Corporate social responsibility (CSR) should be taken into consideration when
appointing and appraising the heads of State-owned-enterprises (SOEs), a
business leader said yesterday.
"The ability to perform CSR should be one of the major factors in the
selection and appraisal of leaders of SOEs," Wang Jiming, executive
vice-president of the China Enterprise Confederation, said.
"A business leader who only cares about profit margins and neglects social
responsibility will drive high consumption of energy and heavy pollution.
"Such behavior is a crime against society and its people," Wang told China
Wang also called for promoting the awareness of CSR on a larger scale,
particularly among small-and-medium sized enterprises.
Khalid Malik, UN Resident Coordinator and Resident Representative in China,
said challenges soon become very visible in the business community, as the
recent food security incidents showed.
CSR has become important for everyone in China where companies grow rapidly
and some move overseas, Malik said.
"So it is a question of transparency and branding for Chinese firms. Business
will benefit if the consumers benefit."
Getting more business chiefs to adopt the idea of global leadership and
corporate citizenship is one of the goals for some 80 Chinese businesspeople who
will take part in a global summit which starts on Thursday in Geneva.
The United Nations Global Compact world leaders' summit, will be chaired by
UN Secretary-General Ban Ki-moon and include about 1,000 participants from
business, the government and civil society.
It is the largest group of Chinese business leaders ever to take part in such
a global level CSR event.
The three-day summit will cover topics including human rights, labor,
environment and anti-corruption issues, with a special section on Chinese
The summit will unveil a global CEO survey on the topic of business and
society, presenting findings on the key socioeconomic and political trends that
are shaping the leadership agenda.
The Global Compact - an international initiative to bring companies together
with UN agencies, labor and civil society to support universal environmental and
social principles - includes more than 4,000 companies from about 120 countries,
including 116 from China.
(China Daily 07/03/2007 page3)