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Companies have the potential to bring significant economic benefits to local and regional levels through direct and indirect employment, infrastructure improvements, education and skills building, access to information, direct support for social services, and through taxes. Meanwhile, companies recognize that their own bottom-line will improve if they can figure out ways to optimize cost, quality, flexibility, networks, local knowledge and other considerations in the value chain. Increasingly, companies are overcoming cultural, communication, and procurement hurdles in recognition of the fact that better incorporating local people and businesses into their supply chain can save the company money while also helping to manage any social or political controversy surrounding company activities. While these challenges are particularly pronounced for foreign firms with affiliates in developing countries, they are relevant to domestic developing country firms as well. In developing countries, business linkages with local small-medium enterprises (SMEs) – including procurement, distribution, and sales – offer large firms an avenue through which to address some of these concerns. These relationships can allow large firms to reduce input costs while increasing specialization and flexibility. They can also increase local integration and “rooting,” providing access to local knowledge and, by spurring growth and development in the local SME sector, bringing about positive social and economic impacts in the wider community. There are thus both competitiveness and corporate social responsibility arguments in favor of local business linkages.

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Centre for Social Responsibility in Mining (CSRM)

The Centre for Social Responsibility in Mining (CSRM) was established by the University of Queensland in 2001 in response to growing interest in and debate about the role of the mining and minerals industry in contemporary society.  CSRM’s focus is the socio-economic and political challenges that confront companies, communities and governments when change is brought about by resource extraction.

Grassroots Business Fund
The Grassroots Business Fund creates bottom-line solutions to poverty by helping grassroots organizations become catalysts for economic growth and social change.
The Foundation for Development Cooperation

The Foundation for Development Cooperation is an independent, not-for-profit international development organisation. Through partnerships and alliances, FDC undertakes a range of initiatives which seek to improve the lives of poor people in developing countries, foster innovative approaches to development, and connect policy work to self-help efforts at the grass roots level.

InterAction
InterAction is the largest coalition of U.S.-based international nongovernmental organizations (NGOs) focused on the world’s poor and most vulnerable people.InterAction’s more than 165 members work in every developing country. Members meet people halfway in expanding opportunities and supporting gender equality in education, health care, agriculture, small business, and other areas.
Lighting Africa

Lighting Africa is a World Bank Group initiative aimed at providing up to 250 million people in Sub-Saharan Africa with access to non-fossil fuel based, low cost, safe, and reliable lighting products with associated basic energy services by the year 2030.

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IFC and PERU LNG Program Benefits Farmers in Peru
10 Mar 2010
IFC, a member of the World Bank Group, and PERU LNG have helped Agricola Viñasol, a member of their “ForPyme” social responsibility program in Cañete, Peru, obtain $250,000 from the Grassroots Business Fund to expand its presence and diversify its portfolio of agricultural products in local and export markets.

Chevron seeks to boost Angola’s economy in deal with USAID
10 Aug 2009
Oil giant Chevron Corp. will work with USAID and another group to support economic development in Angola.

Why Sustainability is Still Going Strong
12 Feb 2009
In the wake of the deepening economic crisis, many commentators are warning of the demise of corporate sustainability, the practice of balancing profit with the social and environmental impact of doing business. Companies obsessed with their own short-term survival, they suggest, cannot possibly support long-term, “feel-good” initiatives to protect the environment or invest in community development.

Resources slump: Why oil and mining must garner social capital
26 Nov 2008

Many oil and mining companies are slashing investments as commodity prices collapse. For their own sake, the socio-political fall out will need to be sensitively managed.

After several years of headlong expansion, big oil and mining companies are pulling up abruptly. Soaring commodity prices, which during the past year have broken records in markets from crude oil to copper, have slumped across the board since July 2008.

Together with the impact of the credit crunch on project finance, this drop has forced scores of extractive companies to cut back on new investments and scale down production at many existing operations.


Report Finds That Most Corporations Fail to Address Risks That Threaten Long-Term Profitability
19 Nov 2008

Experts in Responsible Investment Solutions (EIRIS) report on responsible business practices finds insufficient ESG risk management and inadequate disclosure and advocates PRI involvement for responsible investors.

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Creating the Foundations for a Linkage Program in a Rural Setting

This Practice Note, jointly developed by IFC and Newmont Ghana Gold Limited (NGGL), focuses on the early stages of the Ahafo Linkages Program (ALP) and aims to capture important early lessons that might otherwise have been lost.

 


Extracting Value for Enterprises
September 2009, USAID
This paper examines programs that offer economic opportunities to indigenous small and medium sized enterprises (SMEs) within the mine’s supply chain.

Supporting Local Economic Growth in Ghana: Newmont

Newmont, along with the IFC, applied the WBCSD Measuring Impact Framework to the mine as a way to understand the extent of the project's benefits and establish a rigorous approach to measuring, monitoring and evaluating progress in achieving the project goals.

 


Alcoa wants to prove that responsible exploration is possible
January 2009, Aline Ribeiro | Epoca Negocios

A small town on the banks of the Amazon River, in the state of Pará, is the scene of the most ambitious project ever implemented by Alcoa, the world’s leading aluminum producer. It is here that the company plans to transform a bauxite mine into an exemplary case of responsible exploration. The challenge: to manage the impact of the project on the lives of thousands of residents who think Alcoa should not even be there in the first place.


International Initiatives to Promote Responsible Business
2008, Anna Bohman; Graham Minter/ International Business Leaders Forum

This document aims to provide a user-friendly, balanced and impartial guide to help businesses to navigate their way through this maze. It seeks to articulate clearly the key aspects of three cross-industry initiatives.

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Financing Change. Changing Finance.
October 22 - 23, 2009
Cape Town, South Africa

In 2009, UNEP FI is proud to hold its first-ever Global Roundtable in the African continent, which will take place in Cape Town, South Africa from 22 to 23 October.

Extractive Industries Week- Improving Extractive Industries Benefits for the Poor
March 3 - 5, 2009
Washington D.C., USA

The objective is to facilitate the extractive industries’ contribution to poverty alleviation and economic growth through the promotion of good governance and sustainable development.

Ethical Supply Chain Summit 2008
October 16 - 17, 2008
Berlin, Germany

The Ethical Supply Chain Summit 2008 is the largest in a long line of ethical procurement and sourcing conferences run by Ethical Corporation.

The Green Supply Chain Summit 2008
June 24 - 25, 2008
London, UK

The Bottom Line: Greening your chain is not an act of sentimentality. It is pure good business. This conference promises to go beyond carbon footprint, covering other issues including water and energy efficiency, and management of toxic chemicals. This is a one stop shop event for supply chain and procurement professionals concerned about finding a holistic approach to supply chain management and getting the right balance between your social and environmental agenda.

Sharing Experiences: Enhancing the Benefits to Communities from Extractive Industry Projects Workshop
19 June 2006
Washington D.C., USA

The objective of the workshop was to share experiences, training, and raise awareness of the community development work that is taking place. The focus was on sharing practical examples of helping communities benefit from extractive industry, highlighting the diversity of community development activities (supply chain, social, environmental issues), and discussing successes and lessons.

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