Cited by 183Mining and Resource ManagementEnvironmental and Social Impact AssessmentsCorporate Social Responsibility and Sustainability

Frequently asked questions about the social licence to operate

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Boutilier, Robert G.·2014·Impact Assessment and Project Appraisal

Abstract

The ‘social licence to operate’ (SLO) is an increasingly heard term that was originally coined to draw the attention of mining companies to stakeholder issues. Drawing on questions and comments voiced in 50 events attended by approximately 900 managers, consultants, academics and students, this article employs the rhetoric device of ‘frequently asked questions’ (FAQs) to articulate conceptual and socio-political issues associated with the term. The first two of the six FAQs deal with the most novel contribution of the SLO concept, the idea that stakeholders have real power. The third and fourth FAQs deal with ethical and political issues about how stakeholders wield their power. The fifth FAQ looks at how to weight the diverse SLO levels granted by a non-cohesive stakeholder network. The sixth FAQ deals with confusion arising from the fact that both specific projects and whole industries can lose their SLO. The answers to the FAQs explore issues raised by the questions and identify (a) existing research that can illuminate the questions, and (b) latent questions that need further empirical research.

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  • The term social license to operate (SLO) made its appearance in the mining sector in the mid-1990s to manage social challenges by ensuring companies and communities operate under a shared vision and maximum benefits to all involved stakeholders.

    “The term social license to operate (SLO) made its appearance in the mining sector in the mid-1990s to manage social challenges by ensuring that companies and communities operate under a shared vision and maximum benefits to all involved stakeholders (Boutilier 2014; Ehrnström-Fuentes and Kröger 2017).”

    From The impacts of environmental, social and governance (ESG) issues in achieving sustainable lithium supply in the Lithium Triangle (2022) · cites this paper as Boutilier 2014

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Research works printed but not linked: 6

  1. Boutilier RG, Thomson I. 2011. Modelling and measuring the SLO. Invited paper presented at: The Social Licence to Operate Seminar. Brisbane: Centre for Social Responsibility in Mining. University of Queensland. Canadian Business Ethics Research Network (CBERN). 2013. Platinex Inc. and unwanted mineral exploration on traditional lands [Internet]. c2013. Toronto: CBERN; [cited 2013 Dec 25]. Available from: http://www.cbern.ca/research/projects/ workspaces/cura_project/case_studies/platinex/ Canadian Press. 2012 Jul 29. Radical environmentalism on the rise, RCMP report says. CBC News [Internet]; [cited 2012 Jul 30]. Available from: http://www.cbc.ca/news/politics/ radical-environmentalism-on-the-rise-rcmp-report-says-1. 1280032 Canadian Press. 2014 Apr 25. Proposed class action lawsuit filed against Barrick Gold and executives. The Toronto Star [Internet]; [cited 2014 April 26]. Available from: http:// www.thestar.com/business/2014/04/25/proposed_class_ action_lawsuit_filed_against_barrick_gold_and_executives. html
  2. Davis GF, Cobb JA. 2010. Resource dependence theory: past and future. In: Dobbin F, Schoonhoven CB, editors. Stanford's organizational theory renaissance, 1970 -2000. Bradford: Emerald Group Publishing; p. 21 -42.
  3. Davis R, Franks D. 2011. The costs of conflict with local communities in the extractives industry. Paper presented at: First International Conference on Social Responsibility in Mining. Santiago, Chile.
  4. Humphreys M, Sachs J, Stiglitz JE. 2007. Introduction: what is the problem with natural resource wealth? In: Humphreys M, Sachs J, Stiglitz JE, editors. Escaping the resource curse. New York, NY: Columbia University Press; p. 1 -20.
  5. Nelsen JL. 2005. Social licence to operate: industry survey. Paper presented at: BC and Yukon Chamber of Mines Cordilleran Round-Up Conference; Vancouver, Canada.
  6. Thomson I, Joyce S. 2008. The social licence to operate: what it is and why is seems so hard to obtain. Paper presented at: Prospectors and Developers Association of Canada Annual Conference; Toronto, Canada.

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Authors
Boutilier, R. G.
Affiliations
Simon Fraser University (CA)
Corresponding author
Boutilier, Robert G.
Venue
Impact Assessment and Project Appraisal
Published
2014-08-30
Volume
32
Issue
4
Pages
263-272
ISSN
  • 1461-5517 (ISSN-L)
  • 1471-5465
OpenAlex
W2162024475
Cited by
183
References
42
Citations by year
2026: 14 · 2025: 21 · 2024: 10 · 2023: 25 · 2022: 19 · 2021: 18 · 2020: 20 · 2019: 13 · 2018: 12 · 2017: 13 · 2016: 13 · 2015: 4 · 2014: 1
FWCI
15.29
Type
journal article
Language
en
Open access
Locations
Impact Assessment and Project Appraisal (publishedVersion)
Topics
  • Physical Sciences › Engineering › Building and Construction › Mining and Resource Management
  • Physical Sciences › Environmental Science › Management, Monitoring, Policy and Law › Environmental and Social Impact Assessments
  • Social Sciences › Business, Management and Accounting › Organizational Behavior and Human Resource Management › Corporate Social Responsibility and Sustainability
Keywords
social license to operate, mining industry, stakeholder power, stakeholder engagement, business ethics, political issues, stakeholder networks, frequently asked questions

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