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CSR Strategy Consulting
Executive Summary
Bangalore based CSR consulting and implementation start up, leveraging
technology to resolve the pain points of the CSR life cycle and ecosystem by
designing a collaborative platform for effective strategy formulation and efficient
implementation
End to end cloud based digital marketplace platform to enable and empower
corporate CSR players to “Discover, Fulfil and Engage” with NGOs
CSR Government mandate
Governed by clause 135 of the Companies Act, 2013
Applicable to companies with
1. An annual turnover of Rs 1,000 crore and more, or
2. A net worth of Rs 500 crore and more, or
3. A net profit of Rs 5 crore and more
CSR committee consisting of their board members, including at least one
independent director
Spend at least 2% of their average net profit in the previous three years on CSR
activities
Penalty
Though the current policy is “comply or explain”, it is expected to become an enforcement with
penalty within 2-3 years, similar to other MCA rules and SEBI mandates like BRR,etc due to the
Central Government aligning itself with UNSDG ( United Nation Sustainable Development Goals)
and setting high standards of adherence and commitment to the 17 goals outlined in SDG.
Penalise firms not spending 2% of profits on CSR: Parliamentary Panel Report ,2015
Compliance Vs Opportunity
Rationale: Triple bottom line
Present Scenario
Business increasingly has been viewed as a major cause of social, environmental,
and economic problems
Prospering at the expense of the broader community
Social and economic goals are not inherently conflicting, but integrally
connected
Competitiveness depends on how productively companies use labour, capital
and natural resources
Rationale: Triple bottom line
Solution
Principle of shared value, involving creating economic value in a way that also
creates value for society
Do not treat corporate success and social welfare as a zero-sum game.
A win-win situation for both
Identify both positive and negative effects a company can have on society,
determine which ones to address, and suggest effective ways to do so
Strategically, CSR can become a source of competitive advantage, as the
business applies its considerable resources, expertise, and insights to activities
that benefit society
Challenges Encountered
Time consuming selection of NGO
Inability to find proper NGOs to execute CSR activities
Possibility of misuse of funds
 Tactless CSR consulting
Inability to track performance status of the project
Working simultaneously with more than two NGOs
 Impracticality in conducting CSR activities despite meeting criteria
Our offerings
 CSR Consulting
 NGO evaluation / Selection
 Proposal Preparation
 Project Monitoring
 Impact assessment
 Statutory Compliance
 Training
Benefits/Value
Proper formulation of policies and guidelines
Tracking of recent activities and emerging trends in CSR peripherals
Depicts the uses of funds, track suppliers’ performance and quality
Blueprint for future course of activities
Assurance of proper utilization of CSR funds
Better reputation, visibility, branding in society, SCA
Agility and flexibility
Strategy Framework-Approaches
Inside-Out approach to design of CSR strategy
Outside-In approach to design of CSR strategy
Sphere 1: Company Sphere 2: Stakeholder Sphere 3: Community
Competitive Context
2. Context for
firm strategy
and Rivalry
1. Related and
Supporting
Industries
3. Local
Demand
Conditions
4. Factor
Conditions
Wireframe
Thank You!!

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CSR Strategy Consulting Approach

  • 2. Executive Summary Bangalore based CSR consulting and implementation start up, leveraging technology to resolve the pain points of the CSR life cycle and ecosystem by designing a collaborative platform for effective strategy formulation and efficient implementation End to end cloud based digital marketplace platform to enable and empower corporate CSR players to “Discover, Fulfil and Engage” with NGOs
  • 3. CSR Government mandate Governed by clause 135 of the Companies Act, 2013 Applicable to companies with 1. An annual turnover of Rs 1,000 crore and more, or 2. A net worth of Rs 500 crore and more, or 3. A net profit of Rs 5 crore and more CSR committee consisting of their board members, including at least one independent director Spend at least 2% of their average net profit in the previous three years on CSR activities
  • 4. Penalty Though the current policy is “comply or explain”, it is expected to become an enforcement with penalty within 2-3 years, similar to other MCA rules and SEBI mandates like BRR,etc due to the Central Government aligning itself with UNSDG ( United Nation Sustainable Development Goals) and setting high standards of adherence and commitment to the 17 goals outlined in SDG. Penalise firms not spending 2% of profits on CSR: Parliamentary Panel Report ,2015
  • 6. Rationale: Triple bottom line Present Scenario Business increasingly has been viewed as a major cause of social, environmental, and economic problems Prospering at the expense of the broader community Social and economic goals are not inherently conflicting, but integrally connected Competitiveness depends on how productively companies use labour, capital and natural resources
  • 7. Rationale: Triple bottom line Solution Principle of shared value, involving creating economic value in a way that also creates value for society Do not treat corporate success and social welfare as a zero-sum game. A win-win situation for both Identify both positive and negative effects a company can have on society, determine which ones to address, and suggest effective ways to do so Strategically, CSR can become a source of competitive advantage, as the business applies its considerable resources, expertise, and insights to activities that benefit society
  • 8. Challenges Encountered Time consuming selection of NGO Inability to find proper NGOs to execute CSR activities Possibility of misuse of funds  Tactless CSR consulting Inability to track performance status of the project Working simultaneously with more than two NGOs  Impracticality in conducting CSR activities despite meeting criteria
  • 9. Our offerings  CSR Consulting  NGO evaluation / Selection  Proposal Preparation  Project Monitoring  Impact assessment  Statutory Compliance  Training
  • 10. Benefits/Value Proper formulation of policies and guidelines Tracking of recent activities and emerging trends in CSR peripherals Depicts the uses of funds, track suppliers’ performance and quality Blueprint for future course of activities Assurance of proper utilization of CSR funds Better reputation, visibility, branding in society, SCA Agility and flexibility
  • 11. Strategy Framework-Approaches Inside-Out approach to design of CSR strategy Outside-In approach to design of CSR strategy Sphere 1: Company Sphere 2: Stakeholder Sphere 3: Community
  • 12. Competitive Context 2. Context for firm strategy and Rivalry 1. Related and Supporting Industries 3. Local Demand Conditions 4. Factor Conditions
  • 14.

Editor's Notes

  1. Why CSR is an opportunity and not burden? -Competitiveness -License to Operate Investment Opportunities
  2. Last point: For those companies who have just met the criteria and 2% of the funds is not a significant amount
  3. Virtually every activity in a company’s value chain touches on the communities in which the firm operates, creating either positive or negative social consequences Possible linkages Phase 1: Identifying the points of intersection a company impinges upon society through its operations in the normal course of business: These are inside-out linkages Phase 2: Not only does corporate activity affect society, but external social conditions also influence corporations, for better and for worse. These are outside-in linkages
  4. First, the quantity and quality of available business inputs– human resources, for example, or transportation infrastructure Second, the rules and incentives that govern competition–such as policies that protect intellectual property, ensure transparency, safeguard against corruption and encourage investment   Third, the size and sophistication of local demand, influenced by such things as standards for product quality and safety, consumer rights, and fairness in government purchasing Fourth, the local availability of supporting industries, such as service providers and machinery producers.