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Managing Risk through Sustainable
Community Development
The Social License Consortium (SLC)
Calgary, Alberta, Canada
SLC – What we do?
2
Community Engagement as a
means to making your organization:
• More productive and
profitable
• Less exposed to financial and
operation risk
• More successful in creating a
positive workforce and a
supportive community
• Less exposed to logistics by
developing a source of
community based products
and services catering to the
operations of your
organization
SLC – Solutions
3
SLC delivers these solutions
by starting with:
• Assessments
• Risk
• Environmental
• Community Needs
• Financial
• Workshops
• For the company
• For the community
• Various other interest
groups
CSR vs Sustainable Community Development
through Community Engagement (SCD-CE)
4
Traditionally, CSR has
been…
• Providing handouts
• An act of philanthropy
without understanding the
nature of impacts
• Seeing themselves
(resource company) as
shareholders and not as
one of the stakeholders
Sustainable community
development (SCD-CE) will
be…
• Thorough assessment of
the impacts and
mitigation strategies
required
• Understand the risks for
the resource company
• Identify and implement
solutions that target
company’s objectives and
add value to all
stakeholders
5
SLC Vision
Community
Needs
Resource
Company
Needs
Risk mitigation
strategies
Maximizing
returns and
minimizing
negative
impacts
Community needs:
• Health and safety
• Jobs and economic security
• Stable political environment
• Law and order
• Respect for culture and way
of life
• Infrastructure and services
catering to the community
• Clean water
Resource company needs:
• Social License to Operate
• Lower operating costs
• Optimized production
• Lower water consumption and raw
material usage
• Improved supply chain / enable
local procurement
• Less energy consumption
• Workers safety
Sustainable Community
Development through
Community Engagement
• Trust from stakeholders
• Investment in innovation and new
technologies
• Redefined supply chain
• Cluster development around the
community to benefit both the
resource company and the
community
6
Resource Company
Development Path
Community
Development Path
W
E
A
L
T
H
T I M E
Sustainable Community
Development is achieved when
Resource Company financial
support is no longer required
SCD
Minimize time to target
SLC Vision
Establishing Sustainable Business
7
Daily Needs
Food
Water
Energy
Shelter
Environment
Clean Energy
Non destructive
Retain Water table
Waste Management
Sanitation
Sustainability
Long term Employment
Standard of living
Not destructive to local
environment
Work
Agriculture
Value Added
Services
Manufacturing
Education
Primary
Secondary
Advanced
Work Training
Business Training
SCD
INVESTMENT and FINANCING
SLC Services – Process Workflow for
Extractive Sector
8
Mine Planning
Implementation of shared
solutions and establishing
Sustainable Community
Enterprises (SCEs)Mine Construction and
Operation
Mine Closure
SLC Approach - Sustainable Business
9
Needs
Assessment
•Understand the current situation and needs of the
community
•Engage with the community and understand their issues
Workshop
implementation
•Help create a product or service based on “Minimum Viable
Product” approach
•Providing the beneficiaries tools needed to operate
businesses
Test the product
or Service
•Test the product in the market (This phase will occur during
the workshop phase). Workshop is not just about teaching
but allowing the beneficiaries to go out and test their product
Satisfactory?
Make necessary changes
to the product and service
based on the feedback
from market
Local partnership with
Universities, NGOs and
Consultants to get
necessary support
Build the
product
Market the
product and
start of
business
Legal and
technical
support and
follow up
Final
Evaluation

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Social Licence Consortium

  • 1. Managing Risk through Sustainable Community Development The Social License Consortium (SLC) Calgary, Alberta, Canada
  • 2. SLC – What we do? 2 Community Engagement as a means to making your organization: • More productive and profitable • Less exposed to financial and operation risk • More successful in creating a positive workforce and a supportive community • Less exposed to logistics by developing a source of community based products and services catering to the operations of your organization
  • 3. SLC – Solutions 3 SLC delivers these solutions by starting with: • Assessments • Risk • Environmental • Community Needs • Financial • Workshops • For the company • For the community • Various other interest groups
  • 4. CSR vs Sustainable Community Development through Community Engagement (SCD-CE) 4 Traditionally, CSR has been… • Providing handouts • An act of philanthropy without understanding the nature of impacts • Seeing themselves (resource company) as shareholders and not as one of the stakeholders Sustainable community development (SCD-CE) will be… • Thorough assessment of the impacts and mitigation strategies required • Understand the risks for the resource company • Identify and implement solutions that target company’s objectives and add value to all stakeholders
  • 5. 5 SLC Vision Community Needs Resource Company Needs Risk mitigation strategies Maximizing returns and minimizing negative impacts Community needs: • Health and safety • Jobs and economic security • Stable political environment • Law and order • Respect for culture and way of life • Infrastructure and services catering to the community • Clean water Resource company needs: • Social License to Operate • Lower operating costs • Optimized production • Lower water consumption and raw material usage • Improved supply chain / enable local procurement • Less energy consumption • Workers safety Sustainable Community Development through Community Engagement • Trust from stakeholders • Investment in innovation and new technologies • Redefined supply chain • Cluster development around the community to benefit both the resource company and the community
  • 6. 6 Resource Company Development Path Community Development Path W E A L T H T I M E Sustainable Community Development is achieved when Resource Company financial support is no longer required SCD Minimize time to target SLC Vision
  • 7. Establishing Sustainable Business 7 Daily Needs Food Water Energy Shelter Environment Clean Energy Non destructive Retain Water table Waste Management Sanitation Sustainability Long term Employment Standard of living Not destructive to local environment Work Agriculture Value Added Services Manufacturing Education Primary Secondary Advanced Work Training Business Training SCD INVESTMENT and FINANCING
  • 8. SLC Services – Process Workflow for Extractive Sector 8 Mine Planning Implementation of shared solutions and establishing Sustainable Community Enterprises (SCEs)Mine Construction and Operation Mine Closure
  • 9. SLC Approach - Sustainable Business 9 Needs Assessment •Understand the current situation and needs of the community •Engage with the community and understand their issues Workshop implementation •Help create a product or service based on “Minimum Viable Product” approach •Providing the beneficiaries tools needed to operate businesses Test the product or Service •Test the product in the market (This phase will occur during the workshop phase). Workshop is not just about teaching but allowing the beneficiaries to go out and test their product Satisfactory? Make necessary changes to the product and service based on the feedback from market Local partnership with Universities, NGOs and Consultants to get necessary support Build the product Market the product and start of business Legal and technical support and follow up Final Evaluation