www.isealalliance.org
www.isealalliance.org
Assurance as a Tool for
Scaling Up Social and
Environmental Impact
ISEAL Webinar Series
29 April, 2009
Creating a world where environmental sustainability and social justice are the normal conditions of business
www.isealalliance.org
Role of Assurance in a Standards System
> Three core functions
– Setting the standard
– Assessing compliance with the standard
– Measuring the impacts of compliance
> Proxy for direct relationship between producer
and consumer
> What does effective assurance look like?
Creating a world where environmental sustainability and social justice are the normal conditions of business
www.isealalliance.org
Components of Assurance
All-encompassing term, as defined by ISEAL to include:
> Auditing
– Competencies, training, evaluation
> Certification
– 1st party
– 2nd party
– 3rd party
> Accreditation
Auditing
Certification
Accreditation
Creating a world where environmental sustainability and social justice are the normal conditions of business
www.isealalliance.org
What is the Aim of Assurance?
> Provide a Credible Guarantee – in the absence of direct
evidence of production, what is needed to assure customers
that a product or service meets a standard’s requirements?
> Response has been to focus on replicable (systems-based),
impartial assessment
> ISO standards built around a management system approach
> Strengths:
– Consistent results
– Impartial
– Documented
Creating a world where environmental sustainability and social justice are the normal conditions of business
www.isealalliance.org
Challenges with the ISO Approach
> Application to social and environmental standards
– Doesn’t address sector-based auditor skills (e.g.
interviewing techniques) or unique practices (e.g. group
certification)
• So sector-based supplements are required
– Defines effectiveness in terms of impartiality and
replicability
• Necessary but not sufficient?
Creating a world where environmental sustainability and social justice are the normal conditions of business
www.isealalliance.org
Redefining Effective Assurance
> What if effectiveness is defined as contribution to impact?
> What is the value-added that assurance can bring?
> Define effective more broadly, as assurance that is:
–
–
–
–
–
–
Replicable
Impartial
Accessible / Affordable
Transparent
Locally accountable
Scalable
Creating a world where environmental sustainability and social justice are the normal conditions of business
www.isealalliance.org
Redefining a Credible Guarantee
> Look at different assurance models for different end uses
– Self-assessment
– Peer evaluation – participatory guarantee systems
– Supply chain audits
– NGO / Trade Union audits
– Certification
– Accreditation
> Fitness for Purpose: what level of guarantee is required to be
credible for each audience?
> What assurance models or combinations achieve that
guarantee?
Creating a world where environmental sustainability and social justice are the normal conditions of business
www.isealalliance.org
Assurance Code of Good Practice
> What would each part of the assurance process look like to
best meet a broader definition of effective?
> Possible matrix of functions and characteristics:
Impartiality
Accessibility
Accountability
Scalability
Auditor competence
Standards framework
Operational management
Audit implementation
Benchmarking
Accreditation
Creating a world where environmental sustainability and social justice are the normal conditions of business
www.isealalliance.org
Content of an Assurance Code
> Scope of the Code – what needs to be in place to support the
delivery of effective verification?
> Balance between comprehensive and realistic
> Focused only on aspects unique to social and environmental
standards systems?
> Look to requirements at each stage in the audit process:
– Start with standards guidance to the auditor and CB
– Certification body management
– Auditor training, evaluation and calibration
– Audit process
Creating a world where environmental sustainability and social justice are the normal conditions of business
www.isealalliance.org
Typology of Assurance Models
> Description of different models and context in which they are
appropriately applied
> Assessment of strengths and weaknesses of each model in
contributing to social and environmental impacts
> Mix of audit tools – complementary relationships
> Is this feasible?
> Is it desirable?
Creating a world where environmental sustainability and social justice are the normal conditions of business
www.isealalliance.org
Specific Recommendations
> Current challenges that would benefit from guidance:
–
–
–
–
–
–
Standards interpretation
Scoring / evaluation systems
Complaints procedure
Calibration / consistent assessment
Access for small and medium enterprises
Transparency and accountability
Creating a world where environmental sustainability and social justice are the normal conditions of business
www.isealalliance.org
Code Development Process
> Fundraising
> Technical team drafting
> Broad-based collaborative development over 2 years
> Start with background research to inform key questions
> Parallel dialogues on key content and political issues to build
support and understanding
Creating a world where environmental sustainability and social justice are the normal conditions of business
www.isealalliance.org
Questions to Frame the Code Development
> To what extent does this build on existing ISO standards?
> Is a sector-based supplement for social and environmental
standards enough?
> What is the balance between being perfect and being
accessible?
> To what extent does this include accreditation?
> What are the political implications and what should be our
strategy to address these?
Creating a world where environmental sustainability and social justice are the normal conditions of business
www.isealalliance.org
www.isealalliance.org
Questions?
Patrick Mallet
patrick@isealalliance.org
www.isealalliance.org
Creating a world where environmental sustainability and social justice are the normal conditions of business