Embed in management systems

1. Embedded commitment: The company has a policy commitment to ongoing stakeholder engagement, and embeds it in its governance, culture, and management strategy.​

Create a Tailored Engagement Plan​

2. Inclusiveness: The company listens to a full range of rights-holders across the value chain and has a process to identify legitimate representatives.
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3. A Focus on Those Most at Risk​:  The company prioritizes engaging with the rightsholders who are most likely to be harmed by its operations​, and therefore where early engagement is critical.​​

Conduct appropriate  activities

​​4. Informed Participation: The company establishes ongoing, two-way communication with affected rights holders that provides affected stakeholders with relevant critical information well in advance of key decision points.

5. Trust and Accountability: The company establishes procedures, tailored to the context, to build rights holder trust and accountability for its actions.​

Ensure follow through

6. Stakeholder-informed Action Plan: The company analyzes information obtained through affected stakeholder engagement and collaborates with rights holders to formulate an action plan.

7. Monitoring, Transparency, and Continuous Improvement​: The company establishes and maintains a transparent and stakeholder-informed monitoring and evaluation (M&E) system.​

effectiveness criterion 7

our approach

financial materiality

Stakeholder Engagement Main Page > Four Pillars > ​Effectiveness Criterion 6

6. Stakeholder-informed Action Plan

The company analyzes information obtained through affected stakeholder engagement and collaborates with rights holders to formulate an action plan. 

what this means

questions for portfolio companies

What to look for

High risk situations

• What are the affected stakeholder concerns that are arising from your engagement activities and how are you addressing them?
• What changes to your operations or business have been made in response to rights holder feedback? 
• Did you provide rights holders with an opportunity to review the action plan before it was approved? 
• Do you have an action plan that is informed by rights holders’ suggestions? 
• Have you changed your approach to engagement with affected stakeholders on current projects based on what you learned from prior experiences? Explain how and why.