UN Global Compact Management Model
On 17 June 2010, the United Nations Global Compact launched the UN Global Compact Management Model, developed in collaboration with Deloitte. The Management Model is designed to help Global Compact signatories align their operations and strategies with both the letter and spirit of the Global Compact’s ten universally accepted principles. It will be highlighted as a key management tool at the upcoming UN Global Compact Leaders Summit on 24-25 June 2010 in New York City.
As a founding signatory to the Global Compact, Deloitte has long embraced the Global Compact’s ten core principles in the areas of human rights, labor, the environment, and anti-corruption. In preparation for the UN Global Compact Leaders Summit 2010, and in recognition of its tenth anniversary as a founding signatory, Deloitte collaborated with the Global Compact to develop the Management Model.
Developed with input and feedback from more than 50 business participants of the Global Compact, the Management Model incorporates six time-proven management steps, which include:
- Commit – Commitment from leadership—CEO (or equivalent)—takes the form of signing the Letter of Commitment. At this stage, CEO engages C-suite officers, the Board, and the heads of business units, as well as the heads of subsidiaries, to promote the commitment to shareholders and stakeholders.
- Assess – This step involves understanding the ten Compact principles and what they mean to the business and its operating context. This involves a thorough assessment of risks, opportunities, and impacts.
- Define – In this step a company establishes goals and performance measurements specific to its operating context and creates a roadmap for execution.
- Implement – Implementation involves making ongoing adjustments to core processes, engaging and educating employees, building capacity and resources, and working with supply chain partners to address and implement strategy.
- Measure – The company adjusts its performance management systems to capture its measurements of progress toward goals.
- Communicate – During this step, the company relates its progress and strategies to all stakeholders and engages them in dialogue about ways to improve performance.
While developed with new signatories in mind, the Management Model has broad applications for all companies, regardless of scale, industry, geographic location, or sustainability maturity.
For more information, please contact Julie Engerran, Deloitte’s Global Director of Corporate Responsibility.