CSR

Cover Story Making a True Commitment to Compliance

CSR STORIES

"The Missing Link" Three Things Bangladeshi Textile Industry Should Consider

{Emerging Bangladesh} Oct. - Dec. 2015

01

Page 40

08

"The Missing Link" More Sustainability in the Supply Chain Three Things Bangladeshi Textile Industry Should Consider

12 Making a True Commitment to Compliance.

15 BSRM: Bestowing Bridge Between Benefit and Benevolence 18 DBL Group: Thinks Globally, Acts Locally 20 DHL: “Living Responsibility�

Story Compilation and Advertisement Kawser Ahmed Photography Mohammad Asad Tel +880255051940, Fax +880255051941

Khorshed Alam Rinku Nashirul Islam Abir Abdullah and Collected Concept and design by

www.greyshack.com

02

{Emerging Bangladesh} Oct. - Dec. 2015

BGCCI AGM & EGM Took Place Page 54

Page 42

CSR: Charity or Marketing in Diguise?

An interview with Aftab Mahmud Khurshid 23 Who is in charge?

30 Bangladesh being a “Bottomless Basket”

{Emerging Bangladesh} Oct. - Dec. 2015

03

FROM THE EDITOR

Dear Members, since I am new to BGCCI and haven’t yet met all of our members I would like to introduce myself to you. I am from Germany. After finishing two master degrees in economic geography and administrative sciences, I spent more than 20 years of my work life in economic development corporations and German chambers of commerce including stages in several German Bilateral chambers abroad. For the last five years I have been assigned to chamber related projects in Turkey, China and Georgia.

The assignment as executive director in BGCCI is a great challenge for me. BGCCI has had a continuous membership development in recent years. Now it is preparing to become a genuine member of the German bilateral foreign chamber network AHK with more than 130 offices in more than 90 countries of the world.

In recent years Bangladesh-Germany bilateral trade has become strategically important for both countries. Today, Germany is Bangladesh's second biggest export market.

We are even more optimistic about the future and expect it to become an even bigger market for Bangladesh in years ahead, thanks partly to its position as Europe's major economy.

In the beginning of 2015, Bangladesh successfully achieved the goal of becoming a lower middle income country and showing its commitment to become a middle income country by 2021. No doubt with so many obstructions and so much limiting obstacles in the path of advancement, this country has shown its resilience against all the odds. Bangladesh’s strong positioning in the global economy is a proven fact.

visiting this country. Every form of bilateral trade and foreign direct investment, every order from German buyers will contribute to creating new jobs in Bangladesh and securing those already related to it. .

BGCCI is committed to all its members, entrepreneurs and investors both from Germany and Bangladesh, who at the same time have both contributed to economic growth for both countries.

BGCCI will continue on its way to becoming the symbol of excellence at its operations by ensuring a high quality of demand driven services to enhance bilateral trade for the mutual benefit of Bangladesh and Germany.

But to promote the trade in Germany and to attract more German investors, we need to rebuild and publicize the business friendly image of Bangladesh. On the one hand media reports since the Rana Plaza incident have portrayed a poor country with low standards in labor laws and environmental protection. On the other hand this is by no means a true, realistic and balanced picture of Bangladesh.

We know that there are obstacles ahead for Bangladesh to fulfill its potential. We will talk about those challenges too, but at the same time we will have to portray this country as a location with good business opportunities and very good reasons for investment.

Yours sincerely,

Franz Nienhaus Executive Director BGCCI

On the journey towards middle-income status, Bangladesh will face new challenges every day and it is our task to contribute to the solution of new problems.

As a bilateral business community we will continue showing the difference and pointing out the opportunities to business delegations from Germany

{Emerging Bangladesh} Oct. - Dec. 2015

05

OPENING REMARKS

Doing responsible business Dear Readers, I am happy to tell you that this special issue of “Emerging Bangladesh” has a few significances. First of all, this issue is featuring a very important topic which is Corporate Social Responsibility(CSR). As business people, as entrepreneurs, we have to understand that CSR will ensure our prosperity in the long run and help this country to grow as a platform of sustainable businesses.

For decades, businesses around the world have tried to make quick profits without pondering much over sustainability issues. Many of those ventures proved to be bane for the environment and community they operated in and couldn’t thrive after sometime. On the other hand, businesses which cared for viable growth not only managed to stand the test of time; but also kept enriching the people and planet besides making profits. What does this history teach us? It shows that shouldering the responsibilities helps us in the long run whereas denying them in the name of making profits will take us nowhere. As a bilateral chamber we are using trade as a vehicle to promote sustainable development by creating a win- win situation for countries like Germany and Bangladesh, the later on the road of becoming middle income country. The real task is to make this achievement sustainable with integrated CSR policies.

This is why this particular issue of Emerging Bangladesh is covering stories based on different CSR activities of our stakeholders. I am really happy to say that this issue gives a good sense of CSR practices from a “Glocal” perspective.

Secondly, since 2010 BGCCI has been initiating and organizing several very effective CSR events. We are playing the role of catalyst in Private Public Partnership. Global Social Responsibility, known also as GSR Conference is a vibrant arrangement for exchanging ideas, sharing thoughts and showcasing achievements and activities in CSR.The lessons learned and recommendations made in the GSR platform have contributed to paving the way for sustainable development in Bangladesh and put forward all our partners as leaders in global sustainability. I am taking this opportunity to announce that BGCCI is organizing the 4th Global Social Responsibility Conference on 3rd of March,

06

2016. This time, GSR Conference in partnership with the governments of Germany and Bangladesh and most prominent business conglomerates operating in both countries, will work on focusing issues like regional knowledge networking, environmental sustainability and personal initiative.

With the first GSR conference in 2010, we wanted to create a platform where businesses would ‘seek and find’ answers to questions pertaining to their sustainability needs. In 2013, with the 2nd GSR conference we wanted to widen our horizon and shared the European perspective with our participants. The conference helped us think bigger as we looked through a green lens

{Emerging Bangladesh} Oct. - Dec. 2015

at the possibilities, barriers and solutions to build a green economy. The 3rd conference organized in 2014 highlighted innovative and responsible solutions to emerging challenges of water contamination, energy shortage, waste management, and social protection issues that grow with economic progress.

time full of opportunities and possibilities for the BGCCI members. Time has come to gain that momentum again which we have lost due to political and economic turmoil both locally and internationally last year. So let's take this opportunity to work on our sustainability, let's work on being a part of responsible business.

We believe the 4th GSR conference will provide us a better opportunity to reach out to businesses which like to give back to the society and environment. GSR-2016’s theme will be “Aid to Trade: Better World, Safer Generation�. The conference will bring together hundreds of international and domestic stakeholders to explore opportunities and evaluate the move from aid to sustainable trade in Bangladesh and the region.

Finally, I want to say, a new year has started, a new

{Emerging Bangladesh} Oct. - Dec. 2015

Yours sincerely

Sakhawat Abu Khair President BGCCI

07

Cover story

"The Missing Link" More Sustainability in the Supply Chain More Sustainability in the Supply Three Things Bangladeshi Textile Industry ShouldChain Consider

Three Things Bangladeshi Textile Industry Should Consider 08

{Emerging Bangladesh} Oct. - Dec. 2015

Bangladesh is a developing country, but one with great growth potential.

The driving force behind this potential is its textile industry. Since 1990, where the total export volume was 0.8M USD, exports have increased sixtyfold. If forecasts are to be believed, a further increase of 50% can be expected by 2020, reaching a total export volume of 42 billion USD. The current workforce of 4M is also expected to increase, which in turn is likely to see a significantly higher number of people dependent on the textile industry than today’s figure of 20M. In order to achieve this potential, three factors need to change: firstly, working conditions within the industry need to be improved; secondly, resources need to be managed more efficiently and finally, the industry needs to strive for more operational excellence.

Working conditions acceptable but improvable The last five years have seen improvements not only in export volumes, but also in working conditions. Across the industry, a ban on child labor has been resolutely enforced, wages have increased significantly and working hours reduced. As already mentioned, this has taken place across the entire industry. However, black sheep continue to exist Bangladesh being no exception - as a result of complicity between buyers prepared to turn a blind eye and producers willing to be negligent.

Following the catastrophic fire in Tazreen Garments, with more than 112 fatalities and the Rana Plaza tragedy, which claimed over 1300 lives and hundreds of seriously injured, a new era has begun in the textile industry. US retailers launched the Alliance initiative in 2013, with the aim of improving safety standards. In the same year, European retailers, who make up the majority within the industry, launched the Accord initiative for building and electrical safety. These initiatives led to the inspection of more than 2000 factories in 2014, where fire-safety, electrical systems and the structural condition of buildings were checked. An average

of 40 deficiencies per factory were discovered, yet for the most part, they were not deemed serious enough to warrant closure. In the end, only 20 factories were closed for safety reasons, leaving 99% of inspected factories declared structurally sound. Thanks to the cooperative efforts of politicians, local councils, associations, trade unions and NGOs, much has been achieved in the last two years. This has required significant capital on the part of retailers and textile producers in order to finance inspections, reports, renovations, installation of fire doors and upgrading electrical systems. Careful inspection of electrical systems is especially important, as short circuits are one of the leading causes of fires.

However, the current drop in purchasing prices does not make the

{Emerging Bangladesh} Oct. - Dec. 2015

challenge of securing such investments for maintaining and improving performance any easier.

Therefore procedures need to be developed for maintaining systems and correcting deficiencies. This is more a question of management than of finance.

Textile Production in Bangladesh – clean and dirty Textile production in Bangladesh is clean as a result of more than 60% of energy requirements coming from natural gas, with oil accounting for 30% and coal for only 2%.

Improvements to the national grid mean that power cuts are a rare occurrence compared to previous years. Diesel generators are now only required for a maximum of one hour per day, resulting in fewer SO2, soot and CO2 emissions.

09

Steam required for use in laundries, dyeing mills and ready-made garment factories is also generated predominantly from natural gas. In terms of energy consumption, Bangladesh is, by international standards, far ahead of markets such as China, India, Poland or Turkey, where oil and significant amounts of coal are used to generate power and steam.

In terms of water pollution however, a very different picture emerges. One kilogram of dyed fabric results in 150 to 200 liters of wastewater, mixed with dyes, salts and other agents. This translates to 50 to 70 liters per T-Shirt or 75-100 liters per pair of trousers. A further 100 liters are required for pre-washing and almost twice as much for finishing denim. Although the majority of wastewater is processed in sewerage plants, the motto is the same everywhere: the solution of pollution is dilution.

To lessen environmental footprints, factories have come up with excellent solutions. For example, recycling wastewater reduces the amount of fresh water required by 70 to 80%. Coupled with reverse osmosis and filtration systems, wastewater can be so effectively cleaned so as to be recycled. Furthermore, heat exchangers can effectively double the amount of energy potential for generating power and steam. Solar-thermal systems for heating water and photovoltaic systems for generating power are also being used as means of obtaining environmentally friendly energy. There are even technologies for extracting CO2 from exhaust fumes for use in production systems. However, as already mentioned, such examples exist only on an individual basis. Industry wide application is still a long way away.

This has less to do with insufficient funding than it does with organizational deficits. Management currently lacks the knowledge and workers the experience in the use of new technologies.

Textile producers also face other challenges. German retailers are obliged to comply with “Öko-Tex Standard 100“standards and exports destined for the European Union have to meet all REACH requirements. Currently, the European Chemical Agency has ordered the re-assessment of 138 substances by 2018. A German state appointed textile federation is currently considering

10

the banning of 11 groups of chemicals from future use.

Greenpeace’s Detox campaign may not involve a great number of participants, but it does involve some large companies such as H&M, Inditex, Primark, Adidas, Puma, C&A and Nike, to name a few. These companies publish progress reports of their attempts to eliminate pollutants from textiles, wastewater and sludge. This requires not only regular testing, with the help of test laboratories, but also the initiation of processes designed to make the current situation more transparent. Such analyses result in new standards being set and certain processes being discontinued. Finally, comprehensive documentation is required for regulating processes and making them transparent to stakeholders. Adidas, Puma, C&A and co provide good examples of how this can be achieved.

But what of companies that lack internal know-how?

What can those companies who are unable to set up new departments and divisions do? What about those companies who are unable to rely on high performance business partners? In such cases, Operational Excellence in all business areas is of paramount importance. Only through cooperation between companies and the industry as a whole, can solutions to today’s complex problems be developed and implemented.

Operational Excellence – the Missing Link for the Textile Industry If we assume that the driving force for Bangladesh is and will continue to be its textile industry, then the question is: how to pimp the industry? Operational Excellence needs to function in two dimensions: internally and externally. Good examples of this in practice are the Accord’s and Alliance’s buyers’ forums, where industry-wide advances are achieved through intensive exchange of knowledge and cooperation between companies. Achieving such progress takes time: time for regular meetings and time for building mutual trust. This needs to be initiated at director level and followed up with regular workshop participation on the part of managers, where problems and solutions can be discussed in an open atmosphere. Furthermore, managers need to learn how to implement procedures for

{Emerging Bangladesh} Oct. - Dec. 2015

recognizing problems and avoiding future occurrences. H&M and C&A, to name a few examples, set a good example where suppliers are invited to events aimed at improving social and ecological aspects of their supply chains.

At an internal level, all stakeholders within the corporation, from workers to management, need to be working ‘for the sake of the company’. Textile producers with turnovers of between 50 and 250 M US dollars are already meeting such obligations in Bangladesh. Workers are not only offered decent salaries and good working conditions, but also pension plans, health insurance and training opportunities. They have instituted what Nobel Prize winner, Paul Krugman, recently wrote in the New York Times: “if you pay your workers better, they’ll stay longer in the company, morale will improve and they’ll become more productive”.

Empowering workers means giving them active roles in production processes. Improvements made in this area lead to more active contributions in shaping the working environment. This applies not only to textile production processes, as carried out by individual workers, but also to the overall organization and cleanliness of work stations, cantinas and sanitary facilities.

Managers need to be sufficiently trained and motivated through coaching so that they are able on the one hand to maintain production processes and on the other to recognize and analyses problems independently. This will involve pilot projects for monitoring and

evaluation purposes. The fact that these will require involvement of workers poses an initial challenge.

One of the secrets of success in German industry is its apprenticeship and training programmers. A qualified worker in Germany is trained not only in the technical specifics of his or her profession, but also in thinking of the industry as a whole. This both encourages active participation in the continued development of the industry and enables workers to enjoy the benefits of success. If managers are also able to report on these developments at external events, then this further contributes towards the development of the industry as a whole.

Operational Excellence requires more than just active internal and external participation. It requires documentation of facts, figures, processes and procedures. As the saying goes, “Documentation is not everything, but, without documentation, ‘everything’ is worth nothing“. Without regular documentation, managers have no way of assessing operational

performance and determining whether changes have actually been implemented or if further improvements are necessary.

Realistic planning also becomes impossible. Documentation also involves regular reporting, both for internal transparency and executive decision-making, and for communicating information to stakeholders, including local councils, banks, NGOs and clients.

Should journalists also start asking questions, one can be assured as a business of one thing: accountability.

Operational Excellence leads to numerous improvements in every-day business operations: contented staff, efficient use of resources, reduced environmental impact and improved communication. Ultimately, in terms of meeting national and industrial growth targets, it paves the way for increased turnover and profit (wherever it ends up). It is therefore in everyone’s best interests that the process towards sustained development begins today.

Dr. Michael Arretz has vast experience working as a supply chain Management Consultant. He has worked in the last 20 years for Kik, the Otto Group and for a great number of brands, retailers and importers. Together with his clients he developed solutions for lowering the environmental impact and increasing the working standards.

{Emerging Bangladesh} Oct. - Dec. 2015

11

Making a True Commitment to Compliance.

Anneke Magendans

The textile and clothing industry has played an important role in this world’s industrialization and development process. The industry has one of the largest and most complex supply chains, ranging from cotton farming and chemically production of fibers to manufacturing and selling of finished products. As products from each part of this value chain can easily be exported, it makes the sector trade-intensive. This has provided an excellent foundation for export-oriented industrialization, where a country’s industry is upgraded by exporting goods for which it has a comparative advantage. The race to the bottom, the always ongoing search for the cheapest source of labor and the lowest production costs, has initiated globalization. This has been fueled by the liberalization of world trade. With trade barriers falling away, decreasing import and export tariffs and the disappearing costs of international financial 12

transactions it became much easier for companies to operate on a global scale. It has resulted in the wide dissemination of the textile and apparel industry in Asia as we know it today.

Globalization has created an imbalanced power relation between global brands and their suppliers in developing countries. At the same time, the enormous power that brands have has made them vulnerable, too. They are under constant surveillance of ‘global civil society’ and being publicly scrutinized for corporate negligence poses serious risks to their corporate image and brand reputation. This led to the implementation of voluntary codes of conduct to demonstrate responsible business behavior to indicate that their products were made under decent working conditions. Social audits were conducted to monitor compliance with these codes. A next step in managing

{Emerging Bangladesh} Oct. - Dec. 2015

social compliance was the establishment of multi stakeholder initiatives in which the business community cooperates with unions, environmental and human rights organizations; joint codes of conduct were drafted and proper third party monitoring ensured. Most codes of conduct draw on important international labor standards that protect workers’ rights such as International Labor Organization (ILO) conventions, declarations of the United Nations (UN) as well as guidelines of the Organization for Economic Co-operation and Development (OECD), including the Ruggie Framework.

brands and retailers, (international) unions, NGO’s and governments was called for. This resulted in the development of the Accord on Fire and Building Safety, an unambiguous, comprehensive and unified legally binding agreement, which was signed on May 15th, 2013.

The Accord is not unique; a group of North American apparel companies have initiated the Alliance for Bangladesh worker safety on July 10th, 2013.

Already on January 15th, 2013 , following the Tazreen Fire in November 2012, the Bangladesh government has launched the National Tripartite Plan of Action (NTAP) on Fire Safety for the Ready-Made Garment Sector in Bangladesh. Initially the NTAP was to prevent fire related accidents. Only after the Rana Plaza collapse, building safety has been included. The plan aims, besides other objectives, to provide a platform for cooperation for stakeholders wishing to initiate fire safety promotion activities. Building on the NTAP, the EU Sustainability Compact, a tripartite agreement between the European Union, the Bangladesh Government and the ILO, was launched on July 8th, 2013. It has set out clear commitments and deadlines to ensure necessary changes related to respecting labor rights, improving structural building safety and occupational health and safety, and responsible business conduct as well as their effective implementation and enforcement. Coordination and monitoring is the responsibility of ILO. On July 19th, 2013 the USA joined the EU compact.

On the 24th of April 2013 an eight floor building collapsed in Savar, on the outskirts of Dhaka, Bangladesh. The Rana Plaza building housed a bank, shops and several residential apartments but also, although not constructed for this purpose, several garment factories. The collapse killed over 1,100 people and more than 2,000 people were injured. Even though many companies operating in Bangladesh have a corporate code of conduct, aiming to improve working conditions, these numerous voluntary efforts could not prevent this disastrous accident from happening. It now became apparent that cooperation on a much larger, global, scale, involving international

In September 2015 the ILO published a working paper1 that investigated the implementation of the Accord and the NTPA and the impact they had so far

Khan and Wichterich (2015) Safety and labour conditions: the Accord and the National Tripartite Plan of Action for the garment industry of Bangladesh. International Labour Organization Working Paper 38, Geneva.

1

{Emerging Bangladesh} Oct. - Dec. 2015

13

on improving safety standards and labor conditions in the Bangladesh’s RMG sector. Of course it can be argued that these initiatives were launched under huge pressure. According to the paper the Accord, Alliance and EU Sustainability Compact were initiated as a reaction to demands from global trade unions, consumer, labor and human rights groups as well as the general public. Global brand’s main concern was to protect their corporate image and brand reputation, as was the reason for them to implement voluntary codes of conduct. The NTPA was launched as a reaction to the USA suspending Bangladesh’s trade benefits under the GSP program and the risk of the European Union doing the same. It must be mentioned, however, that apparel exports were never included in the US-GSP; this only included tobacco, sports equipment, porcelain china, and plastic products. Nevertheless, the implementation of all these initiatives did initiate the process of change to the RMG sector in Bangladesh.

Their main focus, however, has been on fire, electrical and structural safety as well as occupational health and safety. Still there are many other issues to be dealt with, such as excessive working hours and (forced) overtime, payment of wages and benefits according to the Bangladesh Labor Act 2006 and the Labor Rules 2015, (sexual) harassment and verbal abuse. These issues are currently still addressed by the numerous existing management systems to which many international buyers adhere, such as BSCI, WRAP, ETI etc. The variation in standards, audit processes and methodology prevents buying companies from recognizing and accepting the various audit reports. This puts enormous pressure on the suppliers as they have to undergo many different audits each year, often also bearing the costs.

This of course applies to the garment industry on a global scale. However, with all eyes on Bangladesh after the Rana Plaza collapse, it is particularly tough on the Bangladeshi suppliers. Without a doubt, trust is one of the main critical success factors when multiple parties are involved

Anneke Magendans works as a project manager for GIZ International Services and is responsible for implementing the Supplier Qualification Programme which aims to improve the living- and working conditions of RMG workers in Bangladesh. In 1985 she completed her bachelor’s degree in Fashion Technology from the University of Applied Sciences in Amsterdam. She received an MA in Corporate Social Responsibility from the Asian Institute of Technology in Bangkok (2014). She has over 25 years’ experience in the apparel industry, of which the last 10 years in the field of social compliance. Recently she has been appointed executive board member and treasurer of the BGCCI. Anneke is originally from The Netherlands.

14

{Emerging Bangladesh} Oct. - Dec. 2015

CSR Story

BSRM's senior management in a project field visit with other dignitaries

BSRM: Bestowing Bridge Between Benefit and Benevolence For Bangladesh Steel Re-Rolling Mills (BSRM), Corporate Social Responsibility or CSR is a guideline in all of their acts and actions. This particular guideline encompasses a set of core values – respect human rights, value employees, invest in innovative technologies and solutions for sustainable energy flow and economic growth, place highest standard of safety in operation process and environment friendly products, focusing on the welfare of economically and socially deprived section of society.

BSRM group, a pioneer in steel industry serving the nation to build itself since 1952, practices CSR as an

integral part of their business strategy in such a way that it becomes a corporate culture and not be an acronym for ‘philanthropy’.

CSR initiatives are chosen on the basis of the impacts on the beneficiaries of the society in improving the quality of lives of the communities they serve and till now the focus area has been: education, healthcare, water & energy, empowering men & women including physically challenged people through livelihood projects, conservation of the environment.

To integrate social responsibility into BSRM’s core business decisions, the group wants to have CSR at every bit of the heart of their money making process. BSRM

{Emerging Bangladesh} Oct. - Dec. 2015

15

commits resources to the extent it can reasonably afford, not in one-off philanthropic project, rather in a set of strategically planned efforts consistent with BSRM's own corporate strengths and complementary to programmes offered by the Government, to sustain and improve a healthy and prosperous environment, and improve the quality of life of the people living in poverty.

In Education One of the issues that BSRM’s CSR activities centered around is education. They have been funding and promoting education for the underprivileged kids for a long while. A successful example is Burhani BSRM School, which was established in 2006. This school provides a free education to the underprivileged kids from nursery to 8th grade. At present, there are 460 children studying here. Most of these kids belong to ultra-poor and poor families. These families tend to send their kids to street, for begging or to households, to work as a domestic help. Instead of doing so these kids are getting education from this school.

Another school which has been receiving supports from is Green Hill English School (GHES). This is a private institution facilitating elementary education to the children of BMA officers, civil employees, civilians. This educational institution is ran by a governing authority under the patronization of Bangladesh Military Academy (BMA), Chittagong. BSRM was given an opportunity by GHES to participate in enhancing the capacity of the school. The conglomerate has partially sponsored the

16

construction of a classroom and also issued a grant to ensure ten hard working meritorious kids higher education. The recipients of this grants belong to the low-income families and this grant will definitely help them to complete graduation courses for higher studies, with the aim to build an honest and meaningful life.

Recently BSRM and Chittagong Independent University (CIU) have established a formal understanding of cooperation and friendship which is intended to further the academic and educational objectives of the institution. Under this cooperation programme, BSRM has extended financial support to help CIU refurbish its Auditorium located at 16 Jamal Khan, Chittagong, Campus of CIU, an institution that directly participate in nation building by producing graduates. The place will also host community-based activities apart from CIU’s own academic/cultural programs including debates, conferences etc.

In Livelihood In Bagerhat, Khulna, BSRM has created revenue opportunities, empowering the underprivileged farmers with access to environmentally friendly technologies, training and access to local government service providing agencies, particularly in the areas of primary health, fisheries, water sanitation. The farming couple will contribute to the village economy, and involved in decision-making processes of cooperative management, work in a group for overall development of their own

{Emerging Bangladesh} Oct. - Dec. 2015

community. 358 farmers will come under this project gradually over the next 5 years, the project is managed

by Volunteer Service Overseas Bangladesh (VSOB), and a wing of world’s leading independent international development organization working since 1958, started in the UK. To help the victims of women trafficking and illegal migration, BSRM is supporting a programme with the help of a non-profit organization, Alternative Development Organization for Research & Evaluation (ADORE), which rehabilitates the ill fortunate young victims. BSRM Foundation Women Training Center is an institution placed at the border area of Benapole, Jessore to create an alternative option of earning for the victims of such crime and to help them attain self-sufficiency.

Another livelihood project called ‘Matching Fund Scheme’, a BSRM innovative initiative to support and increase the capacity of women to work at home at Sitakunda, Chittagong, started as a pilot phase for women who wants their children to go to school and BSRM's Crab cultivation projects in Bagerhat, Khulna, has created improve the quality of lives for their family members, but revenue opportunities, empowering the under privileged farmers do not have the opportunities to look for work out of home, grouped under this project. These women have Briquette factory at Sadhanpur, Union of Banshkhali been given seed money to pick up work as per their skills Upazila, about 45 kilometers from the Chittagong City. such as farming, stitching, cane products, weaving etc.

Biomass briquettes are a biofuel substitute to coal and The group saves a percentage of the seed money in charcoal. The goal of this initiative is to reduce savings account in a bank and every six months BSRM anthropogenic pressure on the hill forest and thereby matches the deposited amount, which will continue till help mitigate climate change, the briquette will have a the group feels appropriate and Zonta International, a number of benefits: it will be an alternative to wood as global organization of executives and professionals fuel, help regeneration of the forest, and provide income working together to change the lives of women and girls to poor women who will serve as sales agent of the in their local communities and around the world, is briquettes. Direct beneficiaries will be 1,274 households helping BSRM in running the project. and other indirect beneficiaries (community people) who In Environment will buy the briquettes will be approximately 3,500 households. DAM has taken the responsibility of As a responsible conglomerate, BSRM has taken few erection, implementation, running and supervision of the initiatives considering environmental sustainability and project. climate change mitigation.

To help conserve and save forest from destruction, BSRM and Dhaka Ahsania Mission (DAM) partnered to set up a

Another forest conservation project with a similar type of goals has taken place in BSRM’s own factory territory in Mirsarai, Chittagong. The projects have been initiated to give an alternative learning option and divert the source of income from forest to agriculture. Poor and landless, forest dependent community maintain their livelihood by collecting forest produce like bamboo, fuel wood and some other minor forest products. Their dependency on forest causes over exploitation and forest loses its biodiversity day by day. Young Power in Social Action (YPSA), a nonprofit, social development organization is supervising the implementation of the programme.

Started as a pilot project, if succeeded, similar project as this will be funded to surround the premises of BSRM Steel Mills Ltd at Mirserai, Chittagong. This will give opportunities to the factory workers to engage their families to earn extra income and develop the community.

BSRM Training Center for Women in Durgapur, Jessore

{Emerging Bangladesh} Oct. - Dec. 2015

17

DBL Group: Thinks Globally, Acts Locally

DBL Group's Bandhan Super Shop, an innovative approach to help their own workforce

It was a long way. Since 1991, they are working on both diversification and sustainability. They had to evolve as a responsible conglomerate with high standard in business and smart profit generating entrepreneur. Now, DBL is a renowned name in both national and international arena. This highly motivated Bangladeshi Conglomerate earned the respect of the business world through relentless effort, which has made them the example of ethical practitioner in the industry. A workforce with more than 20,450 people, DBL Group is committed to deliver products and services of superior quality and international standards to the clients worldwide.

DBL group and its senior management has a unique perspective to look at their business and how it is so much connected with the community they belong to.

Vision coupled with innovation, and they are right now in the track to be the most compliant industry in this country.

This business leader exported products worth of USD 320 million in 2014 fiscal year alone. Definitely,

18

DBL is an example of prosperity and good business. So isn’t it expected that they will be the sheer example of good practices in CSR as well?

Turn out they are. DBL Group has a multi-dimensional focus on CSR: two major focuses are on People and Community. By “People” they mean their employees and by “Community” they refer to the local community, where they operate. To reduce workers’ monthly expenditure burden and sheltering them from economic inflation, DBL group has taken a very innovative initiative. They have opened a Fair Price Shop in the factory premises which is called “Bandhan”. That literally means “Bonding”. This shop is tend to symbolize the bondage in between the workforce and the management of DBL Group.

It serves the workers with all the essentials and commodities at factory price of manufactures. The shop is aimed at reducing workers’ monthly expenditure burden and sheltering them from the economic inflation. Any worker of DBL can buy items through this zero-cash shop. All transactions are done on-credit through software. This is linked to the salaries’ software and automatically the purchase

{Emerging Bangladesh} Oct. - Dec. 2015

deductions are made from the respective accounts. In 2014-15, 357 different items were sold with a total transaction of over BDT 28 million.

As a part of their social compliances and responsibilities, DBL Group believes that creating more employment opportunities is the best way to serve the community that they work with in. With vast expansions in progress, DBL Group targets to add another 10,000 employment opportunities by 2016.

The management is actively involved in supporting a large number of education institutions, imparting education at primary and secondary levels. But most important of all, DBL Group has a strong environment friendly practices in place which includes energy efficient machineries and cleaner production. In the near future, they are going to have the largest Biological Effluent Treatment Plant (ETP) in Bangladesh which is benchmarked by the Department of Environment of Bangladesh to set up other ETPs in the country. With the help and support of IFC (World Bank Group), they have been able to save huge amounts of energy

consumption over the years through Cleaner Production project. Not only that, they have a target to reduce waste, carbon emission, water and energy consumption by up to 25% within 2015 on the baseline of 2011.

The Managing Director of DBL Group, Mr. M. A. Jabbar is highly ambitious with the CSR practices that they have. He said, “We have a vision. We firmly believe that setting up industries and creating employment opportunities is the best way of serving the society.

Through employment, we are being able to do poverty alleviation and bring in community economic empowerment.”

programs. Majority of them are for our own employees. In the 5th of December this year, we signed a MoU with UNICEF in order to promote the health of the future generations through the “Breast feeding in the Workplace Initiative”.

We are also focusing on improving the quality of education in our local community. Through the Children’s Education Program (CEP), career path counseling and hosting the

“Tomar Chokhe Bangladesh” Art Competition, we are already involved with the promotion of our employees’ children’s education, effective guidance on choosing proper career paths, as well as enhancing their creativity. We want to see the children of our employees join DBL not as workers but as engineers, doctors, and managers.”

He also added, “Our workforce is one of the major pillars of our business success. If we refer to our number of members within the last 3 years, it was 15,700 in 2013, 17,500 in 2014, and to date, we now have 21,000. We have aim to add about 10,000 more by 2016.”

But is it possible to do more for them? We asked. Mr. Jabbar assured us with his answer- “Of course! I can refer to our number of Sustainability

DBL Group has state of the art ETP facility to do their part for environment

{Emerging Bangladesh} Oct. - Dec. 2015

19

Tree plantation programme organized by DHL Global Forwarding

DHL: “Living Responsibility” “Living Responsibility”, DHL’s corporate responsibility moto says a lot about the corporate nature of this leading conglomerate. As a proof of this matter, the effective and focused CSR activities are the integral part of DHL’s Group-wide “Strategy 2020: Focus. Connect.

Grow.” It’s their way of setting the course for sustainable corporate development across the entire organization, bringing everybody closer to the goal of becoming “Provider, Employer and Investment of Choice” through responsible business practices, and achieving a balanced approach of pursuing economic, social and environmental interests.

Living Responsibility is built on three focused areas: Responsible Business Practice, Corporate Citizenship, and Shared Value. Corporate Social Responsibility is considered in DHL as one of the most obligatory engagements as it ensures the best-in-response to the social need. It is essential that businesses accept responsibility for the societies in which they operate. Mr. Nooruddin Chowdhury, Country Manager of DHL Global Forwarding Bangladesh finds the connection between sustainability and CSR fairly close-” We believe that CSR activities play a vital role in contributing to the community in many ways other than just business and also create a positive impact for our employees whom also feel good about working for a company that cares.”

20

Hence, employees of DHL Global Forwarding Bangladesh use their capabilities and expertise when providing help train and teach others, to volunteer or to work as a first responder in any disaster or natural calamity.

These thematic corporate programs help providing skill-based help to people in need (GoHelp), improving educational opportunity and employability(GoTeach) and initiative to protect the environment(GoGreen). It has taken numerous initiatives with the spirit of Living responsibility during the whole of 2015 and there were a number of activities in order to extend contribution to the social needs and increase employees’ interest.

As an example, he mentioned DHL’s celebration of “Global Volunteers Day” as a part of their CSR initiatives.

2015 was the third year in which DHL celebrated that Global Volunteer Day with an yearlong program. Their employees actively took part and volunteered their time with different community development activities.

Engaging the community with activities such as road safety education, motivational exercises for students, tree plantation, gardening, and child education support have helped inspiring DHL’s employees to come up with more CSR events including a blood donation campaign

{Emerging Bangladesh} Oct. - Dec. 2015

and donation drive.

As a follow through of this brilliant corporate trend, they started a partnership with “Teach for Bangladesh” on March 2015, to share leadership development program, along with providing financial support, facility sharing, renovate support, internship of fellows, HR sessions, and educational supplies. On May 18, 2015, DGF BD organized its fourth blood donation drive in collaboration with the Red Crescent Society of Bangladesh. Every year DGF BD arranges tree plantation and celebrates World Environment day. This project has been initiated to inspire people to plant trees however they can, arrange dialogues on environmental awareness, climate change and what each individual can do to make greener world.

The Senior Management along with all the other employees have taken an active part in demonstrating DHL’s social responsibility.

The employees have voluntarily accepted their social responsibilities and it was a great experience for the entire DHL Global Forwarding Bangladesh family.

Nooruddin Chowdhury said “It is certainly an important factor for a sustainable business environment. As a foreign multinational company operating in a developing economy like Bangladesh, we believe it is imperative that we fulfill our corporate responsibility to the economy, environment and most importantly to the people.”

He also added, “I am privileged to be in the midst of advocates and practitioners of living responsibly. To make a useful contribution to the lives in the society, we plan to extend our hand towards a green earth and provide educational support to inspire better education.”

{Emerging Bangladesh} Oct. - Dec. 2015

21

Who is in charge?

CSR in the garment sector is high on the agenda– Not only for Bangladesh and for Germany

by Irene Genzmer Globalization has reached everybody: Producers of cotton who have to cope with oscillating world market prices; workers and management of the apparel industry who have to handle the demands of international buyers in terms of time and price; buyers of the big brands who have to distinguish between quality production and untrustworthy offers; and consumers in western countries wearing clothes that have travelled once around the world before ending up in their wardrobes.

When it comes to Corporate Social Responsibility, the question is: Who is in charge to ensure that the globalization in the apparel sector will be beneficial for all involved parties, instead of being at the expense of those representing the weakest link in the chain? Is it the consumer with his immense appetite for cheap and fast fashion? Or is it the buyer of the big brands, putting pressure on prices to increase

{Emerging Bangladesh} Oct. - Dec. 2015

23

Textiles Partnership aims to tackle common challenges more effectively, exploit synergies through joint projects on the ground, learn from one another and thus improve underlying conditions in the producer countries.

the company's’ profit margin? Or is it the factory owner of the producing country, ready to exploit his workers in order to be able to undercut his competition?

says Jochen Weikert, coordinator of the well-established program PSES, “but we see also that many businesses are still not equipped to fulfil them.”

Politicians and civil society in Germany likewise brought the topic of fair trade fashion to their agendas. Although the discussants see one of the above listed parties responsible for existing grievances one day and the other one the next day – after all it is very clear to all of them that responsibilities have to be shared between all parties involved. The German government has launched several initiatives in order to live up to their share of the responsibility.

Government actors need expertise, personnel and equipment to implement the legislation, while factories and tanneries require knowledge and qualified staff familiar with social and environmental norms, Weikert explains. He is convinced that compliance with social and environmental standards improves living conditions for workers and the people of Bangladesh. “But it’s not only about being good,” he emphasizes. “It leads to a higher productivity, reaping economic benefits in the medium term and is therefore contributing to reach the industry's’ goal of earning fifty billion Dollar export revenues by 2021.”

“Promotion of Social and Environmental Standards in the Industry” (PSES) is a joint project of the governments of Bangladesh and Germany, implemented by the Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH, which works on behalf of the German Federal Ministry for Economic Cooperation and Development (BMZ). GIZ works with all stakeholders in Bangladesh, including ministries, employers' associations, factories, international buyers, non-governmental organisations and trade unions. “I feel a very strong commitment of all our partners to improve standards,”

24

However, Germany is not concentrating only on Bangladesh.

In 2014, the “Partnership for Sustainable Textiles” was established. The multi-stakeholder initiative, comprising the textile and clothing industry, retailers, trade unions and civil society, bundles the strength and expertise of its members in order to bring about social, ecological and economic improvements all along the textile supply chain. In doing so, the

{Emerging Bangladesh} Oct. - Dec. 2015

A comparable initiative of stakeholders within the Asian apparel sector is wanted by Monika Lüke, coordinator of GIZ’s new program “Social and Labour Standards in the Textile and Garment Sector in Asia” (SLSG), working on behalf of BMZ: “Like competing brands in the Textiles Partnership work together in order to tackle common challenges, stakeholders in the apparel sector in Asia should cooperate,” Lüke says.

And she has a good reason to say so: “If the only thing that links the garment producing countries is the fight over the cheapest price, the industries cannot survive.” Lüke is stressing that pooling of experiences like exchange, mutual learning and showcasing of good practices will lead not only to higher social and labour standards but to a greater competitiveness of the Asian apparel industry. “Joint efforts will foster compliance with social and labour standards, enabling all parties to take over their responsibilities. And at the end, everyone benefits.”

Dr. Jochen Weikert Since April 2015, Jochen Weikert is heading the GIZ program “Promotion of Social and Environmental Standards in the Industry” in Bangladesh. He has a wide experience with standards in global value chains and audit schemes as well as potentials for public and business sector action and multi-sector partnerships. In working with the textile and garments industry, Jochen Weikert takes up on his earlier experience: as a project manager at InWEnt – Capacity Building International he headed social standards-related projects in China and Latin-America.

The program of German Cooperation “Promotion of Social and Environmental Standards in the Industry” is helping Bangladesh’s Ready Made Garments sector to increase compliance to national labour and environment laws and international standard and to fulfil the commitment towards an inclusive workforce. (www.psesbd.org)

Monika Lüke Monika Lüke joined the Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH in 2015 as head of the program “Social and Labour Standards in the Garment Sector in Asia”. Being a fully qualified lawyer with PhD in international law, she has 18 years of working experience, fighting for human rights in highly complex environments. She was assigned as Secretary General of the German Section of Amnesty International and as Commissioner for Integration and Migration of the Senate of Berlin. In a former GIZ assignment she headed the program “Promotion of Women's Rights” and “Support of the Victims’ Unit of the Khmer Rouge Tribunal” in Cambodia.

The program of German Cooperation “Social and Labour Standards in the Textile and Garment Sector in Asia” is working towards regional exchange and cooperation with the overall aim to achieve greater competitiveness in the Asian textile and garments sectors by improving labour and social standards.

{Emerging Bangladesh} Oct. - Dec. 2015

25

Heidelberg Cement: Strengthening Society Through Strong Commitments Social responsibility and empathy are the two major constituents for Heidelberg Cement Bangladesh Limited (HCBL). CSR practices are an integral part of their long term business policy and sustainable development plan.

They are doing business to contribute in the developing the economy of this country. But at the same time, they are also trying to improve the wellbeing of their workforce and the community around them. HCBL's CSR programs are based mostly philanthropic in nature. They are currently focusing on education, health, economic development of the community, social and cultural development and ensuring the health and safety of HCBL's own associates.

Second, energy and climate protection. The company is conscious about the climate protection. Therefore, as an energy intensive industry, they do whatever they can to reduce HCBL's carbon footprints by reducing emission of CO2. They have made an involuntary commitment to lower the CO2 consumption by 15% in 2010. In reality, they already have achieved 17% reduction by 2010, which makes HCBL a pioneer of the similar industry.

Heidelberg Cement do not just do business, but they take their role in the society very seriously. Therefore, HCBL's business model is built on the three pillars of sustainability- economic, social and ecological goals.

Finally the fourth focus, sustainable construction. This is another commitment which has been integrated in HCBL’s CSR policy. They are actively involved in Green building Councils in UK, US, Canada, Germany where they believe huge progress can be made so that building can sustain with zero energy consumption with zero carbon emission.

For HCBL sustainable development means ensuring a good balance between making profits and securing future viability and they believe this can be achieved through good corporate governance. As a matter of fact, the focus of Heidelberg Cement’s global sustainability strategy is also embedded in HCBL's code of conduct and they are taking consistent steps in 4 focal topics.

First, occupation health and safety, where HCBL has a strong commitment to Occupational Health and Safety Assessment Specification (OHSAS). This has been the highest priority and is integral part of HCBL's business.

HCBL's objective is to minimize the risk of accidents and injury by means of increasing preventive measures as part of CSR.

26

Third focus in on biodiversity. HCBL has a commitment to the preserve the biodiversity at the places where they operate and in which they renature them and create habitats for animals and plants.

These focuses shows that besides HCBL's business they are committed to build up a greater society, a livable place for the people to live. As an integrated part of the corporate social responsibility, the company contributes greatly to the development of education and cultural activities among the community. This is because HCBL believes that education can impact the most when someone tries to spread happiness and bring enormous changes in the society. HCBL’s CSR plan is largely centered on education. They are supporting schools and a large number of students getting scope of education through their relentless support.

{Emerging Bangladesh} Oct. - Dec. 2015

For an example, we can talk about Chetona Bikash Kendra (CBK), a school in a slum of Dhaka. Since mid-2009 Heidelberg Cement Bangladesh has been supporting this school financially which established in 1986 for the development of slum dwellers. The very people who never had an opportunity to get a glimpse at a school or education. The NGO that was working with this school stopped funding at 2009. Heidelberg Cement took over the financial liability since then and kept

supporting them. In the beginning, the school had only 16 students. Today, 700 kids are studying there with the help of 11 teachers.

Another Heidelberg initiative is “Funding to Shiddirgonj Reboti Mohan Pilot Higher Secondary School (SRMPHSS)” under free education Project. The very theme of this project was to provide financial assistance to the poor and talented students of local community near HCBL’s Kanchpur Plant. HCBL took care of the costs of 100 students which includes all sorts of admission fees, monthly tuition fees, all of the exam fees and books.Through this project, HCBL's ultimate goal is to build a better society. Educated people can make a big change and HCBL within their limited capacity wants to ensure education for those who have limited or no opportunity to continue their education. They do believe that education is a right, not an opportunity.

Besides these regular projects, HCBL tries to help the community in the time of need. In 2007, while Bangladesh was seriously affected by flood and tornado, Heidelberg Cement supplied food relief and opened several medical camps in different flood affected areas with the help and support of a local NGO called Shakti Foundation. In that year, Heidelberg Cement also made a contribution to Government’s flood relief fund.

A group of students who received immense support from HCBL

{Emerging Bangladesh} Oct. - Dec. 2015

27

HÜREN Professional Outfit: Cooperation incorporated

“A successful cooperation will only grow if all participants profit from it in the same way. As soon as we discover or are able to create possibilities to improve, we will offer them to our business partners.

Therefore, it is essential to create a culture of transparency based on mutual trust and to establish a monitoring system based on clear communication and decision processes.” said Mr. Ralf Hüren, Managing Partner and owner HÜREN Professional Outfits while he was describing his company’s role on Corporate Social Responsibility (CSR).

HÜREN Professional Outfits (HPO) is a German clothing company and successfully operating in the global market for the last 40 years. As an internationally operating service partner of leading European commercial chains, Huren has specialization in developing, producing and providing corporate staff uniforms and in ensuring a competent supply chain management.

28

Over more than a decade, Bangladesh has become one of the most important countries for Ready Made Garments (RMG) in a highly competitive and dynamic environment. But this glory was not for everybody to share, and Rana Plaza defamed the entire industry with some seriously alarming drawbacks of making products in a cheaper way instead of a safer and better way.

HÜREN believes that the factory is a complicated organism which handles lot of manpower, resources and number of suppliers so they need professional support in developing their social management system. That is why HÜREN Professional Outfits assigned its local expert team to work with the factory management from shoulder to shoulder. This team carry out root because analysis with their producers against nonconformity found and to make it solved permanently. HPO supports them to strengthen their capacity building training in areas needs identified.

{Emerging Bangladesh} Oct. - Dec. 2015

They also keep their sharp eyes on the factories to protect workers life, not to see more unfortunate events such as Rana Plaza and Tazreen Fashions. After continuously working together with the business partners to meet social requirements, everyone in the supply chain now can see the significant development at the workplaces. HÜREN’s philosophy is to make their business partners understand, what are the basic human rights of an employee, what rights are reserved for them in a workplace and how practicing them means ensuring profit and long term sustainability in business.

HÜREN is a participant of BSCI (Business Social Compliance Initiative), a leading business-driven initiative supporting retailers, importers and brands to improve working conditions in supplying factories and farms worldwide.

HÜREN is the 1st one hundred companies who signed ACCORD on fire and building safety in Bangladesh and now supporting all

of their factories as per the provided guidance by this authority.

HÜREN’s CSR role encompass on Code of Conduct (CoC): supply chain management and cascade effect, workers involvement and protection, the rights of freedom of association and collective bargaining, no discrimination, fair remuneration, decent working hours, occupational health and safety, no child labor, special protection for young workers, no precarious employment, no bonded labor, protection of the environment and ethical business behavior. As a part of the Social Management System (SMS) and cascade effect, HPO’s involvement and monitoring goes up to the sub-supplier’s production facilities ( i.e fabric, printing, packaging, embroidery etc suppliers) with the same view. Compliance with this code is our daily monitoring task with our producers. Though HÜREN’s approach of complying CoC is systematic, step by step development. But they have zero tolerance in the cases of child labor,

bonded labor and any inhumane treatment of the labors, imminent and significant risk to worker’s health and safety, unethical behavior and unauthorized subcontracts.

HÜREN feels accountable for the wellbeing of the citizens of their sourcing countries when they see textile and garments industry has hazardous impacts on the environment. This is why they follow environmental compliance for air and water pollution. The focus is now centered on creating concrete elimination plans for the most hazardous substances, as well as providing greater transparency around the chemicals that suppliers may release into our shared waterways.

attitude and understand the business benefits from it.” - Ralf Hüren explained. He also added- “As a part of our capacity building program, we arranged 35 days workshops to our producers and agents in 2015. Over the last couple of years, we observe that compliance of the RMG sector preceded significantly, entrepreneurs now well understand compliance means increase productivity, attracting buyers and long term sustain in business.”

“We believe before implementing Social compliance first task is to communicate clear message among the top management and owners of the companies so that they can foster the positive culture and

{Emerging Bangladesh} Oct. - Dec. 2015

29

Article on CSR

Bangladesh being a “Bottomless Basket” 30

by Korvi Rakshand Bangladeshis seem to have kept the haunting words of former Secretary of USA, Mr. Henry Kissinger alive in their conscience. With great determination and hard work, we have proven his accusations of Bangladesh being a “Bottomless Basket” wrong. Today, Bangladesh has gained the status of a lower middle income country given its per income capita rise to $1314. This feat of success by its people has been founded on the principles of sustainable domestic development and not by relying on external donations. Local corporations with their CSR policies are many exciting contributions to the ever expanding development sector of Bangladesh. JAAGO has been fortunate to receive the patronage of

{Emerging Bangladesh} Oct. - Dec. 2015

Last year, an event was organized by JAAGO Foundation for their spnsors and well wishers to meet their students

many Bangladeshi corporations who through their respective Corporate Social Responsibility (CSR) programs have become involved in every aspect of our projects.

JAAGO believes in drawing support from its local communities instead of relying on foreign funds to run its projects. Every day, more and more local corporations are becoming committed to deliver sustainable value to the extended underprivileged communities through their CSR programs.

The Bangladesh Bank’s guideline on allocation of Corporate Social Responsibility fund, has given the utmost priority to education. Keeping that in mind, corporations find JAAGO the ideal platform for giving back. With preventive and curative health care support for underprivileged population being next in priority, many corporates partner with us in our Health program targeted at the JAAGO children and their extended communities. JAAGO in its 8 years of

{Emerging Bangladesh} Oct. - Dec. 2015

31

Our corporate partners engage themselves in our programs in many innovative ways. Bangladesh’s largest telecom company is our primary partner for our Online Schooling program which ensures the same quality of education even in the most remote areas in Bangladesh. Other corporate partners equip us with computers and internet for our labs.

They make sure our children have shoes, uniforms, books, bags, hygiene products, nutritious meals and medical care. They provide tremendous infrastructural support to our pioneer program.

Sustainable development initiatives such as an orphanage for deprived children, exporting garments made by disadvantaged women, funding, and mentorship for the education program have all been made realities with the help of our CSR partners. Local corporations have also shown relentless support throughout our awareness campaigns and advocacy programs as well. Using local money for local development is a simple idea with a transformative impact.

With local corporations investing the development of Bangladesh, they not only make the country independent of foreign aid but also ensure a strong empowered consumer base for themselves.

operations has tried to foster a strong domestic culture of giving back.

Instead of heavily depending on foreign funding, we over the years have created a base of corporate partners and individual patrons to support our cause. The JAAGO Foundation is a Bangladesh based civil society organization that specializes in education and social mobilization of the underprivileged masses of Bangladesh. In 2007, I along with a couple of my friends grew increasingly impatient with the world around us.

Deciding to take matters in our own hands we started JAAGO. Back then, JAAGO didn’t stand for the education of 2200 underprivileged children. It didn’t stand for the 17000 registered volunteers countrywide advocating social awareness all year round. JAAGO was a shabby room, a tattered carpet, a black board, 17 children and a group of youth who believed in change.

However, with all these positive initiatives Bangladeshi corporates are taking world, many corporations still confuse or deliberately substitute CSR with their PR or Marketing agendas. It is important to note that CSR strictly focuses specifically on social benefits and not on those activities that yield monetary returns for the company. The recognition of CSR being exclusively purposed towards the better of our communities can eventually transform the lives of the marginalized communities for better.

32

{Emerging Bangladesh} Oct. - Dec. 2015

Korvi Rakshand is a Bangladeshi social entrepreneur. Korvi Rakshand is founder of JAAGO Foundation, a voluntary organization established in April 2007.

Khan Bahadur Group: Searching the Root Research initiative “River and Life” will change the way we think about rivers

There is a saying in our dialect, a keen observation perhaps“Business of a Bengali does not sustain longer than three generations”. But Khan Bahadur Group, a locally grown business conglomerate which has been related with the development of Bangladesh’s agriculture and economical growth for the last 80 years, has proven this proverb an absolute wrong. Not only their business sustained for three generations and so on so forth, but they are nowadays one of the fastest growing local conglomerates in Bangladesh. Since 1935 Khan Bahadur Group is helping Bangladesh’s economy to grow through promoting agriculture and producing agri based products. This market leader in the agri business

has a dream to turn as an authentic homegrown global brand. In the last 5 years they have gone from the moon to the mars, allegorically comparing, which they have achieved in terms of both business volume and turnover within this time period.

The man behind this incredible achievement is a face of the new generation of business leadership, Mr. Mayeenuddin Chowdhury, an economist with proven scholar and a sharp business mind at the same time. He has a vision that has been reshaping and redirecting his family business to a different trajectory.

Amazingly, his vision involves a very strong CSR practice and activities. “Our long term goal is to become a standard for a

{Emerging Bangladesh} Oct. - Dec. 2015

professional conglomerate in Bangladesh and surely it cannot be reached without significant contribution to the community.”

To this young business prodigy, the term “Corporate Social Responsibility” means the way in which his businesses integrates environmental, economic and social concerns into its corporate culture, business values, strategic decision making, and operations ensuring utmost accountability and transparency.

“Unlike many others, we do our CSR through a designated platform called Khan Bahadur Foundation.

We operate a free of cost girl’s college, nursing school and a polytechnic college. But we don’t do

33

This huge boat is one of the many other generous contributions of Khan Bahadur Group in the research "River and Life"

CSR just to tick the box. For example, through our nursing school, roughly about 750 nurses have been generated who are properly trained and have received proper guidance on how to be a medical professional. ” Says Mr. Mayeenuddin Chowdhury.

“We are associated in a project called “River and Life” which is headed by ‘Shahosh’, an organization based in Bangladesh.

Together we are exploring the vast deltaic river system of Bangladesh which happens to be our biggest natural resource yet unexplored.”he also added.

To understand the depth of this initiative you need to ingest two vital facts. One, Bangladesh is a riverine country. Two, the grand design of its agricultural system’s core is based upon these rivers.

About 710 rivers are there including their tributaries, which flow throughout the country constituting a waterway of around 24,140 kilometers of length. Most of Bangladesh's land is formed through silt brought by the Ganga, Brahmaputra, Padma, and Jamuna.

But, such an irony it is that Bangladesh lacks awareness of its rivers. There are no proper information and research regarding

34

these rivers and their agro-assets.

No concrete database is available for further usage. Considering this problem and realising the huge prospect behind it, Khan Bahadur Foundation is planning to flourish its business in these agro products of the water course and leading a CSR activity on a long-term research in this sector named as “River and life”.

Elements of the research: The livelihood, environment, history, and cultural activities of the people living in the river banks are depended upon the rivers. For that reason, the coverage of this particular research is also enormous. This research is focused on many different elements, especially- depth of the river with its directions, livelihood of fish and other animals of the river, preparation of transpiration facilities according to river’s character, history of river bank city, river’s contribution to determine the urban form of cities and neighborhoods. But above all these topics, the research will be finding out the level of river’s pollution, possession, and solution.

As a Pilot Project, the research has already been started from Karnafuli River. Apparently, the research will

{Emerging Bangladesh} Oct. - Dec. 2015

be done on Kasalang, Maini, Chengi, Sangu, Matamuhuri, Naf and Halda River. The findings will be publicized through a seminar. There will be use of on ground situation as well as satellite image and GIS. This research will take almost 20 years all over the country.

Mr. Mayeenuddin is very hopeful with the projects that the group is doing. “Our vision is to get involved in activities which have a direct impact on the community.”

No doubt, such a long initiative will cost a huge amount of money and resources. S Most important question, this kind of initiatives are often considered as the government's responsibility. So, does it suits a local business to take an enormous step as such? Does it really worth that much?

The visionary man had the answer ready on his lips. Mayeenuddin Chowdhury replied “Change the mindset of the country from ‘what my country is doing for me?’ to ‘what i can do for my country?’ In other words, make people realize that not all solution lies with the government. “We the people” actually have all the power and I strongly believe that’s how it should be.”

Responsibility and Sustainability: The Northern Tosrifa way “We understand that our workforce is who we depend upon. That is why our management is committed to share the happiness of company’s profit with the workforce. That is why, as a gesture of goodwill, the group annually distributes net profit’s 5% among the workers and 2% among the executives & officers.”

Says the Director of Northern Tosrifa Group, Mr. Rafiq Hassan. This proud entrepreneur believes that the very core of his institution’s integrity lies in the wellbeing of its employees. So says his initiatives as the part of their CSR strategy.

Northern Tosrifa Group (NTG) has been thriving in RMG and other different businesses in a competitive market with so many other coexisting companies. As the vision states, NTG is focused to be the most preferred name to stakeholders, customers, employees, suppliers, society, and shareholders. For the last three decades, Northern Tosrifa

Group has not only been knitting the countless wads of yarns but has also been stitching tales that lies underneath. NTG takes pride in its commitment towards the society & environment and believes in effective CSR activities towards becoming the ideal corporate citizen.

Corporate Social Responsibility is not just a new business practice that has been adopted by NTG but is an integral mode of ethical business from the very inception 28 years ago. The management here prefers CSR activities that are socially & environmentally focused and are fruitful. Our practices are wide ranging; from taking care of the workers’ kids to facilitating veteran employees’ religious duties, from planting trees to developing green buildings.

Close to 80% of NTG’s workforce is women and we feel responsible for their wellbeing. Companies of NTG

{Emerging Bangladesh} Oct. - Dec. 2015

are proud partner of HERproject empowering women working in global supply chains through workplace-based programs, capacity building of local civil society, and advocacy with business and government. It is jointly supported

by Swedish International Development Cooperation Agency (SIDA), Ministry of Foreign Affairs of the Netherlands, UKaid, Levi Strauss Foundation, and Fung Foundation.

NTG in its collaboration with non-profit BSR, participated in the HER project promoting training and awareness building on 1) nutrition and wellbeing, 2) hygiene and infectious diseases, 3) women's health and 4) serious illnesses.

NTG became one of the first in Bangladesh to commence collaboration with SNV Netherlands Development Organization. Currently, they are working with RMG sector for improving health of workers with a focus on pregnant workers. Family

35

Planning Association of Bangladesh (FPAB) is the implementation partner on this as NTG commenced a health insurance program for the workers. This initiative would cover the medical expenses of pregnant workers along with the general medical expenses of the families of workers. The NTG Management is committed to take care of its workers’ basic health needs so to

have a happier and healthier workforce.

One of the most contemporary environmental initiatives of the company is to perform towards achieving the Leadership in Energy and Environment Design (LEED) certification; the premier Green Building certification program of our time.

Celebration of Factory Day- 2015

35

{Emerging Bangladesh} Oct. - Dec. 2015

TIL is now performing against the LEED standards within LEED-EBOM set by United States Green Building Council (USGBC) for certifying the operations & maintenance of existing Corporate Head Office Building at Tongi. TIL’s Fabric Dyeing Division at Gazipur is to start performing according to the various categories and credits defined by USGBC within LEED-NC. The intent is to promote high-performance, healthful, durable, affordable, and environmentally sound practices in its existing and new buildings.

“Our vision dictates us that we be focused to be the most preferred name to the stakeholders, customers, employees, suppliers, society, and shareholders. Inevitably, we’re in constant reminder from our core to do good wherever we do business, however, we do business and to whoever we do business with.” Says Rafiq Hassan.

But the most unique and interesting initiative that Northern Tosrifa has taken will surprise a lot of the CSR experts. In a country like Bangladesh, where most of the population

are believer of Islam, a wish that they cherish for their whole life is to go to Holy Hajj Pilgrimage. NTG is extremely respectful to this fact and offers their long time employees an opportunity to attend Holy Hajj.

Each year NTG funds and facilitates Hajj Pilgrimage of several of its employees as a gesture of goodwill.

But this is not a charity, rather a promise to fulfill a dream of many of its employees.

Opportunities are limitless. Ever since the birth of Northern Tosrifa Group, it has not only been knitting the countless wads of yarns but has also been stitching all those tales that lies underneath. These stories comprise of the employees associated with this group- their dedication and hard work behind every task they’ve accomplished; reminiscences of their achievements and even the slightest bit of fulfillment they gained while working with NTG. Along with it, it contains stories of all those stakeholders, suppliers, clients and most importantly the customers who have believed in the unconditional efforts NTG has put forth in their commitments, for the

last about three decades.

And for the coming decades we’re enthusiastic that we can make their time with us most comforting, self-developing and by all means happy; times they would cherish for the rest of their lives. As a matter of fact, NTG went public recently. Will it bring any change to the fact that you have stated for the questions above? Does it make you more or less responsible? Rafiq Hassan answered “We certainly feel more

bound to our commitment to society and environment now. No doubt, more responsible.” Rafiq Hassan is quite confident about it “We invest in such relationship so to have a truly happy and satisfied workforce.

This relationship can only be mutually beneficial so as to contribute to the conglomerate’s business growth which in turn would mean more options & scopes for us to contribute towards the ones we’re dependent.”

Rafiq Hassan receiving an award for NTG's contribution in Environmental Compliance

{Emerging Bangladesh} Oct. - Dec. 2015

36

Picard Bangladesh: Leaning toward education Picard Bangladesh’s core corporat believe is that education is the prime requirement for an emerging society. Primary purpose of education and schooling is not so much to prepare students to live a useful life but to teach them how to live pragmatically in their current life.

Spending a little time with the students of Picard Community School is the best dose of daily inspiration for Saiful Islam

38

From the needs of social and economic, Picard Community School was established on January 2015 to provide an enriched education where all of its student can flourish in their search for excellence.

The idea of community school came to Mr. Md. Saiful Islam, the owner and managing director of Picard when he realized that the children of Picard’s workers and others who live in the community around the factory have no facility in that locality for primary and secondary education. This problem was immense and needed to be addressed immediately. The idea of establishing a community school got its first glimpse for the first time. Picard started the school at Kondalbagh, Zirabo, Savar, which was a rural area back then, but nowadays it

{Emerging Bangladesh} Oct. - Dec. 2015

is a highly crowded industrial area. This school was established by Picard but it was open for all.

The maximum inhabitants of this area are from different parts of the country who are basicly the workers of different factories in that locality.

They often faced difficulties with their children since they were out to work for the whole day and sometime late at night. That is why Picard Community School scheduled the schooling from morning to 1:00 PM and they opened a daycare facility for after school caring, which takes good care of the kids till evening. That was a huge relief for the working parents.

Picard Community School is well resourced with excellent staff, facilities, equipments to teach and guide the students in establishing a solid foundation. Exploring and learning up to their full potential. The usefulness of language, cause and effect relationships, gaining competence and self expressions are some of the most practiced tools to these students.

Picard Community School provides a relevant and innovative curriculum that forms and develops the child’s mind. This school values a safe, friendly and supportive environment that encourages them to become lifelong learners. They are an environmentally sustainable community and have fun in education, playtime and aim to achieve their best. They accept learning challenges with great enthusiasm. A strong relationship between home and school is fostered here. Any contributions they receives from the staff, students and the local community are encouraged and valued.

The goal of the teachers of this school is to make each of the children an effective communicator. They will leave the school as a smart, comprehensive and knowledgeable being, with the utmost confidence to express themselves wherever it is necessary. The goal is to make them responsible citizens with well-informed, enquiring and creative minds.

{Emerging Bangladesh} Oct. - Dec. 2015

39

Rising From The Rubble On the morning of the 24th of April 2013, the nine-storey Rana Plaza building collapsed, killing 1137 people, and injuring more than 2500 workers. Images of this tragic event were broadcast to the world. When the dust settled, it became clear that this was not just a Bangladeshi tragedy, but an international one: 29 international fashion brands sourced garments from the different factories housed in the faulty building. Rana Plaza was depicted in international media as a “wakeup call”, an “eye opener”, the end of “business as usual” in the global garment supply chain, and that there would be a change to the way clothes are produced.

The four photographers featured in this story have been following the Rana Plaza survivors for the last 3 years. Abir Abdullah, Nashirul Islam, Mohammad Asad and Khurshed Alam Chowdhury (Rinku) are the photojournalists working for different national and international

40

media, who took the courage to do something beyond their professional duty. They are the sheere eye witnesses of both the accident and its aftermath. But they were surprised to see how much endurance we have as a nation.

These four photographers with their all seeing eyes (cameras), have successfully created a magnificent documentation of these people's lives. Their struggle with the amputated body, the trauma afterward, their struggle to make a living, struggle to survive and trying their best to be happy, their stories tell them all. But above all, they have captured a story of resilience.

Through the lenses of their camera they have managed to capture how a small act of kindness, empathy and a little sense of responsibility can create a huge difference for those who have nothing and have lost it all. Based on these photo stories of the survivors, they organised photo exhibitions through which they collected donation and supported

{Emerging Bangladesh} Oct. - Dec. 2015

the victims without keeping anything for themselves.

True, there have been frustrations and delays along the way. Raising sufficient funds for compensation payments has been slower and more complex than it should have been, for example. But there have been positive changes. The Bangladesh Labour Act has been amended to strengthen fundamental rights, with improvements in relation to occupational safety and health, freedom of association and collective bargaining. As of the end of September, over 2,000 safety inspections have been carried out with some factories being closed permanently, while many others improved safety conditions.

We are grateful to these four photographers for each of their tireless effort and sense of responsibility which goes beyond the job description as a photojournalist.

Abir Abdullah Abir Abdullah is an internationally recognized documentary photographer from Bagerhat, Bangladesh He has won many awards including the prestigious Mother Jones International Fund for Documentary Photography

Rana Plaza victim Rebeca (20) and her husband Mustafiz. Rebeca had to go through 8 operations in both of her legs following the building collapse.

Rikta plays with her six month old new born at her home in Savar.

Rikta lost one hand while being trapped inside pillars during the Rana Plaza building collapse.

Pakhi and Lovely, two injured Rana Plaza workers were having their launch at a private Hospital placed in Savar.

Pakhi has been compensated with more than 5 million BDT. She understands her life will never go back to the way it was, but the money has been a huge support for Pakhi and her family to have a better life.

Rana Plaza victim Beauty smiling with her nine month old daughter Maria Akter. Every day she faces many problems due to her health condition. But with the help of a lot of sympathizer, she is heading toward a normal life now.

Nashirul Islam Nashirul Islam is a well known photojournalist, working with an online news portal called Bangla Tribune. He is a PhD Researcher at the University of Dhaka.

Khorshed Alam Rinku Khorshed Alam Rinku is an experienced photojournalist with a serious enthusiasm in documentation. He has been working as a photojournalist for the last 15 years. Currently he is working in a Bengali Newspaper called Shokaler Khobor.

A portrait of a Rana Plaza victim injured Shirin Akhter, she has been compensated and now she works for another factory.

Garment worker Laboni is posing with her husband.

She lost her left hand at Rana Plaza collapse, but with the help and support of different authorities, she and her family have been living a stable life now.

Saddam Hossain is trying to adjust his artificial hand in his home at Savar. He was compensated by the authorities and given an opportunity to work again.

Garment worker Rehana lost her left leg during the Rana Plaza collapse on 2013. She has accepted her fate and always try to remain happy.

She was entitled a handsome amount as a compensation from Prime Minister Sheikh Hasina.

Mohammad Asad Mohammad Asad likes to call himself a reporter turned into photojournalist'. He started his career as a writer but photography grabbed his focus with a storm. He is now a senior photojournalist in a Bengali newspaper.

{Emerging Bangladesh} Oct. - Dec. 2015

41

Aftab Mahmud Khurshid is currently working as the Group CMO & Head of Business Development in Super Star Group.

He has diverse experiences in wide spectrum of Business Development, Marketing excellence & Corporate strategy and Brand building. Various national and multinational companies, like ACI, SIEMENS, Trust Bank, The City Bank, Standard Chartered Bank and NRB Bank had him as their man to win the market. As a recognition of his contribution to this field, he has received the certificate of excellence in Marketing Communications from SIEMENS Germany. Also, in 2007 ‘Global Brand Leadership Award’ was given to him and he has been recognized as the ‘Most Influential Marketing Leader’ from World Global Marketing Congress in 2015. We were lucky to have a short encounter with the “Brand Guru” himself and had an opportunity to ask him few questions to understand a bit thoroughly about Corporate Social Responsibility. The renowned marketing prodigy shared his immense knowledge on CSR from the perspective of marketing and branding.

CSR: Charity or Marketing in Diguise?

Emerging Bangladesh (EB): CSR and charity, must we consider them as one?

Aftab Mahmud Khurshid (AMK): Many corporates may think that charity is equals to doing CSR. But in reality I may say, that CSR is not charity. As a matter of fact charity is a part of CSR, but not CSR at its entirety.

the answer is YES. But, it is a social contribution or one part of whole CSR. Not any more CSR is just about making a donation or contribution as an act of good gestures, rather it is the very core of a corporation's reliability, its image and its strong, lifelong commitment toward the employees, consumers, communities and all the other stakeholders.

EB: Are you saying what the companies are doing in Bangladesh are not CSR?

EB: Then what does CSR means? What does 'Corporate Social Responsibility' means anyway?

AMK: When our companies offer scholarship money for the under privileged students or donate money for treatment or refurbish school libraries, are they CSR? So

AMK: Well, different organizations have framed different definitions & models - although there is considerable common ground between them.

42

{Emerging Bangladesh} Oct. - Dec. 2015

CSR must integrate with corporate vision, values, culture and the company’s strategy to achieve future sustainability. Although the very sense of CSR grew through the practices of ‘Corporate Philanthropy’. There was a time when CSR meant charitable giving by the business community. But no longer that is the case.

Nowadays it has the potential to create competitive advantage for companies and to bring great value to societies and in some cases at enormous scale. Not any more CSR is just about making a donation or contribution as an act of good gestures, rather it is the very core of a corporation's reliability, its image and its strong, lifelong commitment toward the employees, consumers, communities and all the other stakeholders.

and protect brand’s value. That’s why corporations exist.

EB: You meant to say it is a long term commitment?

AMK: Certainly, this corporate responsibility to the society; to take care and communicate a message that the company is taking care of people planet and profit. Although debates about CSR and branding are always there. CSR is marketing strategy in disguise.

AMK: If I may allegories the idea it will fit in one witty quote- “Give a man a fish and you feed him for a day; teach a man to fish and you feed him for a lifetime.”

Every business is a part of the society. So it should be the responsibility of every business to spend a part of its profit for the welfare of the society. And as long as they belong there, they must comply with the responsibilities which are upon their shoulders.

EB: But don’t we see otherwise?

AMK: In my long corporate career I have seen many companies who do not have a CSR strategy and even if they have one it does not have any effect on their brand image. But you see, CSR and Brand Image are correlated through so many invisible strings with the sustainability factors, that this may make a difference of huge magnitude.

EB: Can CSR help a business to grow a brand image in a globalized market?

EB: Are you saying that the priority is to consider not my own interest but all the other’s interest first?

AMK: We all know that people engage in business to earn profit. However, profit making should not and cannot be the sole purpose of any business. The obligation of any business to protect and serve public interest is known as social responsibility of business.

Actually, corporate Social responsibility should be an integral part of the wealth creation process - which if managed properly should enhance the competitiveness of business and maximize the value of wealth creation to society for the betterment of whole community.

EB: Do you find it irrational?

EB: If I am not wrong, you are trying to say that sustainability and responsibility are interdependent, right?

AMK: Yes. Every business is a part of the society. So it should be the responsibility of every business to spend a part of its profit for the welfare of the society.

CRM (Cause Related Marketing) adds another dimension to it. CRM provides the emotional as well as the rational engagement of the consumer with the brand. This has everything to do with consumer relevance, so when we speak of the real social world and how connections are made in the minds of consumers between sustainability and “good” companies, those companies and brands perceived by consumers as benevolent. Happy employees make sustainable companies and consumers today prefer to do business with companies that they believe share their values of sustainability. Providing and communicating a workplace composed of happy, satisfied employees are one step towards bridging the sustainability gap. A sustained CSR program that reflects the core values of brand and contributes to delivering your brand promise, will ultimately lead to an improved brand perception amongst the brand’s key stakeholders over time and thus increase

AMK: No. But in my opinion the center of this problem is that the companies which are publicizing their CSR activities, they actually don’t plan them well and campaign accordingly. An unplanned campaign will harm your brand image, rather than bringing any good. That is exactly why a company should have a long-term strategic brand vision, mission and brand values; which they can communicate visually, verbally and virtually to develop a brand image automatically. This plan should have a large part involving their CSR activities. Otherwise they will end up publishing a fancy report and have some public relations through the mass media, which everyone will eventually forget. But CSR should have sustainable impact.

EB: What could be done about it?

AMK: Some see CSR as a business opportunity and image improving component of a business. Rest see it as an extravagance.

But there has to be a precise framework. You cannot just do random stuff and expect they will bring you the best results. That never happens. However, many corporations are pretending of doing CSR with many underlying

{Emerging Bangladesh} Oct. - Dec. 2015

43

agendas. But at the end of the day they are not going to have any long term impacts out of it.

EB: Ok, so what do you suggest? What can we do to address this issue?

EB: How so?

AMK: The best way of addressing this issue is by raising awareness among the business owners. They need to understand that for their own good, CSR must be mainstreamed into their business model & corporate marketing strategy. They need to be aware of the damages that will happen if they don’t take this seriously beforehand. Because most of the time it is the top management who creates the vision at the beginning to grow a business. Most of the successful businesses are the outcome of the vision of its senior management. This is why they are the one who should be approached to bring the changes in this ongoing trend and need proper communication instantly.

AMK: Well, the majority of our local companies do not meet the criteria of a planned CSR model. Instead of that they pick the shortcut which is practicing charity or corporate philanthropy. So when time comes and something goes wrong, a corporation loses its credibility, brand image just like a sand castle in the wave. This happened only because corporations don’t consider CSR as a vital element of their sustainability and they don’t build their images with solid strategy. You have to understand, charity and CSR are related at some point, but they are not complementing each other at a long run.

In other words, CSR is a way of thinking about how to do a sustainable business and grow a brand image with strong reputation in a competitive global market. This is something a business has to mainstream in all the sections of its operations and into their overall business strategy. It is not only just a task for the marketing department or the PR and Branding guys to think about but also the overall corporate business development, human resources, finance and so on so forth.

44

EB: That was quite enlightening. Thank you very much!

AMK: You are welcome, and I am always happy to talk to Emerging Bangladesh.

{Emerging Bangladesh} Oct. - Dec. 2015

The report was launched at 2nd December 2015 on Berlin in the presence of Mr. Hans–Joachim Fuchtel, Parliamentary State Secretary to the Federal Minister for Economic Cooperation and Development.

DBL Group's Sustainability Report 2014-15

A sustainability report of an organization reports information about economic, environmental, social and governance performance. Sustainability is a concept that has not only found its recognition but also its importance in any field of business. This importance is constantly growing and so is the reporting of such practices by companies. DBL Group is maintaining the consistency through its second consecutive Sustainability Report.

DBL Group’s Sustainability is based on five pillars – “People”: discussing our commitments to our employees and workforce; “Process”: referring to the operations carried out in the factories; “Product”: focusing on the manufactured goods; “Community”: integrating the local community where our operations take place; and “Environment”: taking actions in preserving water usage, energy consumption, emissions, etc.

The Sustainability Report 2014-15 is our second and successive publication on reporting the various sustainability activities that DBL is involved with. It was done following the G4 guidelines of the Global Reporting Initiative (GRI).

The report details on the different Sustainability projects undertaken by DBL Group, corporate governance, economic performance, environmental practices, social development, and stakeholder engagement. The G4 requirements included in this report discusses social issues such as labor practices, occupational health and safety (OHS), human rights, impact on local communities, and product responsibility. The environmental issues discusses on consumption of raw materials, energy, water; emissions; waste; and biodiversity.

46

{Emerging Bangladesh} Oct. - Dec. 2015

HSBC & Euler Hermes partnership: Enabling businesses to grow Businesses are changing in the way they operate and how goods and services are traded around the world. As new technologies enter the market, world economies becoming more integrated; newer opportunities are created for both domestic and international companies to expand their businesses.

To meet the changing needs of its customers, The Hong Kong and Shanghai Banking Corporation (HSBC) has been connecting customers to opportunities for more than 150 years, enabling businesses to thrive and economies to prosper, and helping people to fulfill their hopes and realise their ambitions.

One such example is ‘PEF’. HSBC in Bangladesh has been providing Project and Export Finance (PEF) services to its clients through its Global Banking and Markets business under the Capital Financing umbrella. Through PEF, Export Finance arranges medium and long term Export Credit Agency (ECA) supported financing to its clients. These ECA financings are designed to promote exports by providing financing services such as guarantees, loans and insurance to companies. ECA backed financing have substantial benefits for suppliers including payment security, enhancement of competitiveness of commercial contract, etc. It also offers very attractive edge to potential borrowers in terms of access to large financing, with long tenors and at a favourable pricing.

HSBC has been working in partnership with the German based ECA ‘Euler Hermes Aktiengesellschaft’, who have been mandated by the Government of the Federal Republic of Germany as a consortium along with other international firms to manage the German export promotion scheme. HSBC has an excellent track record of executing deals across a wide range of industries and geographies with the support of Euler-Hermes. Globally, the partnership between HSBC and Euler-Hermes has arranged and supported financing of many international and national brands around the world. It must be mentioned, that HSBC is a market leader in the global ECA finance market and is consistently ranked amongst the top arrangers of Global ECA Supported Loans in the Dealogic league tables.

In 2012, HSBC in Bangladesh arranged one of the largest ECA backed financing for Ashuganj Power Station Company Limited, a subsidiary of state-owned Bangladesh Power Development Board. HSBC acted as Agent and Mandated Lead Arranger on a multi-sourced financing for a 450MW gas-fired power plant in Bangladesh, including a USD 101m Hermes-backed tranche in respect of equipment supplies from Siemens. In 2015, HSBC Bangladesh arranged the first ever Hermes guaranteed long term financing for a Private Sector local corporate, Akij Particle Board Mills Limited. The transaction was USD equivalent to EUR 22.6 Million for 6.5 years.

Such transactions are benefiting the Bangladeshi corporates to access the international financing market, expanding their business globally.

{Emerging Bangladesh} Oct. - Dec. 2015

47

EVENTS

BASF and CYTOO are conducting research on active ingredients for skin firmness BASF and the French biotechnology company CYTOO join forces. The goal of the partnership is to develop and test active ingredients that contribute to increase skin firmness in skin care applications.

Recent research results indicate that there are some ingredients that can stimulate the contractility of human fibroblasts (connective tissue cells) and thus improve skin appearance and firmness. To investigate more deeply these cell features, CYTOO developed FibroScreen™. This unique platform is based upon a micro-patterning technology that allows the precise control of cell substrate geometry and stiffness. As part of the cooperation, BASF und CYTOO combine their expertise and resources to work on new cell-based assays, to enhance the methodological evaluation of CYTOO’s FibroScreen™ platform and to identify new active compounds able to influence the contractility of human fibroblasts.

“We are proud that, together with BASF, we can explore the effect of compounds on fibroblasts in the human skin. For us, this partnership marks an important milestone. It demonstrates that CYTOO is able to build a win-win relationship with a research team of the world’s leading chemical company to quickly advance research and deliver high-value results,” emphasized Luc Selig, CEO of CYTOO. At a young age, skin looks smooth and radiant. The interlinked fibroblasts and the extracellular matrix with its strong network of collagen fibre bundles provide hold and elasticity to the skin. With age, skin is increasingly losing its mechanical stability, collagen levels of the skin are decreasing: The existing collagen is degraded by the enzyme collagenase. At the same time, the synthesis activities of the fibroblasts – important for the collagen production – are declining. To improve skin appearance and firmness, collagen and hyaluronic acid fillers are nowadays broadly used in skin care applications. However, they only bring a short-term effect. To provide alternative solutions to its customers, BASF – in partnership with CYTOO – is conducting research on new active ingredients with a more durable effect on skin firmness.

“We are very pleased to be one of the first companies worldwide partnering with CYTOO to validate the effects of innovative skin-based assays on skin firmness. Thanks to this cooperation, we are able to strike a new path and identify new compounds that will help our customers to be more successful,” said the responsible project manager at BASF, Valérie André-Frei.

48

{Emerging Bangladesh} Oct. - Dec. 2015

Lecture Publications & Bangla Prakash Participate at the 67th Frankfurt Book Fair 2015 for books, based on the number of publishing companies represented, as well as the number of visitors.

It is held annually in mid-October at the Frankfurt Trade Fair grounds in Frankfurt, Germany. The first three days are restricted exclusively to trade visitors; the general public can attend on the last two.

Under the banner of Academic and Creative Publishers’ Association of Bangladesh, Lecture Publications and BanglaPrakash (sister concern of Omicon Group) participated at the 2015 Frankfurt Book Fair from Bangladesh Engineer Md. Mehedi Hasan and M. Sharif Ul Alam, the respective Vice Chairman and Deputy Managing Director of the parent company of the participant publications were actively present during the tenure of the fair. They showcased the work of the organizations, held B2B meetings, joined forums, attended conferences and discussed books publication rights with other participants from across the globe.

“We are very privileged to have participated under the of Academic and Creative Publishers’ Association of Bangladesh. We have been to the fair in the past in a personal capacity but this time, we felt the event and experience were far more immersive. The Frankfurt Book Fair has so much to offer especially in the areas of our interest i.e. education and creative publishing – in the five days we attended special events and forums on knowledge transfer, electronic learning, learning tools, class rooms of the future, publishing and technology advances in Bid Data, start up tech, community building, packaging, design, and arts. There were over 40 events and several conferences, book launches, awards and much more. It has earned a name as the world’s largest marketplace for rights and licenses but there are just too much to cover. Next year we plan to come with a larger team so we don’t miss out on anything. And hopefully sometime in the future we wish to see Bangladesh featured as the Guest of Honor Country” The Frankfurt Book Fair (FBF) also known as Frankfurter Buchmesse in Germany, is the world's largest trade fair

Representatives from book publishing and multimedia companies from all over the world come to the Frankfurt Book Fair in order to negotiate international publishing rights and licensing fees. The fair is organized by a subsidiary company of the German Publishers and Booksellers Association. The Frankfurt Book Fair is considered to be the most important book fair in the world for international deals and trading.

Here is a look at the Frankfurt Book Fair from a numbers perspective: • • • • • • • •

275342 visitors 170664 trade visitors 7275 exhibitors 102 countries 9300 accreted journalists 631 agencies 308 agencies 3500 conference participants

The Fair also hosted several Hot Spots, some of which focus on areas of digital innovations, mobile and apps, publishing services, education & learning materials, professional & scientific information.

This year the Guest of Honor Country was Indonesia with the catchphrase “17000 Islands of Imaginations”.

Indonesia marketed its country to the audience at large, highlighted its publishing industry data and showcased some of its celebrated writers.

Preparations for the next year’s Frankfurt Book Fair is already underway and that goes to show just how disciplined and well planned the organizers need to be, to host such a massive program. We had a great learning experience this time and wish to return many times more.

{Emerging Bangladesh} Oct. - Dec. 2015

51

World Class Health Care in Tangail

52

Salema Samad Memorial Hospital Limited, Tangail

has joined their hands with Medica Superspecialty Hospital, Kolkata, to bring excellence in healthcare to Tangail, Bangladesh. Medica one of the fastest growing hospital chains in India and abroad, now today 5th November 2015 at BGMEA Complex has signed Joint Venture Agreement in the name of Salema Samad Memorial Medica Hospital — providing complete architectural design, planning, training etc. and sharing state-of the-art clinical practices and to fulfill our common mission of making advanced care affordable for all. Mr. K. M. Zaman (Romel), Chairman & CEO, Peoples Group on behalf of Salema Samad Memorial Hospital Limited (SSMH) and Dr. Alok Roy, Chairman, Medica Hospitals signed the MoU. Mr. Prokash Chandra Das, Executive Director, Peoples Group, Mr. Ahasanul Islam, Managing Director, SLIC and Mr. Ayanabh Debgupta, Director and Co-Founder, Medica Hospitals along with other officials were present in the signing ceremony.

Initially, S.S.M.H will start its journey with 100 bed, ultimately it will be improved 200 bed Hospitals by phase.

{Emerging Bangladesh} Oct. - Dec. 2015

Ambassador Prinz inaugurates new German classroom at Dhaka University

On 7 December 2015, German Ambassador Dr. Thomas Prinz and the Vice-Chancellor of the Dhaka University, Dr. AAMS Arefin Siddiqui inaugurated the newly refurbished German classroom at the Institute of Modern Languages at the University of Dhaka.

The German classroom has been renovated to cater to the growing interest of students who want to learn German Language before taking up higher studies in Germany. Every year, hundreds of students from numerous faculties are applying to attend German classes at the Institute – more than 600 this year. Most of them wish to learn German since they intend to study in Germany at a later point in time. The interest in studying in Germany amongst Bangladeshi students has skyrocketed in recent years: At the moment, around 1,300 Bangladeshi students are studying at different universities in Germany.

Siemens Bangladesh Limited (SBL) extended their support to renovate the entire classroom with all modern language learning facilities along with a glimpse of German culture and heritage in order to enhance the learning experience and effectiveness of teaching. Siemens, the renowned German company that focuses on the areas of electrification, automation and digitalization, is one of the world’s largest producers of energy-efficient technologies. As a part of its commitment to the society and to ensure sustainable development, Siemens regularly supports such initiatives.

Ms Marie Kretzschmar, the erstwhile deployed German lecturer of the German Academic Exchange Service (DAAD) coordinated the renovation along with Ms. Nazara Rashid, the Head of HR-Siemens Bangladesh.

Mr. Indranil Lahiri the Managing Director and CEO of Siemens Bangladesh Limited, Ms. Iffat Ara Nasreen Majid, Director of the Institute of Modern Languages and Mr. Ashraf-uz-Zaman Sarker, Head of the German Department were also present during the ceremony.

{Emerging Bangladesh} Oct. - Dec. 2015

53

BGCCI EVENTS

BGCCI AGM & EGM Took Place

54

An Extraordinary General Meeting (EGM) was held on Saturday, the 28th of November, 2015 at Lamda Hall, Gulshan Club, Dhaka. With the presence of 57 members in total, the EGM discussed to consider and, if thought fit, to adapt, with or without amendment of 44 resolutions in BGCCI’s article of association. The quorum agreed to all the changes with minor suggestions, therefore, the changes in the articles were accepted by all the members of BGCCI. One of the vital changes that was incorporated in the article of association was the preamble. By adding this portion in the article of association, BGCCI now clearly distinguishes itself as a chamber that will serve the sole purpose of a bilateral trade promotion authority of Bangladesh and Germany.

The preamble says- “It is the chamber’s task to promote trade and economic relations between the Federal Republic of Germany and the People’s Republic of Bangladesh, to take care of the interests of the German enterprises in Bangladesh and of those of Bangladeshi enterprises in the Federal Republic of Germany. BGCCI is pursuing the membership in the official DIHK-guided bilateral German foreign chamber network abroad.

BGCCI is aware of the fact that prior to this a bilateral government agreement between the two countries will have to be signed. BGCCI will support the necessary steps and measures on the way of achieving this goal.”

{Emerging Bangladesh} Oct. - Dec. 2015

BGCCI EVENTS

BGCCI organized Oktoberfest 2015

Bangladesh German Chamber of Commerce and Industry celebrated Oktoberfest-2015 on 5th of November. This is a widely celebrated Bavarian festival that unites people from different countries worldwide. Although it is considered as a great networking opportunity, but Oktoberfest also demos that we can come together and share happiness without drawing any lines or thinking about our petty differences of color and race. BGCCI as a bilateral chamber inherits this culture as its own.

{Emerging Bangladesh} Oct. - Dec. 2015

55

GREY SHACK WWW.GREYSHACK.COM WASIF GAWS GREYSHACK LIMITED BANGLADESH

GREYSHACK GREY SHACK WWW.GREYSHACK.COM WASIF GAWS GREY SHACK LIMITED BANGLADESH

56

{Emerging Bangladesh} Oct. - Dec. 2015

GREY SHACK WWW.GREYSHACK.COM WASIF GAWS GREYSHACK LIMITED BANGLADESH

GREYSHACK GREY SHACK WWW.GREYSHACK.COM WASIF GAWS GREY SHACK LIMITED BANGLADESH