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#01 | Apr’13 | 50
COVERING THE CORPORATE SOCIAL RESPONSIBILITY NEWS, VIEWS AND MORE
CSR
CSR TIMES | #01 | APRIL 2013
contents
CSR : The Need
of the Hour
Sunil Shastri
The Pleasure of
Giving Something
Back to Society
Deepak Behl
Where There is a
Will, There is a Way
Kiran Bedi
A Good Business
Sense or a Duty?
Joginder Singh
The Buzzword &
Beyond
Siddharth Das Gupta
05
11
22
CSR TIMES - a First Step Foundation Initiative
“Sarva Loka Hitam”
Prema Cariappa’s Speech on CSR
An Article by Dr Kapoor
CSR - a boon for social upliftment in India
CSR Practices in Bharat Petroleum
CSR Initiatives by BHEL
CSR being carried out at IOCL
BEST PRACTICES IN CSR
CSR Policy of TATA Group
36
31
COVER STORY
CSR - A tool to enhance
brand value
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38
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CSR TIMES | #01 | APRIL 2013
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Happy reading!
Sunil Shastri
editor’s
viewpoint
Editor in Chief
Prashant Das
editor-csrtimes@gmail.com
Associate Editor
Prashant Das
editor-csrtimes@gmail.com
Content Developer
Prashant Das
editor-csrtimes@gmail.com
Art Director
Prashant Das
editor-csrtimes@gmail.com
Graphic Artist
Prashant Das
editor-csrtimes@gmail.com
Circulation Manager
Prashant Das
editor-csrtimes@gmail.com
Sales Manager
Prashant Das
editor-csrtimes@gmail.com
#01
Apr’13
50
COVERING THE CORPORATE SOCIAL RESPONSIBILITY NEWS, VIEWS AND MORE
CSR TIMES | #01 | APRIL 2013
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CSR:
The Need of the Hour
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SPECIAL FEATURE
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SPECIAL FEATURE
CSR TIMES | #01 | APRIL 2013
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SPECIAL FEATURE
CSR TIMES | #01 | APRIL 2013
CSR TIMES | #01 | APRIL 2013
CSR TIMES | #01 | APRIL 2013
TATA Group
The Front-Runners in CSR Practices
No success or achievement in material
terms is worthwhile unless it serves the
needs or interests of the country and its
people.
“We do not claim to be more unselfish,
more generous and more philanthropic
than other people. But we think we started
on sound and straightforward business
principles, considering the interests of the
shareholder, our own, and the health and
welfare of the employees, the sure
foundationofourprosperity.””
o d ay ' s b u zz wo rd ,
C o r p o r a t e S o c i a l
TResponsibility or CSR
has been part of the Tata Group
ever since the days of Jamshetji
Tata. Even while he was busy
setting up textile ventures, he
always thought of his workers'
welfare and requirements of
thecountry.
From granting scholarships for
further studies abroad in 1892
to supporting Gandhiji's
campaign for racial equality in
South Africa to giving the
countryitsfirstsciencecentre,
hospital and atomic research
centre to providing relief and
rehabilitation to natural
disaster affected places - they
havedoneitall.
Under Tata, the group went
through major organisational
phases — rationalisation,
globalisation, and now
innovation, as it attempts to
reach a reported $500 billion
revenue by 2020-21, roughly the
sizeofwhatWalmartistoday.
Approximately two third of the
equityof theparentfirm,Tata
Sons Ltd., is held by
philanthropic trusts endowed
by Sir Dorabji Tata and Sir
Ratan Tata, sons of Jamsetji
Tata, the founder of today's
Tata empire in the 1860s.
Through these trusts, Tata
Sons Ltd. utilizes on average
between 8 and 14 percent of its
net profit every year for various
socialcauses.
Even when economic condi-
tions were adverse, as in the
late 1990s, the financial
commitment of the group
towardssocialactivitieskept
CSR TIMES | #01 | APRIL 2013
TATA GROUP
o d ay ' s b u zz wo rd ,
C o r p o r a t e S o c i a l
TResponsibility or CSR
has been part of the Tata Group
ever since the days of Jamshetji
Tata. Even while he was busy
setting up textile ventures, he
always thought of his workers'
welfare and requirements of
thecountry.
From granting scholarships for
further studies abroad in 1892
to supporting Gandhiji's
campaign for racial equality in
South Africa to giving the
country its first science centre,
hospital and atomic research
centre to providing relief and
rehabilitation to natural
disaster affected places - they
havedoneitall.
Under Tata, the group went
through major organisational
phases — rationalisation,
globalisation, and now
innovation, as it attempts to
reach a reported $500 billion
revenue by 2020-21, roughly the
sizeofwhatWalmartistoday.
Approximately two third of the
equity of the parent firm, Tata
Sons Ltd., is held by
philanthropic trusts endowed
by Sir Dorabji Tata and Sir
Ratan Tata, sons of Jamsetji
Tata, the founder of today's
Tata empire in the 1860s.
Through thesetrusts, Tata Sons
Ltd. utilizes on average
between 8 and 14 percent of its
net profit every year for various
socialcauses.
Even when economic condi-
tions were adverse, as in the late
1 9 9 0 s , t h e f i n a n c i a l
commitment of the group
towards social activities kept on
increasing, from Rs 670 million
in 1997-98 to Rs 1.36 billion in
1999-2000. In the fiscal year
2004 Tata Steel alone spent Rs
45croreonsocialservices.
Tata is accredited to initiate
various labor welfare laws. For
example- the establishment of
Welfare Department was
introduced in 1917 and enforced
by law in 1948; Maternity
Benefit was introduced in 1928
and enforced by law in 1946. A
pioneerinseveralareas, theTata
group has got the credit of
pioneering India's steel
industry, civil aviation and
starting the country's first
power plant. It had the world's
largest integrated teaoperation.
It is world's sixth largest
manufacturer of watches
(Titan).
Tata Corporate
Sustainability Policy
The corporate policy of the
group encompasses the
sustainable development of all
the stakeholders. The major
points included in thecorporate
policyarefollowing :
Ÿ Demonstrate responsibility
and sensitivity to biodiversi-
tyandtheenvironment.
Ÿ Comply with rules and
regulations relating to
environment
Ÿ Constantly upgrade
technology and apply
state-of-the-art processes
and practices with
institutional arrangements
that will combat larger
issues like climate change
andglobalwarming
Ÿ Create sustainable liveli-
hoodsand build community
through social program
pertaining to health,
education,empowermentof
w o m e n a n d y o u t h ,
employeevolunteering.
Ÿ Find ways to enhance
economic human, social
and natural capital for
bringing and maintaining a
balance among business,
societyandenvironment.
Dedications to the
Nation at a Glance
Tata Health Infrastructure
Ÿ Tata main hospital at
Jamshedpur
Ÿ ICU inJodaand Balangpur
Ÿ CHCinBariand Kuhika
Ÿ Hospitals in Gobarghati,
Sukinda, Joda, Belpahar,
Belipadaand Bamnipal
Ÿ Lifeline Express - the
hospitalonwheels
Ÿ Mobilehealthclinics
Ÿ Centre for hearing impaired
children
Tata Educational
Infrastructure
Ÿ Instituteof mathematics
Sukindacollege
Ÿ Joda college centenary
CSR TIMES | #01 | APRIL 2013
BEST PRACTICES
Learningcentreat XIMB
Ÿ J NTataTechnical Education
centre.
Ÿ School of hope: Shishu
Niketan
Tata Sports Infrastructure
Ÿ TataAthletics Academy
Ÿ TataArcheryAcademy
Ÿ TataFootballAcademy
Ÿ Tata Steel Adventure
Foundation
Ÿ Sports Feeder Centres
Ÿ Stadium atKeonjhar
CSR Activities of
Tata Cos. & Societies
TataSteel
Tata Steel has adopted the
Corporate Citizenship Index,
TataBusinessExcellenceModel
and the Tata Index for
Sustainable Development. Tata
Steel spends 5-7 percent of its
profit after tax on several CSR
initiatives,viz.,
(a) Self-HelpGroups(SHG's)
Over 500 self-help groups are
currently operating under
various poverty alleviation
programs; out of which over
200 are engaged in activities
of income generation
thorough micro enterprises.
Wo m e n e m p o w e r m e n t
programs through Self-Help
Groups have been extended to
700villages.
(b) Supports Social Welfare
Organizations
Tata Steel supports various
social welfare organizations.
Theyinclude;
Ÿ Tata Steel Rural Develop-
mentSociety
Ÿ Tribal Cultural Society
Ÿ Tata Steel Foundation for
FamilyInitiatives
Ÿ National Association for the
Blind
Ÿ Shishu Niketan School of
Hope
Ÿ Centre for Hearing Impaired
Children
Ÿ Indian Red Cross Society,
EastSinghbhum
(c)HealthcareProjects
In its 100th year, the Tata Steel
Centenary Project has just been
announced. The healthcare
projects of Tata Steel include
facilitation of child education,
immunization and childcare,
plantation activities, creation of
awareness of AIDS and other
healthcareprojects.
(d)EconomicEmpowerment
A program aiming at economic
empowerment through
improvised agriculture has
been taken up in three
backward tribal blocks in
Jharkhand, Orissa and
Chhattisgarh. An expenditure
of Rs 100 crore has been
estimated for the purpose and
this program is expected to
benefit 40,000 tribal living in
over 400 villages in these three
States.
(e)Assistancetogovernment
Tata Steel has hosted 12 Lifeline
Expresses in association with
the Ministry of Railways,
Impact India Foundation and
the Government of Jharkhand.
It has served over 50,000
people. Five thousand people
have got surgical facilities and
over 1,000 people received aids
CSR TIMES | #01 | APRIL 2013
and appliances. Over 7,00,000
rural and another 7,00,000
urban population have been
benefited by the CSR activities
of TataSteel.
The National Horticulture
Mission program that has
b e e n t a ke n u p i n
collaboration with the
Government of Jharkhand has
benef ited more than a
thousand households. In
collaborationwiththeMinistry
of Non Conventional Energy
and the Confederation of
Indian Industry, focusis laidon
renewable energy aiming at
enhancingrural livelihood.
TataMotors:
(a) PollutionControl
Tata Motors is the first Indian
Company to introduce vehicles
with Euro norms. Tata Motors'
joint venture with Cummins
EngineCompany, USA, in 1992,
was a major effort to introduce
emission control technology in
India. To make environment
friendly engines it has taken
the help of world-renowned
engineconsultantslikeRicardo
and AVL. It has manufactured
CNG version of buses and also
launched a CNG version of its
passenger car, the Indica. Over
the years, Tata Motors has also
made investments in the
establishment of an advanced
emission-testing laboratory.
(b) RestoringEcologicalBalance
Tata Motors has planted
80,000 trees in the works and
the township and more than
2.4 million trees have been
planted in Jamshedpur region.
Over half a million trees have
been planted in the Poona
region. The company has
directed all its suppliers to
package their products in
alternate material instead of
wood. In Pune, the treated
water is conserved in lakes
attracting various species of
birdsfromaroundtheworld.
(c)EmploymentGeneration
Relatives the employees at
Punehave been encouraged to
make various industrial co-
o p e r a t i v e s e n g a g e d i n
productive activities like re-
cycling of scrap wood into
furniture, welding, steel scrap
baling, battery cable assembly
etc. The Tata Motors Grihini
Social Welfare Society assists
e m p l o y e e s ' w o m e n
dependents; theymakeavariety
of products, ranging from
pickles to electrical cable
harnesses etc; thereby making
themfinanciallysecure.
(d)EconomicCapital
In Lucknow, two Societies –
Samaj Vikas Kendra & Jan
Parivar Kalyan Santhan have
b e e n f o r m e d f o r r u ra l
development & for providing
healthcare to the rural areas.
These societies have made great
effortsforhealth,educationand
women empowerment in rural
areas.
(e)HumanCapital
Tata motors has introduced
many scholarship programs for
the higher education of the
c h i l d r e n . T h r o u g h a
s c h o l a r s h i p p r o g r a m
Vidyadhanam, the company
supports 211 students. Outof th
ese students 132 students are
from the marginalized sections
of the society. These students
get books, copies and other
study materials. They also
undergo different kinds of
workshops, creative & outdoor
sessions and residential camps
aswell.
The company has entered into
Public-Private Partnership
(PPP) for upgrading 10
Industrial Technical Institutes
(ITI)acrossthecountry.
(f)NaturalCapital
On the World Environment
Day, Tata Motors has launched
a tree plantation drive across
India and countries in the
SAARC region, Middle East
Russia and Africa. As many as
25,000 trees were planted on
the day. Apart from this more
than 100,000 saplings were
planted throughout the
monsoon.
TataChemicalsLtd(TCL)
Tata Chemicals is making an
effort for sustainability.
Sustainability for the group
m e a n s h o n e s t y a n d
t r a n s p a r e n c y t o w a r d s
stakeholders, environmental
protection , generating
economic value, promoting
human rights and creating
social capital. Tata Chemicals
supports the UN Global
TATA GROUP
CSR TIMES | #01 | APRIL 2013
BEST PRACTICES
Compact and is committed to
reporting its sustainability
performance in accordance
with GRI (Global Reporting
Initiatives) guidelines. Its main
operations for environment
protection include optimal
use of resource, finding
and/or generating alternative
sources of fuel and raw
materials, and maximizing
reuseandrecycling.
All in all they have the policyof
“avoid, reduce and reuse”.
The company runs a rural
development program at
Okhamandaland Babrala.
Tata Chemicals Limited was
one of the first organizations to
hold an Impact camp, which
washeldatMithapurintheyear
1982, providing eye care to
hundreds of patients at the
Mithapur Hospital. Tata
Chemicals Limited was also the
firstorganizationtorunworld's
first hospital on wheels - the
Life Line Express, through
Jamnagar district for the first
time between November 21,
2004and December21, 2004. 16
TataTea
TataTea has beenworking hard
since the 1980s to fulfill the
needs of specially-abled
people. It has set up the Srishti
Welfare Centre at Munnar,
Kerala; its various programs
provide education, training
and rehabilitation of children
and young adults with special
needs.
Tata Tea's welfare officers help
identify and encourage relatives
or children of employees who
are handicapped to join the
Welfare Centre for special
education and rehabilitation
Srishti hasfourprojects:
1)TheDARE
It provides the students with
training in basic academics,
self-help skills and skills like
gardening, cooking, weaving
etc. Children are taught to paint
and some of the paintings are
printed and sold as greeting
cards. The sales proceeds of
which are used back into the
units.
2)TheDAREstrawberry
It preserves unit trains
youngsters to make natural
strawberry preserve. The
trainees are paid for the work;
they receive social cover, free
medicalaidandotherbenefits.
3)Athulya
Ithastwounits-
(i) A vocational training center
that imparts training in
stationery-making;and
(ii) A handmade paper-making
unit which trains physically
challenged persons in the art of
makingrecycledpaper
4)Aranya
This project was started to
nurture the lives of the disabled
and also to revive theancientart
of natural dye. Individuals are
given training invarious natural
dyeing techniques including
blockprinting,tieanddye, batik
work, etc. Their products are
sold inandoutsidethecountry
Tata Tea's Jaago Re! Campaign
exemplifies the Social-Cause
Marketing Initiatives.
Conclusion
For bringing back and
maintaining the general
balance in the economic and
social arena it is evident to
think deeply and act wisely
about CSR. As far as the Tata
group is concerned , it has gone
a long way in fulfilling its duty
and responsibility towards the
society and the nation. It has
reached the masses to elevate
their lives, to nurture their
dreamsandtohonetheirskills.
CSR TIMES | #01 | APRIL 2013
CSR TIMES | #01 | APRIL 2013
heconceptof Corporate Social Responsibility is not new to
us in India, the charity and support to the society has been
Tan integral part of ancient Indian traditions where we
offeredevenfoodtocowsand birdsbeforetakingthefirstpie. This
amazing concept of giving something back to the society has now
become an integral part of Corporate World and embracing the
concept of responsibility, the CSR has become the part and parcel
of EmployeeRelationsactivities.
To understand the concept of 'taking' the pleasure and happiness
by'giving'somethingback,letusunderstandtheconcept–
Incomparisontowhat…
Have you noticed that we generally complain about a lot of things
on daily basis. We have got issues about our salaries, benefits,
perks, cars and mobiles and what not? Why for most of us the
salariesareless,carsaresmall, housesarenotfullyair-conditioned
and mobiles are not the classy BlackBerries? Let us put ayardstick
against each one of these and start asking ourselves – “In
comparisontoWhat”?
We havegot houses big orsmall but therearesomewhodon'teven
have a hutment. We have got two wheelers to ride or cars to drive
and some are not even able to walk without help. We get salaries
every month because we are employed, whereas some are pushed
in crime because there is no job. Some people are ailing with
diseaseswithnocureandsomearespending theremainingdaysof
theirlifeinoldagehomes.
The Pleasure of
Giving Something Back to Society
DeepakBehl
CSR TIMES | #01 | APRIL 2013
We are morally answerable to
them as they are also the part
and parcelof oursocietyandwe
should helpthemoutaccepting
oursocialresponsibility. Letme
share a very interesting story
here...
What you have to do is to note
all the bold words in the story
and then we will do an exercise
after you have finished reading
thestory.
One day two very old friends
Ramand Shyammetaftermany
years and felt very good. They
met after about 20 years and
now both of them were around
40 years old. They shared with
each other everything about
theirfamily, jobandchallenges.
Ram said that he was very
happy and successful
because he was healthy and
working with a bank as a
m a n a g e r a n d t a k e s a
handsomesalaryof Rs.50,000
every month. He spends time
with hishappyfamilyof three,
his wife and 12 year young
daughter, studying in 6th class.
They all go for outings,
swimming, etc in his Maruti
800 and was very happy to lead
ahappyfamilylife.
Shyam said that he was not
very happy and not that
successful in his career in
comparison to his teammates
as he is justavicepresident in
an MNC and only makes about
TheStoryofTwoFriends
Rs.2,00,000 a month. Has a
Skoda but is always very busy
and have got no time for
family, his son is probably in
5th or 6th class and is suffering
with many modern diseases like
hyper tension, blood pressure
and heartproblem.
Bothof themwereconfused and
surprised. Ram thought, How
lucky Shyam was. He is very
successful as he is a VP only at
40, owns a big car, makes very
good money, what else does he
need inhislife.
Shyamthought, HowluckyRam
was. He lives a healthy life,
spends quality time with his
family and enjoys life, has got
everything in his life that is
requiredtobehappy.
Nowasmallexerciseforyou:
1. Note down all the Bold words
in the above story, read what
Ram thought about Shyam and
what Shyam thought about
Ram. Analyse who is right and
why?
2. Ram said he is successful in
life, isheright?
3. Shyam said he is not that
successfulinlife, isheright?
4. Whatwillyouadvise Ramand
Shyamtoremainhappyinlife.
5. Success is what – money,
health, family life, happiness or
achievements?
If given an option what would
you like to become - Ram or
Shyam.
WhatistheaimofyourLife?
Think for a while before
answering...
I am sure it is not very easy for
many people to answer this
question as they have never
ever thought of any such aim of
their Life, for them life is life
and they need to live it
somehow, they work very hard
to live this life, sacrifice a lot,
study a lot, work a lot and want
to gain a lot. What they want to
gain is most of the time quite
materialistic (like house, car,
jewellery etc.). What they want
to achieve is to lead a
comfortable life, and to make it
comfortable they do a lot of
uncomfortable activities. They
want to make a lot of money so
thattheycan buybig happiness
in life like plush houses, big
cars, roam around the world
andcaneatbestof thefoods.
Someof themworkveryhard to
earn all these and they
inculcate a habit of tension.
Theykeeponworking hardand
feel tense for years and it
becomes a habit, rather a very
strong habit. Even if they
achieve what they aspire, they
do not stop working and
worrying hard as they have
acquired a habit in past many
years.Rat race is rat race, even if
you win, you will remain a rat
only
They need to pay heavy
opportunity cost for their
standard of living. Sometimes
ARTICLE
CSR TIMES | #01 | APRIL 2013
it can be even their health,
family life and relationships or
friends.Theydonotthinkif itis
worthwhile to make the money
at the cost of the family or
health.
A very strange fact of life about
mankind is : They spend first
half of their life in making
money losing their health, and
spend second half of their life
in spending that money in
regaining losthealth.
What if you lose your health
andfamilylifeand leadyourlife
in pain, is that you worked very
hard for? Did you make a lot of
money so that you can give it to
the posh hospitals or you
wantedtogiveallthehappiness
of life to your kids. I have heard
many people saying that they
are doing all this for their
children, so that they can live
theirlifecomfortably.
A re you sure your children will
be thankful toyou for making a
lot of money for them even if
you were not there on their
birthdays, sports days or
parents teachers meetings
because you were so busy in
making money,gainingsuccess
and proving others thatyou are
smarterthanthem.
I know some questions of
priority of job or family are
difficult to answer and some
will argue that if they do not
work they will not be able to
support their families - that is
perfectly OK if you think
ARTICLE
otherwise.
Companies have started
supporting a noble cause of
Corporate Social Responsibility
by enabling and encouraging
them to do many activities like
supporting Orphanages or old
age home,visiting blind schools
and destitute homes regularly,
supporting hospitals doing
charity for poor patients,
guiding and coaching poor and
underprivileged students in
continuingtheireducation.
The employees are encouraged
to do the charity on companies
behalf and are supported by HR
departments. Most of the
e m p l o y e e s e n g a g e d i n
Corporate Social Responsi-
bilities work have shown that
happiness and satisfaction in
achieving the inner peace is
something which cannot be
a s s o c i a t e d w i t h t h e i r
designations and salaries, the
indirect support to the
corporate has come in the form
of reduced turnover ratio and
obviously the reduction in
recruitment cost, happier and
motivate employees, good
general moral and a sense of
respect with positive branding
for their company supporting
thepoisedsocialcause.
You can also try to 'gain' some
real happiness and inner peace
by 'offering' your helping hand
for Corporate Social Responsi-
bility and let me assure you, you
will gain more than you offer for
sure.
[The Author is working
as Director HR with The
Grand New Delhi and is
a s s o c i a t e d w i t h
Students' Bright Future
Organisation (an NGO
working supporting
u n d e r p r i v i l e g e d
children in continuing
their studies), he is the
a u t h o r o f a w a r d
winning self help book –
Winning is Everything
(Best Business Book of
the Year Award winner)
and was also honoured
with Rajiv Gandhi
National Unity Award
for Corporate Social
Responsibility.]
CSR TIMES | #01 | APRIL 2013
BEST PRACTICES
ritish Petroleum, a.k.a., BP is one of the world's leading oil companies on the basis of market
capitalisation and proven reserves. Its main businesses are Exploration and Production,
BRefining and Marketing, and Chemicals. Exploration and Production's activities include oil
and natural gas exploration and field development and production, together with pipeline
transportation, natural gas processing and gas and power marketing. The activities of Refining and
Marketing include oil supply and trading as well as refining and marketing. Chemicals activities
include petrochemicals manufacturing and marketing. In addition, the Company has a solarenergy
businesswhichisoneof theworld'slargestmanufacturersof photovoltaicmodulesandsystems.
British Petroleum
“To do no Damage to the Environment”
CSR TIMES | #01 | APRIL 2013
Headquartered in London,
United Kingdom, BP is the
third-largest energy company
and fourth-largest company in
the world measured by 2011
revenuesand isoneof thesixoil
and gas "super majors". It is
vertically integrated and
operates in all areas of the oil
and gas industry, including
exploration and production,
refining, distribution and
marketing, petrochemicals,
power generation and trading.
It also has renewable energy
activities in bio fuels and wind
power. BP has a primary listing
on the London Stock Exchange
and isaconstituentof theFTSE
100Index.
BP's origins date back to the
founding of the Anglo-Persian
Oil Company in 1909,
established as a subsidiary of
Burmah Oil Company to
exploit oil discoveries in Iran.
In 1935, it became the Anglo-
Iranian Oil Company and in
1954 BritishPetroleum. In1959,
thecompanyexpanded beyond
the Middle East to Alaska and
in 1965 it was the first company
to strike oil in the North Sea.
British Petroleum acquired
majority control of Standard
Oil of Ohio in 1978. Formerly
majority state-owned, the
British government privatized
the company in stages between
1979 and 1987. British
PetroleummergedwithAmoco
in 1998 and acquired ARCO
and Burmah Castrol in 2000.
BP operations are organized
into three main "business
US$7 billion into oil and gas
explorationinthecountry.
CSR Of BP
As one of the largest energy
companies in the world, BP
finds itself at the heart of the
climate change debate. It has
often come under the spotlight
foritsenvironmentalandsocial
p e r f o r m a n c e f r o m
campaigningorganisations.
Perhaps in response to this
growing pressure on energy
companies to be transparent
and responsible in their
environmental practices, BP
has formulated an ambitious
vision: “To do no damage to the
environment” – a challenge
that stimulates BP “to find
innovative ways to manage our
environmental impact at local,
regional and global levels.” BP's
s e g m e n t s " : U p s t r e a m ,
D o w n s t r e a m , a n d B P
AlternativeEnergy.
BP in India
With its rapidly-growing
population, rising demand for
energy and potential for large
hydrocarbon reserves, India
offers a remarkableopportunity
for the oil and gas business.
With an investment of over US$
8 billion and employing over
8500 people in the oil, gas,
lubricants and petrochemicals
businesses, BP today has the
largest international energy
company presence in India. In
India, BPownsa30%shareof oil
and gas assets operated by
Reliance Industries, including
exploration and production
rights in more than 20 offshore
oil and gas blocks, representing
an investment of more than
BRITISH PETROLEUM
Salesandotheroperatingrevenues $375,517 million
No. of Employees 83,400
Proved Reserves 17,748 million barrels
of oil equivalent
Retail Sites 21,800
Upstream and midstream Active in 30 countries
Refineries (wholly or partly
owned)
16
Refining throughput 2,352 thousand
barrels per day
CSR TIMES | #01 | APRIL 2013
CSR TIMES | #01 | APRIL 2013
approach is multi-pronged,
addressing climate change
through a combination of
energy efficiency, (flaring
reductions and lower carbon
products), biodiversity, water
usage,wasteandairemissions.
What is BP's impact on climate
change? BP's measures its
impactinfollowingways:
Ÿ Greenhouse gas emissions
fromitsownoperations
Ÿ Emissions through the use
of itsproducts.
Ÿ BP has engaged in activities
to try and measure the
climate change impact of
theuseof itsproducts
·
Alongside this, the company is
also trying to gain measures of
the difference that cleaner
productscould make
Thepotential impactof cleaner
products has led the company
to develop products such as BP
Ultimate, a fuel that claims to
improve efficiency and reduce
pollution (e.g. 14.5% reduction
incarbonmonoxideemissions)
The replacing of oil with gas,
has also been a priority as gas
createslessGHGthanoil
Renewables
BP believes that gas will be the
transitional fuel for several
decades;yetacriticalactivityfor
the business, leading the
gradual transformation to a
position 'beyond petroleum', is
driven by its challenge “to build
a material and profitable
renewables business” based on
solarandwind.
The company emphasises the
potentialof solarpowertoreach
the “as much as one third of the
world's population” which is
currently without access to
electricity. It also advocates the
role of partnership in delivery,
working with global funding
agencies, NGOs and private
sector organisations as well as
managing the training of local
people to install and maintain
thesolarproducts.
The challenge has been to make
renewables a sustainable and
p r o f i t a b l e b u s i n e s s
proposition.
Currently, the returns from
renewablesdonotcomecloseto
oilandgas.
However BP has been working
todevelopsustainablebusiness
propositions in the area of
renewables.
This has resulted in the
beginnings of a solar and wind
programme, still in their
infancy but beginning to have
animpact.
BP's solar programme focuses
on the manufacture and
marketing of photovoltaic
cells. BP operates in markets
where there is government
support available, such as
Germany, UKand California.
Socio-economic
contribution
BP has far-reaching impacts on
local societies and economies
and aims to build enduring
relationships with the
communities in which they
operates. Working in the
energy industry raises some
significant social issues and BP
is committed to addressing the
challenges.
BP's direct socio-economic
contributionincludesrevenues
brought in by their activities.
BRITISH PETROLEUM
CSR TIMES | #01 | APRIL 2013
Such investments benefit BP
and its shareholders as well as
the communities and countries
where they operate – by
creating and sustaining direct
employment, for example and
bybuildingcapacityinthelocal
supplier base, which creates
employment opportunities
indirectly.
What are the issues?
There are very few aspects of
how a company behaves as a
corporate citizen that do not
apply to a company of the size
and nature of BP. The most
significant of these are the
sheer environmental impact -
not simply of the extraction of
oil and the energy use of BP's
own operation, but more
significantly of the impact on
climatechangeof theactualuse
of all the oil by BP's customers.
The state of current scientific
evidence raises serious
question marksoverwhetheror
not human society can actually
afford to burn all the
hydrocarbons whose existence
we have already identified -
never mind potential future
discoveries. Twenty years ago,
peopleworried thatonedaythe
oil would run out. Now, it is the
casethatthereal issue has been
identifiedasoneofemissions.
A company with such extensive
operations in developing
countries also needs to
carefully manage its approach
to human rights, and ethical
business practices. BP will have
significant impact on local
communities - both as a huge
employer and through the
nature of its on-the-ground
operations. It should expect to
seriously seek to reduce
negative impacts here, and to
invest seriously in those
communities.
BP as a global player, is
immensely powerful. It has no
democratic legitimacy, but
often is betterabletolead onthe
social development of the
p l a n e t t h a n n a t i o n a l
governments. This is a dilemma
itneedstohandlecarefully.
What do the critics say?
BP's move towards positioning
itself as a sustainable energy
co m p a ny h a s b e e n t h e
proverbial red rag to a bull for
some. They point out that BP's
claim to be a global leader in
producing the cleanest burning
fossil fuel (natural gas) is an
incremental improvement over
oil at best, and a distraction
from getting away from fossil
fuels at worst. BP, they claim,
hasco-opted thelanguageof the
environmentalists without the
realcommitmenttodeliver.
What does BP say?
BP states that it recognises the
significant environmental and
social challenges faced by the
world in the 21st century. It
believes it can, and should, play
a part in addressing and
resolving many of the issues
associated with sustainable
development. It also accepts
that while the company can be
part of the solution, it cannot
and should not be the whole
solution.
Governments, companies and
civil society must fins effective
waysofworkingtogether.
Alongside the standard
financial figures, BP reports its
own greenhouse gas and other
emissions, oil spillages,
employeesatisfaction,dayslost
through injury at work, and
community investment across
theworld.
BP's policy statement commits
the company to ambitious and
w i d e - ra n g i n g b u s i n e s s
principles. The company's
reporting seeks to illustrate
how the company is meeting
these commitments in a
manner that supports the
profitabilityof thebusiness.
BEST PRACTICES
CSR TIMES | #01 | APRIL 2013
Where There’s a Will
There’s a Way
ARTICLE
Kiran Bedi
There isasaying – wherethere is
a will there is a way. When
such sayings are put into
practice, in any appropriate
form, they becomeexamples for
others to emulate. I will share
with you one such story which
provesthis.
Few years ago, fourteen serving
officersof Delhi Police,of whom
I was one, came together and
registered a non-governmental
organisation called Navjyoti. It
was set up to eliminate crime
through the methods of
prevention, correction,
treatment, rehabilitation and
social development. When it
wasregistered, itwasthefirstof
its kind set up by police officers
in the country, perhaps even in
the world. The traditional role
of police officers is usually
crime detection, arrest,
interrogation, prosecution,
surveillance and intelligence
collection. Police performance
is judged more by the number
of arrests and detection of
crimes and not by the level of
prevention. No standard
evaluating tools have been
evolved in policing in our
country to test this. It is
certainly a lacuna in the police
system, which hopefully one
day, will be rectified by
visionary and committed
individuals occupying the right
places in the police set-ups.
However, Navjyotiwasbornout
of a commitment to treat the
root and branches of crime,
and not just its deformed
outcome. In order to do so, we,
the police officers involved in
Navjyoti, identified one major
CSR TIMES | #01 | APRIL 2013
ARTICLE
crime-breedingpocketof Delhi
and initiated educational
programmes there. It was a
small beginning but with such
great potential that it
continued to generate its own
momentum.
Today, in that huge slum of
Yamuna Pushta, with a
population of over 1,50,000,
opposite the Red Fort of Delhi,
more than 7,000 children are
participating in Navjyoti's
p r i m a r y a n d r e m e d i a l
educationprogrammes.
But in order to get so many
children into this school, we
had to haveat leastthe mothers
being willing to let their
children attend. In these
poorest of families, each child
means an income of about Rs.
50 a day, i.e. Rs. 1,500 in one
month. This is earned by
begging, garbage picking,
plastic selling, child labour
diving into the Yamuna river to
retrieve the coins thrown in as
offerings, theft, pilferage, drug
selling, etc. Therefore, having a
large family does not matter to
these families – in fact, it is
deemed profitable. The girl
children additionally look after
theirsiblings.
To educate such children as a
part of preventive and welfare
policing, Navjyoti opened Gali
Schools, which provide
education to children with the
cooperation of their mothers,
fathers or guardians. And it is
this success story I want to
sharenow.
The Navjyoti Women's
Development Project brought
in aconceptof 'self-help-group'.
This involved motivating small
groups of women numbering 15
to 20, to contribute Rs. 2 to 5 per
day towards collective savings.
The money thus saved over the
month becomes their in-house
bank to be available for loans in
case of need, from time to time.
The women choose their own
group leader. The leader and
members are trained by the
Navjyoti facilitators to keep
records in a simple way that is
easily understood by them.
They hold periodic meetings,
motivate other women and
encourage them in self-help in
the form of a collective trade or
individualentrepreneurship.
I happened to attend their first
such assembly held at Gandhi
Darshan, by all the self-help
groups. There were, in all, over
700 women present. Starting
from nothing just eight months
ago, therewere now thirty-three
self-help groups. Collectively,
they had saved overRs. 1,50,000.
They had already opened
nineteen bank accounts.
Around twenty-onewomen had
received loans for various
r e a s o n s s u c h a s s e l f -
employment, education of their
children, family health matters,
marriagesof theirdaughtersetc.
They had puton displaysomeof
theproductsthattheyhad made
themselves and marketed. They
were now a confident group of
women with a sense of security
andself-confidence.
I asked them how things had
been before? They said that
there used to be loan sharks
roaming around the basti,
offering loans. For every Rs.
1,000 that was borrowed, the
lender would retain Rs. 50.
Thereafter, the borrower had to
return Rs. 25 per day for the
next 50 days. In other words,
pay back Rs. 1250 for borrowing
Rs. 1,000 (suffering in other
words, a loss of Rs. 300). The
intereston the loanvaried from
25 to 30%. Alongside, the
lenderwould keepwithhimthe
borrower's jhuggi papers,
identity card or ration card as
security. The person taking the
loan had to request for his
ration card to be given to him
for a day to buy his rations. In
t h e e ve n t o f d e l ay i n
repayment, the lender would
take a crowd of people to
threaten/harass/abuse/batter
the borrower. At times, police
help was also taken by the
lenderstorecovertheirloans.
Police performance is judged
more by the number of arrests
anddetectionof crimesand not
by the level of prevention. No
standard evaluating tools have
been evolved in policing in our
countrytotestthis.
And now, what is the situation,
I asked? They said that now
they only pay one rupee as
service charge for the loan
taken, which is also a part of
theirownsaving.
The same women of these
jhuggies, who had been
dependent on others, are now
marching forward towards
forming theirowncooperatives
oneday.
CSR TIMES | #01 | APRIL 2013
BEST PRACTICES
harat Heavy Electricals Limited, popular as, BHEL is the
largest engineering and manufacturing enterprise in India
Bin the energy-related/infrastructure sector, today. BHEL
was established more than 40 years ago, ushering in the
indigenous Heavy Electrical Equipment industry in India - a
dream that has been more than realized with a well-recognized
trackrecordof performance.
Social welfare and community development is at the core of
BHEL's CSR philosophy and continues to be a top priority for the
Company. It revolvesaround the Company'sdeeply-held belief in
the principle of symbiotic relationship with the local
communities, recognizing that business ultimately has a
purpose- toservehuman needs. Closeandcontinuous interaction
with the people and communities in and around the
manufacturing divisions has been the key focus while striving to
bring around qualitative changes and supporting the
underprivileged. Fostering the tradition of repaying the society at
large by actively participating in the welfare of local communities
through numerous Corporate Social Responsibility initiatives,
undertakes socioeconomic and community development
programmes. It has developed a CSR Scheme and its Mission
Statement on CSR is "Be a Committed Corporate Citizen, alive
towards its Corporate Social Responsibility". As an integral partof
the society, is moving forward by achieving the objectives of its
social responsibility. In the year gone by, the Company supported
innumerable social initiatives across the country by undertaking
projects in diversified areas like Health, Environment
Enrichment, Hygiene, Education, Community Development,
Self- Empowerment etc., supporting projects of Afforestation,
WaterConservation, providing PotableWateraccessories, besides
conducting Health Camps around the Units/Project sites for
Diagnosticand Medicinedistributionforcommonailments.
CSRinitiatives
ParticipationintheUN'sGlobalCompactProgramme:
As the world's largest global corporate citizenship initiative, the
Global Compact Program is the first and the foremost concern
which is exhibiting and building the social legitimacy of business
“Be a Committed Corp
and markets. BHEL has
continued to play a prominent
part in the United Nation's
Global Compact Programme
on CSR by promoting the core
values on human rights, labour
standards, environment and
anti-corruption and intends to
advance these principles
forming part of its strategy &
CSR TIMES | #01 | APRIL 2013
porate Citizen”
BHEL’s message of CSR
culture within its sphere of influence. The company demonstrated its commitment through regular
poolingofcommunicationof progress(COP)ontheUNGC
website. Periodically submits annual Communication of Progress on the relevant principleof global
compactinrespectof Environmentalissues.
Health,Safety& Environment
It has continued with its commitment towards conservation of the environment. The Company
successfully completed various Environment Improvement Projects (EIPs) during the year 2012.
These projects helped in enriching theenvironment, conservation of precious natural resources like
energy, water, fuel oil, coolantand mitigating theenvironmental pollution. Major ElPs cumulatively
CSR TIMES | #01 | APRIL 2013
completed in and around
units/
regions and sites, include: (i)
Rain Water Harvesting Plants;
(ii) Tree Plantations; and (iii)
d e ve l o p m e n t o f G re e n
Coverage.
Other key EIP initiatives
undertaken were in theareasof
Water Conservation Projects,
Energ y Saving Systems
utilizingefficienttechnologies,
Installation/ Improvement in
fumes extraction system,
Installation of Paint Booth,
Noise Level Reduction System,
Chemical Storage & Handling
S y s t e m , R e s o u r c e
Conservation (Lubricant/
m e t a l / C o o l a n t ) , a n d
U t i l i z a t i o n o f N o n -
Conventional Energy Sources.
Besides the above activities,
BHEL conducted Training and
awareness Programmes on
Environment, Health & Safety
and Skill Development
programmes for employees
including contractors' workers
etc.
Environment Management /
DevelopmentPolicy:
Its an environment friendly
company in all its activities,
products & services, besides
providing safe and healthy
working environment to all its
stakeholders and has made
UNGC programme as part of
the Company's strategy,
culture and day-to-day
operations. The company has
formulated its Sustainable
Development Policy as an
integral part of the Company's
strategy. A Budget of Rs 50
Lakhs plus 0.1% of Profit After
Tax (PAT) for the previous year
exceeding r 100 Crore is
earmarked for Sustainable
Development projects and
activities. For the year 2011-12,
an amount of Rs 6.41 crore is
provided towards sustainability
developmentexpenditure.
Health
Adopting a multi-disciplinary
approach towards CSR in which
health and medical care,
hygiene, sanitation, provision
of pure drinking water and
education take the top most
priority, BHEL initiated
projects titled 'Vision to all' in
(i) Guntur district of Andhra
Pradesh to carry out cataract
operations for five hundred
patients; and (ii) another
unique project, for carrying out
300 orbit surgeries for
eyepatients from Andhra
P r a d e s h , O r i s s a a n d
Chattisgarh commenced at
Sankar foundation Eye Hospital
inVishakhapatnam(AP).
EmployementGeneration
Projects related to self
employmentgenerationarealso
taken up every year where
women and youth are given
training in certain trades to
become self employable and in
someplacescertainequipments
havealsobeendistributed.
An home for the elderly has
beensetupatBhopal.
Self-empowerment:
Ta k i n g t h e f o c u s o n
Community development
beyond the basic needs of
h e a l t h a n d e d u c a t i o n ,
organizes various programmes
for talent upgradation of social
and economically backward
s t u d e n t s f o r t h e i r
empowermentinordertomake
them self-reliant. It supported
one such programme for
Apparel training of students
belonging to below poverty-
line families in Chhindwara
d i s t r i c t , M a h a r a s h t r a .
Organized a Cutting and
tailoring training programme
through NGOs for ladies in
Jhansi to provide livelihood
o p p o r t u n i t i e s a n d
empowermentofwomen.
Education:
The Company is promoting
v a r i o u s S c h o l a r s h i p
Programmes for students to
enable them pursue higher
education. Under these
p ro g ra m m e s, f i n a n c i a l
assistance is provided to wards
of widows in adopted schools
a n d v i l l a ge s by u n i t s.
Supporting need based
Construction of hostels,
classrooms, toilets etc. in
educational institutes.
DisasterManagement:
BHEL has compassionately
responded to the beck and call
of thevictimsdevastated bythe
earthquake in Sikkim by
initiating efforts for the
re f u r b i s h m e n t o f f o u r
government schools which
w e r e d a m a g e d b y t h e
BHEL
CSR TIMES | #01 | APRIL 2013
CSR TIMES | #01 | APRIL 2013
earthquake.
CSR Policies
( H e a l t h , S a f e t y a n d
E n v i r o n m e n t )
BHEL shares the growing
concern on issues related to
E n v i r o n m e n t a n d
Occupational Health & Safety
(OHS), and is committed to
protecting Environment in and
around its own establishment,
and to providing safe and
healthy environment to all its
employees. For fulfilling these
obligations, a Health, Safety &
Environmental Policy has been
formulated and implemented
throughmanagementsystems.
HumanRights
Principle 1) : Business should
support and respect the
protection of internationally
proclaimedhumanrights.
BHEL policies have been
meticulously drafted &
f o l l owe d , ke e p i n g t h e
principles of human rights, the
Constitution of India, labour
lawsetc.,inmind.
.
Principle2) : Makesuretheyare
not complicit in human rights
abuses
LabourStandards
Principle 3): Businesses should
uphold the freedom of
association and the effective
recognition of right to
collectivebargaining.
The Government of India has
enacted various labour laws to
adequately protect the interest
of the working class. These laws
are strictly adhered to in BHEL.
All Heads of BHEL units are
required to submit a report
aboutcompliancewithdifferent
laws. This is done to ensure that
the interests of the workers are
protected.
Apart from this, BHEL has
various bi-partite fora for
w o r k e r s , w h e r e t h e
issues/problems concerning
the workers are discussed and
settled.
Principle 4): The elimination of
all forms of forced and
compulsorylabour.
The company does not employ
forcedandcompulsorylabour.
C h i l d l a b o u r
Principle 5) :The effective
abolition of child labour
As per BHEL's Recruitment
Policy, the minimum age for the
employment is 18 years. No
person below this age can be
employed in BHEL, thereby
ensuring thatchild labouris not
employed in BHEL. In fact,
BHEL is "Zero Tolerance"
company regarding employing
ofchildlabour
Principle 6): Eliminate
discrimination in respect of
employment and occupation
Uniform set of rules are
mentioned in the 'The
Personnel Policy' of BHEL, that
apply equally to all employees,
irrespective of factors such as
sex, caste, religion, race etc. All
recruitments are conducted in
transparent manner, giving
equal opportunity toall citizens
o f I n d i a w i t h o u t a n y
discriminationwhatsoever
ANTI-CORRUPTION
Principle 10 : Business should
work against all forms of
c o r r u p t i o n , i n c l u d i n g
extortionand bribery.
-With a view to contain
corruption Government of
India has enacted "Right to
Information Act" giving right
to all citizens of India to seek
information besides other
rights of inspection etc. BHEL
has taken lead role in
implementing all provisions of
theactinletterandspirit.
- I n o rd e r to p re ve n t
co r r u p t i o n , a h o s t o f
'transparency measures' have
beeninitiatedcompanywide.
BEST PRACTICES
CSR TIMES | #01 | APRIL 2013
orporate Social Responsibility (CSR), Corporate Responsibility
(CR) or Sustainable Business are commonly heard, but rarely
understood, phrases. So what do they all mean? The Buzzwords
Cand beyond…
CSR is the process of assessing an organisation's impact on society and
evaluating their responsibilities. CSR begins with an assessment of a
businessand their:
Ÿ Customers
Ÿ Suppliers
Ÿ Environment
Ÿ Communities
Ÿ Employees
WhatdoesaCSRPolicyInclude?
Many organisations have a CSR Policy, which defines areas of concern and initiatives to improve
CSR : The Buzzword
...and Beyond
relations with the people and
environments affected by
business operations. CSR
policies often dictate a system
for monitoring responsible
performance.
Complianceandmore:
Successful CSR initiatives take
o r g a n i s a t i o n s b e y o n d
compliance with legislation
and leads them to honour
ethical values and respect
people, communities and the
natural environment. CSR is
sustainable - involving
a c t i v i t i e s t h a t y o u r
organisation can maintain
without adversely affecting
yourbusinessgoals.
Being Green and environment
friendly:
ARTICLE
Siddharth Das Gupta
CSR TIMES | #01 | APRIL 2013
CSR is about more than
environmental responsibility
or having a recycling policy.
CSR is about considering the
whole picture, from your
internal processes to your
clients,taking ineverystepthat
yourbusinesstakesduringday-
to-dayoperations.
CSRis...
A long-term approach to
business that addresses the
needs of communities, people
and their employers. CSR
provides frameworks for
successful enterprise that is
h a r m o n i o u s w i t h i t s
surroundings. CSR is an
opportunity to generate
honest, authentic good-news
stories that a business and its
communitycanbeproudof.
CSR must be sustainable -
remaining a fundamental part
of any business regardless of
changingfortunes.
The Benefits of Corporate
SocialResponsibility
In a very recent survey --“88%
of consumers said they were
more likely to buy from a
company that supports and
engages inactivities to improve
society. ”
Consumers increasingly don't
accept unethical business
practices or organisations who
actirresponsibly.
Organisations are now very
much accountable for their
actionslikeneverbefore.
Benefits of CSR in building
business.
CSR should not be viewed as a
drain on resources, because
carefully implemented CSR
p o l i c i e s c a n h e l p a n y
organisationto:
Ÿ Winnewbusiness
Ÿ Increasecustomerretention
Ÿ Develop and enhance
r e l a t i o n s h i p s w i t h
customers, suppliers and
networks
Ÿ Attract, retain and maintain
a happy workforce and be an
Employerof Choice
Ÿ Save money on energy and
operating costs and manage
risk
Ÿ Differentiate yourself from
yourcompetitors
Ÿ Generate innovation and
learning and enhance your
influence
Ÿ Improve your business
reputationandstanding
Ÿ Provide access to investment
andfundingopportunities
Ÿ .Generate positive publicity
and mediaopportunitiesdue
to media interest in ethical
businessactivities
What is sustainable
business?
Sustainable Business is another
way of referring to, and talking
about, Corporate Social
Responsibility (CSR). But
whether you call it Ethical
Business, Corporate Social
Responsibility or Sustainable
Business, you're talking about
thesamething.
All of these terms refer to
systems and strategies for
businesses to operate in a
responsible manner that
b e n e f i t s t h e i r p e o p l e ,
c o m m u n i t i e s a n d
environment.
Thedifference?
Different countries, industries
and government departments
approach ethical business
drives from slightly different
angles. So let's look at the
subtle differences between
Ethical Business, Corporate
Social Responsibility and
SustainableBusiness.
Corporate Social
Responsibility
CSR is the process of assessing
an organisation's impact on
society and evaluating their
responsibilities.
EthicalBusiness
Whenbusinessesfocusontheir
code of ethics or a code of
conduct they may label their
approach 'Ethical Business'.
Ethical Businesses often
emphasises:
Ÿ The source of products and
services
Ÿ Businessconduct
Ÿ Q u a l i t y a n d s e r v i ce
standards
Consumer-led organisations
oftenadoptan Ethical Business
plan in order to demonstrate
and reassurecustomersof their
ethical credentials. But it is
equally important that those
businesses also assess and
report on all areas of their
business activity, including
ARTICLE
CSR TIMES | #01 | APRIL 2013
s o c i a l , e c o n o m i c a n d
environmentalimpacts.
SustainableBusiness
S u s t a i n a b l e B u s i n e s s
essentially means being able to
continue, or operating in a way
that is conducive to ongoing
trading. Sustainable Business
is an important concept
because it recognises the
importance of businesses
continuing, particularly in
respect of providing jobs and
customforsuppliers.
Recently, Sustainable Business
hasexpandedtobecomeamore
holistic view of business
activity - reporting on impacts
to people, the planet and profit.
People, planet, profit is also
known as the Triple Bottom
Line.
The Small Business Need for
CSR
Accounting for the Triple
Bottom Line is known as full
cost accounting - something
thatmanylargecorporationsare
committing to. When larger
corporations examine their
social responsibility, they assess
theirsupplychain, becausetobe
truly accountable they need to
understand the impacts that
their suppliers have on their
people, environment and
communities.
Therefore it is increasingly
important for small to
medium-sized businesses to
demonstrate a commitment to
Corporate Social Responsibi-
lity and Sustainable Business,
particularly when trying to
securecontracts.
A p r o p e r p l a n n e d
implementation of these will
surely help any organisation to
have a solid sustainable base in
thebusinessworld.
ARTICLE

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Corporate Social Responsibility.pdf

  • 1. #01 | Apr’13 | 50 COVERING THE CORPORATE SOCIAL RESPONSIBILITY NEWS, VIEWS AND MORE CSR CSR TIMES | #01 | APRIL 2013
  • 2. contents CSR : The Need of the Hour Sunil Shastri The Pleasure of Giving Something Back to Society Deepak Behl Where There is a Will, There is a Way Kiran Bedi A Good Business Sense or a Duty? Joginder Singh The Buzzword & Beyond Siddharth Das Gupta 05 11 22 CSR TIMES - a First Step Foundation Initiative “Sarva Loka Hitam” Prema Cariappa’s Speech on CSR An Article by Dr Kapoor CSR - a boon for social upliftment in India CSR Practices in Bharat Petroleum CSR Initiatives by BHEL CSR being carried out at IOCL BEST PRACTICES IN CSR CSR Policy of TATA Group 36 31 COVER STORY CSR - A tool to enhance brand value 18 38 38 38 Bit d s i T R S C M l a e i d c i o a S n o R SC e h w t o d r n l d u o r a RSC CSR TIMES | #01 | APRIL 2013
  • 3. orem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet Lvoluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum lo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Happy reading! Sunil Shastri editor’s viewpoint Editor in Chief Prashant Das editor-csrtimes@gmail.com Associate Editor Prashant Das editor-csrtimes@gmail.com Content Developer Prashant Das editor-csrtimes@gmail.com Art Director Prashant Das editor-csrtimes@gmail.com Graphic Artist Prashant Das editor-csrtimes@gmail.com Circulation Manager Prashant Das editor-csrtimes@gmail.com Sales Manager Prashant Das editor-csrtimes@gmail.com #01 Apr’13 50 COVERING THE CORPORATE SOCIAL RESPONSIBILITY NEWS, VIEWS AND MORE CSR TIMES | #01 | APRIL 2013
  • 4. Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.rsidoloreLorem ipsumdoloSadipametvoluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadipametvoluptasnemisomins.rsidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.rsidoloreLorem ipsumdoloSadipametvoluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo CSR: The Need of the Hour Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore SPECIAL FEATURE CSR TIMES | #01 | APRIL 2013
  • 5. Sadip amet voluptas nemisomins.rsidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas SPECIAL FEATURE CSR TIMES | #01 | APRIL 2013
  • 6. nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.rsidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.rsidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.rsidolore. Sadipametvoluptasnemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Lorem ipsum dolo Sadip amet voluptas nemis omins.r sidolore Loremipsumdo. SPECIAL FEATURE CSR TIMES | #01 | APRIL 2013
  • 7. CSR TIMES | #01 | APRIL 2013
  • 8. CSR TIMES | #01 | APRIL 2013 TATA Group The Front-Runners in CSR Practices No success or achievement in material terms is worthwhile unless it serves the needs or interests of the country and its people. “We do not claim to be more unselfish, more generous and more philanthropic than other people. But we think we started on sound and straightforward business principles, considering the interests of the shareholder, our own, and the health and welfare of the employees, the sure foundationofourprosperity.”” o d ay ' s b u zz wo rd , C o r p o r a t e S o c i a l TResponsibility or CSR has been part of the Tata Group ever since the days of Jamshetji Tata. Even while he was busy setting up textile ventures, he always thought of his workers' welfare and requirements of thecountry. From granting scholarships for further studies abroad in 1892 to supporting Gandhiji's campaign for racial equality in South Africa to giving the countryitsfirstsciencecentre, hospital and atomic research centre to providing relief and rehabilitation to natural disaster affected places - they havedoneitall. Under Tata, the group went through major organisational phases — rationalisation, globalisation, and now innovation, as it attempts to reach a reported $500 billion revenue by 2020-21, roughly the sizeofwhatWalmartistoday. Approximately two third of the equityof theparentfirm,Tata Sons Ltd., is held by philanthropic trusts endowed by Sir Dorabji Tata and Sir Ratan Tata, sons of Jamsetji Tata, the founder of today's Tata empire in the 1860s. Through these trusts, Tata Sons Ltd. utilizes on average between 8 and 14 percent of its net profit every year for various socialcauses. Even when economic condi- tions were adverse, as in the late 1990s, the financial commitment of the group towardssocialactivitieskept
  • 9. CSR TIMES | #01 | APRIL 2013 TATA GROUP o d ay ' s b u zz wo rd , C o r p o r a t e S o c i a l TResponsibility or CSR has been part of the Tata Group ever since the days of Jamshetji Tata. Even while he was busy setting up textile ventures, he always thought of his workers' welfare and requirements of thecountry. From granting scholarships for further studies abroad in 1892 to supporting Gandhiji's campaign for racial equality in South Africa to giving the country its first science centre, hospital and atomic research centre to providing relief and rehabilitation to natural disaster affected places - they havedoneitall. Under Tata, the group went through major organisational phases — rationalisation, globalisation, and now innovation, as it attempts to reach a reported $500 billion revenue by 2020-21, roughly the sizeofwhatWalmartistoday. Approximately two third of the equity of the parent firm, Tata Sons Ltd., is held by philanthropic trusts endowed by Sir Dorabji Tata and Sir Ratan Tata, sons of Jamsetji Tata, the founder of today's Tata empire in the 1860s. Through thesetrusts, Tata Sons Ltd. utilizes on average between 8 and 14 percent of its net profit every year for various socialcauses. Even when economic condi- tions were adverse, as in the late 1 9 9 0 s , t h e f i n a n c i a l commitment of the group towards social activities kept on increasing, from Rs 670 million in 1997-98 to Rs 1.36 billion in 1999-2000. In the fiscal year 2004 Tata Steel alone spent Rs 45croreonsocialservices. Tata is accredited to initiate various labor welfare laws. For example- the establishment of Welfare Department was introduced in 1917 and enforced by law in 1948; Maternity Benefit was introduced in 1928 and enforced by law in 1946. A pioneerinseveralareas, theTata group has got the credit of pioneering India's steel industry, civil aviation and starting the country's first power plant. It had the world's largest integrated teaoperation. It is world's sixth largest manufacturer of watches (Titan). Tata Corporate Sustainability Policy The corporate policy of the group encompasses the sustainable development of all the stakeholders. The major points included in thecorporate policyarefollowing : Ÿ Demonstrate responsibility and sensitivity to biodiversi- tyandtheenvironment. Ÿ Comply with rules and regulations relating to environment Ÿ Constantly upgrade technology and apply state-of-the-art processes and practices with institutional arrangements that will combat larger issues like climate change andglobalwarming Ÿ Create sustainable liveli- hoodsand build community through social program pertaining to health, education,empowermentof w o m e n a n d y o u t h , employeevolunteering. Ÿ Find ways to enhance economic human, social and natural capital for bringing and maintaining a balance among business, societyandenvironment. Dedications to the Nation at a Glance Tata Health Infrastructure Ÿ Tata main hospital at Jamshedpur Ÿ ICU inJodaand Balangpur Ÿ CHCinBariand Kuhika Ÿ Hospitals in Gobarghati, Sukinda, Joda, Belpahar, Belipadaand Bamnipal Ÿ Lifeline Express - the hospitalonwheels Ÿ Mobilehealthclinics Ÿ Centre for hearing impaired children Tata Educational Infrastructure Ÿ Instituteof mathematics Sukindacollege Ÿ Joda college centenary
  • 10. CSR TIMES | #01 | APRIL 2013 BEST PRACTICES Learningcentreat XIMB Ÿ J NTataTechnical Education centre. Ÿ School of hope: Shishu Niketan Tata Sports Infrastructure Ÿ TataAthletics Academy Ÿ TataArcheryAcademy Ÿ TataFootballAcademy Ÿ Tata Steel Adventure Foundation Ÿ Sports Feeder Centres Ÿ Stadium atKeonjhar CSR Activities of Tata Cos. & Societies TataSteel Tata Steel has adopted the Corporate Citizenship Index, TataBusinessExcellenceModel and the Tata Index for Sustainable Development. Tata Steel spends 5-7 percent of its profit after tax on several CSR initiatives,viz., (a) Self-HelpGroups(SHG's) Over 500 self-help groups are currently operating under various poverty alleviation programs; out of which over 200 are engaged in activities of income generation thorough micro enterprises. Wo m e n e m p o w e r m e n t programs through Self-Help Groups have been extended to 700villages. (b) Supports Social Welfare Organizations Tata Steel supports various social welfare organizations. Theyinclude; Ÿ Tata Steel Rural Develop- mentSociety Ÿ Tribal Cultural Society Ÿ Tata Steel Foundation for FamilyInitiatives Ÿ National Association for the Blind Ÿ Shishu Niketan School of Hope Ÿ Centre for Hearing Impaired Children Ÿ Indian Red Cross Society, EastSinghbhum (c)HealthcareProjects In its 100th year, the Tata Steel Centenary Project has just been announced. The healthcare projects of Tata Steel include facilitation of child education, immunization and childcare, plantation activities, creation of awareness of AIDS and other healthcareprojects. (d)EconomicEmpowerment A program aiming at economic empowerment through improvised agriculture has been taken up in three backward tribal blocks in Jharkhand, Orissa and Chhattisgarh. An expenditure of Rs 100 crore has been estimated for the purpose and this program is expected to benefit 40,000 tribal living in over 400 villages in these three States. (e)Assistancetogovernment Tata Steel has hosted 12 Lifeline Expresses in association with the Ministry of Railways, Impact India Foundation and the Government of Jharkhand. It has served over 50,000 people. Five thousand people have got surgical facilities and over 1,000 people received aids
  • 11. CSR TIMES | #01 | APRIL 2013 and appliances. Over 7,00,000 rural and another 7,00,000 urban population have been benefited by the CSR activities of TataSteel. The National Horticulture Mission program that has b e e n t a ke n u p i n collaboration with the Government of Jharkhand has benef ited more than a thousand households. In collaborationwiththeMinistry of Non Conventional Energy and the Confederation of Indian Industry, focusis laidon renewable energy aiming at enhancingrural livelihood. TataMotors: (a) PollutionControl Tata Motors is the first Indian Company to introduce vehicles with Euro norms. Tata Motors' joint venture with Cummins EngineCompany, USA, in 1992, was a major effort to introduce emission control technology in India. To make environment friendly engines it has taken the help of world-renowned engineconsultantslikeRicardo and AVL. It has manufactured CNG version of buses and also launched a CNG version of its passenger car, the Indica. Over the years, Tata Motors has also made investments in the establishment of an advanced emission-testing laboratory. (b) RestoringEcologicalBalance Tata Motors has planted 80,000 trees in the works and the township and more than 2.4 million trees have been planted in Jamshedpur region. Over half a million trees have been planted in the Poona region. The company has directed all its suppliers to package their products in alternate material instead of wood. In Pune, the treated water is conserved in lakes attracting various species of birdsfromaroundtheworld. (c)EmploymentGeneration Relatives the employees at Punehave been encouraged to make various industrial co- o p e r a t i v e s e n g a g e d i n productive activities like re- cycling of scrap wood into furniture, welding, steel scrap baling, battery cable assembly etc. The Tata Motors Grihini Social Welfare Society assists e m p l o y e e s ' w o m e n dependents; theymakeavariety of products, ranging from pickles to electrical cable harnesses etc; thereby making themfinanciallysecure. (d)EconomicCapital In Lucknow, two Societies – Samaj Vikas Kendra & Jan Parivar Kalyan Santhan have b e e n f o r m e d f o r r u ra l development & for providing healthcare to the rural areas. These societies have made great effortsforhealth,educationand women empowerment in rural areas. (e)HumanCapital Tata motors has introduced many scholarship programs for the higher education of the c h i l d r e n . T h r o u g h a s c h o l a r s h i p p r o g r a m Vidyadhanam, the company supports 211 students. Outof th ese students 132 students are from the marginalized sections of the society. These students get books, copies and other study materials. They also undergo different kinds of workshops, creative & outdoor sessions and residential camps aswell. The company has entered into Public-Private Partnership (PPP) for upgrading 10 Industrial Technical Institutes (ITI)acrossthecountry. (f)NaturalCapital On the World Environment Day, Tata Motors has launched a tree plantation drive across India and countries in the SAARC region, Middle East Russia and Africa. As many as 25,000 trees were planted on the day. Apart from this more than 100,000 saplings were planted throughout the monsoon. TataChemicalsLtd(TCL) Tata Chemicals is making an effort for sustainability. Sustainability for the group m e a n s h o n e s t y a n d t r a n s p a r e n c y t o w a r d s stakeholders, environmental protection , generating economic value, promoting human rights and creating social capital. Tata Chemicals supports the UN Global TATA GROUP
  • 12. CSR TIMES | #01 | APRIL 2013 BEST PRACTICES Compact and is committed to reporting its sustainability performance in accordance with GRI (Global Reporting Initiatives) guidelines. Its main operations for environment protection include optimal use of resource, finding and/or generating alternative sources of fuel and raw materials, and maximizing reuseandrecycling. All in all they have the policyof “avoid, reduce and reuse”. The company runs a rural development program at Okhamandaland Babrala. Tata Chemicals Limited was one of the first organizations to hold an Impact camp, which washeldatMithapurintheyear 1982, providing eye care to hundreds of patients at the Mithapur Hospital. Tata Chemicals Limited was also the firstorganizationtorunworld's first hospital on wheels - the Life Line Express, through Jamnagar district for the first time between November 21, 2004and December21, 2004. 16 TataTea TataTea has beenworking hard since the 1980s to fulfill the needs of specially-abled people. It has set up the Srishti Welfare Centre at Munnar, Kerala; its various programs provide education, training and rehabilitation of children and young adults with special needs. Tata Tea's welfare officers help identify and encourage relatives or children of employees who are handicapped to join the Welfare Centre for special education and rehabilitation Srishti hasfourprojects: 1)TheDARE It provides the students with training in basic academics, self-help skills and skills like gardening, cooking, weaving etc. Children are taught to paint and some of the paintings are printed and sold as greeting cards. The sales proceeds of which are used back into the units. 2)TheDAREstrawberry It preserves unit trains youngsters to make natural strawberry preserve. The trainees are paid for the work; they receive social cover, free medicalaidandotherbenefits. 3)Athulya Ithastwounits- (i) A vocational training center that imparts training in stationery-making;and (ii) A handmade paper-making unit which trains physically challenged persons in the art of makingrecycledpaper 4)Aranya This project was started to nurture the lives of the disabled and also to revive theancientart of natural dye. Individuals are given training invarious natural dyeing techniques including blockprinting,tieanddye, batik work, etc. Their products are sold inandoutsidethecountry Tata Tea's Jaago Re! Campaign exemplifies the Social-Cause Marketing Initiatives. Conclusion For bringing back and maintaining the general balance in the economic and social arena it is evident to think deeply and act wisely about CSR. As far as the Tata group is concerned , it has gone a long way in fulfilling its duty and responsibility towards the society and the nation. It has reached the masses to elevate their lives, to nurture their dreamsandtohonetheirskills.
  • 13. CSR TIMES | #01 | APRIL 2013
  • 14. CSR TIMES | #01 | APRIL 2013 heconceptof Corporate Social Responsibility is not new to us in India, the charity and support to the society has been Tan integral part of ancient Indian traditions where we offeredevenfoodtocowsand birdsbeforetakingthefirstpie. This amazing concept of giving something back to the society has now become an integral part of Corporate World and embracing the concept of responsibility, the CSR has become the part and parcel of EmployeeRelationsactivities. To understand the concept of 'taking' the pleasure and happiness by'giving'somethingback,letusunderstandtheconcept– Incomparisontowhat… Have you noticed that we generally complain about a lot of things on daily basis. We have got issues about our salaries, benefits, perks, cars and mobiles and what not? Why for most of us the salariesareless,carsaresmall, housesarenotfullyair-conditioned and mobiles are not the classy BlackBerries? Let us put ayardstick against each one of these and start asking ourselves – “In comparisontoWhat”? We havegot houses big orsmall but therearesomewhodon'teven have a hutment. We have got two wheelers to ride or cars to drive and some are not even able to walk without help. We get salaries every month because we are employed, whereas some are pushed in crime because there is no job. Some people are ailing with diseaseswithnocureandsomearespending theremainingdaysof theirlifeinoldagehomes. The Pleasure of Giving Something Back to Society DeepakBehl
  • 15. CSR TIMES | #01 | APRIL 2013 We are morally answerable to them as they are also the part and parcelof oursocietyandwe should helpthemoutaccepting oursocialresponsibility. Letme share a very interesting story here... What you have to do is to note all the bold words in the story and then we will do an exercise after you have finished reading thestory. One day two very old friends Ramand Shyammetaftermany years and felt very good. They met after about 20 years and now both of them were around 40 years old. They shared with each other everything about theirfamily, jobandchallenges. Ram said that he was very happy and successful because he was healthy and working with a bank as a m a n a g e r a n d t a k e s a handsomesalaryof Rs.50,000 every month. He spends time with hishappyfamilyof three, his wife and 12 year young daughter, studying in 6th class. They all go for outings, swimming, etc in his Maruti 800 and was very happy to lead ahappyfamilylife. Shyam said that he was not very happy and not that successful in his career in comparison to his teammates as he is justavicepresident in an MNC and only makes about TheStoryofTwoFriends Rs.2,00,000 a month. Has a Skoda but is always very busy and have got no time for family, his son is probably in 5th or 6th class and is suffering with many modern diseases like hyper tension, blood pressure and heartproblem. Bothof themwereconfused and surprised. Ram thought, How lucky Shyam was. He is very successful as he is a VP only at 40, owns a big car, makes very good money, what else does he need inhislife. Shyamthought, HowluckyRam was. He lives a healthy life, spends quality time with his family and enjoys life, has got everything in his life that is requiredtobehappy. Nowasmallexerciseforyou: 1. Note down all the Bold words in the above story, read what Ram thought about Shyam and what Shyam thought about Ram. Analyse who is right and why? 2. Ram said he is successful in life, isheright? 3. Shyam said he is not that successfulinlife, isheright? 4. Whatwillyouadvise Ramand Shyamtoremainhappyinlife. 5. Success is what – money, health, family life, happiness or achievements? If given an option what would you like to become - Ram or Shyam. WhatistheaimofyourLife? Think for a while before answering... I am sure it is not very easy for many people to answer this question as they have never ever thought of any such aim of their Life, for them life is life and they need to live it somehow, they work very hard to live this life, sacrifice a lot, study a lot, work a lot and want to gain a lot. What they want to gain is most of the time quite materialistic (like house, car, jewellery etc.). What they want to achieve is to lead a comfortable life, and to make it comfortable they do a lot of uncomfortable activities. They want to make a lot of money so thattheycan buybig happiness in life like plush houses, big cars, roam around the world andcaneatbestof thefoods. Someof themworkveryhard to earn all these and they inculcate a habit of tension. Theykeeponworking hardand feel tense for years and it becomes a habit, rather a very strong habit. Even if they achieve what they aspire, they do not stop working and worrying hard as they have acquired a habit in past many years.Rat race is rat race, even if you win, you will remain a rat only They need to pay heavy opportunity cost for their standard of living. Sometimes ARTICLE
  • 16. CSR TIMES | #01 | APRIL 2013 it can be even their health, family life and relationships or friends.Theydonotthinkif itis worthwhile to make the money at the cost of the family or health. A very strange fact of life about mankind is : They spend first half of their life in making money losing their health, and spend second half of their life in spending that money in regaining losthealth. What if you lose your health andfamilylifeand leadyourlife in pain, is that you worked very hard for? Did you make a lot of money so that you can give it to the posh hospitals or you wantedtogiveallthehappiness of life to your kids. I have heard many people saying that they are doing all this for their children, so that they can live theirlifecomfortably. A re you sure your children will be thankful toyou for making a lot of money for them even if you were not there on their birthdays, sports days or parents teachers meetings because you were so busy in making money,gainingsuccess and proving others thatyou are smarterthanthem. I know some questions of priority of job or family are difficult to answer and some will argue that if they do not work they will not be able to support their families - that is perfectly OK if you think ARTICLE otherwise. Companies have started supporting a noble cause of Corporate Social Responsibility by enabling and encouraging them to do many activities like supporting Orphanages or old age home,visiting blind schools and destitute homes regularly, supporting hospitals doing charity for poor patients, guiding and coaching poor and underprivileged students in continuingtheireducation. The employees are encouraged to do the charity on companies behalf and are supported by HR departments. Most of the e m p l o y e e s e n g a g e d i n Corporate Social Responsi- bilities work have shown that happiness and satisfaction in achieving the inner peace is something which cannot be a s s o c i a t e d w i t h t h e i r designations and salaries, the indirect support to the corporate has come in the form of reduced turnover ratio and obviously the reduction in recruitment cost, happier and motivate employees, good general moral and a sense of respect with positive branding for their company supporting thepoisedsocialcause. You can also try to 'gain' some real happiness and inner peace by 'offering' your helping hand for Corporate Social Responsi- bility and let me assure you, you will gain more than you offer for sure. [The Author is working as Director HR with The Grand New Delhi and is a s s o c i a t e d w i t h Students' Bright Future Organisation (an NGO working supporting u n d e r p r i v i l e g e d children in continuing their studies), he is the a u t h o r o f a w a r d winning self help book – Winning is Everything (Best Business Book of the Year Award winner) and was also honoured with Rajiv Gandhi National Unity Award for Corporate Social Responsibility.]
  • 17. CSR TIMES | #01 | APRIL 2013 BEST PRACTICES ritish Petroleum, a.k.a., BP is one of the world's leading oil companies on the basis of market capitalisation and proven reserves. Its main businesses are Exploration and Production, BRefining and Marketing, and Chemicals. Exploration and Production's activities include oil and natural gas exploration and field development and production, together with pipeline transportation, natural gas processing and gas and power marketing. The activities of Refining and Marketing include oil supply and trading as well as refining and marketing. Chemicals activities include petrochemicals manufacturing and marketing. In addition, the Company has a solarenergy businesswhichisoneof theworld'slargestmanufacturersof photovoltaicmodulesandsystems. British Petroleum “To do no Damage to the Environment”
  • 18. CSR TIMES | #01 | APRIL 2013 Headquartered in London, United Kingdom, BP is the third-largest energy company and fourth-largest company in the world measured by 2011 revenuesand isoneof thesixoil and gas "super majors". It is vertically integrated and operates in all areas of the oil and gas industry, including exploration and production, refining, distribution and marketing, petrochemicals, power generation and trading. It also has renewable energy activities in bio fuels and wind power. BP has a primary listing on the London Stock Exchange and isaconstituentof theFTSE 100Index. BP's origins date back to the founding of the Anglo-Persian Oil Company in 1909, established as a subsidiary of Burmah Oil Company to exploit oil discoveries in Iran. In 1935, it became the Anglo- Iranian Oil Company and in 1954 BritishPetroleum. In1959, thecompanyexpanded beyond the Middle East to Alaska and in 1965 it was the first company to strike oil in the North Sea. British Petroleum acquired majority control of Standard Oil of Ohio in 1978. Formerly majority state-owned, the British government privatized the company in stages between 1979 and 1987. British PetroleummergedwithAmoco in 1998 and acquired ARCO and Burmah Castrol in 2000. BP operations are organized into three main "business US$7 billion into oil and gas explorationinthecountry. CSR Of BP As one of the largest energy companies in the world, BP finds itself at the heart of the climate change debate. It has often come under the spotlight foritsenvironmentalandsocial p e r f o r m a n c e f r o m campaigningorganisations. Perhaps in response to this growing pressure on energy companies to be transparent and responsible in their environmental practices, BP has formulated an ambitious vision: “To do no damage to the environment” – a challenge that stimulates BP “to find innovative ways to manage our environmental impact at local, regional and global levels.” BP's s e g m e n t s " : U p s t r e a m , D o w n s t r e a m , a n d B P AlternativeEnergy. BP in India With its rapidly-growing population, rising demand for energy and potential for large hydrocarbon reserves, India offers a remarkableopportunity for the oil and gas business. With an investment of over US$ 8 billion and employing over 8500 people in the oil, gas, lubricants and petrochemicals businesses, BP today has the largest international energy company presence in India. In India, BPownsa30%shareof oil and gas assets operated by Reliance Industries, including exploration and production rights in more than 20 offshore oil and gas blocks, representing an investment of more than BRITISH PETROLEUM Salesandotheroperatingrevenues $375,517 million No. of Employees 83,400 Proved Reserves 17,748 million barrels of oil equivalent Retail Sites 21,800 Upstream and midstream Active in 30 countries Refineries (wholly or partly owned) 16 Refining throughput 2,352 thousand barrels per day
  • 19. CSR TIMES | #01 | APRIL 2013
  • 20. CSR TIMES | #01 | APRIL 2013 approach is multi-pronged, addressing climate change through a combination of energy efficiency, (flaring reductions and lower carbon products), biodiversity, water usage,wasteandairemissions. What is BP's impact on climate change? BP's measures its impactinfollowingways: Ÿ Greenhouse gas emissions fromitsownoperations Ÿ Emissions through the use of itsproducts. Ÿ BP has engaged in activities to try and measure the climate change impact of theuseof itsproducts · Alongside this, the company is also trying to gain measures of the difference that cleaner productscould make Thepotential impactof cleaner products has led the company to develop products such as BP Ultimate, a fuel that claims to improve efficiency and reduce pollution (e.g. 14.5% reduction incarbonmonoxideemissions) The replacing of oil with gas, has also been a priority as gas createslessGHGthanoil Renewables BP believes that gas will be the transitional fuel for several decades;yetacriticalactivityfor the business, leading the gradual transformation to a position 'beyond petroleum', is driven by its challenge “to build a material and profitable renewables business” based on solarandwind. The company emphasises the potentialof solarpowertoreach the “as much as one third of the world's population” which is currently without access to electricity. It also advocates the role of partnership in delivery, working with global funding agencies, NGOs and private sector organisations as well as managing the training of local people to install and maintain thesolarproducts. The challenge has been to make renewables a sustainable and p r o f i t a b l e b u s i n e s s proposition. Currently, the returns from renewablesdonotcomecloseto oilandgas. However BP has been working todevelopsustainablebusiness propositions in the area of renewables. This has resulted in the beginnings of a solar and wind programme, still in their infancy but beginning to have animpact. BP's solar programme focuses on the manufacture and marketing of photovoltaic cells. BP operates in markets where there is government support available, such as Germany, UKand California. Socio-economic contribution BP has far-reaching impacts on local societies and economies and aims to build enduring relationships with the communities in which they operates. Working in the energy industry raises some significant social issues and BP is committed to addressing the challenges. BP's direct socio-economic contributionincludesrevenues brought in by their activities. BRITISH PETROLEUM
  • 21. CSR TIMES | #01 | APRIL 2013 Such investments benefit BP and its shareholders as well as the communities and countries where they operate – by creating and sustaining direct employment, for example and bybuildingcapacityinthelocal supplier base, which creates employment opportunities indirectly. What are the issues? There are very few aspects of how a company behaves as a corporate citizen that do not apply to a company of the size and nature of BP. The most significant of these are the sheer environmental impact - not simply of the extraction of oil and the energy use of BP's own operation, but more significantly of the impact on climatechangeof theactualuse of all the oil by BP's customers. The state of current scientific evidence raises serious question marksoverwhetheror not human society can actually afford to burn all the hydrocarbons whose existence we have already identified - never mind potential future discoveries. Twenty years ago, peopleworried thatonedaythe oil would run out. Now, it is the casethatthereal issue has been identifiedasoneofemissions. A company with such extensive operations in developing countries also needs to carefully manage its approach to human rights, and ethical business practices. BP will have significant impact on local communities - both as a huge employer and through the nature of its on-the-ground operations. It should expect to seriously seek to reduce negative impacts here, and to invest seriously in those communities. BP as a global player, is immensely powerful. It has no democratic legitimacy, but often is betterabletolead onthe social development of the p l a n e t t h a n n a t i o n a l governments. This is a dilemma itneedstohandlecarefully. What do the critics say? BP's move towards positioning itself as a sustainable energy co m p a ny h a s b e e n t h e proverbial red rag to a bull for some. They point out that BP's claim to be a global leader in producing the cleanest burning fossil fuel (natural gas) is an incremental improvement over oil at best, and a distraction from getting away from fossil fuels at worst. BP, they claim, hasco-opted thelanguageof the environmentalists without the realcommitmenttodeliver. What does BP say? BP states that it recognises the significant environmental and social challenges faced by the world in the 21st century. It believes it can, and should, play a part in addressing and resolving many of the issues associated with sustainable development. It also accepts that while the company can be part of the solution, it cannot and should not be the whole solution. Governments, companies and civil society must fins effective waysofworkingtogether. Alongside the standard financial figures, BP reports its own greenhouse gas and other emissions, oil spillages, employeesatisfaction,dayslost through injury at work, and community investment across theworld. BP's policy statement commits the company to ambitious and w i d e - ra n g i n g b u s i n e s s principles. The company's reporting seeks to illustrate how the company is meeting these commitments in a manner that supports the profitabilityof thebusiness. BEST PRACTICES
  • 22. CSR TIMES | #01 | APRIL 2013 Where There’s a Will There’s a Way ARTICLE Kiran Bedi There isasaying – wherethere is a will there is a way. When such sayings are put into practice, in any appropriate form, they becomeexamples for others to emulate. I will share with you one such story which provesthis. Few years ago, fourteen serving officersof Delhi Police,of whom I was one, came together and registered a non-governmental organisation called Navjyoti. It was set up to eliminate crime through the methods of prevention, correction, treatment, rehabilitation and social development. When it wasregistered, itwasthefirstof its kind set up by police officers in the country, perhaps even in the world. The traditional role of police officers is usually crime detection, arrest, interrogation, prosecution, surveillance and intelligence collection. Police performance is judged more by the number of arrests and detection of crimes and not by the level of prevention. No standard evaluating tools have been evolved in policing in our country to test this. It is certainly a lacuna in the police system, which hopefully one day, will be rectified by visionary and committed individuals occupying the right places in the police set-ups. However, Navjyotiwasbornout of a commitment to treat the root and branches of crime, and not just its deformed outcome. In order to do so, we, the police officers involved in Navjyoti, identified one major
  • 23. CSR TIMES | #01 | APRIL 2013 ARTICLE crime-breedingpocketof Delhi and initiated educational programmes there. It was a small beginning but with such great potential that it continued to generate its own momentum. Today, in that huge slum of Yamuna Pushta, with a population of over 1,50,000, opposite the Red Fort of Delhi, more than 7,000 children are participating in Navjyoti's p r i m a r y a n d r e m e d i a l educationprogrammes. But in order to get so many children into this school, we had to haveat leastthe mothers being willing to let their children attend. In these poorest of families, each child means an income of about Rs. 50 a day, i.e. Rs. 1,500 in one month. This is earned by begging, garbage picking, plastic selling, child labour diving into the Yamuna river to retrieve the coins thrown in as offerings, theft, pilferage, drug selling, etc. Therefore, having a large family does not matter to these families – in fact, it is deemed profitable. The girl children additionally look after theirsiblings. To educate such children as a part of preventive and welfare policing, Navjyoti opened Gali Schools, which provide education to children with the cooperation of their mothers, fathers or guardians. And it is this success story I want to sharenow. The Navjyoti Women's Development Project brought in aconceptof 'self-help-group'. This involved motivating small groups of women numbering 15 to 20, to contribute Rs. 2 to 5 per day towards collective savings. The money thus saved over the month becomes their in-house bank to be available for loans in case of need, from time to time. The women choose their own group leader. The leader and members are trained by the Navjyoti facilitators to keep records in a simple way that is easily understood by them. They hold periodic meetings, motivate other women and encourage them in self-help in the form of a collective trade or individualentrepreneurship. I happened to attend their first such assembly held at Gandhi Darshan, by all the self-help groups. There were, in all, over 700 women present. Starting from nothing just eight months ago, therewere now thirty-three self-help groups. Collectively, they had saved overRs. 1,50,000. They had already opened nineteen bank accounts. Around twenty-onewomen had received loans for various r e a s o n s s u c h a s s e l f - employment, education of their children, family health matters, marriagesof theirdaughtersetc. They had puton displaysomeof theproductsthattheyhad made themselves and marketed. They were now a confident group of women with a sense of security andself-confidence. I asked them how things had been before? They said that there used to be loan sharks roaming around the basti, offering loans. For every Rs. 1,000 that was borrowed, the lender would retain Rs. 50. Thereafter, the borrower had to return Rs. 25 per day for the next 50 days. In other words, pay back Rs. 1250 for borrowing Rs. 1,000 (suffering in other words, a loss of Rs. 300). The intereston the loanvaried from 25 to 30%. Alongside, the lenderwould keepwithhimthe borrower's jhuggi papers, identity card or ration card as security. The person taking the loan had to request for his ration card to be given to him for a day to buy his rations. In t h e e ve n t o f d e l ay i n repayment, the lender would take a crowd of people to threaten/harass/abuse/batter the borrower. At times, police help was also taken by the lenderstorecovertheirloans. Police performance is judged more by the number of arrests anddetectionof crimesand not by the level of prevention. No standard evaluating tools have been evolved in policing in our countrytotestthis. And now, what is the situation, I asked? They said that now they only pay one rupee as service charge for the loan taken, which is also a part of theirownsaving. The same women of these jhuggies, who had been dependent on others, are now marching forward towards forming theirowncooperatives oneday.
  • 24. CSR TIMES | #01 | APRIL 2013 BEST PRACTICES harat Heavy Electricals Limited, popular as, BHEL is the largest engineering and manufacturing enterprise in India Bin the energy-related/infrastructure sector, today. BHEL was established more than 40 years ago, ushering in the indigenous Heavy Electrical Equipment industry in India - a dream that has been more than realized with a well-recognized trackrecordof performance. Social welfare and community development is at the core of BHEL's CSR philosophy and continues to be a top priority for the Company. It revolvesaround the Company'sdeeply-held belief in the principle of symbiotic relationship with the local communities, recognizing that business ultimately has a purpose- toservehuman needs. Closeandcontinuous interaction with the people and communities in and around the manufacturing divisions has been the key focus while striving to bring around qualitative changes and supporting the underprivileged. Fostering the tradition of repaying the society at large by actively participating in the welfare of local communities through numerous Corporate Social Responsibility initiatives, undertakes socioeconomic and community development programmes. It has developed a CSR Scheme and its Mission Statement on CSR is "Be a Committed Corporate Citizen, alive towards its Corporate Social Responsibility". As an integral partof the society, is moving forward by achieving the objectives of its social responsibility. In the year gone by, the Company supported innumerable social initiatives across the country by undertaking projects in diversified areas like Health, Environment Enrichment, Hygiene, Education, Community Development, Self- Empowerment etc., supporting projects of Afforestation, WaterConservation, providing PotableWateraccessories, besides conducting Health Camps around the Units/Project sites for Diagnosticand Medicinedistributionforcommonailments. CSRinitiatives ParticipationintheUN'sGlobalCompactProgramme: As the world's largest global corporate citizenship initiative, the Global Compact Program is the first and the foremost concern which is exhibiting and building the social legitimacy of business “Be a Committed Corp and markets. BHEL has continued to play a prominent part in the United Nation's Global Compact Programme on CSR by promoting the core values on human rights, labour standards, environment and anti-corruption and intends to advance these principles forming part of its strategy &
  • 25. CSR TIMES | #01 | APRIL 2013 porate Citizen” BHEL’s message of CSR culture within its sphere of influence. The company demonstrated its commitment through regular poolingofcommunicationof progress(COP)ontheUNGC website. Periodically submits annual Communication of Progress on the relevant principleof global compactinrespectof Environmentalissues. Health,Safety& Environment It has continued with its commitment towards conservation of the environment. The Company successfully completed various Environment Improvement Projects (EIPs) during the year 2012. These projects helped in enriching theenvironment, conservation of precious natural resources like energy, water, fuel oil, coolantand mitigating theenvironmental pollution. Major ElPs cumulatively
  • 26. CSR TIMES | #01 | APRIL 2013 completed in and around units/ regions and sites, include: (i) Rain Water Harvesting Plants; (ii) Tree Plantations; and (iii) d e ve l o p m e n t o f G re e n Coverage. Other key EIP initiatives undertaken were in theareasof Water Conservation Projects, Energ y Saving Systems utilizingefficienttechnologies, Installation/ Improvement in fumes extraction system, Installation of Paint Booth, Noise Level Reduction System, Chemical Storage & Handling S y s t e m , R e s o u r c e Conservation (Lubricant/ m e t a l / C o o l a n t ) , a n d U t i l i z a t i o n o f N o n - Conventional Energy Sources. Besides the above activities, BHEL conducted Training and awareness Programmes on Environment, Health & Safety and Skill Development programmes for employees including contractors' workers etc. Environment Management / DevelopmentPolicy: Its an environment friendly company in all its activities, products & services, besides providing safe and healthy working environment to all its stakeholders and has made UNGC programme as part of the Company's strategy, culture and day-to-day operations. The company has formulated its Sustainable Development Policy as an integral part of the Company's strategy. A Budget of Rs 50 Lakhs plus 0.1% of Profit After Tax (PAT) for the previous year exceeding r 100 Crore is earmarked for Sustainable Development projects and activities. For the year 2011-12, an amount of Rs 6.41 crore is provided towards sustainability developmentexpenditure. Health Adopting a multi-disciplinary approach towards CSR in which health and medical care, hygiene, sanitation, provision of pure drinking water and education take the top most priority, BHEL initiated projects titled 'Vision to all' in (i) Guntur district of Andhra Pradesh to carry out cataract operations for five hundred patients; and (ii) another unique project, for carrying out 300 orbit surgeries for eyepatients from Andhra P r a d e s h , O r i s s a a n d Chattisgarh commenced at Sankar foundation Eye Hospital inVishakhapatnam(AP). EmployementGeneration Projects related to self employmentgenerationarealso taken up every year where women and youth are given training in certain trades to become self employable and in someplacescertainequipments havealsobeendistributed. An home for the elderly has beensetupatBhopal. Self-empowerment: Ta k i n g t h e f o c u s o n Community development beyond the basic needs of h e a l t h a n d e d u c a t i o n , organizes various programmes for talent upgradation of social and economically backward s t u d e n t s f o r t h e i r empowermentinordertomake them self-reliant. It supported one such programme for Apparel training of students belonging to below poverty- line families in Chhindwara d i s t r i c t , M a h a r a s h t r a . Organized a Cutting and tailoring training programme through NGOs for ladies in Jhansi to provide livelihood o p p o r t u n i t i e s a n d empowermentofwomen. Education: The Company is promoting v a r i o u s S c h o l a r s h i p Programmes for students to enable them pursue higher education. Under these p ro g ra m m e s, f i n a n c i a l assistance is provided to wards of widows in adopted schools a n d v i l l a ge s by u n i t s. Supporting need based Construction of hostels, classrooms, toilets etc. in educational institutes. DisasterManagement: BHEL has compassionately responded to the beck and call of thevictimsdevastated bythe earthquake in Sikkim by initiating efforts for the re f u r b i s h m e n t o f f o u r government schools which w e r e d a m a g e d b y t h e BHEL
  • 27. CSR TIMES | #01 | APRIL 2013
  • 28. CSR TIMES | #01 | APRIL 2013 earthquake. CSR Policies ( H e a l t h , S a f e t y a n d E n v i r o n m e n t ) BHEL shares the growing concern on issues related to E n v i r o n m e n t a n d Occupational Health & Safety (OHS), and is committed to protecting Environment in and around its own establishment, and to providing safe and healthy environment to all its employees. For fulfilling these obligations, a Health, Safety & Environmental Policy has been formulated and implemented throughmanagementsystems. HumanRights Principle 1) : Business should support and respect the protection of internationally proclaimedhumanrights. BHEL policies have been meticulously drafted & f o l l owe d , ke e p i n g t h e principles of human rights, the Constitution of India, labour lawsetc.,inmind. . Principle2) : Makesuretheyare not complicit in human rights abuses LabourStandards Principle 3): Businesses should uphold the freedom of association and the effective recognition of right to collectivebargaining. The Government of India has enacted various labour laws to adequately protect the interest of the working class. These laws are strictly adhered to in BHEL. All Heads of BHEL units are required to submit a report aboutcompliancewithdifferent laws. This is done to ensure that the interests of the workers are protected. Apart from this, BHEL has various bi-partite fora for w o r k e r s , w h e r e t h e issues/problems concerning the workers are discussed and settled. Principle 4): The elimination of all forms of forced and compulsorylabour. The company does not employ forcedandcompulsorylabour. C h i l d l a b o u r Principle 5) :The effective abolition of child labour As per BHEL's Recruitment Policy, the minimum age for the employment is 18 years. No person below this age can be employed in BHEL, thereby ensuring thatchild labouris not employed in BHEL. In fact, BHEL is "Zero Tolerance" company regarding employing ofchildlabour Principle 6): Eliminate discrimination in respect of employment and occupation Uniform set of rules are mentioned in the 'The Personnel Policy' of BHEL, that apply equally to all employees, irrespective of factors such as sex, caste, religion, race etc. All recruitments are conducted in transparent manner, giving equal opportunity toall citizens o f I n d i a w i t h o u t a n y discriminationwhatsoever ANTI-CORRUPTION Principle 10 : Business should work against all forms of c o r r u p t i o n , i n c l u d i n g extortionand bribery. -With a view to contain corruption Government of India has enacted "Right to Information Act" giving right to all citizens of India to seek information besides other rights of inspection etc. BHEL has taken lead role in implementing all provisions of theactinletterandspirit. - I n o rd e r to p re ve n t co r r u p t i o n , a h o s t o f 'transparency measures' have beeninitiatedcompanywide. BEST PRACTICES
  • 29. CSR TIMES | #01 | APRIL 2013 orporate Social Responsibility (CSR), Corporate Responsibility (CR) or Sustainable Business are commonly heard, but rarely understood, phrases. So what do they all mean? The Buzzwords Cand beyond… CSR is the process of assessing an organisation's impact on society and evaluating their responsibilities. CSR begins with an assessment of a businessand their: Ÿ Customers Ÿ Suppliers Ÿ Environment Ÿ Communities Ÿ Employees WhatdoesaCSRPolicyInclude? Many organisations have a CSR Policy, which defines areas of concern and initiatives to improve CSR : The Buzzword ...and Beyond relations with the people and environments affected by business operations. CSR policies often dictate a system for monitoring responsible performance. Complianceandmore: Successful CSR initiatives take o r g a n i s a t i o n s b e y o n d compliance with legislation and leads them to honour ethical values and respect people, communities and the natural environment. CSR is sustainable - involving a c t i v i t i e s t h a t y o u r organisation can maintain without adversely affecting yourbusinessgoals. Being Green and environment friendly: ARTICLE Siddharth Das Gupta
  • 30. CSR TIMES | #01 | APRIL 2013 CSR is about more than environmental responsibility or having a recycling policy. CSR is about considering the whole picture, from your internal processes to your clients,taking ineverystepthat yourbusinesstakesduringday- to-dayoperations. CSRis... A long-term approach to business that addresses the needs of communities, people and their employers. CSR provides frameworks for successful enterprise that is h a r m o n i o u s w i t h i t s surroundings. CSR is an opportunity to generate honest, authentic good-news stories that a business and its communitycanbeproudof. CSR must be sustainable - remaining a fundamental part of any business regardless of changingfortunes. The Benefits of Corporate SocialResponsibility In a very recent survey --“88% of consumers said they were more likely to buy from a company that supports and engages inactivities to improve society. ” Consumers increasingly don't accept unethical business practices or organisations who actirresponsibly. Organisations are now very much accountable for their actionslikeneverbefore. Benefits of CSR in building business. CSR should not be viewed as a drain on resources, because carefully implemented CSR p o l i c i e s c a n h e l p a n y organisationto: Ÿ Winnewbusiness Ÿ Increasecustomerretention Ÿ Develop and enhance r e l a t i o n s h i p s w i t h customers, suppliers and networks Ÿ Attract, retain and maintain a happy workforce and be an Employerof Choice Ÿ Save money on energy and operating costs and manage risk Ÿ Differentiate yourself from yourcompetitors Ÿ Generate innovation and learning and enhance your influence Ÿ Improve your business reputationandstanding Ÿ Provide access to investment andfundingopportunities Ÿ .Generate positive publicity and mediaopportunitiesdue to media interest in ethical businessactivities What is sustainable business? Sustainable Business is another way of referring to, and talking about, Corporate Social Responsibility (CSR). But whether you call it Ethical Business, Corporate Social Responsibility or Sustainable Business, you're talking about thesamething. All of these terms refer to systems and strategies for businesses to operate in a responsible manner that b e n e f i t s t h e i r p e o p l e , c o m m u n i t i e s a n d environment. Thedifference? Different countries, industries and government departments approach ethical business drives from slightly different angles. So let's look at the subtle differences between Ethical Business, Corporate Social Responsibility and SustainableBusiness. Corporate Social Responsibility CSR is the process of assessing an organisation's impact on society and evaluating their responsibilities. EthicalBusiness Whenbusinessesfocusontheir code of ethics or a code of conduct they may label their approach 'Ethical Business'. Ethical Businesses often emphasises: Ÿ The source of products and services Ÿ Businessconduct Ÿ Q u a l i t y a n d s e r v i ce standards Consumer-led organisations oftenadoptan Ethical Business plan in order to demonstrate and reassurecustomersof their ethical credentials. But it is equally important that those businesses also assess and report on all areas of their business activity, including ARTICLE
  • 31. CSR TIMES | #01 | APRIL 2013 s o c i a l , e c o n o m i c a n d environmentalimpacts. SustainableBusiness S u s t a i n a b l e B u s i n e s s essentially means being able to continue, or operating in a way that is conducive to ongoing trading. Sustainable Business is an important concept because it recognises the importance of businesses continuing, particularly in respect of providing jobs and customforsuppliers. Recently, Sustainable Business hasexpandedtobecomeamore holistic view of business activity - reporting on impacts to people, the planet and profit. People, planet, profit is also known as the Triple Bottom Line. The Small Business Need for CSR Accounting for the Triple Bottom Line is known as full cost accounting - something thatmanylargecorporationsare committing to. When larger corporations examine their social responsibility, they assess theirsupplychain, becausetobe truly accountable they need to understand the impacts that their suppliers have on their people, environment and communities. Therefore it is increasingly important for small to medium-sized businesses to demonstrate a commitment to Corporate Social Responsibi- lity and Sustainable Business, particularly when trying to securecontracts. A p r o p e r p l a n n e d implementation of these will surely help any organisation to have a solid sustainable base in thebusinessworld. ARTICLE