Corporate Social Responsibility in China’s Information and Communications Technology (ICT) Sector - 中欧社会论坛 - China Europa Forum

Corporate Social Responsibility in China’s Information and Communications Technology (ICT) Sector

Authors: FIAS

Date: 12 juillet 2007

Published by FIAS, Leaders in Investment Climate Solutions

Over the past decade, multinational companies, suppliers, workers, governments and civil society have focused increasing attention on corporate social responsibility (CSR) within global supply chains. CSR efforts have improved social and environmental conditions around the world. There is growing recognition of a connection between CSR and a company’s ability to attract and retain international customers.

In particular, companies within the information and communication technology (ICT) sector are increasingly requiring that their suppliers, many of whom are located in China, improve social and environmental standards. The Chinese ICT sector must therefore improve working conditions and environmental standards in order meet CSR expectations and maintain overall competitiveness. Improved CSR standards among Chinese companies will also help the country achieve the government’s goal of a harmonious society and the objectives of the 11th five-year plan. The economic benefits of such an achievement include increased business opportunities, reduced worker turnover and improved reputation of the region and sector. Elements that can help improve the overall soft competitiveness of the industry.

While the ICT sector in China has made much progress, the public and private sectors must now collaborate and focus on long-term capability building in order to achieve sustainable, systemic change. Based on this context, CSR’s potential development impact and interest from the Shenzhen government, FIAS launched a project in October 2006 to develop a capability-building strategy for the ICT sector in Shenzhen to help it meet international social and environmental requirements and improve the soft competitiveness of the industry.

Overview of Project

The project is designed to identify and test strategies and activities that will most likely improve social and environmental conditions and also provide business benefits to the ICT supply chain. The strategy will initially focus on Shenzhen because it is a popular sourcing destination for the sector and it has already taken steps to improve its CSR environment. The project can potentially be expanded to other regions once its effectiveness is tested.

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