Wednesday, June 25, 2008

Governance and institutions – Big brands’ capacity-building success


Frustrated with the limitations of traditional corporate responsibility, a handful of companies around the world are working to help develop vital institutions.

Business has for some years been criticised by non-governmental organisations and the media for sourcing and operating in nations where the rule of law is questionable.

In many countries, the absence of an adequate legal framework, poor enforcement of it, or a lack of institutions that encourage such enforcement and accountability mean that labour, environmental and overall human rights standards are low.

There is also a growing realisation that the building and maintenance of essential institutions requires the help and support of companies, as well as traditional NGOs, inter-governmental organisations (IGOs) and governments.

See full Article.