Naturally, I wondered how they all are doing it. Join me for the tour.
I thought we would start with Belgium, seeing that G4 for first-time reports appears at first glance to have become popular to the level of cult. 16 out of the 23 G4 reports published in Belgium in 2014 were first-timers. But only because someone had a big vision with cash support behind it. The visionary, as far as I can tell, was the
European Social Fund (ESF) with an aim to drive the creation of sector "CSR passports" that would define the specific CSR challenges and issues facing companies in Belgium in each sector, and select 15 - 20 performance indicators especially relevant to each sector. Grants were awarded to consulting firms to work with sector organizations and individual companies to develop this set of issues and refine the CSR Passportד. The work involved companies in the relevant sectors publishing first Sustainability Reports using G4 guidelines.
The horticulture and construction sectors came first, and several others are planned to follow. There are also some non-profit organizations that were funded as well. Sort of a Belgian
SASB -style initiative, and a really great one at that. It's a very practical approach - develop a deeper understanding of what's important while actually delivering report outputs. Maybe that's a better way than just defining standards - maybe the standards should be defined through the reporting process and not separate from it. But that's another discussion. What I have stumbled on, quite by chance, in Belgium, is a really fabulous initiative that has brought many small companies onto the sustainability and reporting map. Of the 16 first time G4 reporters in Belgium, 15 appear to have been funded through
European Social Fund (ESF). I have split them in to three sections for the purpose of this review.
First off, we
have 7 out of the 16 first-timer Belgian reports that are simple, no-frills self-declared G4 core reports. You can find them on the GRI Sustainability Disclosure Database. All reports were supported by a Belgian consultancy called
Kreski in a fully-funded project of
EDUplus, the Belgian agency of
European Social Fund (ESF) within the context of the CSR Passport project. All reports are prepared in word format, and follow the G4 guidelines in the most basic way, providing responses to the disclosure requirements and providing the data as required. Material Aspects, for example, are not separately listed - the way to know what's material is to check what's reported in the GRI Content Index. While all these reports are rather elementary, and possibly-don't-or-just-about meet the requirements for G4 reports, the idea is great and it's inspiring to see the willingness of these small companies to participate in this project. Some reports are more detailed than others, but all follow a simple flow and deliver a minimal but credible and admirable level of transparency for a group of mainly small companies, most of which are still owned by their founders or families of the founders. Of course, as it was fully-funded, it didn't cost them money... but it did require time, effort, thought and a willingness to disclose. I hope this process was energizing for the companies involved and that reporting won't be just a flash in the pan. Now the basis is created, perhaps the second report may be easier to develop.
The 7 reports in this bunch are from companies in the agriculture, textiles and construction sectors:
Alsico Group: Alsico is a third-generation run workwear clothing company founded in 1934. Currently it employees around 4,000 people and has a turnover of around Euro 170 million. This is a 37 page report covering 14 performance indicators.
Berry Alloc: Berry Alloc is a floor and wall covering company making laminates, parquets, vinyl planks and wall panels. The company is part of the Beaulieu International Group and has around 134 employees with plants in 3 countries. This is a 46 page report covering 18 performance indicators.
Fruitbedrijf Cocquyt: This is a fourth-generation run family-owned fruit producng firm founded in the 1920s, specializing in apples, pears and cherries. Thee are 10 permanent employees, supplemented by up to 70 seasonal workers. This is a 6 page report covering 17 performance indicators.
Decospan: Decospan a wood veneer processing company with 122 employees, family owned, founded in 1978. The company is headquartered in Belgium and has subsidiaries in 8 countries in Europe. This is a 51 page report covering 23 performance indicators and a little more substantial in terms of scope and narrative that the others in this bunch.
Elanco: Elanco is a family firm of around 70 employees founded in 1948. The company makes work clothing, specializing in uniform shirts and blouses. This is a 6 page report covering 16 performance indicators.
TomatoMasters: This is a tomato grower, the third largest in Flanders, privately owned, founded in 2012 based on a tradition of tomato growing since 1981. Tomato Masters has 30 employees, supplemented by seasonal workers. This is a 23 page report covering 21 performance indicators.
Van Heurck NV: A private company, manufacturer of protective workwear, founded in 1920, witha 2013 turnover of Ruro 4 million, and 307 employees (of which 91% are women). This is a 14 page report covering 25 performance indicators.
While these reports are all commendable, and possibly a good way to jump-start a reporting process, the proof of their value will be in the second reports of these companies, and potentially a visible shift in approach and integration of sustainability themes into these businesses. At this point, it looks like we have reports, but not transformation. However, so far, an impressive initiative.
Next, in addition to the two construction sector reports already mentioned above, we have
5 reports from the construction sector that bring us to a total of 12 of the 16 first-time G4 reports from Belgium. These reports are generally offer more depth and evidence of a deeper connection to sustainability practice. These reports were supported by the
Belgian Federation of the Concrete Industry as a key sector influencer and player, and all reports describe stakeholder consultation with other association players in the concrete industry that has led to a definition of material issues for each. While each report is different, they all tend to follow the G4 guidelines in an orderly way, focusing primarily on direct economic, social and environmental impacts. This is good basic reporting and it is inspiring to see such a range of fairly small companies get engaged with sustainability reporting, each in its own way within a specific sector and project context. These five construction sector CSR Passport participants are:
Dak Plus: This is a family run firm with six employees, engaged in providing roofing solutions. This is a 62 page report, but the reason it is so long is the inclusion of around 30 pages of detailed finances including budget lines for three years. Total - radical - transparency, but maybe just a little too total. This report was was partially assured (three indicators). 12 performance indicators support the stated material issues which are defined in a materiality matrix after discussion with external stakeholders.
This looks like a nice report - my Dutch is not so great so I didn't make the effort to read it all - but it looks as though it would be quite interesting to read as it seems that this company gets what sustainability is all about. It's an impressive report for such a small outfit. It's also pleasantly designed. The plan is to report every 2 years. Let's hope Dak Plus manages to achieve this.
Kerkstoel Group: This is a family-owned concern in the construction industry which brings together a number of companies under one holding, with a total of 131 employees. The report is 36 pages and states 15 material issues and reports against 25 performance indicators.
O Beton: O Beton is a privately owned company founded in 2012 and run by its two partners. O Beton employs 16 people. This is a short G4 report of 29 well-spaced pages, defining 13 material Aspects and reporting against 19 performance indicators.
Stradus Infra: This is a manufacturer of precast concrete and customized products for public places. The company employs 271 people and is part of the international diversified building materials group,
CRH. A sustainability approach seems to be reasonably well-embedded at Stradus Infra. For example, by the end of 2014 the company plans to manufacture all its products using self-generated renewable wind and solar energy. This is a solid report of 55 pages, defining 14 material Aspects and reporting against 26 performance indicators.
By the way, I love the title of this report - even if my Dutch is not that great, it has a certain ring to it.
Wycor nv: Wycor is a maker of joinery and building finishing materials for renovation, and internal and exterior finishing. The company is a limited company owned by private investors, and employs 220 people. This is a word-format report of 64 pages, defining 16 material Aspects (of which 6 are most material) and reporting against 16 performance indicators of which two are from the Construction Sector Supplement. Three performance indicator disclosures were externally assured. A materiality matrix is presented:
I didn't take the time here to see if I could guess from these reports what might be the content of the Belgian Construction Sector CSR Passport, but with such a great collection of disclosures and dialogue within the sector, I am sure this will make for a great addition to the body of sustainability knowledge and practice.
Three more ESF-supported first-time G4 reporters from Belgium in 2014 are from the non-profit sector. These are:
Amival: Amival (Labor for the disabled) was founded in 1964 as a non-profit organization with an aim to help create meaningful and rewarding employment for people with disabilities.
The organization maintains several workshops where employees with disabilities can work and deliver a useful output for society while gaining skills and self-respect. The work centers around packaging, assembly and dis-assembly of electronic products, preparing promotional items and much more. The company - a "protected workplace" - has 70 employees that support the provision of work for 400 employees with disabilities. This is an 82 page report, identifying 14 material Aspects and reporting against 16 G4 performance indicators and one other called "extra" as a self-defined performance metric. A fabulous organization and a nicely laid out report.
Bewel: Bewel is another non-profit organization that supports the creation of job opportunities for people with disabilities. The work here includes silkscreen printing, textile conditioning, packaging work, cleanroom work for medical supplies and gardening and landscape maintenance work. Bewel has 10 centers in the Limburg area of Belgium, with an employee headcount of more than 1,900, making Bewel one of the largest employees in the Limburg area. This is a 51 page report, identifying 20 material Aspects and reporting against 29 G4 performance indicators and two others called "extra" as self-defined performance metrics. This looks like a well written report with some super photos of Bewel employees.
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