Alliances for Sustainable Development Alliances for Sustainable Development Business and NGO Partnerships Laurence Schwesinger Berlie Lecturer, Conservatoire National des Arts et Métiers, Paris © Laurence Schwesinger Berlie 2010 Foreword © Jean-Paul Jeanrenaud and Gaël Leopold 2010 All rights reserved. No reproduction, copy or transmission of this publication may be made without written permission. No portion of this publication may be reproduced, copied or transmitted save with written permission or in accordance with the provisions of the Copyright, Designs and Patents Act 1988, or under the terms of any licence permitting limited copying issued by the Copyright Licensing Agency, Saffron House, 6-10 Kirby Street, London EC1N 8TS. Any person who does any unauthorized act in relation to this publication may be liable to criminal prosecution and civil claims for damages. The author has asserted her right to be identified as the author of this work in accordance with the Copyright, Designs and Patents Act 1988. First published 2010 by PALGRAVE MACMILLAN Palgrave Macmillan in the UK is an imprint of Macmillan Publishers Limited, registered in England, company number 785998, of Houndmills, Basingstoke, Hampshire RG21 6XS. Palgrave Macmillan in the US is a division of St Martin’s Press LLC, 175 Fifth Avenue, New York, NY 10010. Palgrave Macmillan is the global academic imprint of the above companies and has companies and representatives throughout the world. Palgrave® and Macmillan® are registered trademarks in the United States, the United Kingdom, Europe and other countries. ISBN: 978–0–230–24096–4 hardback This book is printed on paper suitable for recycling and made from fully managed and sustained forest sources. Logging, pulping and manufacturing processes are expected to conform to the environmental regulations of the country of origin. 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A catalog record for this book is available from the Library of Congress. 109 8 7 6 5 4 3 2 1 191817161514131211 10 Printed and bound in Great Britain by CPI Antony Rowe, Chippenham and Eastbourne Contents List of Tables List of Boxes Foreword Prologue General Introduction Part I Foundations of Corporate–NGO Alliances 1 Corporate–NGO Alliances: Essentially Strategic Choices 1.1 Changes which foster convergence of NGOs and businesses 1.1.1 A changing organisational environment 1.1.2 Changes in organisational characteristics 1.1.3 Attitudes towards collaboration and competition 1.1.4 Good explanations that fail to explain it all 1.2 Strategic behaviour at the centre of the decision-making process 1.3 Conclusion 2 Alliance Motivations 2.1 Corporate motivations 2.1.1 Credibility 2.1.2 Cognitive capacities 2.1.3 Connections 2.1.4 Capacity of confrontation 2.2 NGO motivations 2.2.1 Cash 2.2.2 Cognitive capacities 2.2.3 Connections 2.2.4 Capacity to change 2.3 Conclusion 3 Typologies of Allies and Alliances 3.1 Company characteristics that foster alliances 3.2 NGO characteristics that foster alliances 3.3 Typology of alliances 3.4 Conclusion Part II Managing Corporate–NGO Alliances Introduction to Part II 4 Symmetries versus Asymmetries in Corporate–NGO Alliances 4.1 The relative relevance of organisational symmetry 4.2 NGO–business asymmetries 4.2.1 Superficial asymmetries: Asymmetries of power and resources 4.2.2 Fundamental asymmetries: Asymmetries of mission and goals 4.2.3 Derived asymmetries: Asymmetries of culture, competencies and constraints 4.3 The hindering power of asymmetries: Myth or reality? 4.4 Conclusion 5 Building Alliance Capacities 5.1 What are alliance capacities? 5.2 Alliance skills for corporate–NGO alliances 5.2.1 Cognitive skills 5.3 Technical skills 5.4 Social skills 5.5 Who needs which capacities? 5.5.1 Top management 5.5.2 Alliance managers 5.5.3 Alliance executors 5.5.4 The rest of the organisation 5.6 Support or structural capacities 5.6.1 Resources 5.6.2 Mechanisms 5.7 Conclusion 6 Stakeholder Involvement 6.1 What is the stakeholder approach? 6.2 Which stakeholders are considered relevant by alliance managers? 6.3 Stakeholder attributes in corporate–NGO alliances 6.3.1 Power 6.3.2 Opposition 6.3.3 Support 6.3.4 Interest 6.4 The goals of stakeholder involvement in corporate–NGO alliances 6.5 Elements for developing a stakeholder identification methodology 6.5.1 Implementation 6.5.2 Dissemination and education 6.6 Types of involvement 6.6.1 Levels of involvement 6.6.2 Elements for defining organisational strategies with regard to stakeholders 6.7 Conclusion 7 Measuring Alliance Performance: Success Indicators 7.1 Performance indicators 7.1.1 Useful but not widely used 7.1.2 A complex process 7.2 Indicators used in corporate–NGO alliances 7.2.1 Indicators found in literature 7.2.2 Indicators selected by interviewees 7.3 Discussion and proposal of an evaluation model 7.4 Time: A fundamental dimension 7.5 Conclusion General Conclusion Annex A BirdLife International–Rio Tinto Partnership Alliance basics The partners History of the partnership Partnership goals Partnership activities Annex B Lafarge–World Wide Fund for Nature Partnership Alliance basics The partners History of the partnership Partnership goals Partnership activities Annex C Agrupación Sierra Madre–CEMEX Partnership Alliance basics The partners History of the partnership Partnership goals Partnership activities Notes Bibliography Index Tables 3.1 Typology of companies according to their relation with the environment 3.2 Typology of NGOs: Positioning with regard to alliances 3.3 Proposed alliance typology 4.1 Summary table of NGO–business asymmetries 5.1 Capabilities needed by each group in the organisation 6.1 Stakeholder involvement goals in the context of corporate–NGO alliances 6.2 Goals in stakeholder involvement by alliance stage 6.3 Identification of stakeholders linked to alliance or project implementation 6.4 Identification of stakeholders from the dissemination and education perspectives 6.5 Possible strategies associated with stakeholder management 6.6 Proactive involvement and reactive involvement 6.7 Suggested strategies of involvement depending on stakeholder characteristics and their link with the alliance 7.1 Indicators considered relevant by alliance managers 7.2 Proposal of an assessment model for heterogeneous alliances