Implementing the Principles

Companies that have signed on to the Global Compact are required to work towards implementation of the ten principles. However, small and large companies alike are sometimes uncertain about the right approach. Implementation of the principles should be understood as a long-term process of continuous performance improvement.

Key success factors in implementing the Global Compact principles are among others:

treating the principles not as an add-on, but as an integral part of business strategy and operations;
clear commitments from the company leadership;
communication of the commitment throughout the organisation to senior management and employees to ensure a broad support for the principles;
a business environment favourable to new ideas and business innovation;
measurable targets and a transparent system of communicating progress;
willingness and ability to learn and adapt;
a dedication to practical actions;
openness to engage and dialogue with the company’s stakeholders.

The Global Compact has accumulated a substantial inventory of resources and tools that provide guidance to companies on addressing the issue areas covered by the principles. See the issue pages for more detailed information about the issues and principles:

The Global Compact Performance Model

Implementation of the principles is a long-term process, requiring commitment to organizational change. There is no "correct" way of implementing the principles within a company. In fact, several management approaches and models can assist in the process. One way to approach implementation is to draw inspiration from the Global Compact Performance Model - an optional model guiding companies from the leadership vision to the measurement and reporting of outcomes. The Performance Model evovled from analysis of and dialogue about companies' actual experiences in trying to internalize the principles. It was designed to:

address the needs of the broadest possible group of businesses: from multinational corporations to small enterprises, both in developed and developing economies;
present a low entry barrier for implementation; and
facilitate incremental improvement.

The model is composed of ten elements of business practice, embracing the following elements: vision, leadership, empowerment, resources, policies and strategies, processes and innovation, impact on society, environment and value chain, and reporting. It is intended that stakeholder dialogue be an integrated part of each element of this model, and that inputs from stakeholders be infused into all actions. It is a company-driven process of coninuous improvement that begins with the organization's vision and proceeds through each element represented in the diagram.

To download the Global Compact Performance Model click here.

For a more extensive publication based on the Performance Model please see Greenleaf Publishing's "Raising the Bar: Creating Value with the United Nations Global Compact". Click here to order online.

Key Implementation Resources

After the Signature - A Guide to Engagement in the United Nations Global Compact
A basic introduction to the Global Compact, outlining the commitment of companies to implement the ten principles and produce an annual Communication on Progress report, as well as other ways companies can maximize their engagement.

The Inspirational Guide to Implementing the Global Compact
The Inspirational Guide profiles 21 examples of how companies have approached the challenge of implementing the Global Compact - including integrating the principles and engaging in partnerships for development. Focus on the challenges that companies are facing and the practical solutions they have developed in response.

The 2007 Global Compact Annual Review
The Annual Review provides a comprehensive update of the initiative and the efforts made by business and other stakeholders to advance the Global Compact's mission and principles. The report reveals the results of the first in-depth survey of participants, and shows how and why companies are implementing the ten principles and seeking partnerships.

For more tools and resources on the Global Compact click here.

(Last Update 20 Februrary 2008)

	After the Signature - A Guide to Engagement in the United Nations Global Compact A basic introduction to the Global Compact, outlining the commitment of companies to implement the ten principles and produce an annual Communication on Progress report, as well as other ways companies can maximize their engagement.
	The Inspirational Guide to Implementing the Global Compact The Inspirational Guide profiles 21 examples of how companies have approached the challenge of implementing the Global Compact - including integrating the principles and engaging in partnerships for development. Focus on the challenges that companies are facing and the practical solutions they have developed in response.
	The 2007 Global Compact Annual Review The Annual Review provides a comprehensive update of the initiative and the efforts made by business and other stakeholders to advance the Global Compact's mission and principles. The report reveals the results of the first in-depth survey of participants, and shows how and why companies are implementing the ten principles and seeking partnerships.