United Nations Development Programme

Russian Federation


History of the Global Compact in Russia

Bringing corporate social responsibility to the country level and stimulating business partnerships for development, while using the Global Compact as a basis, is among main priorities for UNDP in the Russian Federation. In conjunction with the Global Compact and in response to the increasing complexities and challenges of fulfilling the UNDP mandate of eradication poverty, it is recognized that all sectors of society need to be mobilized and engaged.

February 2008

A Global Compact mission visited Russia

United Nations Global Compact Mission with Mr. Soren Petersen, Head, GC Local Networks & Global Compact Partnerships and Mr. Jeff Senne, Head, Communications on Progress visited Moscow from 4-6 February 2008. A series of meetings took place with the Russian Union of Industrialists and Entrepreneurs to discuss further alignment of the Union’s Social Charter of the Russian Business with the UN Global Compact.

The Global Compact (GC) is a framework for businesses that are prepared to incorporate the ten universally accepted principles of GC in the areas of human rights, labour, environment and anti-corruption into their operations and strategies. Internationally, more than 4,000 businesses have responded to the challenge of developing a more sustainable and inclusive global economy.

UNDP Russia, jointly with the Business Club on non-financial reporting of the Agency of Social Information, organized a meeting bringing together members of Russian GC Network, including UC RUSAL, Interros, Russian Railways and others, as well as members of the Business Club - Norilsk Nickel, Lukoil, BP, TNK-BP, RAO “UES of Russia” and others. The meeting was followed by a seminar on Communications on Progress (COPs) as a requirement to ensure the commitment of Global Compact participants, safeguard the integrity of the initiative, and to create a rich repository of corporate practices.

Opening the meeting, Mr. Marco Borsotti, UN Resident Coordinator and UNDP Resident Representative, called it an opportunity for participants to exchange views, share information, discuss how business practices could be reconciled with principles stipulated by international agreements without hindering the businesses’ ability to remain competitive globally, and to formulate their expectation in regard to prospective advancement of the Global Compact initiative in Russia. The United Nations Development Programme in the Russian Federation and other development advocates welcome the fact that Russian companies are interested in supporting and promoting the principles of social responsibility. Participation in this initiative can help them not only to improve their image, exchange experience on topical issues, and implement risk management strategies, but to get involved in the processes of economic and social development in the most efficient way.

The GC speakers briefed the participants on the recent GC developments around the world and presented the role of local GC networks in rooting the Global Compact within national contexts and facilitating the progress of companies – members of GC in implementation of its principles. Furthermore, the networks provide members with learning opportunities through their own activities and events and promote action in support of broader UN goals.

During the meeting, Mr. Rustam Zakiev, Director of Department for regional projects, UC RUSAL made a presentation: “UN Global Compact as an important component of international recognition of the Russian experience in the area of Corporate Social Responsibility (CSR)”, while Ms. Lubov Alenicheva, Development Manager of the Agency of Social Information spoke about “Tendencies in the development of non-financial reporting of the Russian companies”. The participants discussed the advantages of participation in the GC initiative, integrity measures and the importance of joining efforts in promoting the CSR in Russia, disseminating the knowledge and experience of Russian experts already working with GRI and AA1000 voluntary standards, and attracting international expertise.

“The discussion showed that the current situation with Russian businesses’ participation in UN GC is not clear enough, but promising. Twenty four leading Russian companies and NGOs signed the UN GC, but only few of them produced and made public obligatory progress reports called Communications on Progress. The huge potential of Russian participants can be used for taking a series of simultaneous and consistent steps towards UN GC’s expansion to Russia”, commented by Mr. Alexey Kostin, PhD, Executive Director of NGO "CSR - Russian Centre".

January 2008

The Experts discussion devoted to the “Report on Social Investments in Russia 2008” took place in the office of The Russian Managers Association on 22nd of January 2008.

The United Nations Development Programme and Russian Managers Association are jointly elaborating this paper; the publication’s printing and its presentation is scheduled for the end of this year. This work represents the subsequent research of the “Report on Social Investment in Russia 2004” and it is devoted to analyses of the development of corporate social responsibility activities in the Russian Federation.

Mr. S.Litovchenko, Executive Director of the Russian Managers Association noticed that participation of the international organization such as UNDP in reports’ elaboration allows to «installation CSR development in Russia into the international context».

Experts in their term expressed opinions regarding the content of the future report, methods of the research as well as underlined the necessity to maintain sequence with the previous report in clarifying the issues on social investments in Russia to reveal dynamics of CSR development in the country for the last four years and to follow the problematic of evaluation of business contribution into social development.

November 2007

Global Compact in Russia organized a study tour for the delegation from the Republic of Kazakhstan that included media representatives, NGOs and businesses. A number of meetings with GC champions, CSR organizations and key partners were organized, including UC RUSAL, Russian Union of Journalists, UNIC, Russian Union of Industrialists and Entrepreneurs. During this visit a round table of the Business Club for Development of Non-Financial Reporting was organized.

The main purpose of the mission included awareness rising about the progress in CSR area in Russia, discuss the practical experience in implementing Global Compact initiative in the country and outreaching new potential partners.

UN Global Compact in Russia, Agency for Social Information, Urban Economic Institute under cooperation with the Russian Union of Industrialists and Entrepreneurs, and GRI have organized the meeting of the Business Club for Development of Non-Financial Reporting at the United Nations Information Center.

The central topic for discussion was devoted to CSR, GRI methodology in GC principles’ implementation through Human Rights aspects. UNDP Resident Representative Mr. Marco Borsotti welcomed all participants, and mentioned that in view of the forthcoming Anniversary of the Human Rights Declaration next year, the discussion was on-time and very important. The UNIC Director Mr. Alexander Gorelik has updated the meeting participants with the latest UN news.

The participants discussed different aspects of Human Rights issues, giving great attention to the human rights of disabled people, their protection and shared best business practices in this area. Meeting participants also raised issues on supporting the Russian companies that are socially oriented and issues on finding ways to help making daily life of disabled people better.

October 2007

UNDP and the United Company Russian Aluminum Company signed a Memorandum on cooperation in the area of environmental protection and sustainable development during the field visit to Krasnoyarsk.

Deputy General Director for International and Special Projects of UC RUSAL Mr. Alexander Livshits, UN Resident Coordinator in the Russian Federation Mr. Marco Borsotti, representatives of business society, authorities of the Krasnoyarsk Territory, representatives of the specially protected natural arias of Altai-Sayan Ecoregion, NGOs and mass media participated at the round table called «Business Role in climate change prevention» organized during this visit.

UC RUSAL became one of the first Russian signatories to the Global Business Leadership Platform on Climate Change of the UN Global Compact.

UN Global Compact, the Russian Union of Industrialists and Entrepreneurs, and RAO UES have organized an International Congress on Business Reputation and Russia’s Future that took place on 5 October 2007 at President Hotel in Moscow. The Congress included the Business Forum “Business Reputation: Responsibility. Transparency. Sustainability” and the Exposition “Made in Russia: Responsible Business at Work”.

Russia, like the rest of the world, has a growing number of companies that integrate the principles of responsible business conduct, as interpreted by the UN Global Compact and the Social Charter of Russian Business, into their strategy and practice.

UNDP in Russia and UN Global Compact have organized two working sessions of the Business Forum “Business Reputation in Russia” devoted to “Responsible Business and Reputation Management” and “Corporate Responsibility and Non-Financial Reporting”. A separate working session “The Human Aspect of Labor. Employers’ Reputation” was organized by the Global Compact in Russia jointly with ILO Moscow office. The GRI Board Chair Mr. Mervyn King – a judge of the Supreme Court of South Africa, and an international authority in corporate management and corporate citizenship, the first president of the UK Commonwealth Association of Corporate Governance, and the author of the famous book “Corporate Citizen”— was the Forum’s special guest. Over 500 people participated in the Congress’ events; government officials, and top managers of the Russian and international companies and organizations made presentations.

October 2007

The Global Compact in Russia organized a first Network meeting of the GC members that took place at premises of the United Company RUSAL as a leading GC member and a Chair Company of the Steering Committee. Deputy General Director for International and Special Projects of UC RUSAL Mr. Alexander Livshits and UNDP Resident Representative Mr. Marco Borsotti participated in the event. GC members, private companies, NGOs invited to the meeting discussed recent GC developments in Russia and worldwide, as well as progress in the Network activities in Russia and its further developments.

During the meeting it was noted that it was important to increase efforts of the Russian companies in reaching international standards in social and environmental responsibility and build a continual and structured formal dialogue at all levels, as well as with the civil society. Next year UC RUSAL will be terminating its authority of the Network’s Chair Company.

UN Global Compact in Russia has translated into Russian language the GC publication “Business against corruption”.

To help companies deal with corruption in every aspect of their operations, the UN Global Compact, the Prince of Wales International Business Leaders Forum, and Transparency International have 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.

The Russian edition was developed for the All-Russian Business Forum «Goodwill: Responsibility, Transparency, Stability» that took place on 5th of October 2007 in Moscow. The Forum was organized by UN Global Compact together with Russian Union of Industrialists and Entrepreneurs (Employers) and United Energy System of the Russian Federation.

Russian version of this publication can be downloaded here.

English version of this publication can be downloaded here.

UN Global Compact in Russia has translated into Russian language the GC publication “The UN Global Compact operational guides for medium scale enterprises”.

An international taskforce on SMEs and corporate citizenship, consisting of experts from companies, Global Compact focal points and other relevant organizations, have reviewed existing material on the implementation of the Global Compact principles and the work of SMEs and produced these operational guidelines for medium-sized enterprises.

Russian version of this publication can be downloaded here.

English version of the publication is available here.

United Nations Information Centre in Russia has translated into Russian language the GC publication “Making The Connection - Using GRI's G3 Guidelines for the COP”.

This guide, produced in partnership with the Global Reporting Initiative, introduces and explores ways to address Global Reporting Initiative (GRI) and Global Compact Communication on Progress (COP) requirements simultaneously. By linking the GRI G3 Guidelines to the ten principles of the Global Compact, Making the Connection assists companies in bridging the gap between the COP and other sustainability reporting vehicles.

Russian version of this publication is available at UNDP Office in Russia.

English version of the publication is available here.

June 2007

UNDP in Russia and the Russian Union of Industrialists and Entrepreneurs have signed a Memorandum of Understanding on aligning the Social Charter with the principles of the Global Compact. This initiative will allow integration of the National Network of the UN Global Compact and members of the Social Charter of Russian Business to jointly promote CSR and GC principles among Russian businesses.

"UN Global Compact in Russia developed a CSR Business Directory “Russian Business and UN Global Compact” jointly with the Social Information Agency. The document was developed for the GC Leaders Summit on 5-6 July 2007 and presents an analysis of CSR trends in Russia and CSR practices implemented by the Russian companies.

Russian version of this publication can be downloaded here.

English version of this publication can be downloaded here.

May 2007

UNDP and Russian NGO "The Russian Managers’ Association" (RMA) launched the national report “Business Risks in Public-Private Partnership” developed within the framework of the UN Global Compact in Russia. The report represents a survey among 180 representatives of major Russian companies, over 10 interviews with leading Russian PPP experts, and several round table discussions were held in the course of the report preparation.

Authors of the report believe that there are favorable economic conditions for uniting public and private efforts in the form of PPP. Six key areas for PPP development as mentioned in the document include further improvement of conditions for PPP development; enhancement of legal basis for PPP; increased state support and guarantees for partners from the private sector; establishment of a state agency responsible for PPP; involvement of business associations; better project development by both parties and public engagement. There has been a wave of demand for public-private partnerships as an instrument of providing public services while sharing responsibilities between private businesses and authorities.

February 2007

The UNDP in Russia, within the framework of the UN Global Compact organized a round table with the representatives of civil society to discuss possible ways of cooperation in promoting the Global Compact in Russia.

The participants discussed the role the NGOs can play in CSR promotion and GC advocacy, involvement of NGOs in the implementation of joint social programs launched by the government and businesses with a view to increase their efficiency and guarantee transparency. A number of initiatives, including different independent ratings on CSR were suggested.

Civil society organizations are an important and integral part of the Global Compact and its goal to effect social change through collective action. The initiative seeks to strengthen and widen the engagement with committed civil society organizations that have an understanding of the ten principles and related expertise – particularly in terms of helping companies translate the principles into policies and practice. In this regard, civil society organizations utilize professional and/or field expertise.

October 2006

The international conference Social Investments in the Economic Development of the Regions of Russia aimed at promoting corporate responsibility and regional development in Russia was held in Rostov-on-Don. The conference was organized by the United Nations Development Programme in the Russian Federation and the Russian Union of Industrialists and Entrepreneurs in association with the UN Global Compact Office. The event was supported by the leadership of the Southern Federal District and the Administration of the Rostov region.

The conference objectives included development of interregional and international cooperation, sharing experience and presentation of corporate initiatives in the area of responsible investing. The event was designed as a unique networking opportunity and allowing strengthening direct contacts among Russian businesses, international companies and local authorities in order to attract socially oriented investments to the regions and foster the establishment of the Russian UN Global Compact Network.

As a result of the conference, a resolution was adopted defining the activities of Russian and international partners in promoting corporate responsibility, assistance to socio-economic development of Russian regions, and establishment of the Global Compact Network in Russia. Over 200 participants, including representatives of key ministries and agencies of the Russian Federation, major national and foreign companies’ management, regional businesses, civil society, international organizations, United Nations agencies and media representatives took part in the conference.

During the conference a signing ceremony of the Agreement between UNDP and Vnesheconombank on cooperation in implementing of the projects aimed at sustainable economic and social development of the regions of Russia. The programme is aimed at conducting studies of international best practices, formulating social and economic regional development strategies with a focus on poverty reduction and effective employment generation, attracting direct investments, implementation of recovery and reintegration programmes in the republics of the North Caucasus, support to small and medium business, infrastructure development, support to the housing and communal sector reform in the regions, assistance in increasing effectiveness of basic public services, development of public-private partnership, as well as assistance in enhancement of economic cooperation in the CIS.

July 2006 The UNDP Office in Russia singed an agreement with the Russian Managers’ Association on developing a report on the public-private partnership in Russia. The report will include the analytical research of the PPP area in the country and develop the concept and provide recommendations to the government and the business sector on establishing and developing of the national system of the public-private partnership. The launch of the report is planned for the beginning of 2007.
June 2004

"Support to the public-private partnership (PPP) in Russia on the basis of the Global Compact principles and corporate social responsibility (CSR) strategy" project signed. Elaboration of the CSR Index became the strategic component of the project.

The ability to participate in a CSR index should further stimulate companies to make a commitment to integrate socially responsible practice throughout their business, thus providing for more equitable sustainable development. The project will also facilitate greater partnership between the private and public sectors and increase civil society’s involvement in tackling broader social responsibility issues.

February 2004

In collaboration with a Russian NGO "The Russian Managers’ Association" (RMA) and under the aegis of the Government of the Russian Federation, UNDP began preparing launch of the first corporate social responsibility (CSR) index in Russia. The Index was based on a field survey of representative sample of 1 000 large and medium Russian companies operating in various branches of industry. The survey included questions on social reporting data, financial soundness and weight in the national economy. The key components of the CSR Index included investments in human resources, health and safety, environment and local community.

The Index (companies’ rating) was published in the first Annual Report on Social Investment in October 2004. The Report also envisaged trends on the level of CSR spending, analysis of legislative and methodological basis for the implementation of CSR programs and best socially responsible practices of the Russian companies.

April 2002 A steering committee for the Global Compact Network Russia established.
November 2001 The Global Compact officially launched in Russia during a round table jointly organized by the Ministry of Foreign Affairs and the Russian Union of Industrialists and Entrepreneurs in partnership with UNDP and other UN agencies representatives. About one hundred participants, including representatives of leading Russian companies and multinationals operating in Russia, high level Government and UN officials attended the round table. This meeting provided an opportunity to present and discuss the future implementation of the Global Compact in the country, to mobilize the business community and to establish supporting mechanisms for the development of private-public partnerships in Russia. The Global Compact aroused significant interest not only from business and government institutions but also from civil society and media.
GLOBAL COMPACT

participants in Russia can be downloaded here