Corporate social responsibility (CSR) promotes business accountability to stakeholders beyond shareholders. Key CSR areas include environmental protection and employee/community well-being. Drivers of CSR include shrinking government roles, increased stakeholder disclosure demands, growing investor/customer interest in ethics, and competitive labor markets. Benefits of CSR include improved company performance, community benefits, and environmental benefits. Challenges to implementing CSR include the need for reliable indicators and strategy dissemination.

1. Corporate Social Responsibility
Corporate social responsibility (CSR) promotes a vision of business accountability to a wide
range of stakeholders, besides shareholders and investors. Key areas of concern are
environmental protection and the wellbeing of employees, the community and civil society in
general, both now and in the future.
The concept of CSR is underpinned by the idea that corporations can no longer act as isolated
economic entities operating in detachment from broader society. Traditional views about
competitiveness, survival and profitability are being swept away.
Some of the drivers pushing business towards CSR include:
1. The shrinking role of government
In the past, governments have relied on legislation and regulation to deliver social and
environmental objectives in the business sector. Shrinking government resources, coupled with a
distrust of regulations, has led to the exploration of voluntary and non-regulatory initiatives
instead.
2. Demands for greater disclosure
There is a growing demand for corporate disclosure from stakeholders, including customers,
suppliers, employees, communities, investors, and activist organizations.
3. Increased customer interest
There is evidence that the ethical conduct of companies exerts a growing influence on the
purchasing decisions of customers. In a recent survey by Environics International, more than
one in five consumers reported having either rewarded or punished companies based on their
perceived social performance.
4. Growing investor pressure
Investors are changing the way they assess companies' performance, and are making decisions
based on criteria that include ethical concerns. The Social Investment Forum reports that in the
US in 1999, there was more than $2 trillion worth of assets invested in portfolios that used
screens linked to the environment and social responsibility. A separate survey by Environics
International revealed that more than a quarter of share-owning Americans took into account
ethical considerations when buying and selling stocks. (More on socially responsible investment
can be found in the 'Banking and investment' section of the site.)
5. Competitive labour markets

2. Employees are increasingly looking beyond paychecks and benefits, and seeking out employers
whose philosophies and operating practices match their own principles. In order to hire and
retain skilled employees, companies are being forced to improve working conditions.
6. Supplier relations
As stakeholders are becoming increasingly interested in business affairs, many companies are
taking steps to ensure that their partners conduct themselves in a socially responsible manner.
Some are introducing codes of conduct for their suppliers, to ensure that other companies'
policies or practices do not tarnish their reputation.
Some of the positive outcomes that can arise when businesses adopt a policy of social
responsibility include:
1. Company benefits:
 Improved financial performance;
 Lower operating costs;
 Enhanced brand image and reputation;
 Increased sales and customer loyalty;
 Greater productivity and quality;
 More ability to attract and retain employees;
 Reduced regulatory oversight;
 Access to capital;
 Workforce diversity;
 Product safety and decreased liability.
2. Benefits to the community and the general public:
 Charitable contributions;
 Employee volunteer programmes;
 Corporate involvement in community education, employment and homelessness
programmes;
 Product safety and quality.
3. Environmental benefits:
 Greater material recyclability;
 Better product durability and functionality;
 Greater use of renewable resources;
 Integration of environmental management tools into business plans, including life-cycle
assessment and costing, environmental management standards, and eco-labelling.
Nevertheless, many companies continue to overlook CSR in the supply chain - for example by
importing and retailing timber that has been illegally harvested. While governments can impose

3. embargos and penalties on offending companies, the organizations themselves can make a
commitment to sustainability by being more discerning in their choice of suppliers.
The concept of corporate social responsibility is now firmly rooted on the global business
agenda. But in order to move from theory to concrete action, many obstacles need to be
overcome.
A key challenge facing business is the need for more reliable indicators of progress in the field of
CSR, along with the dissemination of CSR strategies. Transparency and dialogue can help to
make a business appear more trustworthy, and push up the standards of other organizations at the
same time.
The Global Reporting Initiative is an international, multi-stakeholder effort to create a common
framework for voluntary reporting of the economic, environmental, and social impact of
organization-level activity. Its mission is to improve the comparability and credibility of
sustainability reporting worldwide.
There is increasing recognition of the importance of public-private partnerships in CSR. Private
enterprise is beginning to reach out to other members of civil society such as non-governmental
organizations, the United Nations, and national and regional governments.
An example of such a partnership is the 'Global Compact'. Launched in 1999 by the United
Nations, the Global Compact is a coalition of large businesses, trade unions and environmental
and human rights groups, brought together to share a dialogue on corporate social responsibility.
The 'Working with NGOs' section offers some insights into the way businesses and lobby groups
are working together to mutual benefit.
Management training plays an important role in implementation of CSR strategies, and there is a
growing number of conferences and courses available on the subject. Organizations that provide
such training include Global Responsibility, Business for Social Responsibility and
the Corporate Social Responsibility Forum.
Committed to Creating a Better World
PIA is driven by the highest standards of corporate governance and social responsibility. As a
public sector organization and a business leader, PIA believes in building strong relationships
with customers, partners, employees, and the communities in which it operates. The
organization's values are exemplified in a range of corporate initiatives designed to impact
positively on the lives of multiple stakeholders. PIA practices active corporate citizenship
through social services, support for non-profit organizations, medical services for employees, the
promotion of sports, and educational initiatives.
PIA has institutionalized the practice of good governance by establishing a Corporate Social
Responsibility Committee. The Committee provides a platform to evaluate, update, and
recommend best practices as PIA continues on its mission to adhere to business ethics and stamp
out corruption. Corporate Social Responsibility (CSR) is woven into the fabric of daily
operations at PIA.

4. Our employees wholeheartedly contribute to our commitment to develop the organization, the
communities in which we function, and the country. PIA is proud of its human resource as they
in many ways initiate & actively participates in welfare missions. PIA is gifted with teams of
professionals who pursue excellence and deliver confidence. With a Leadership that understands
the true meaning of Social Accountability, PIA has been able to realize vision of social
accountability.
Social Services
Reaching Out to Help IDPs
PIA is committed to extend a helping hand, to distressed communities of society, whenever
needed. PIA believes in contributing for the betterment of society by, working for and learning
from the experience of, setting unprecedented examples of cooperation and support.
In view of the disturbances in the northern part of the country, millions of people were
constrained to leave their homes and dwell in camps set in peaceful areas. To address the
suffering of these distressed persons including a large number of children needed both tangible
and emotional support. At these crucial moment PIA risen to the needs of the nation and decided
to activate its Emergency Response Centre for collecting Relief Goods for onward dispatch to
the people in distress in an efficient and transparent manner.
Various individual contributors, institutions and welfare bodies from different parts of the world
also availed this wonderful service from PIA. Collection centers were established in Karachi,
Lahore & Islamabad and more than 300,000 Kgs of relief goods were transported
Boy Scouts Association
The PIA Boy Scouts Association (PIA-BSA), a provincial segment of the Pakistan Boy Scouts
Association, is based on the value system of the Scout Promise and Law. The PBSA's mission is
to actively train and develop members through Youth Training Programs.
Scouting contributes to the education of young people and helps build a better world where
individuals can play constructive roles in society. The PIA-BSA's major contributions include
providing Haj services at domestic and Saudi Arabian airports, engaging in activities with the
Heritage Association of Pakistan, assisting special children at PIA's Al-Shifa Trust, and
participating in a number of health, cleanliness, literacy, tree plantation, drug prevention, and
blood donation drives. The PIA-BSA has also started a cricket academy where thousands of
youth have received cricket coaching from PIA's renowned test and first-class cricketers.
Following the earthquake tragedy of 8th October, 2005, the PIA-BSA immediately deployed
contingents in Islamabad followed by scout deployments in Balakot, Garhi Habibullah,
Muzaffarabad, and Bagh where relief goods were distributed and emergency services were
rendered.
PIA Planetariums
Through a combination of projectors, optics, electronics, and precision engineering, PIA offers a
range of cosmic experiences to the Pakistani people. The PIA Planetariums enable the viewing of
virtual universes, replete with stars, planets, and nebulae and visitors throng the planetariums to
look at astronomical phenomena such as eclipses, alien landscapes, planets, and the sun. PIA is

5. the only airline in the world to have invested in an innovative and educational planetarium
project that is open to the general public at affordable rates.
PIA Horticulture
Plants and trees provide habitat, shelter, food, materials and medicines to human beings and
animals. Realizing the significance of a healthy and pollution-free environment, PIA set up a
horticulture division in 1996. In addition to maintaining indoor and outdoor plants and trees, PIA
Horticulture provides seasonal flowers for display in PIA's offices and for a range of events,
winning several awards and accolades at flower exhibitions across the country. To reduce
pollution and contribute towards a greener Pakistan, PIA Horticulture actively participates in tree
plantation campaigns during each spring and monsoon season.
Support for Non-Profit Organizations
As a responsible corporate citizen PIA has a special social commitment which it takes very
seriously. PIA is engaged and actively supports various social projects.
As part of its corporate social responsibility initiatives, PIA fully sponsors Al-Shifa Trust, which
provides relief and rehabilitation services to special children suffering from cerebral palsy and
other motor disorders. Besides this, PIA has been providing help to charities and trusts.
Training and Education
PIA Training Center
The PIA Training Center is a leading airline training institution that delivers the highest
standards of aviation instruction. The Training Center is built around a highly advanced training
infrastructure, approved by local and international regulatory authorities such as CAA, ICAO,
and IATA. The PIA Training Center's courses are based on a unique, standards-based curriculum
designed to impart knowledge and best practices in all the aspects of the airline industry. The
PIA Training Center provides quality training to PIA's pilots, engineers, air hostesses, and to
employees of other associated PIA divisions.
PIA Model Secondary School
The PIA Model Secondary School was set up in 1980 to provide high quality education to the
children of PIA's employees at an affordable fee. Situated at a distance from the hubbub of the
city, the school is housed in a modern building that spans over 10 acres of land and is staffed by
teachers dedicated to empowering children with knowledge and skills for the future. Equal
emphasis is placed on curricular and extra curricular activities in order to produce well-rounded,
holistic, and responsible citizens.
PIA Industrial Training Institute
The PIA Industrial Training Institute was established in 1986 to provide technical, vocational,
and industrial knowledge to the families of PIA's employees. With the sustained support of top-
level management at PIA, the Institute has functioned smoothly for over two decades, and has
emerged as a leading industrial training center in the region. The Institute imparts industry
knowledge, and specialized training courses in arts and crafts to the families of employees for a
very nominal fee, empowering them to earn livelihoods and gain respect in their communities.

6. Medical Services
PIA Employee Health and Medical Services
The health and welfare of our employees has always been a matter of utmost importance and
significance at PIA. All employees are provided with a comprehensive medical package, in
collaboration with reputable hospitals, diagnostic labs, and medical institutions. In 1959, PIA
established a Medical Division to supply wide-ranging medical coverage to active and retired
employees. To ensure that the highest standards of aviation are maintained, a Crew Center
periodically carries out air crew checks, in conformity with international and Civil Aviation
Authority standards.
PIA's medical facilities cover the parents and spouses of serving employees, children up to the
age of 27, unmarried daughters, and disabled, mentally challenged children of any age. Retired
employees and their spouses are also eligible for medical care at PIA's Medical Centers. In
addition to coverage in Pakistan's major cities, PIA has extended its medical network to 35
smaller stations, in collaboration with private and public sector hospitals. PIA also looks after its
overseas employees under the Local National Health Scheme and Insurance Schemes.
Corporate Safety & Quality Assurance
The PIA Corporate Safety & Quality Assurance Division ensures safe operations by monitoring
implementation of international standards and recommended industry practices. Strict adherence
to Safety & QHSE policy and procedures during flight as well as in ground operations helps in
maintaining safe workplace environment. Corporate Safety & QA Division is responsible for
effective implementation of Safety Management System (SMS), Health Safety & Environment
(HSE) Program, Flight & Ground Safety Management, Flight Data Monitoring & Analysis
Program, Emergency Response Planning (ERP) and Fire Protection Services as well as a robust
Quality Assurance Program encompassing overall operations of the airline.
IOSA (IATA Operational Safety Audit) Certification
PIA is proudly maintaining its IOSA Certification and thus IATA Registration since 2005. The
IATA Operational Safety Audit Program is an internationally recognized and accepted system
for assessing the operational management and control systems of an airline.
IOSA is based on industry proven quality audit principles and structured to ensure a standardized
audit with consistent results. Airlines that meet all IATA Standards Manual (ISM) standards
become registered with IATA as an IOSA Operator. IOSA Audit covers Organization and
Management System, Flight Operations, Operational Control & Flight Dispatch, Aircraft
Engineering & Maintenance, Cabin and Cargo Compartment Operations, Aircraft Ground
Handling, Cargo Operations and Operational Security of the airline.
By virtue of PIAs IOSA Certification, PIA is able to ensure safety of passengers as well as
employees.
Fire Safety-in the Workplace and at Home
PIA has made a number of arrangements to handle incidental fires and allied hazards. First Aid
Fire Stations have been set up in Karachi, Lahore and Islamabad, and Fixed Fire Protection
Systems have been installed at sensitive premises. PIA's locations are equipped with portable fire

7. extinguishers and a range of other fire safety devices. All the installed equipment is inspected
regularly and maintained in accordance with international standards.
Fire Safety Courses are conducted regularly to equip employees with fire fighting skills and to
impart critical knowledge of preventive measures. Fire Prevention Courses are also conducted at
the Staff Township and PIA Model Schools so that employees and their families can take
appropriate fire prevention measures at home.
PIA's Corporate Safety & QA Division also actively engages in advocacy sessions to create
awareness through print publications and sharing of experiences. Working in collaboration with
the Fire Protection Association of Pakistan, PIA is committed to creating and promoting a
culture of safety at a nation-wide level. The division's future plans include running fire and
safety awareness sessions at government and private schools.
Emergency Response Planning
Passenger care is an airline's most crucial responsibility. Acknowledging the significance of
Emergency Response Planning (ERP), PIA has set up a discrete section to handle emergencies.
The Emergency Response Planning Section has developed an Emergency Response Manual and
manages Emergency Response Center Teams, Field Teams, Family Assistance and Support
Teams, and Volunteers. The ERP Section also trains volunteers in the areas of aircraft
emergencies, rescue, basic first aid, and fire fighting to effectively respond to natural disasters.
Emergency Response Facilities include the computerized data storage of teams and volunteers
with an automated emergency call out system. This software application also provides a
technology supported callback system for contacting families of the affected.
PIA’s Emergency Response Planning Section hopes to contribute meaningfully towards national
capacity building in the area of emergency management, through financial and human resource
investments.
HSE Management System (Health, Safety & Environment)
PIA has been proactive in understanding the needs of time and has launched the Health, Safety &
Environment (HSE) initiative. The objective of this program is to mature the airline’s HSE
systems to a level which will eventually lead to OHSAS-18001 and ISO-14001 certification.
As part of this program, PIA conducts organization wide HSE trainings, development of HSE
objectives, implementation of HSE system procedures and management reviews to assess the
continual effectiveness of the HSE system. These accomplishments will make PIA a safer
airline, paving the way for OHSAS and ISO certifications.