and much more.