Legal & General Group - Global Portfolio Benchmark

Following seven years of using the CR Index and achieving a Platinum Big Tick in 2013 CR Index ranking, Legal & General chose it as their trusted management and benchmarking tool to undertake a Global Portfolio Benchmark.

“By using the Global Portfolio Benchmarking process within Legal General Group, we have created a universal language and structure to understand what happened naturally within overseas businesses. The CR Index is flexible enough to accommodate local responsible business activities as well as global standards and has resulted in tangible public commitments to improve our responsible business performance. All of our overseas business improved their CR Index performance as a result of this focus and flexibility.”

- Graham Precey,
Head of Corporate and Social Responsibility, Legal & General Group

What we heard

Legal & General have an International Division, with wholly owned subsidiaries in the US, Netherlands and France and joint ventures in Egypt, India, Bahrain and Kuwait, which are increasingly becoming material as a source of revenue. The company is working towards strengthening its position in the existing markets and continue to search for further opportunities through partnership with local banks in new, fast growing markets. This prospect of international growth puts pressure/incentivises to continue engaging with and supporting these business units in driving the responsible business agenda.

What we did

First assessment of subsidiaries took place in autumn 2010 with subsequent gap analysis delivered by BITC to measure how different business units integrate CR policies and strategies within their core business practices.

Following that, Legal & General committed publically to improving their score over the next 18 months in France, Netherlands and the US as well as expanding the scope of this exercise to include joint ventures in Gulf, India and Egypt. The second Global Portfolio Benchmark was carried out in 2012.

BITC provided a bespoke approach for each participant. Some participants benefited from:

  • Additional guidance and recommendations prior to the completion of the assessment

  • Coaching during the assessment process

  • Additional resources to complete the data collection process

  • Close engagement with all the participants created a positive impact on the quality of the assessment and a more accurate benchmark

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What we delivered

Business benefits

  • A comparison of all the subsidiaries and joint venture companies against each other and the Group.

  • Recommendations for improvement with action plans for each company and the Group

  • Allocation of responsibility over specific areas of CSR in all subsidiaries and joint ventures

  • Targets for key areas for improvement, specific for each subsidiary and joint ventures

  • A series of workshops organised to raise awareness in areas such as sustainable procurement, environmental performance, etc.

  • Engagement with key business units globally

  • Driver for change in business units tapping into competitive instincts

  • Gap analysis to support development of action planning across the group

  • Identification of good practice to incentivise cooperation between regions

  • Clear overview of CR activity and priorities in different business units

  • Learning exercise to achieve a more consistent approach/understanding of CR, despite cultural differences

  • Improvement in group public reporting