Wipro
Wipro
Wipro
A PROJECT REPORT ON
“CORPORATE SOCIAL RESPONSIBILITY
IN WIPRO”
SUBMITTED TO:
UNIVERSITY OF MUMBAI
ACADEMIC YEAR
(2015-16)
SUBMITTED BY:
RAHUL SHAH
ROLL NO: 31
M.COM PART-I (BUSINESS MANAGEMENT)
(SEMESTER 2)
PROJECT GUIDE:
PROF S.N.CHITALE
VPM’S
K.G. JOSHI COLLEGE OF ARTS &
N.G. BEDEKAR COLLEGE OF COMMERCE
(THANE)
2
CERTIFICATE
OF
PROJECT WORK
This is certify that
DECLARATION
I RAHUL SHAH studying in MCOM Part-1 hereby declare that I have done a project
Whenever references have been made to the work of others, it is clearly indicated
in the sources of information in references
Student
(AMRITA BHAT)
Place: Thane
Date:
ACKNOWLEDGEMENT
4
I am indebted to our principal Dr. Mrs. Shakuntala A. Singh Madam for giving us such an
awesome opportunity. I am also thankful to our coordinator Mr. D.M. Murdeshwar Sir and also
librarian and my colleagues for their valuable support, co-operation and encouragement in
completing my project.
Special thanks to Prof. S.N.CHITALE my internal guide for this project for giving me
expert guidance, full support and encouragement in completing my project successfully.
I take this opportunity to thanks my parents for giving guidance and for their patience and
understanding me while I am busy with my project work.
Lastly I am thankful to God for giving me strength, spirit and also his blessings for
completing my project successfully.
5
INDEX
SR CONTENTS PAGE
NO. NO.
1. INTRODUCTION 6
2. CORE ELEMENTS 9
3. IMPLIMENTATION GUIDANCE 11
4. ISSUES AND CALLANGES 12
5. CORE BENEFITS ANALYSIS 15
6. CSR IN INDIA 17
7. CSR STRATEGIES FOCUS ON 19
OPREATION RATHER THEN
COMPETITIVCE ADVANTAGE
8. COMPANY PROFILE 21
9. CSR ACTIVITIES OF WIPRO 24
10. CONCLUSION 38
11 BIBLIOGRAPHY 39
6
The term "corporate social responsibility" became popular in the 1960s and has
remained a term used indiscriminately by many to cover legal and moral
responsibility more narrowly construed.
Proponents argue that corporations increase long term profits by operating with a
CSR perspective, while critics argue that CSR distracts from business' economic
role. A 2000 study compared existing econometric studies of the relationship
between social and financial performance, concluding that the contradictory results
of previous studies reporting positive, negative, and neutral financial impact, were
due to flawed empirical analysis and claimed when the study is properly specified,
CSR has a neutral impact on financial outcomes.
bottom line (TBL). It is widely accepted that CSR adheres to similar principles, but
with no formal act of legislation.
DEFINITIONS
CORE ELEMENTS
The CSR Policy should normally cover following core elements:
1. Care for all Stakeholders: The companies should respect the interests of, and
be responsive towards all stakeholders, including shareholders, employees,
customers, suppliers, project affected people, society at large etc. and create value
for all of them. They should develop mechanism to actively engage with all
stakeholders, inform them of inherent risks and mitigate them where they occur.
4. Respect for Human Rights: Companies should respect human rights for all and
avoid complicity with human rights abuses by them or by third party.
IMPLEMENTATION GUIDANCE
The CSR policy of the business entity should provide for an implementation
strategy which should include identification of projects/activities, setting
measurable physical targets with timeframe, organizational mechanism and
responsibilities, time schedules and monitoring. Companies may partner
with local authorities, business associations and civil society/non-
government organizations. They may influence the supply chain for CSR
initiative and motivate employees for voluntary effort for social
development. They may evolve a system of need assessment and impact
assessment while undertaking CSR activities in a particular area.
Independent evaluation may also be undertaken for selected
projects/activities from time to time.
Companies should allocate specific amount in their budgets for CSR
activities. This amount may be related to profits after tax, cost of planned
CSR activities or any other suitable parameter.
To share experiences and network with other organizations the company
should engage with well established and recognized programmes/platforms
which encourage responsible business practices and CSR activities. This
would help companies to improve on their CSR strategies and effectively
project the image of being socially responsible.
The companies should disseminate information on CSR policy, activities
and progress in a structured manner to all their stakeholders and the public at
large through their website, annual reports, and other communication media.
12
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.)
13
Need to Build Local Capacities: There is a need for capacity building of the local
non-governmentalorganizations as there is serious dearth of trained and efficient
organizations that can effectivelycontribute to the ongoing CSR activities initiated
by companies. This seriously compromises scaling upof CSR initiatives and
subsequently limits the scope of such activities.
COST-BENEFIT ANALYSIS
In competitive markets cost-benefit analysis of CSR initiatives, can be examined
using a Resource-Based View (RBV). According to Barney (1990) "formulation of
the RBV, sustainable competitive advantage requires that resources be valuable
(V), rare (R), inimitable (I) and non-substitutable (S)." A firm introducing a CSR-
based strategy might only sustain high returns on their investment if their CSR-
based strategy could not be copied (I). However, should competitors imitate such a
strategy, that might increase overall social benefits. Firms that choose CSR for
strategic financial gain are also acting responsibly.
RBV presumes that firms are bundles of heterogeneous resources and capabilities
that are imperfectly mobile across firms. This imperfect mobility can produce
competitive advantages for firms that acquire immobile resources. McWilliams
and Siegel (2001) examined CSR activities and attributes as a differentiation
strategy. They concluded that managers can determine the appropriate level of
investment in CSR by conducting cost benefit analysis in the same way that they
analyze other investments.
Reinhardt (1998) found that a firm engaging in a CSR-based strategy could only
sustain an abnormal return if it could prevent competitors from imitating its
strategy.
16
"People, planet and profit", also known as the triple bottom line form one way to
evaluate CSR. "People" refers to fair labour practices, the community and region
where the business operates. "Planet" refers to sustainable environmental
practices. Profit is the economic value created by the organization after deducting
the cost of all inputs, including the cost of the capital (unlike accounting
definitions of profit).
This measure was claimed to help some companies be more conscious of their
social and moral responsibilities. However, critics claim that it is selective and
substitutes a company's perspective for that of the community. Another criticism is
about the absence of a standard auditing procedure.
BRAND DIFFERENTIATION
CSR can help build customer loyalty based on distinctive ethical values. Some
companies use their commitment to CSR as their primary positioning tool,
e.g., The Co-operative Group, The Body Shop and American Apparel.
CSR IN INDIA
CSR is not a new concept in India. Ever since their inception, corporates like the
Tata Group, the Aditya Birla Group,and Indian Oil Corporation, to name a few,
have been involved in serving the community. Through donations and charity
events, many other organizations have been doing their part for the society. The
basic objective of CSR in these days is to maximize the company's overall impact
on the society and stakeholders. CSR policies, practices and programs are being
comprehensively integrated by an increasing number of companies throughout
their business operations and processes. A growing number of corporates feel that
CSR is not just another form of indirect expense but is important for protecting the
goodwill and reputation, defending attacks and increasing business
competitiveness.
Companies have specialised CSR teams that formulate policies, strategies and
goals for their CSR programs and set aside budgets to fund them. These programs
are often determined by social philosophy which have clear objectives and are well
defined and are aligned with the mainstream business. The programs are put into
practice by the employees who are crucial to this process. CSR programs ranges
from community development to development in education, environment and
healthcare etc.
the facilities that these corporations focus on. Many of the companies are helping
other peoples by providing them good standard of living.
CSR has gone through many phases in India. The ability to make a significant
difference in the society and improve the overall quality of life has clearly been
proven by the corporates. Not one but all corporates should try and bring about a
change in the current social situation in India in order to have an effective and
lasting solution to the social woes . Partnerships between companies, NGOs and
the government should be facilitated so that a combination of their skills such as
expertise, strategic thinking, manpower and money to initiate extensive social
change will put the socio-economic development of India on a fast track.
19
Viewed from this perspective, public relations professionals are the custodians of
trust for the corporate world. While the global spotlight today focuses on debates
on corporate trust, India can proudly flaunt a head start in this arena. Yet, before
we present India’s case, let’s briefly scan some recent happenings, particularly in
the US, that led to an erosion of trust in Corporate Inc. worldwide.
Education is the most preferred area of CSR for Indian companies, with 85% of the
companies surveyed engaged in it, followed by health (67.5 per cent) and rural
development and livelihoods (57.5 %).
21
COMPANY PROFILE
Wipro Ltd.
Wipro Limited is a global company provider of comprehensive IT solutions and
services, including Systems Integration, Consulting, Information Systems
outsourcing, IT-enabled services, and R&D services.
22
While Wipro has always attempted to be an equal opportunity employer with zero
tolerance for discrimination of any kind, we have added greater focus by
consciously creating more career opportunities in Wipro for people with
disabilities. As a visible change, access guidelines have been made an integral part
of our building guidelines so every new building is designed for better
accessibility.
The changes made to recruitment, training and other policies enable persons with
disabilities to build meaningful careers in Wipro. The past year saw us recruiting
from management and technical campuses and through consultants to welcome
persons with disabilities into mainstream roles. They have recruited 20 such people
in the last 2 years. Structured education to sensitize our managers on diversity,
anti-discrimination and anti-harassment through classrooms as well as online
programs. They believe that these efforts have laid the foundation for a diverse
talent team in the future.
Their efforts were recognized in the form of NCPEDP Shell Helen Keller Award
for 2009 given to Wipro as an organization and to one of our employees for being
a positive Role Model amongst the physically challenged people
The most obvious being that if each one of us - organizations and individuals in the
global society, adopt an ecologically sustainable path, we have the best chance of
shaping a secure and happy future.
These ratings represent an energy efficiency of 10-15% and thus enable customers
to save energy and reduce their corresponding Green House Gas (GHG) emissions.
Wipro was the first Indian IT company to launch an extensive ‘take back’ program
in 2006 for customers to return their end-of-life desktops and laptops. With more
than 16 such collection centers across India, it has set the standard for responsible
e-waste management.
Social Sustainability
26
We continued our journey this year by expanding our reach to a wider community.
Some of the key themes of the work were:
We supported a two year project for writing a book titled ‘What Did You Ask At
School Today?’ by Kamala V. Mukunda and was published by Harper Collins.
A new Holistic School Engagement project was initiated with Center for Education
and Voluntary Action (CEVA) in Chandigarh. We work with the New Public
School (NPS), Chandigarh in creating a teaching-learning environment based on
experiential and participative practices.
support the learning process. We have made these videos available to more than
9,000 schools.
Mission10X
Mission10X set out to reach and empower 10,000 engineering faculties with
innovative learning methodologies by September 2010. The year 2009-10 saw an
accelerated growth aided by affiliations with reputed universities and by end of
year the mission has successfully empowered over 7,777 faculties across 19 states
in India.
Wipro Cares
Some of our initiatives aim to provide additional support to bright students from
poor families by providing books or opening up their world through interactions
and motivation.
Healthcare: Our mobile clinics reach the communities around our factories and
provide healthcare to those who cannot come to the centre. We provide primary
health care services and focus on both preventive and curative treatment.
We have also provided solar street lights, cobbled streets, raised platforms as
shelters for animals, raised hand-sets and cleaned open wells among other
activities.
Realities keep changing in an unpredictable world. In the midst of this there arise
crises that need to be immediately attended to and through Wipro Cares we strive
hard to address this. From community relief and rehabilitation in times of disasters
to education opportunities, health and wellness programs for the needy, we make
sure that our work touches every level of society who needs our help. Our Wipro
Care program is executed with the help of our employees who are free to volunteer
their services and other recognized voluntary organizations who make sure the goal
is never out of focus.
Wipro Applying Thought in Schools
Education is recognized as a key investment in Wipro, not only within, but also
marked and leveraged as a social initiative. Through the Applying Thought in
Schools initiative, we take our tagline seriously enough to build a network of social
organizations committed to education reform. Education quality, research and
interventions are clearly defined that our program explores.
Eco Eye
Our commitment to the ecology around us is as strong as our every endeavor. We
believe that the future lies in sustainable solutions that will never interfere with our
environment. With the formation of Eco Eye, we are now a business that
incorporates better ecological balance in every project we execute.
Wipro Cares
Wipro Cares is our community initiative that helps marginalized communities
living in our neighborhoods. This initiative is organized as a trust and works with
funds donated by Wiproites and these funds are in turn matched by Wipro.
Our Operations
Wipro Cares works on the model of channelizing voluntary employee efforts to
contribute to the needs of the neighboring communities.
Volunteers become members of the local chapter and few may emerge as leaders.
These chapters in different locations proactively identify projects based on the
requirement of the community in that location.
These projects are then evaluated by the project head and the central team to be
approved by the trustees.
31
Education
Wipro strongly believes that education is the basic enabler and through Wipro
Cares we work with NGOs who in turn work with underprivileged children. We
offer them opportunities for holistic development, run bridge schools and also train
them in vocational skills. While supporting these education activities we also train
teachers to engage with children who come from struggling backgrounds.
We work through an NGO called Rockfund that encourages and enables girls to
pursue their education till 10th standard by providing them financial support. This
is done through close interactions with the child’s parents and the schools. The
parents have to commit their support in allowing the child to study.
Impact
32
We work through an NGO called Door Step School to educate, train and equip
teachers to educate migrant children.
Impact
If the teachers are trained, then the children get comfortable with them thus
reducing drop-out rate
The trained teachers have successfully taken the number of beneficiary children
up to 600 per year
Community Center to fulfill the need of children and adolescents
Our Work
We work with an NGO called Swadhar to address the needs of children of all ages
in a particular area
Impact
The confidence of children has risen and the drop-out rate has reduced
Adolescent girls have adopted skills such as tailoring, jewelry-making and other
crafts, thus helping them to earn a small living
The community is gradually responding to the concept of a library and are
engaging themselves in reading books and newspapers in their leisure time
Healthcare
Rural Health Program
Wipro Cares launched Project Sanjeevani, its first rural healthcare project, on the
6th of November 2009, in Aurangabad district. It was launched in partnership with
Savitribai Phule Mahila Ekatma Samaj Mandal (SPMESM), a reputed NGO, which
has extensive experience in working in rural healthcare.
The project will cover nine small villages, all situated in and around Wipro’s
Waluj factory. Over the next three years, Project Sanjeevani aims to build a
33
Environment
Wipro is aware and concerned about the state of the global environment and
ecology. We believe that it is extremely important to create and maintain a
sustainable environment in the community around us. Wipro Cares has been
continuously working in various areas that contribute to a sustainable environment
and some of these initiatives are reflected here.
The Manikonda Lake, measuring an area of about 8.84 acres, has been drastically
shrinking over the last few years due to the developmental activities around it. Our
objective was
to develop a bio diverse lake eco system
improve the water holding capacity
create roosting and nesting sites for local and migrant birds and
develop weed patches as feeding and breeding grounds for birds
We developed a unique niche for bio diversity by creating a natural habitat using
locally available silt, stones, plantation of native species of trees, herbs and rooted
macrophytes. This has significantly increased the number of birds such as herons,
kingfishers and ducks visiting the lake.
Till date, we have transplanted 40 trees from busy roads in Bangalore into public
34
places. Another 30 trees have been transplanted into our own campuses.
Along with an NGO called Saahas, that works in the area of waste management,
we are creating awareness regarding the ill-effects of use of plastic. In this
endeavor we have:
Worked with and educated people at supermarkets, malls and shops
Introduced common collection centers for used plastic in schools, apartments and
super-markets
Worked with specific audience in apartment blocks and residential lay-outs to
involve them in our campaign
Worked with educational institutions through various clubs and active groups to
motivate students to reject the use of disposable products on campus and ensure
the collection and recycling of products used
Interacted with officers of the department of environment and ecology, state
pollution control board and city municipal corporation to introduce them to the
program and to elicit support from them
Disaster Rehabilitation
At Wipro Cares, we believe that the victims of disaster need our help and
encouragement to rebuild their lives after natural calamities. Hence, we engage
them to understand their needs to be able to provide them the support that will help
them create a self sustainable environment.
We have spent considerable time to understand the needs of the affected people
35
and plan the rehabilitation program in this region. Given below are the details of
the work that we have executed in the tsunami affected areas in India.
Pushpavanam Village
Naluvedapaty
Reconstructed houses that were damaged by the tsunami
Supported the village and helped reconstruct 35 earthquake and cyclone-free
homes as per the government norms in Naluvedapaty
Sustainability
Bringing environment consciousness to the forefront
Sustainability is not just about protecting our natural environment, it also involves
36
CONCLUSION
Wipro faced many barries when it first started, the biggest as its CEO mentioned in
an interview with Forbes was that they were looked as a joke being a consumer
care company going into technology. That's why they changed their name from
Western India Products Limited to Wipro. It was about the credibility. But they
invested a lot in R&D and talent.
Wipro put plenty of support money into building custom solutions and into
building a strong after-sales service network that was not very prevalent in those
days.
Today the IT industry is strong and so its Wipro. Wipro has presence around the
world and even in Latin America where it has been difficult for them to acquire the
experience. Wipro is a company that keeps growing, and expanding around the
world.Wipro is doing recruitment from American, European campuses and are
now starting Japanese campuses. They are setting up a center in Atlanta, where
they will be recruiting from universities, and would like to build up to 500 people.
They'll probably have two more centers in the U.S., typically in low-cost areas,
university towns. Community sensitivity and visa concerns make this essential, and
it makes sense to have a local cadre, apart from employees gained through
38
WEBLIOGRAPHY
www.google.com
www.wikipedia.com
www.investopedia.com
www.economictimes.indiatimes.com
www.businessdictionary.com
www.csr.com
BIBLIOGRAPHY
CSR YEAR BOOK 2014-15 ALMANAC
CSR As a Management Idea Ethics in Action
Strategic management (Mcom part 1) – by Michael vaaz
Corporate Social Responsibility: Doing the Most Good for Your Company
and Your Cause - by Philip Kotler (Author), Nancy Lee (Author)
Corporate Social Responsibility: The Good, the Bad and the Ugly- By
Subhabrata Bobby Banerjee
39