Published in: FORUM CSR international.
Munich > Corporate Social Responsibility is a hotly disputed topic in the Dutch business community. It is one of the main issues on the agenda of Dutch entrepreneurs, and both multinationals as well as a growing number of Small and Medium Enterprises (SME’s) realise that CSR is improving the business case. Climate change, rising energy prices, labor conditions and supply chain responsibility are not only burdens, but create a lot of new opportunities for innovation, products and markets.
The Netherlands in comparison with other countries
Dutch multinationals belong to the top of the world in the field of sustainability. Companies like Philips, Unilever, TNT and Akzo Nobel see their CSR efforts resulting in a number one listing in their sector on the Dow Jones Sustainability World Indices. A study conducted among Dutch SME’s (up to 100 employees) showed that 68 percent of the entrepreneurs were familiar with the concept of CSR. Although over two-thirds of the entrepreneurs were familiar with the concept of CSR, only one-third of the SME’s said that they felt they were actually carrying out CSR activities. However, it is a well-known fact that many small and medium-sized enterprises are involved in CSR activities, they just don’t call it CSR.
Role of the government
The Dutch cabinet is ambitious when it comes to CSR. The aim of the government is for all Dutch companies to be aware of the opportunities of CSR in a few years and act accordingly. In order to achieve this, the governmental policy is centred around three keywords: inspiring, innovating and integrating.
• Inspiring: A great deal can be learned from the CSR frontrunners. They are a good example for others and are therefore promoted in articles, workshops and meetings. To inspire even more companies, the government finances the Dutch knowledge and information centre MVO Nederland (CSR Netherlands). Another priority for the government is setting a good example through a consistent procurement policy in which sustainability is one of the key factors.
• Innovation: CSR and innovation are closely linked. Through innovation vouchers, SME’s are encouraged to introduce new sustainable methods and products in their business.
• Integrating: The government stimulates the integration of CSR in all aspects of the business, both in business processes and product development (internally), as well as in supply chain management and marketing (externally).
Trends
In general, it can be concluded that CSR is gradually shifting from a defensive strategy, avoiding a poor reputation and financial risks, to an offensive approach, in which CSR is seen as a means of doing business that creates new products and markets.
Some of the most important trends in the Netherlands are:
• Despite the growing attention for CSR, the market share for sustainable products is, although still rather low, rising.
• Sustainable procurement
In 2010 the Dutch government plans to include sustainability as one of the main items in its total procurement. Moreover, a fast-growing number of companies integrate sustainability in their procurement policy.
• Financial markets
Banks more and more require CSR information as part of their credit analyses.
• Labor market
A growing number of employees choose an employer with a good CSR policy.
• Cradle to Cradle
The concept of cradle to cradle is rapidly gaining popularity among the business community. Consequently, Michael Braungart, founder of the cradle to cradle concept, has chosen the Netherlands and Taiwan as the number one countries to adopt his concept.
MVO Nederland (CSR Netherlands)
In 2004, the Dutch government decided to give CSR a real boost by creating an independent multi-stakeholder network organisation: MVO Nederland.
Focus
MVO Nederland primarily focuses on small to medium sized enterprises. To reach SME’s in an effective way MVO Nederland closely works together with intermediary organisations such as trade organisations and chambers of commerce, which are well known and trustworthy to SME’s.
Programs
The mission of MVO Nederland is to make CSR a common way of doing business among the Dutch entrepreneurs. In order to achieve this goal, MVO Nederland set up four programs through which over 50.000 entrepreneurs, around ten percent of all SME’s, are informed and inspired on a regular basis.
• Trade organisation program I n cooperation with around 30 trade organisations, MVO Nederland provides SME’s with sector-specific CSR information, best practices, tips and scans. This program is presented as “good practice for mainstreaming CSR among SME’s” by the European Commission recently.
• Regional program MVO Nederland supports regional chambers of commerce, municipalities and regional entrepreneur associations on their regional CSR projects.
• International program MVO Nederland not only encourages and supports companies to deal with sustainable supply-chain management in their international activities and trade, but also informs SME’s of how to deal with CSR and sustainability issues in countries like China, India, Russia and other emerging markets. The OESO guidelines are actively promoted among companies that invest in foreign countries.
• Frontrunners program MVO Nederland organises several activities for CSR frontrunners to help them with new CSR innovations. In addition to these four programs, MVO Nederland facilitates a CSR network that, to date, counts 600 members that not only include SME’s and trade organisations, but also multinationals, NGO’s, the academic world, the public sector, consultants etc.
The website www.mvonederland.nl is the national CSR-portal and a good starting point for anyone who wants to start with CSR in the Netherlands.
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