The leaked letters and stern warnings appear to the be first time the RSPO has seriously looked like kicking a big player out of the grouping.
Corporate responsibility groups have faced this dilemma for years. Should they be a big tent or exclusive leadership group?
As they come under more scrutiny I predict we’ll see a tightening of standards across the board in the coming years.
More laggards SHOULD be kicked out of such groups. Let’s remember where CSR really came from: reputation risk management. That’s still the biggest driver for business.
Would being kicked out of the RSPO make a difference to Sinar Mas? I’m not sure.
But I do wonder how many more big corporate customers they can afford to lose before razing the rainforest becomes less economically viable for them.
What a cost benefit analysis that is…