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19/01/2015 1 FN0449 Corporate Social Responsibility for Multinationals

Lecture 1: Global Environmental Issues

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Page 1: Lecture 1: Global Environmental Issues

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19/01/2015 1

FN0449Corporate Social Responsibility

for Multinationals

Page 2: Lecture 1: Global Environmental Issues

Aims of the Module

1. To introduce corporate social responsibility within an international business context

2. To investigate the conduct of multi-national organisations within this context

3. To critically examine accountability, transparency and CSR artefacts

4. To critically examine ethical issues facing organisations

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Your Tutors….

Dr. Kirsty Abrahams

CCE1 340

0191 227 4389

[email protected]

[email protected]

Page 4: Lecture 1: Global Environmental Issues

Your Tutors….

Dr. Alex Hope Senior Lecturer in Business Ethics

CCE1 248

0191 227 3039

[email protected]

@DrSustainable

www.drsustainable.com

Page 5: Lecture 1: Global Environmental Issues

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19/01/2015 5

FN0449 Lecture 1:Global Environmental Issues

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ContentWhat are the key social, economic and environmental issues facing society?

Global Inequality and

Energy Security

Climate Change

Resource Depletion and

Biodiversity Loss

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What is it Climate Change?

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How do we know its happening?

NASA – Six Decades of a Warming Earth – Available at: http://youtu.be/gaJJtS_WDmI

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Why is it happening?

Illustration courtesy NASA Earth Science Enterprise.

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Is this our fault?

“Human influence on the climate system is clear, and recent anthropogenic emissions of greenhouse gases

are the highest in history. Recent climate changes have had widespread impacts on human and natural

systems. Warming of the climate system is unequivocal, and since the 1950s, many of the observed

changes are unprecedented over decades to millennia…” IPCC 5th Assessment Report 2014

The Intergovernmental Panel on Climate Change (IPCC)

the number of lead authors who worked on the full report.

the number of contributing authors to the full report.

the number of expert reviewers of the full report.

the number of scientific publications cited in the full report.

the number of comments made on the full report by the group of expert reviewers.

the consensus amongst climate experts and in the literature that humans are

causing global warming. The scientific evidence on this question is overwhelming.

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OK. So what?

Source: Stern Review on the Economics of Climate Change 2006

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What can we do about it?

Mitigation

• Energy Efficiency measures• Low carbon energy supply• Change of agriculture and forestry

practices• Changes in consumer behavior• Changes in resource use

• Geo-engineering

Adaptation

• Improve resilience of social and material infrastructure

• Improve water resource management

• Invest in agriculture, forestry and fisheries

• Estimate and prepare for future disease burdens

• Manage existing environmental threats

Policy options on Climate Change

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Global Inequality and Energy Security

Page 15: Lecture 1: Global Environmental Issues

Global Inequality and Energy Security

Over 1 billion people live on less

than $1.25 a day

Over 3 billion people live on less

than $2.50 a day

1 billion children live in poverty

(1 in 2 children in the world)

640 million live without adequate

shelter

400 million have no access to

safe water

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Global Inequality and Energy SecurityThe Human Development Index

"Human Development Report 2014 – "Sustaining Human Progress: Reducing Vulnerabilities and Building Resilience"". HDRO (Human Development Report Office) United Nations Development Programme. Retrieved 25 July 2014.

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Global Inequality and Energy Security

• Poverty is one of the primary causes of environmental destruction

• Poor people cannot in their present state practice sustainable development

• If much of the environmental problem is poverty, then eliminating poverty

becomes key to saving the environment.

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Global Inequality and Energy Security

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Resource Depletion and Biodiversity Loss

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Resource Depletion and Biodiversity LossHow do we know its happening?

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Resource Depletion and Biodiversity LossWhy is it happening?

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Resource Depletion and Biodiversity LossWhat are the implications?

Page 23: Lecture 1: Global Environmental Issues

Resource Depletion and Biodiversity LossWhat are the implications?

Page 24: Lecture 1: Global Environmental Issues

Resource Depletion and Biodiversity LossWhat are the implications?

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Resource Depletion and Biodiversity LossWhat can we do about it?

• Protecting Areas

• Preventing Species

Introductions

• Informing/Educating

• Climate Change

Mitigation

• Sustainable

Development

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Resource Depletion and Biodiversity Loss

Finite Resources

Population Growth

Growing Middle Class

=

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Resource Depletion and Biodiversity Loss

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Resource Depletion and Biodiversity Loss

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Resource Depletion and Biodiversity Loss

About 200 years ago, each human had the

equivalent of 24 football fields of land and

freshwater resources. Today, each human has

three fields and in 40 years it will be less than two

On current trends, over the next 20 years

humans will use 40% more water than they do

now

Forty-four million people were driven into poverty

by rising food prices in the second half of 2010

It takes 2,400 litres of water to produce a hamburger and

11,000 litres to make a pair of jeans

Sources: McKinsey, Homo Sapiens Foundation, World Health Organisation, Protected Water Fund

It took 130,000 years for the earth's population to

reach 800 million in about 1780. Currently, almost

800 million are added every 10 years

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Global Inequality and Energy Security

Reliance on foreign sources of

energy

Energy demand from advancing

developing countries

Environmental issues, in particular

climate change

Energy insecurity risks fueling

conflict

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Global Inequality and Energy Security

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Global Inequality and Energy Security

Geo-political issues

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Global Inequality and Energy Security

The world’s top ten oil reserves holders (2012)

Venezuela18%

Saudi Arabia16%

Canada11%Iran

9%

Iraq9%

Kuwait6%

United Arab Emirates

6%

Russia5%

Libya3%

Nigeria2% Rest of

the world15%

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Global Inequality and Energy Security

Solutions?

Resource diversification

Supply Chain Optimization

Efficiency Improvements

Changes in consumer behavior

Demand reduction

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ConclusionWhat are the key social, economic and environmental issues facing society?

Global Inequality and

Energy Security

Climate Change

Resource Depletion and

Biodiversity Loss

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Take away TASK!

What does all this mean for businesses?....

Page 37: Lecture 1: Global Environmental Issues

References• Barrow, C.J. (2006) Environmental Management for Sustainable Development 2nd

ed. Oxon: Routledge

• Brundtland, G.H., (1987) Our Common Future: The World Commission on Environment and Development, Oxford: Oxford University Press.

• Colantonio, A., (2007) Social Sustainability: An Exploratory Analysis of its Definition, Assessment methods, Metrics and Tools, 2007/01: EIBURS Working Paper Series, European Investment Bank. Oxford Institute for Sustainable Development, Oxford Brooks University.

• Desai, P (2010) ‘One Planet Communities: A real-life guide to sustainable living’, Wiley: Chichester.

• Goodland, R., Herman, D. (1996) ‘Environmental Sustainability: Universal and Non-Negotiable’, Ecological Applications 6 pp. 1002-1017.

• IISD (2011) What is Sustainable Development?, International Institute for Sustainable Development. Available at: www.iisd.org/sd/

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References• Khalili, N.R. (2011) Practical Sustainability: From Grounded Theory to Emerging

Strategies. New York: Palgrave Macmillan.

• Nunan et al (2002) ‘Poverty and the Environment: Measuring the Links’ Department for International Development. Environment Policy Department Issue Paper No.2. Available at: http://www.unep.org/civil_society/GCSF8/pdfs/pov_env_measuringlinks.pdf

• Pachauri, R.K. and Reisinger, A. (Eds.) (2007) Climate Change 2007: Synthesis Report. Intergovernmental Panel on Climate Change. Available at: http://www.ipcc.ch/publications_and_data/ar4/syr/en/contents.html

• TEEB (2009) The Economics of Ecosystems and Biodiversity for National and International Policy Makers – Summary: Responding to the Value of Nature 2009. Available at: http://www.teebweb.org/ForPolicymakers/tabid/1019/Default.aspx

• Winstone, R., Bolton, P. & Gore, D. (2007) Energy Security. House of Commons Library Research Paper 07/42. Available at: www.parliament.uk/commons/lib/research/rp2007/rp07-042.pdf