This document provides an overview of inclusive business and the World Business Council for Sustainable Development's (WBCSD) work in this area. It discusses the WBCSD model of inclusive business which uses business solutions to meet the needs of poorer communities and create socio-economic benefits. Examples of inclusive business models from various WBCSD members are also presented. Current WBCSD activities aim to illustrate best practices to overcome barriers to scaling inclusive business, partnering with organizations to catalyze local action. The document concludes by outlining a focus on identifying internal barriers within companies and solutions to scaling up inclusive business.

1. Inclusive
business
Overview presentation –
January 2014

2. Overview
• About the WBCSD
• Inclusive business
 WBCSD model
 Business case
 Examples
• WBCSD & inclusive business
 Current activities and partners
 Latest focus: overcoming internal barriers to
scale
 Links to more information

3. World Business Council for Sustainable
Development (WBCSD)
A CEO-led organization of forward-thinking companies that galvanizes
the global business community to create a sustainable future for
business, society and the environment

4. Inclusive business
Addressing the lack of reliable access to basic
goods, services, and income generation
opportunities at the base of the economic
pyramid (BOP) is one of the key development
challenges of our times…and a significant
business opportunity
Inclusive business solutions…
 Produce affordable goods and services
that meet basic needs
 Engage local labor and entrepreneurs in
supply chains and distribution channels
 Enable access to energy, communications,
finance, insurance, etc.
 Source raw materials from small-scale
producers
 Increase the size of the BOP’s wallet

5. WBCSD model: going beyond philanthropy and CSR
New business
models
SUPPLY
Products and services
that meet the needs of poorer
communities
Successive upgrading leading
to demand for goods and
services
Business
development
&
Socio-economic
benefit
DEMAND
Purchasing
power
Fulfillment of basic needs
e.g. water and sanitation, access to
energy, shelter, food, education,
connectivity
Local employment
job creation , local markets and
resilience to economic shocks

6. Business case
 Competitive advantage: market entry &
share in a rapidly growing market segments
 Security of supply: stronger and more
productive suppliers to secure reliable
access to resources
 Expanding the labor pool: access to
appropriately skilled and more cost effective
local labor
 Innovation: new ways to provide goods
and services with potential for reverse
innovation in more developed markets
 License to operate: contribute to social
cohesion and enhance reputation as a
partner of choice

7. Manifold examples from WBCSD members
•
•
•
•
•
•
•
•
Sourcing of raw materials from small-scale suppliers
SABMiller, SC Johnson, Natura, Unilever, Coca-Cola, PepsiCo,
Mondi, Bayer, ITC, Nestlé, Monsanto
Innovative distribution models
Coca-Cola, Unilever, P&G, Nestlé
Investment in local enterprise development
Anglo American, BHP Billiton, BP
Access to energy and water
Siemens, GDF SUEZ, Philips, Grundfos, ABB, Eskom,
Schneider Electric, Greif
Clean cooking fuels
Novozymes, Shell
Financial transactions via mobile phones
Vodafone, Nokia
Affordable housing
CEMEX, Lafarge, Holcim
Food fortification
BASF, DSM, Unilever, Nestlé, P&G, AkzoNobel

8. WBCSD & inclusive business: Current activities…
•
Illustrate best practices, lessons learned, success
factors to overcome internal & external barriers
to scale
•
Develop toolkits (training programs, webinars,
etc.) to support awareness raising and
implementation by company managers
•
Apply the principle of “Think global, act local” by catalyzing
action on the ground in collaboration with the WBCSD’s Regional
Network partners
 Executives showing & telling locally
 Engaging multilateral development banks & policymakers
 Building and/or strengthening “hubs” that can kick off and
implement local working groups & initiatives with the support of
partners

9. … with the following partners…
 WBCSD Regional Network
partners
 Asian Development Bank
 Inter-American Development
Bank
 GIZ
 Business Call to Action
 BOP Learning Labs

10. …building on a long history of activities
Doing business
with the poor:
A Field Guide
A business
guide to
development
partners
Business
for
Development
Promoting
SMEs for
Sustainable
Development
Inclusive
Business
Alliance with
SNV
Measuring
Impact
Framework
Inclusive
Business and
the MDGs
Inclusive
Business in
Latin
America
Business
solutions to
enable energy
access for all
Inclusive
Business
Challenge
2004
WBCSD-SNV
Inclusive
Business blog
Video
library
Finding capital
for sustainable
livelihoods
businesses
2005
2007
2008
Inclusive
Business
blog
2009
2010
2011
ICT: An
enabler for
inclusive
business
solutions
2012

11. Latest focus: how to overcome internal barriers to scale?
Internal organizational barriers:
 Much less commonly acknowledged or discussed
 Solutions lie within direct control of companies
Study launched in November 2013: builds on hands-on
experience of a dozen WBCSD members:
 CEMEX, Grundfos, ITC, Lafarge, Masisa, Nestlé,
Novartis, Novozymes, SABMiller, Schneider Electric,
The Coca-Cola Company, Vodafone
Contribution to the WBCSD’s Action2020 platform
 Focused on scaling up business solutions to
sustainability challenges

12. Key internal barriers & solutions to overcome them

13. More information
• Inclusive business blog
www.inclusive-business.org
• Action2020 platform
http://action2020.org/businesssolutions/inclusive-business-models
• WBCSD contact point
Filippo Veglio
veglio@wbcsd.org
Tel. +41 22 839 31 08