Study on Shaping the Evolution of the BSI Initiative

Background

The Building Social Impact (BSI) Initiative is designed to support developers and construction companies in enhancing their social sustainability practices, with a particular focus on improving the well-being of workers and their children living in construction camps. This includes ensuring access to safe living environments, as well as access to essential health and education services. Through a  Framework for Action, tools, and training, BSI helps companies integrate better social practices that ultimately enhance both business performance and social impact.

With now 26 companies on board, the BSI Initiative is gaining attention in the sector and among regulators. 

Thailand has applied for OECD membership and is negotiating a free trade agreement with European countries. In this context, compliance with international social standards, such as Business and Human Rights Due Diligence (HRDD), is becoming increasingly important. This may create momentum for the BSI Initiative to expand and engage more companies in improving social practices in a financially viable way.

In this context and to guide the development of the BSI Initiative, Baan Dek Foundation would like to conduct a study. This study will be structured around three main components.

• An ROI study to quantify the economic benefits for companies adopting better social practices aligned with the BSI Framework.

• Analysis and recommendations for a payment model enabling companies to contribute to the financial sustainability of the BSI Initiative.

• Assessment of BSI tools and relevant improvements to better meet companies’ needs in a viable way, considering the feasibility of companies paying for access to these tools.

The finding of those three components will: 

1. Reinforce the business case for BSI membership and engagement.

2. Support Baan Dek in structuring a sustainable financial model for BSI services, including paid offerings such as training and tool access.

3. Ensure the optimal technical evolution of the BSI tools, aligning this evolution with companies’ needs while considering a realistic payment model to cover investment and maintenance costs.

2. Objectives of the Study

2. 1. Component 1 – ROI Study

To engage a large number of companies under the BSI Initiative and drive systemic change, it is essential to quantify the Return on Investment (ROI) for companies utilizing BSI services and implementing improved social practices. Demonstrating the economic benefits for companies will also be instrumental in shaping the payment model under BSI (Component 2) and optimizing the upgrade of BSI tools (Component 3).

This study aims to provide evidence-based insights into the financial and strategic advantages of investing in social sustainability. Ensuring a tangible ROI for companies is crucial to securing their commitment and willingness to invest in these improvements.

This phase aims to quantify the financial and strategic benefits of investing in better social practices within the BSI Framework, including:

• Assessing the impact of BSI engagement on:
  
  

  • Branding and reputation within the industry.

  • Labor retention and workforce stability.

  • Regulatory compliance with ESG, sustainability standards, and Thailand’s Business and Human Rights (BHR) policies.

  • Competitiveness in public and private markets.

  • Other benefits identified during the study.

• Evaluating financial risks associated with poor social standards in construction.
  
  

• Providing actionable recommendations to strengthen the business case for BSI engagement.

2.2. Component 2 – Financial Sustainability Model for BSI

Based on the ROI study and identified added value of BSI services (training, tools, etc.), this phase will:

• Assess and quantify the propensity of construction companies and developers to pay for BSI services.

• Identify the optimal financial model for sustaining the BSI Initiative, considering options such as:

  • Training fees.

  • Tool access fees.

  • Membership fees.

  • Others.

2.3. Component 3  – Assessment of BSI Tools and BSI tool improvement

Following findings from component 1 and component 2, this phase will assess:

• The capabilities and effectiveness of BSI tools in their current form.

• The level of integration and utilization by construction companies and developers.

• The relevant technical range of technical options, including introduction of AI and new technology for a user-friendly tool. 

• The optimal technical evolution of BSI tools and associated costs to maximize ROI for companies while minimizing financial recurrent and maintenance costs for Baan Dek Foundation. 

3. Scope of Work

The consultant will be expected to:

Component 1:

• Review existing BSI services, tools, and Framework.

• Conduct interviews with BSI member companies and key stakeholders.

• Collect financial and non-financial data on social investment benefits.

• Develop an ROI model to quantify direct and indirect economic returns.

• Benchmark findings against industry standards and similar initiatives.

• Present a final report with key findings and recommendations.

• Develop a concise business case powerpoint presentation for use by the BSI team to communicate the economic advantages of joining the BSI Initiative and adhering to the BSI Framework for Action.

Component 2:

• Conduct a review of similar initiatives and analyze their respective business models.

• Conduct interviews and consultation with construction companies to assess willingness to pay for BSI services.

• Develop a detailed, most relevant financial model for sustaining BSI.

Component 3:

• Review data collected by the BSI team on the use of the tool and feedback from companies.

• Review actual BSI tools.

• Conduct interview of the BSI team.

• Conduct interviews with a representative sample of BSI companies.

• Review available technical solutions.

• Recommend the best realistic technical options for the evolution of the tools, taking into account user needs, their willingness to pay for the tool, the investment and recurring cost for BDF to develop and maintain the tools, and BDF’s technical capacity to manage the tool.

4. Methodology and team

The study should be based on:

• A review of secondary data and BDF data. 

• Data collection through surveys, interviews, and financial analysis.

• Qualitative and quantitative analysis.

• Validation of findings with BSI stakeholders and BSI team.

The team will include a senior lead consultant with a relevant profile, supported by technical consultants bringing complementary skills. 

5. Deliverables

The consultant is expected to deliver:

Component 1 : 

• Inception Report – Outlining the methodology, data sources, and work plan.

• Interim Findings Presentation – Summary of key insights from the initial analysis.

• Final ROI Report – A comprehensive analysis including financial data, case studies, and recommendations.

• Executive Summary & Business Case Presentation – A concise, actionable summary for stakeholders.

Component 2: 

1. Inception report

2. Preliminary report 

3. Concise final report on payment model and financial sustainability strategy for the BSI Initiative

4. Powerpoint presentation on the main findings and recommendations

Component 3: 

1. A brief on the different technical options available, including their pros and cons and investment and recurring maintenance costs.

2. Recommendation on the best technical option for the evolution of the tool. 

3. Recommendation on the next key steps for BDF to plan for the development of the tool, including risk factors and key important elements to consider. 

6. Timeline

The study is expected to start on 15 June 2025 and be completed within 3 months, with the following key milestones. 

Submission: 

Interested consulting firms are invited to submit:

• A detailed technical proposal (max 10 pages)

• A clear and itemized budget

• A proposed work plan

• CVs of all team members

• Company profile and relevant experience

The consultant is expected to submit the proposal by the 30th of May 2025. Complete applications are required for consideration. 

For further inquiries, please contact Sébastien More-Chevalier, sebastien@baandekfoundation.org.