Corporate Social Responsibility

1. CORPORATE SOCIAL
RESPONSIBILITY: THE JOURNEY HAS JUS
BEGUN!
By: Monika Sukhija
M.Com from SRCC

2. BY WILLIAM FORD
“A good company delivers
excellent products and
services, and a great company
does all that and strives to
make the world a better place”

3. CONCEPT
 Originated back in 50’s become popular only in late
80’s to ‘00.
 In developing countries like India the concept of
CSR is not new, the term may be as it gained
popularity only in the new millennium.
 Major corporate including TATA, ICICI, Reliance,
Bajaj have involved themselves in CSR activities
today.
 But TATA had an early orientation towards service
to society.

4. CSR- MEANING AND DEFINITION
Philip Kotler defines CSR as “a commitment to
improve community well being through
discretionary business practices and contributions
of corporate resources”.
The totality of CSR can be best understood by three
words:
 Corporate- means organized business;
 Social- means everything dealing with people, the
society at large;
 Responsibility- means accountability with two.

5. THREE BOTTOM LINE CONCEPT IN CSR
 The triple bottom line popularly described by the 3
Ps: People, Planet and Profit, serves to assist
corporations in assisting sustainable development
holistically. CSR is distinct from simply donating to
NPOs. For example, CSR activities focused on
improving educational opportunities and facilities in
local region not only help build the brand image of
the business but may ultimately help improve the
quality of the human resource pool available for
hire, ensuring the long term success of the
business.

6. TRIPLE BOTTOM LINE FRAMEWORK OF CSR
• Companies try to maximize
shareholder value.
Economic
Sphere
(Profit)
• Eco-friendly products,
recycling waste and reduce
carbon footprint.
Environmental
Sphere
(Planet)
• Address the local issues,
infrastructure development
and community well-being.
Social Sphere
(People)

7. COMPANIES ACT 2013
 Companies having turnover of over 10 billion
rupees or net worth of 5 billion rupees or recorded
net profit of 50 million rupees and above are
expected to spend 2 per cent of their average net
profits in the preceding three financial years
towards CSR.
 Rough estimates by experts have pegged the
amount that could be spent annually on CSR
activities to be around 100 billion rupees.
 With the new legislation these activities could be
done more systematic manner with definite
budgets.

8. MEASUREMENT AND EVALUATION OF THE
CORPORATE PERFORMANCE
 It is evident that a business unit has obligation to its
employees ,owners, buyers, government,
environment and others. The question now is how
to assess the performance of a particular business
unit with regard to social responsibility? The answer
is “Social Audit”.
 A sort of breakthrough was achieved in 1979 when
TISCO appointed committee to conduct the social
audit. The company’s first audit report was
published in 1980. the event was historic and was a
vibrant example for other industries as well.

9. BROAD AREAS OF CSR ACTIVITIES

10. CSR PERSPECTIVES AND BEST
PRACTICES
TCS( Tata Consultancy Services) (Tata Group)
TCS has developed a database for Child Line, which
supports children in distress in 54 centers in India,
all using volunteers from among its employees; it
has also designed and implemented a ‘computer-based
functional literacy project, a unique idea that
enables to learn to read using low-end computers
and a breakthrough solution within 30 to 40 hours,
over 2-3 months. The TATA group has evolved the
Tata Index a matrix through which Tata companies
can implement, direct and measure the social
development endeavors they are involved in.

11. TITAN
Another instance is the association of Titan with
“Management of enterprise and Development of
Women” (MEADOW) which actually began as a
program to help combat female infanticide in the
Dharmapuri district, and to improvise the standard
of living of women in these communities. In 1995,
Titan joined hands with Myrada, an NGO that
works on social causes , and started a bracelet
making unit. Satisfied with the professionalism
displayed by these women, Titan then decided to
convert the bracelet unit into a privately held
company, one owned and run by women
themselves. MEADOW, a subsidiary unit that is
solely dedicated to women’s empowerment, was
thus born.

12. KPMG
There are a few companies which have been
committed themselves for the cause they have
taken up like KPMG has initiated educational
program – SIFE.
SIFE is an international NPO that works with leaders
in business and higher education to mobilize
university students to make a difference in their
communities while developing the skills to become
socially responsible business leaders. Participating
students from teams on their university campuses
and apply business concepts to develop outreach
projects that improve the quality of life and standard
of living for people i need.

13. INFOSYS
Infosys CSR team has been distributing books and
stationary to underprivileged children across
Karnataka since 2001. in 2009, the team touched
more than 45000 lives, including the tribal
community. Prayaas, their Chandigarh CSR team,
organized a program where 60 children from
Panchkula slum show cased their creativity in group
activities. The children were imparted training in
social etiquette. Infocions partner with Nethrodaya,
an NGO that works with visually challenged
children.

14. NIIT
 NIIT has used its IT expertise for its hole in the wall
experiment, where children from slums learn to use
computers with a touch screen.
HUL
 HUL has started a project Shakti in which it
economically empowered rural women with
entrepreneur spirit, rural women became distributor
of HUL popularly known as Shakti Ammas. This is a
best example of profitable CSR.

15. CORPORATE INTERVENTIONS TOWARDS
WOMEN EMPOWERMENT

16. CSR INTIATIVES OF SOME INDIAN GROUPS
Company /
Groups
Major Institutions
established
Trusts/
Foundations
Fields Supported
TATAS •Indian Institute of
science
•Tata institute of social
sciences
•Tata memorial rural
cancer project
•National centre for
performing arts
•Tata energy research
institute etc.
Lady tata
memorial trust
JRD tata trust
Jamsetji tata
trust
Sri Dorabji
tata trust
Sir Ratan Tata
trust
Scientific
research
Education
Health and
community
services
Medicine
Rural
development
energy
BIRLAS •Bits pilani & ranchi
•Birla institute of
scientific research
•Birla eco research
foundation
Hindustan
charity trust
BM Birla
foundation
KM Birla
foundation
MP Birla
foundation
Technical
education
Agricultural
research
Medicine
Art and culture

17. BY J.R.D. TATA
“No Success or achievement in
material terms is worthwhile unless
it serves the needs or interests of
community”

18. “THANK YOU”