Conflict-Sensitivity for Multinational Companies

Alert believes that by adopting a proactive approach to conflict-sensitive business practice, businesses can reduce risks to their operations in conflict-affected regions and to the communities around them, promote stability and improve relations with local populations. If the economic benefits of their operations are distributed more fairly and transparently, they can play a significant role in building the strong economic foundations that are vital for lasting peace.

We work towards making this possible in three ways – by undertaking research into the links between business and conflict, then developing tools for businesses to use when planning and carrying out work in conflict prone zones, and pushing for the adoption of policy, principles and guidelines so that multinational corporations, governments and multilateral organisations better understand and contribute to building peace. Our CSBP tools and materials have thus far been developed in the following areas:

Red flags [2] Our joint-initiative, with the Fafo Institute for Applied International Studies, serves to alert companies to the risks they face when operating in areas where serious human rights abuses occur.	[2]
Extractive Industries [3] Our toolkit for the oil, gas, mining, and forestry industries was developed over several years with the help and involvement of industry professionals.	[3]
Project Finance and Engineering Our expansion of the original CSBP toolkit examines the role of financial institutions and engineering companies in preventing conflict through their operations. Currently, our research on the role of financial institutions and engineering companies’ operations in conflict zones has been documented in the following publications:

Many international organisations, such as the European Union or the Organisation for Economic Co-operation and Development, as well as a number of governments now acknowledge the critical role economic actors play in conflict. They have published key policy documents and are increasingly turning towards the potential of the private sector to contribute to peacebuilding. There is growing debate on the need for clearer international guidelines and constraints on companies operating in conflict prone zones.

In order to ensure that this issue remains on the international agenda, we make specific recommendations at the international policy level to inform thinking on how governments and multi-lateral agencies can integrate conflict-sensitivity into their economy-related policies, for example:

In May 2008, we published the Red Flags [2] document, together with Fafo [7], drawing on several years of work with other organizations such as Collaborative for Development Action [8], Amnesty International [9], Human Rights Watch [10], OECD Watch [11], International Committee of the Red Cross [12], and Global Witness [13], to promote a clearer regulatory environment for companies doing business in conflict-prone zones.

Alert is one of seven NGO representatives to the Voluntary Principles on Human Rights and Security Group [14], which is made up of oil, gas and mining companies, governments and NGOs. The Voluntary Principles aim to guide companies in maintaining the safety and security of their operations within an operating framework that ensures respect for human rights and fundamental freedoms.

We are also an active member of the UN Global Compact’s multi-stakeholder dialogue on conflict prevention and peacebuilding [15]