Terms of Reference – AWP2 – Activity A095

Project Title: EU SME Centre

Contract Number: ASIE/2010/250-290

Subject: Assignment of a Short-term Junior Expert

Period of Assignment: 18 February to 30 April, 2013

Working Days: 15

Place of Assignment: China

EU SME Centre References:

Activity Number: AWP2/A095

Activity Title: CSR for EU SMEs

Background

Launched on 1 Nov 2010 and running until 6 Oct 2013 the EU SME Centre is operated by a consortium of European Chambers of Commerce, led by the China-Britain Business Council and includes the Benelux, French, German, Italian and Spanish Chambers in Beijing, as well as the European Union Chamber of Commerce in China and Eurochambres.

The overall objective of the EU SME Centre is to contribute to improving the trade and economic relations between the EU and China and to further Europe’s interests vis-à-vis China. The EU SME Centre will achieve this by helping EU SMEs overcome barriers and constraints they face on their efforts to invest in or export to the Chinese market.

Specific Activity Background

EU-China trade has increased dramatically in recent years. China is now the EU's 2nd trading partner behind the USA and its fastest growing export market. In 2010 the EU exported approximately € 113.1 billion worth of goods to China – up by 38% compared to 2009.

Much of this trade, however, is concentrated among a limited number of large companies. SMEs only account for a small share of manufactured exports to China. Yet SMEs are the main drivers of job creation, economic growth and social cohesion within the EU. For EU SMEs, access to the Chinese market provides a strategic opportunity for improving their competitiveness and further development.

Now, European enterprises are well recognised in China for the integration of ethical, social and environmental values in their business operations and in their relations with all stakeholders, the underlying principles of the concept of Corporate Social Responsibility (CSR). EU SMEs should capitalise on this recognition.

Activity Summary

The concept of CSR has gained momentum in political, social and business circles globally. It is based on the assumption that the liability of enterprises is not confined to the production of goods and provision of services but that its interaction with a variety of individuals and groups can help create or destroy social value. In the past decade, the European Commission has shifted the definition of CSR from the voluntary integration of social and environmental concerns in business operations (2001 Green Paper) to enterprises being liable for their impacts on society (Communication no. 681 of October 2011)

In China, the debate on the need for more sustainable patterns of growth has focused the attention of a growing number of politicians, academics and entrepreneurs on issues of social responsibility. Interventions of Chinese leadership on the development of a harmonious society and supporting ethical business practices in response to the scandals on the safety of products as well as the convergence of the 12th Five Year Plan on the theme of fostering “high quality and Inclusive growth” crystallises the importance given to this by the national government and some local authorities have already embraced the possibility that CSR offers in tackling these objectives.

The focus of the current debate on CSR has recently moved on the relationship between CSR and competitiveness. In China in particular, there are several cases where companies have gained competitive edge in exchange for social and environmental advancements at a local level. It is of interest for EU SMEs therefore to have a better grasp of the specificities of CSR in China and on how they can effectively utilize CSR to enhance their competitiveness.

Specific task:

The report will include provide:

·  Specificities of CSR in China, including developments at a national and local level.

·  In this context, propose strategies and tools adapted to SMEs to optimise value for all stakeholders in a sustainable way for the enterprise to:

o  identify areas in which ​​CSR can be implemented to reflect a commitment according to identity, and size of a particular SME;

o  identify local stakeholders (both internal and external) in relation to which CSR could be exercised;

o  adoption of management systems, certification, promotion of activities;

o  adoption of social accounting and definition of reporting tools for the choices made to provide transparent information to stakeholders.

·  Compilation of existing CSR resources (including publications, forums, case studies, etc.) to be referenced on the EU SME Centre website.

·  Three case studies focusing on CSR activities as an asset for SME willing to enter the Chinese market and differentiate themselves from competitors by promoting their products with an added value in the eye of the Chinese consumers, preferably 1 in on integration of employee, society and environmental protection respectively.

Reporting and Deliverables

Report of about 15 pages (6 days) illustrated with three case studies of about 3 pages each (5 days)

Compilation of existing CSR resources (2 day)

Presentation slides in Powerpoint format (1 day)

Webinar (1 day)

Timesheet

Timetable

The task should commence 18 February and end no later than 30 April 2013.

Expert Profile:

§  Minimum 5 years of work experience in the areas of CSR with a minimum of 3 years of recent experience related to CSR in China ;

§  Master degree

§  Excellent English drafting skills.

For further information please don’t hesitate to contact:

Mr. Benoit Misonne, Market Access Advisor – HR & Training

Email: