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Governance

Foundations of Good Governance


The volatile economic climate and too frequent examples of poor corporate management have made governance a common term in the last ten years. For the CSMP governance refers to the organisational approach to manage, conduct, report and assure the positive impact of events. It is based on the fundamental sustainable development principles of accountability and transparency.


Management Controls


Good governance means responsible administrative oversight and sound business stewardship. Strong leaders provide clear guidance and adequate resources, but they also follow up to ensure satisfactory progress. At the outset of any event, specific sustainability objectives and targets should be outlined as defined in section `2 Strategic Approach’.

Sustainable event administrators have a key role and responsibility to check their event management system regularly with diligence and objectivity. The predefined targets and Key Performance Indicators (KPIs) should be reviewed often to determine the appropriate performance to event objectives. System weaknesses and non-conformities should be identified, and proactive action taken to fix the problems and causes. System reviews must be documented, evaluated and reviewed by senior management as part of the process to drive system improvement.

BS8901 can serve as one resource for developing an event management system which includes sound practices for management oversight and review.

Measurement


‘You can´t manage what you don’t measure’ is a management maxim especially important for the process of sustainable event management. Many people ask for validation of the business case for sustainability. Measured data and relevant facts can be an important tool used by sustainable event management practicioners to win credibility and to gain
reward and recognition.

Best practice in sustainable event measurement:

                

Define Areas and Parameters to Measure: Examples might include, carbon emissions, waste diverted from landfill and hours invested in community service. Consult the APEX guidelines or the GRI event supplement for a list of KPIs.

• Identify areas that are significant and/or have uncertain factors.

• Select Key Performance Indicators (KPIs): Identify five to ten KPIs, add targeted performance against each KPI. Put these into a one page spreadsheet and track performance change diligently over time.

• Engage with suppliers. Share measurement requirements and process, and put these requirements and timelines in contract.

• Practice process with suppliers. An organisations sustainability champion should have a focus on developing a good toolkit of useful instruments to facilitate operational integration. Examples include checklists, reference books, contract language, supplier and client questionnaires, and measurement spreadsheets. On line platforms such as MeetGreen provide out of the box solutions, and online calculators and benchmarking platforms.

• Review performance against objectives before, during and after an event. Adjust your measurement system as appropriate to better meet the objectives. This is especially important in the early stages of planning when previous base data is unavailable.

• Check the data for accuracy and benchmark the reporting of Incorrect data from the venue can be an issue so try to benchmark the event with similar events to identify anomalies, exceptions or good performance. Consider including levels of confidence for data accuracy.

• Start writing the report before the event. Reporting, like measurement, is a skill that develops with practice and experience. An event sustainability report should be designed before an event and, for large events, a pre-event report should be created and released to help identify areas of concern so that steps can be taken to address them before the event transpires. Consider writing the report as a common project with key stakeholders. This will increase their engagement and improve detail of report.

• Ask for feedback. Get third parties to review your report and measurement data. Both positive and negative critism will help to improve the report and will also indentify areas for future improvement.

Reporting

KPMG survey16 of CEOs reported that 80% of Global Fortune 250 companies now release corporate responsibility data, a figured that has doubled since 2005. CEOs, employees, customers and, increasingly, shareholders are demanding transparent sustainability reporting from
corporations, governments and associations. With this continual increase
in sustainability reporting it is only natural that sustainable event reporting
will increase. Already it is becoming standard for large events such as the
Olympics, World Cup and big UN conferences to create an event sustainability report. A number of large organisations have produced sustainable event reports including Microsoft, MPI, The United States Green Building Council, the European Wind Energy Association and Oracle.

Advanced sustainable event management practitioners can review the
Global Reporting Initiative (GRI) for guidance on reporting event results. The Global Reporting Initiative is an international NGO and collaborating centre of the United Nations Environment Program that has, over the last ten years, developed the world’s most widely used framework for voluntary sustainability reporting. It is utilised by 78% of the largest 250 companies in the world (G250) and thousands of other organisations.

Part 1 – Reporting Principles and Guidance

• Principles to define report content: Materiality, Stakeholder Inclusiveness, Sustainability Context and Completeness.
• Principles to define report quality: Balance, Comparability, Accuracy, Timeliness, Reliability and Clarity.
• Guidance on how to set the report boundary: What to include and not to include in the report.

Part 2 – Standard Disclosures

• Strategy and profile.
• Management approach.
• Economic, environmental and social performance indicators .

The new GRI event sector supplement due for release in 2012 will provide more specific guidance and performance indicators for event organisers and suppliers.
 
Organisations leading in sustainability reporting are focusing on creating one integrated report that combines both financial, social and environmental information. This approach brings greater benefits to the organisation and stakeholders by:

• Providing greater clarity about relationships and commitments
• Helping managers to see issues in an interconnected system and to make better decisions
• Deepening decisions with all stakeholders
• Lowering reputational risk


External Verification and Certification


For events with the goal of communicating the sustainability initiative with integrity, an investment in the external review of the event management system is appropriate and beneficial. Working with qualified third parties adds integrity to claims of sustainability commitments. Successful efforts to meet sustainable event certification criteria can bring significant marketing value and can help increase attendance by elevating the profile of events. Although legitimate sustainability standards, such as BS8901, offer the potential to self-certify, the resulting claim of compliance lacks weight as compared to certification from a qualified third party. In addition, external experts can add value to the sustainable event planning methods by discovering weaknesses and opportunities for system
improvement.

With BS8901 and, in the future ISO20121, an independent, accredited auditor will have the task for validating three main things:

• That the management system conforms to the standard.
• That the system is properly implemented, maintained and documented.
• That the system is effective is delivering against the events sustainability policy, objectives, targets and principles.

In section ‘3 Stakeholder Engagement’ the CSMP explains how to organise
teams to provide input and guidance for the development of the event strategy. These same teams can be used to review the governance function of the event management system. In some large events such as the 2012 Olympics, London, the management system is not audited by a third party conventional auditor, but assured by a second party advisory committee consisting of NGOs, business leaders and political leaders.

Sustainability and the future of the meetings industry

Case Study: 
Benchmarking Performance

For COP15 the Royal Danish Ministry of Foreign Affairs worked with MCI to benchmark event performance using the MeetGreenSM tool.

The MeetGreenSM tool reviews 97 data points across eight unique areas of event planning. The resulting report provided COP15 with perspective of not only how they were performing against key targets for the event, but highlighted opportunities for improvement by benchmarking the COP15 event against other events in the database.

MeetGreenSM served as a resource as part of the management review process and BS8901 audit.

COP15 Case Study:
Carbon Measurement and Offsetting Strategy


Measurement of carbon emissions is a developing science. When measuring aviation emissions great care has to be given on how carbon emission equivalents are calculated.
The full climate impact of air travel goes beyond the effect of CO2 emissions alone, with the other six greenhouse gases predicted to have far more impact on the climate.

The climate effects from aviation are most commonly accounted for in emissions calculators through a Radiative Forcing Index (RFI) or a multiplier. These terms refer to
a factor which is multiplied by the calculated CO2 emissions in order to account for all global warming effects from all the greenhouse gases. However, there is still considerable scientific uncertainty about the scale and dynamics of these effects, and the multiplier that should be used (RFI, Global Warming Potential, and Global Temperature Potential).

To simplify the argument, a good solution for reporting is to consider and disclose the CO2 emissions, without the use of an RFI or other multiplier. However, if you want to offset your emissions then the full climate effects of aviation should be considered by using an RFI or other recognised multiplier. The Stockholm Environment Institute recommends a minimum multiplier of 2. In COP15, an RFI of 2.7 was used as part of their conservative approach to sustainability.
 
The new British Standard PAS2060 provides good guidance on claiming carbon neutrality for events. ISO14064 and the GHG protocol provide more indepth guidance on calculating greenhouse gas emissions.

‘It takes 20 years to build a reputation and five minutes to ruin it. If you think about that, you'll do things differently.’

- Warren Edward Buffet

Case Study: Good Governance

The Royal Danish Ministry of Foreign Affairs leveraged the benefit of different certifications and standards to enhance the sustainable performance of the event. The Green Key, the Nordic Swan and the EU Flower certification brands were presented to hotel stakeholder
groups as viable options. In many communities, alternative standards and certifications exist but the ministry planners felt it was wise to limit the choice and promote nationally and internationally recognised standards. This not only saved time and expense, but helped
them communicate their sustainability initiative as these more familiar brand names provided greater visibility and awareness in the local community.

‘COP15 was the first political summit in the world to be certified for its sustainable organisation according to the internationally recognised standard BS8901. This was a long process of fulfilling conditions and creating documentation to fulfill certification criteria, but it was a great process that integrated all members of the team. The focus on decision-making processes and active stakeholder management, including NGOs, private and public partners, was very important for the communication strategy during the conference.’

- Jan-Christoph Napierski, Head of Section, COP15 logistics.
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