1. Centre Interuniversitaire de Référence sur l’Analyse, l’Interprétation et la Gestion du cycle de vie des produits, procédés et services How to make Social Life Cycle Analysis work! Life Cycle Perspective for Social Impacts: Needs and challenges Thursday 15th of June 2006 Polydôme, Ecole Polytechnique Fédérale de Lausanne Contribution of: Catherine Benoît, Jean-Pierre Revéret, Andrée-Lise Méthot, Julie Hébert and CIRAIG Institut des Sciences de l’Environnement, UQÀM

2. ©2 Overview of presentation Where to build? Context Design a building Create from scratch or draw from past experiences Look for the foundation Does environmental LCA assumptions and framework fit Social LCA like a glove? Assess needs What to include, which questions to address and why, consideration of values and means, where and how to get the material The hammer case Sharing

3. ©3 Where to build? Sustainable development Social Environment Economy Hence, because we could not imagine a development without the ecological support of all human life " the preservation of our environment” must stand as a condition of sustainable development. In other respects, insofar as development aim to answer to population needs, the social dimension constitute an objective of sustainable development. Economy, the industry and trade represent, means to put to development service” (translation of Gendron, 2004). (Jacobs et Saddler, 1990) An issue: the social scope in the environment definition

4. ©4 The inclusion of social aspects How and why? Development era (Marshall Plan 1949) and the creation of the Bretton Woods institutions, IMF and World Bank (1944). Principal paradigm : the economic growth will entail social development. Only economic aspects were assessed. Growing critics among world population concerning environmental and human aspects. The Growth theory is challenged. (Limits To Growth, 1972) Which gave birth, among other things, to the Brundtland report, which itself contributed greatly to « sustainable development » popularisation.

5. ©5 Ethics, social justice and politics An Indian mother bathes her baby in the Xingu River. Many dam activists are concerned that the indigenous people who inhabit the area that will be flooded by the Belo Monte dam's reservoir are not being properly consulted. ( Photo: Reuters) Tucurui dam Brazil James Bay dam Quebec

6. ©6 Corporate Social Responsibilities as background Howard Bowen, Father of the concept of Business Social Responsibility (1950). Stockholder vs Stakeholder (1980) Social contract theory Corporate citizenship Corporate accountability) Corporate governance Corporate sustainability Motivations: Risks and opportunities, end of impunity, wired society

7. ©7 Design a Building Adapté de UNEP SETAC 2003 Procedural tools Management system type ISO (26000) Audits certification and standards (SA 8000, AA1000) Strategic environmental assessment Social impact assessment Fair trade label Risk assessment Monitoring tools Global Reporting Initiative Monitoring Communication tools Fair trade label Sustainable development report Certification Analytical tools Life cycle analysis Corporate Social Responsibility Accountability) Shared points International conventions(ILO, CBD…) National laws International laws Value Chain analysis Value chain analysis Value Chain analysis Risk assessment

8. ©8 Fertile ground: Corporate social responsibilities Principles Sullivan, Caux Round table, Voluntary Principles for security and Human Rights, Global Compact, Equator Principles, Amnesty International Human Rights Principles for Companies Responsibility and monitoring framework Global Reporting Initiative, AA 1000 Financial index Dow Jones Sustainability Index, Vigeo ASPI, FTS4Good, Goldmann Sachs Guidelines OECD guidelines for multinational enterprise, Sustainability Integrated Guidelines for Management (SIGMA) Standards and Norms SA 8000, ISO 26000, ECOSOC draft norms on the responsibilities of transnational corporations and other business enterprises with regard to human rights Conventions UN, ILO, UNESCO, Interamerican convention on corruption Initiatives, Codes of conduct, Audits agencies…

9. ©9 Look for the foundations Look for the foundations 4) Interpretation (ISO- 14043) 1) Goal and scope definition (ISO-14041) 2) Inventory analysis (LCI) (ISO- 14041) 3) Impact assessment (LCIA) (ISO-14042) Applications Framework (ISO-14040) Iterative technique : as informations are collected, several aspects of the field of study might have to be modified in order to cover the study objectives. The objective itself might have to be revised in reason of limitation or unforeseen constraint, or because of additional informations.

10. ©10 Theoretical foundations Social Life cycle analysis would follow the same theoretical basis as environmental LCA at the difference that its object would not be elementary flow but relations. From the start it takes space and time attributes in account. Because of those two major aspects, the team of Bernard Mazjin concluded that it was not possible to account for social aspects through a LCA. They proposed instead to use value chain analysis in parallel to the construction of the process tree.

11. ©11 Elementary flow = Environmental intervention Exchange between an elementary process and the ecosphere Do not have an economical value but represent a social or environmental cost Input drawn from the ecosphere petroleum, tree, mineral, sun shine, territory Output rejected from the ecosphere Air emissions, water, In the ground, solid waste, radiation Elementary flow (input) drawn from the ecosphere Elementary flow (output) rejected in the ecosphere Elementary Process Life cycle analysis principles Elementary Process Technosphere element representing an economical activity All types of activities : from extraction to elimination. Each process is defined by a function (sometimes many) Economical flows Material or energy flow which have an economical value

12. ©12 Social life cycle analysis: Relations system Representation of the different relations linking the different value chain stakeholders, even if the relations are not illustrated in the process tree. Those relations are linked to space and time. Elementary Process

13. ©13 Basis: Value Chain analysis and the Stakeholders approach Value chain analysis is very effective in tracing product flows,showing the value adding stages, identifying key actors and the relationships with other actors in the chain. It is actor oriented. Often, however, these actors operate within certain rules that are set by others. Trade rules and standards are obvious examples. Value chain analysis needs to be complemented with information on these rules. Providing information on the trade rules that apply in distant countries is widely seen as an important function of government. Getting to know the blockages and opportunities that arise throughout the chain. Source: Hubert Schmitz, Institute of Development Studies University of Sussex, England 1 WHO ARE STAKEHOLDERS? A stakeholder is any person, group or institution that has an interest in a development activity, project or programme. This definition includes both intended beneficiaries and intermediaries, winners and losers, and those involved or excluded from decision-making processes. -Primary stakeholders -Secondary stakeholders -Key stakeholders Stakeholder analysis aims to: identify and define the characteristics of key stakeholders; assess the manner in which they might affect or be affected by the programme/project outcome; understand the relations between stakeholders, including an assessment of the real or potential conflicts of interest and expectation between stakeholders; assess the capacity of different stakeholders to participate.

14. ©14 Assess the needs: Goal and scope definition of the study Use of the tool : goals and objectives can be similar The use of the tool is not limited to the diminution of impacts but also aim to improve a given situation X, « Know better the issues faced by a company » (example : use of rare timber in a product, performance improvement. Value Chain analysis: relations system linked to the product system, identification of geographical zone where the activities are situated. Improvement or comparison study. Setting Boundary. Does Social LCA should be in measure to assess the utility of a product? Keep function definition similar to environmental LCA but define and describe utility. Product oriented analysis instead of a function base analysis.

15. ©15 Quality of Life Diversity Human health Security Quality appreciation Quality of Life Diversity Human health Security Quality appreciation Inventory Impacts Relation Individual- company or Employee Relation Company/ Community or Community Users of the product or service Or Consumers Relation Company-Society or Society Labour practice Employees participation Health and security Work location … Partners social expectations… Local resources and public infrastructure Biodiversity Change in the composition Respect of local political structure Cultural heritage… Job geographical repartition Corruption… Consumers influence Indicators theme Human well-being Stakeholders Relations Relation Company- Company Impacts or incidences Categories Stakeholders Mid-Point End-Point Relation Individual- company or Employee Relation Company- Community or Community Users of the product or service Or Consumers Relation Company-Society or Society Relation Company- Company Human rights Labour conditions Material minimum Governance and transparency Social relations Cultural aspects Built capital Quality appreciation Health and safety Socio- environmental performance Conflicts Human rights Labour conditions Material minimum Governance and transparency Social relations Cultural aspects Built capital Quality appreciation Health and safety Socio- environmental performance Conflicts

16. ©16 The hammer case Wood Handle Tree growing Tree cutting Transport Sawmill Transport Transformation in handle Steel head Extraction Transport Refinery Transport Moulding Production DistributionUse End of life Recycling

17. ©17 Conclusion Recipe based on existing ingredients. In line with actual standards, processes and guidelines. Respect the LCA framework. Relevant.

18. ©18 Thank you for your participation Catherine Benoît University of Quebec At Montreal Business strategy ataaentsic@hotmail.com Sharing Thoughts