CREATING VALUE FOR
CORPORATE PARTNERSHIP
Dr Cheong Koon Hean
CEO, Housing & Development Board
(Singapore)
IFHP Council Summit, 28 May 2015, Paris
WHY DO NGO & PRIVATE ENTERPRISE (PE)
PARTNER?
The existential question: Why partner?
• What are the needs & motivations?
• What are the challenges & risks?
NGO
PE
Opportunities
THE DRIVERS OF PARTNERSHIP
Why do PEs & NGOs partner each
other?
Source: C&E Corporate-NGO Partnership Barometer Report 2013
EVOLUTION OF CSR : CREATING
SHARED VALUES
CSR is increasingly connected to business strategy
Creating
Shared
Values
Source: CoCreate Consultancy, 2013 Global CSR Study
EVOLUTION OF CSR : CREATING
SHARED VALUES
Current Thinking: Creating Shared Values
• Defined as policies and operating practices that enhance
the competitiveness of businesses while simultaneously
advancing the economies and social conditions in
communities in which they operate.
• Based on the premises that both economic and social
progress be addressed using value principles.
Michael E. Porter & Mark R Kramer
Harvard Business Review, Jan 2011
DRIVERS OF CREATING SHARED
VALUES
1st Driver: Public Scrutiny
DRIVERS OF CREATING SHARED
VALUES
2nd Driver: Competition and Consumers
• 81% of consumers feel that PEs should support social
and/or environmental issues
Source: Cone Communications, 2013 Global CSR Study
DRIVERS OF CREATING SHARED
VALUES
2nd Driver: Competition and
Consumers
• When faced with similar or
identical products,
consumers are likely to
choose the one associated
with a good cause
Source: Cone Communications, 2013 Global
CSR Study
DRIVERS OF CREATING SHARED
VALUES
3rd Driver: Innovative Solutioning
• Businesses want to partner
NGOs with expertise where
they lack it
• Tembec partner with WWF
to tap on their biologists &
ecologists for its forest
resource management
certification program
• WWF brought international
exposure & visibility to the
partnership
IFHP’S VALUE PROPOSITIONS
IFHP’s Value Propositions
What IFHP need to work on
Credibility & Stature
• Build IFHP’s established brand image
• Raise IFHP’s profile through activities &
conferences with solid/relevant content
• Profile members’ expertise
• Add value through workshops, advisory
work which help build PE capacities
Expertise to Offer
• Identify niche that IFHP can occupy
• Build capacity in specific fields among
IFHP’s 7 agenda areas
• Tie-up with research institutions to
deepen expert advice
Global Network of Experts
• Revitalise existing partnerships
• Establish new partnerships with relevant
organisations
• Build up local-anchors
CHALLENGES & RISKS IN A
PARTNERSHIP
PEs’ perspective
• NGOs are watch
dog & critical friends
• NGOs should be
transparent &
accountable
• What is the ROI of
partnership?
• Demands
accountability for
use of funds
NGO’s perspective
• Will the partnership
risk my brand name?
• What is my role:
▫ A partner?
▫ A consultant?
▫ A beneficiary?
NGO
PE
CHALLENGES & RISKS IN A
PARTNERSHIP
What Makes a Partnership Work?
• Built on specific needs, not generalities
• Understand each other’s interests
• Have clear objectives, with structure to
support the relationship
• Agreed outcomes and/ or programmes
indicators
WHAT ARE THE VALUE
PROPOSITIONS OF SIMILAR NGO?
WORLD BUSINESS COUNCIL FOR
SUSTAINABLE DEVELOPMENT (WBCSD)
• Value Propositions:
• A network of 66 global partners in 64 countries,
representing 35,000 businesses
• A platform for PEs to offer cross-domain
business solutions by partnering other people
• Strong research capabilities, from tie-ups with
Stockholm University & Stockholm Resilience
Centre for research
URBAN LAND INSTITUTE (ULI)
• Value Propositions:
• Extensive network - 21 National Councils & 50
District Councils within USA
• Highly regarded advisory service program,
delivering comprehensive solutions
• In-house research centres covering a range of
fields such as housing & energy
INTERNATIONAL SOCIETY OF CITY
AND REGIONAL PLANNERS (ISOCARP)
• Value Propositions:
• A global network of planners which has
formal consultative status with UNESCO
• Innovative planning solutions offered via
UPAT (Urban Planning Advisory Team) &
YPP (Young Planning Professionals) Team
• A to-be-launch ISOCARP Institute
SOME LEARNING POINTS
Four common characteristics:
• Identified with at least 1 well-regarded
program, service or product, which is their
niche or strength
• A local presence that helps open doors
• A research arm, or tie-up, that keeps
abreast of advancement in relevant fields
• Opportunities for members to contribute
back to society