A recent article in Business Week entitled, 'A Site for Soreheads' examined the increasing use of 'hate' sites to exchange information, organise boycotts and co-ordinate lawsuits against particular companies. According to the article, more than 100 of the biggest brand names in the US have been targeted with 'hate' sites - many of them proclaiming alleged human rights violations. Finally, corporate action in this area is not simply about managing the supply chain and ensuring global standards in employment policies. It is also about the greater strategic challenge of managing corporate risk since the denial of basic human rights often leads to social or political unrest which can disrupt economic activities. Companies must be aware of the dangers, from civil unrest through to hostage taking, and be prepared to manage the uncertainty and volatility that is associated with operating in countries with poor human rights records.
Predictability is essential to stable and productive business operations.
In light of these developments, corporate approaches to human rights have evolved rapidly in recent years. The Centre for Business and Society at Ashridge has undertaken research among 500 of the world's largest companies in order to assess the most significant strategies for action. This research, the first large-scale survey of its kind, has produced some fascinating insights into corporate activities among global companies based in the US, Europe and Japan. Respondents to the survey suggest that, at a minimum, companies must take action in three ways. The second is to engage in dialogue and partnership with stakeholder groups - processes of monitoring external opinions and discussing the issues with outsiders have been developed by the vast majority of respondent companies.