LBG Model

What is the LBG Model?

  • LBG is an internationally recognized standard for measuring corporate community investment.
  • More than 300 companies around the world use the LBG framework to measure, manage and report the value, and the achievements, of the contributions they make.
  • The model was devised and the network is managed by Corporate Citizenship, an international corporate responsibility consultancy with offices in London, New York and Singapore.
  • The LBG Model is best considered as a roadmap to help companies on the journey from measuring what they input into a community program to how that translates into delivering community output and business benefit.

The LBG Model is a global standard.

  • Originally developed nearly 20 years ago, LBG is now embedded in and supports the application of various global sustainability indices or initiatives such as Dow Jones Sustainability Indices (DJSI) and Global Reporting Initiative (GRI)
  • Companies using the LBG model are able to report externally on their types of contributions and the impact achieved: in 2013, over $2.7 billion was invested by members, supporting 77,000 organizations and benefiting 95 million people. (See data report here).

Why use the LBG framework?

Using a consistent international benchmarking framework brings companies many benefits, these include:

  • Using the LBG framework provides a consistent methodology to assess each community activity in terms of what’s contributed, what happens and what changes.
  • Categorization of data in line with requirements for internal management decisions and external communications.
  • Information to benchmark their community investment performance against sector peers and best in class companies by using the consistent framework.
  • Access to a tried, tested and continually developing methodology.
  • Learning from international best practice.
  • Transparency.
  • Participation in on-going improvement in community investment management and communication.

The LBG Measurement Model is used by more than 300 companies around the world to measure, manage and report the value, and the achievements, of the contributions they make. Below please find testimonials from a selection of these companies.

"As we have changed our strategy, launched the Unilever Foundation, and focussed on five strategic partnerships, we have made use of the support through LBG to inform our evaluation framework in the light of best practice. We are also looking to deliver social impact through new products, such as our Pureit water filters, and have been able to engage with other companies in the network to establish robust principles for the measurement and reporting of such initiatives."

Unilever

"Using the LBG model enables UBS to understand better where our programme makes an impact and accordingly focus our resources as effectively as possible. Understanding how and where we make an impact not only provides essential data for the financial component of our community investment programme, but also provides a powerful tool in the recruitment of volunteers, it is the bedrock of our assessment of how we can best advance the Social Finance agenda and of course, also give indices such as DJSI, the information they require to assess our activity."

UBS

"It doesn't matter how new or mature your community investment program is, you can still benefit from the thought leadership of the impressive network of global companies."

GlaxoSmithKline

"KPMG has been a long standing member of the LBG and actively involved in the development of the model. We recognize the benefits are beyond benchmarking: the model helps us to plan and effectively manage our community programmes, measure the benefits to the business and society and also evaluate where to best place our resources to create the most positive impact. As members of the LBG since it started, and using the model to measure our programs, we have trend data and information which contributes to a very open and positive partnerships with our community partners and helps to identify where we need to make any changes."

KPMG

"As a new LBG user we are delighted to be using an internationally recognized framework. This year we have used the framework to measure our Corporate Community Investment and look forward to comparing our performance against other companies. In future we expect to learn how we can improve our investments, and we hope this work will help us strengthen our social investment programme and partnerships to create even more social value in the future."

AkzoNobel Decorative Paints

Follow the below link to learn more about LBG and the LBG Model.
ACCP The Resource for Corporate Philanthropy