BASF “1+3” CSR project: Building a responsible value chain

BASF believes one company should not only work independently in corporate social responsibility (CSR), fulfilling its own CSR goals, but also tries to mobilize its supply chain partners to practice CSR.
BASF determines to promote CSR along its supply chain by enhancing learning and cooperation, thus building a responsible value chain to help its customers to be more successful. In 2006 BASF initiated the “1+3” CSR project together with the China Business Council for Sustainable Development (CBCSD).

With this concept, BASF aims:
• To drive business partners to become “Bee-like” companies – continue to promote the “1+3” concept to their business partners in their own supply chain.
• To integrate sustainability into core business operations to increase competitiveness edge.
• To enhance customer relationship, and to support business by helping our customer to be more successful through innovation.
• To develop and grow together with the partners along the supply chain and to establish a stable, long-term and sustainable supply chain.
“1+3“ means that one CBCSD member company like BASF teams up with three types of business partners - customer, supplier and logistics service provider - with the aim of promoting sustainability and sharing best practices and offering customized solutions. This is done through questionnaires, seminars and site-visits by expert teams. Each of participating partners then introduces the same concept to their three types of business partners in its own value chain: A snowball effect is created.

In 2008 BASF managed to complete the first round of “1+3” CSR project successfully with its six partners. The 2nd round “1+3” CSR project was scaled up to include a total of 12 project partners; it was inaugurated in 2008 and completed in 2011. On Mar. 27,2012, BASF and nine project partners jointly inaugurated the 3rd round BASF “1+3” CSR Project.

The “1+3” CSR project proves to be a great success. BASF strengthens its mutual trust and long-term strategic partnership with the small and medium-sized enterprises (SME), improving the competitiveness down the supply chain. At the same time, it also arouses a higher level of awareness for CSR amongst participating enterprises. For instance, they pay more attention to employee workplace, reduction of emissions in the production process and dialogues with stakeholders.

To date, the “1+3” CSR project has already reached more than 130 local companies. In 2007 and 2009, the United Nations Global Compact named the “1+3” CSR project as a best practice of promoting CSR in China which was then shared among members and enterprises worldwide. In 2009, the International Council of Chemical Associations (ICCA) included the “1+3” CSR project in its Capacity Building Brochure to promote the concept within the industry.

Being the initiator and founding partner of ‘Golden Bee’ concept, BASF is committed to lead the action field of “Sustainable Supply Chain” under “Golden Bee 2020” initiative. BASF will continue to replicate its “1+3” CSR project and will work with the chemical industry as the starting point to continuously promote the concept of the sustainable supply chain across industries and across regions through partnership with multiple stakeholders including the chemical industry association, CBCSD and other domestic and international partners or organizations.