BEGERS Pgdm ppt

1. CSR: The conceptual
backdrop
Dr. Mamta Hegde

2. Initiatives of corporate social
responsibility
CSR initiatives are often broken down into four categories:
environmental, philanthropic, ethical, and economic
responsibility. Environmental initiatives focus on preservation
of natural resources, while philanthropic initiatives focus on
donating to worthy causes that may not relate to a business.
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3. Why should corporations think less about shareholder
values and more about social engagement?
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4. Do you think concerns regarding ethics will become
important in business? Why?
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5. What are the corporate social responsibility initiatives that
may implement to focus on human rights and sustainability,
which includes climate change and environmental protection
in the automobile industry?
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6. Introduction
Corporate governance broadly refers to the rules, processes or laws by
which businesses are operated, regulated and controlled.
These functions are, by and large, prescribed by the Companies
Law, governing regulations and codes of practices.
The process of corporate governance has evolved with the beginning of
corporatisation of business since the 19th century.
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https://www.youtube.com/watch?v=ppz3wY5L3uE

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8. Introduction
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Corporate Governance
A Typical Corporate Governance Scheme in an
Organization

9. Many tend to equate it with an administrative technique, but
corporate governance is a much broader concept; it includes
a fair, ethical, efficient and transparent management that
strives to accomplish certain well-defined objectives—
including social and environmental.

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Functional roles of corporate governance
1. Establishing a good and ethical sense of purpose of the business.
2. Structuring the business processes with well-defined objectives to serve shareholders and other
stakeholders.
3. Building a spirit of inclusive growth in the society and within the environment of
Operations.
4. Building a partnership with all stakeholders—internal and external.
5. Thinking and acting in the bigger frame of global businesses.
6. Continually sensitizing the organization to global business changes, environment and
Risks..
7. Finally, always keeping to the right side of the law and environmental regulations.

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A Representative Corporate Governance Structure, showing the position of CEO and
various
management committees that may advise the Board

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CODES AND STANDARDS OF CORPORATE
GOVERNANCE
(a) Bring transparency and accountability in the functions and decisions;
(b) Seek to establish accountability standards for the company’s board and
management;
(c) Protect investors’ interests.
(d) Care for other stakeholders; and
(e) Promote investor confidence in the business system
https://www.youtube.com/watch?v=lF2_U9duj6s –Uday Kotak

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For example, to bring in better corporate governance in listed companies, capital
markets regulator in India, the Security and Exchange Board of India (SEBI)
mandated the guidelines for Board composition of listed companies by amending
Clause 49 of the SEBI Act dealing with Listing Agreement.
Purpose of Corporate Governance Codes

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TYPES OF CORPORATE SOCIAL
RESPONSIBILITY
Corporate social responsibility is traditionally there are
four categories:
• Environmental
• Philanthropic
• Ethical
• Economic responsibility.

15. CSR- The Indian perspective
• India is the first country in the world to make corporate social responsibility (CSR) mandatory,
following an amendment to the Companies Act, 2013 in April 2014. Businesses can invest their
profits in areas such as education, poverty, gender equality, and hunger as part of any CSR
compliance.
• The amendment notified in the Companies Act, 2013 requires companies with a net worth of
INR 5 billion (US$70 million) or more, or an annual turnover of INR 10 billion (US$140
million) or more, or net profit of INR 50 million (US$699,125) or more, to spend 2 percent of
their average net profits of three years on

16. Role of institutions in CSR
• They have the power to allocate assets and set an agenda that
promotes CSR initiatives.
• They can establish environmental laws, labor laws, and
increase the disclosure requirements of corporations.