June 23, 2006
Comments from Georg Kell
Executive Head, the United Nations Global Compact Office
Member, AACSB International Peace Through Commerce Task Force
It is important to recognize that a growing number of
corporations are prepared to exercise greater responsibility in peace-related
initiatives. Such recognition would build a more positive environment for
engagement and pay tribute to the fact that important trends are already playing
out.
The fact that the UN Global Compact has grown from an initial 50
participants to over 3,000 in a span of five years provides evidence of the
trend. Important in this context is that, UN Global Compact participants
represent more than 90 countries, reflecting that the corporate citizenship
movement has become truly global.
Also, quality aspects of the movement have gained new relevance
(see
What started off as a voluntary engagement platform
based on learning and dialogue has become a robust movement with public
accountability and transparency mechanisms. More recently, financial markets
have started to readjust their risk paradigm to better account for
environmental, social, and governance aspects in analysis and investment. The UN
Global Compact's Principles for Responsible Investment are underwritten by asset
managers and pension funds representing US$ 5 trillion from all regions of the
world.
Along similar lines, the business community has already embarked
on a number of initiatives to encourage more conflict sensitive actions. For
example, dozens of corporations have engaged in working groups organized by the
UN Global Compact in various regions of the world to find practical strategies
that corporations can utilize in enhancing positive impacts on conflict
situations and minimizing negative effects. Important tools and public policy
recommendations have been developed; and there is much willingness to scale up
successful approaches and to engage on the ground, including in high risk and
conflict prone areas.
The publication "Enabling Economies of Peace" provides
an update on ongoing activities while spelling out specific policy
recommendations (