Report on

Corporate Social
Responsibility

Meaning of Corporate Social Responsibility

Corporate social responsibility as the continuing commitment
by business to behave ethically and contribute to economic development while improving
the quality of life of the work force ,their families and the local community and society at
large.
CSR is about capacity building for sustainable livelihoods. It
respects cultural differences and finds the business opportunities in building the skills of
employees, the community and the government"

"Operating a business in a manner that meets or exceeds the

ethical, legal, commercial and public expectations that society has of business?
"A concept whereby companies decide voluntarily to contribute
to a better society and a cleaner environment. A concept whereby companies integrate
social and environmental concerns in their business operations and in their interaction
with their stakeholders on a voluntary basis".
Corporate Social Responsibility (CSR), also known as
corporate responsibility, corporate citizenship, responsible business, sustainable
responsible business (SRB), or corporate social performance,[1] is a form of corporate
self-regulation integrated into a business model. Ideally, CSR policy would function as a
built-in, self-regulating mechanism whereby business would monitor and ensure their
adherence to law, ethical standards, and international norms. Business would embrace
responsibility for the impact of their activities on the environment, consumers,
employees, communities, stakeholders and all other members of the public sphere.
Furthermore, business would proactively promote the public interest by encouraging
community growth and development, and voluntarily eliminating practices that harm the
public sphere, regardless of legality. Essentially, CSR is the deliberate inclusion of public
interest into corporate decision-making, and the honoring of a triple bottom line: People,
Planet, Profit.
Carrolls Four Part Definition
Understanding the Four Components
Responsibility
Societal
Examples
Expectation
Economic

Required

Be profitable. Maximize sales,

minimize costs, etc.

Legal

Required

Obey laws and regulations.

Ethical

Expected

Do what is right, fair and just.

Discretionary
(Philanthropic)

Desired/
Expected

Be a good corporate citizen.

CSR in Equation Form Is the Sum of:

Economic Responsibilities (Make a profit)
Legal Responsibilities (Obey the law)
Ethical Responsibilities (Be ethical)
Philanthropic Responsibilities (Good corporate citizen)

Economic Responsibilities

Economic Responsibilities refers to the fundamental

responsibility of business to produce goods and services that society wants, and which it
sells at a profit.
As a listed company Outokumpu is committed to making a profit
for the benefit of its shareholders. The company delivers on this commitment by
developing and maintaining competitive and profitable operations based on ethical
business practices.
Legal Responsibilities
Legal Responsibilities refers to obligation of business to fulfill
its economic mission within the confines of the law.
Ethical Responsibilities
This refers to the ethical responsibilities of companies that go
beyond legal compliance.
Philanthropic Responsibilities
This refers to voluntary responsibilities such as philanthropy,
which a company can assume even if there are no clear cut societal expectations.

Business Responsibilities in the 21st Century

Demonstrate a commitment to societys values and contribute to societys social,
environmental, and economic goals through action.
Insulate society from the negative impacts of company operations, products and
services.
Share benefits of company activities with key stakeholders as well as with
shareholders.
Demonstrate that the company can make more money by doing the right thing.

Objectives
To study the reasons why companies engage themselves in social issues.
To find out whether the companies which are more socially responsible
are able to create positive brand image in the minds of consumers.
To find out which companies can be considered more socially responsible
in the Indian context.
To have an overview about which countries are more socially responsible
than others in the global perspective.
Motives

 Improve long-term corporate profitability

Distract the public from ethical questions posed by their core operations
Commercial benefit by raising their reputation with the public or with
government
To be committed to Sustainable Development whilst simultaneously
engaging in harmful business practices
CSR initiatives of Some Indian Companies
Name Of the
company
CSR Principle
Help build model
Aditya Birla
villages that can
Group
stand on their own
feet.
Belief in green
environment leads
Godrej
to enhancement of
Industries
productivity
and quality
To help enrich the
quality of life of
the community and
preserve
Indian Oil
ecological balance
Corporation
and heritage
through a strong
environment
conscience.

HLL

ICICI bank
Infosys

Social welfare
initiatives both
through charity and
social investment
To build the
capacities of the
Poorest of the poor
to participate in
the large economy
Support the
unprivileged in
Society and enrich
their lives

CSR
Rating

Initiatives

3/5

Healthcare, education,
rural
development

3/5

Environment and
agriculture,
infrastructure

2/5

3/5

3/5
4/5

Community
development
programmes, medical
services,
education, art and
culture, social
objective schemes
Child welfare, Aids
awareness,
Women Upliftment,
rural
development, disaster
relief
activities, environment
Poor health and
nutrition, child
education, micro
financial services,
Healthcare, social
rehabilitation
and rural upliftment,
learning and
education, art and

culture
Procter &
Gamble

Commitment to
sustainable
development as
"ensuring a better
quality of life for
everyone, now and for
generations to come.
Principle of symbiotic
relationship with the
local communities,
recognizing that
business ultimately
has a purpose - to
serve
Human needs

2/5

Child education,
women education,
health and environment

2/5

Tata Steel

Sharing Wealth to
diminished disparities

4/5

Wipro

To contribute in the
areas of education,
community and social
development

3/5

Scholarship schemes,
healthcare initiaves,
cancer and AIDS
prevention, health,
safety, environment,
social responsibility and
community
development, rural
development, women
and youth
empowerment, skill
upgradation
Education, Tribal
welfare, healthcare,
Health and AIDS
awareness, environment
Learning enhancement,
infrastructure facilities,
disaster relief activities

Reliance
Industries

History of Tata Motors

Started in 1945 in Mumbai, India.
Original production was on locomotives.
1954
First car rolled off of the assembly line.
Tatas are a family The family founded:

Ironworks
Steelworks
cotton mills
hydroelectric-power plants
Are of their endeavors have been proved to be crucial to India's industrial
development. of Indian industrialists and philanthropists.
Tata Motors is Indias owns the largest independent company in India.
Mercedes and Tata teamed up to create a truck line.
First major business deal with another firm.
Together both companies started their commercial vehicle operations in 1960.
in 1986 the company created and sold the first LCV
LCV = light commercial vehicle
Was the Tata 407

Tata Motors decided to pursue joint ventures.

Cummins Engine Co., Inc., was the first company to jointly venture with
Tata in 1993.
Manufactured a diesel engine that had high horsepower and emitted less
harmful chemicals.
Began creating new lines in the late 1990s and earl:
Compressed natural gas buses y 2000s
1109 vehicle, used for commercial purposes.
Ex-series
Newly designed LCV called the 207 DI

Tata Group

100 companies throughout 7 business sectors

Engineering, materials, energy, chemicals, services, consumer products,
information systems and communications
Tata AutoComp Systems - Automotive
Tata Steel - Materials
Tata Power - Energy
Rallis India - Chemicals
Tata Realty and Infrastructure - Service

Tata Tea - Consumer Products

Tata Technologies - Information Systems and Communications

Corporate Social Responsibility of TATA

A Company that cares about the future
Committed to corporate social responsibility
Signed the United Nations Global Compact
Plays role in community development
Environmentally-friendly products and technology
Two main concerns:
Reduction of pollution
Restoration of ecological balance
Implemented soil and water conservation programs
Cleaner Engines
Advanced emission-testing labs
Developing alternate fuel engines
Sewage treatment facilities
Encourages tree planting

Community Development:
The Company's Community Service Division works through various societies to improve
the conditions of neighbouring villages - encouraging economic independence through
self-initiated cottage industries and contributing to community and social forestry, road
construction, rural health, education, water supply and family planning.
Tata Motors has been making numerous well-planned efforts in the area of rural
development, with specific focus on the following:

Health & Sanitation:

Mobile health service staff provide preventive and curative health services under the
"Health For All" programme. They train village health workers in conducting the same.
Safe drinking water facilities are provided to ensure health of the villagers.
Employment Generation:
Tata Motors encourages self-sufficiency with the aim to improving the confidence,
morale and lives of its
employees and their dependents. The Company has worked on some novel ideas around
its townships. Employees' relatives at Pune have been encouraged to form various
industrial co-operatives engaged in activities such as re-cycling of scrap wood into crates
and furniture, welding, steel scrap baling, battery cable assembly etc. The Tata Motors
Grihini Social Welfare Society caters to employees' women dependents'. The women folk
make a variety of products, ranging from pickles and uniforms to electrical cable
harnesses etc.
Community Centers:
These centres are situated in various parts of Jamshedpur, Pune and some of their
neighbouring towns. The centres regularly organise various programmes & neighbouring
populations are encouraged to participate in these activities.

Photo: Mr. Deepak M Deshpande, AGM, Corporate HR inaugurating the bus

donated to ADHAR, an Association of Parents of Mentally Differently Abled
Children
There is a strong business sense in investing in CSR, in so far as
corporations benefit in multiple ways by operating with a perspective broader than their
own immediate business results. These benefits can range from brand differentiation,
boost to recruitment and retention, risk management and licence to operate to more
individual goals of personal satisfaction.
Tata Motors CSR is carried on by CSR teams at all the manufacturing units. A structured
process has facilitated co-ordination among team members, continuous experience
sharing across locations, monitoring and evaluation of all CSR programmes and periodic
reporting, giving CSR activities at Tata Motors a Company wide synergy. CSR through
the lens of the CSR Team Leaders at these locations is presented in this section.

Silver Linings

Since 2006, your institution has adopted our Diwad village and since then considerable
progress has been made in the village. Some of the projects that have been completed
include:
1. Tree plantation on the land owned by the village (2000 trees have been planted since
the tree plantation drive began in 2006)
2. Construction of a 2kms road on the mountainous terrain
3. Distribution of toys and games to Angandwadi (2 pre-primary schools)
4. Seeting up of computer laboratory and repair work in the secondary school
5. Infrastructural development of primary school
6. Distribution of teaching aid to secondary school
7. Support for providing clean drinking water in the village
8. Ensuring hygiene and sanitation through construction of 200 individual toilets,
covering all families
9. Donation of Excavator machine for the development work of the village
We hope your institution would continue to support the village through the coming
years.
Signed, Sarpanch, Gram Panchayat, Diwad village, Pune
P.S. the above is a loose translation of the original letter

(I am a daughter-in-law in Murlipur village. My household was running smoothly before

a tragic incident ruined that. My husband, who was a school teacher, lost his eyesight.
Since he became unemployed, we were facing great difficulty in running the family and
raising our children. It was at this juncture that I was informed by Samaj Vikas Kendra
that needy women from the village were being given a chance for employment. I applied
and got selected for the training. All this wasnt so easy for me as even wearing salwar suit
and getting out of the house was opposed. But I managed to persuade them. Today I stand
on my own feet, my children go to school and for all this I am grateful to Samaj Vikas
Kendra)
She gives a part of the credit to Samaj Vikas Kendra, a Tata Motors supported society in
Lucknow, which had taken the initiative to support eight underprivileged families from the
villages in the project area by providing six months training for sub-assembly work.

Adherence to International Standards

Global Reporting Initiative

It is widely accepted that organisations have the ability to exert positive change on the
state of the worlds economy and environmental and social conditions. Global Reporting
Initiative (GRI) is a sustainability reporting framework, which urges corporations to
voluntarily report on their economic, environmental and social performance in a given
year. Reporting on sustainability performance is an important way for organizations to
manage their impact on sustainable development.
Tata Motors put its GRI Report 2006-07 in the public domain - for the first time - and the
report is available on the website as well. Report was short listed from amongst 800
reports for final selection for the GRI Readers Choice Awards.
Conclusion: Corporations must communicate their CSR initiatives to promote a positive image
about the company in peoples mind.
With increasing and widespread commitment of corporate resources to CSR,
attention is now shifting to the strategic formulation, implementation, and
measurement of the market returns to CSR initiatives.
Emphasize the need for better measurement models of CSR that capture and
estimate clearly the effects of a companys CSR actions on its stakeholders as well
as the nations in which they are operating
It is important for corporations to take stakeholder CSR priorities seriously,
bearing in mind the triple bottom-line of People, Planet & Profit. This will not
only help in the overall betterment of the country, but will also help corporations
gain valuable mind space in the stakeholder community.

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