CSR Reputation and Brand Image Social License to Operate

Reputation and Brand Image
Social License to Operate
Employee Engagement and Retention
Risk Management
Long-term Sustainability

1. Welcome All Prof. Sharon Manmothe

2. " Can you think of any examples of companies being responsible and caring about more than just making money?"

3. Lets See this…..first then we will start

4. Tata Group

5. Reliance foundation See Here Infosys

6. Why do you think it's important for companies to consider their impact on society?

7. Reputation and Brand Image Social License to Operate Employee Engagement and Retention Risk Management Long-term Sustainability

8. CSR stands for Corporate Social Responsibility

9. Corporate : Refers to businesses or organizations operating in the private sector. It relates to entities that are established for profit-making purposes and typically have a formal organizational structure .

10. Social: Pertains to society and the well-being of individuals and communities. It involves considering the impact of business activities on people's lives, addressing social issues, and promoting positive social outcomes .

11. Responsibility: Implies the duty, obligation, or accountability to act in a responsible manner. In the context of CSR, it means that businesses have a moral and ethical obligation to consider and address their impact on society and the environment.

12. " Corporate Social Responsibility (CSR) is the continuing commitment by business to behave ethically and contribute to economic development while improving the quality of life of the workforce and their families, as well as the local community and society at large." - World Business Council for Sustainable Development (WBCSD)

13. "CSR is the integration of business operations and values, whereby the interests of all stakeholders, including customers, employees, investors, communities, and the environment, are reflected in the company's policies and actions." - European Commission

14. C ompanies P olicies Google Inc. - CSR Policy: Google is committed to minimizing its environmental impact, engaging in community development, promoting education and skills development, fostering diversity and inclusion, and prioritizing user privacy and data protection.

15. C ompanies P olicies Patagonia Inc. - CSR Policy: Patagonia focuses on environmental stewardship, fair trade and supply chain responsibility, activism and advocacy for environmental and social issues, employee well-being, and philanthropy through donations and grants to environmental organizations

16. Philanthropy Phil" comes from the Greek word " philos ," meaning love or affection . " Anthropy " comes from the Greek word " anthropos ," meaning human or mankind. So , in short, the meaning of philanthropy is "love for humanity" or "caring for others."

17. CSR is the concept whereby companies integrate social and environmental concerns into their business operations and interactions with their stakeholders on a voluntary basis." - United Nations Global Compact

18. "Corporate Social Responsibility refers to the ethical obligation of businesses to contribute to sustainable development by." working with employees, their families, the local community, and society at large to improve their quality of life - Harvard Kennedy School

19. Sustainability Sustainability refers to the ability of an organization or system to endure and thrive over the long term while maintaining or enhancing economic, social, and environmental well-being

20. Economic Sustainability: This dimension focuses on ensuring the organization's economic viability and profitability. It involves generating revenues, managing costs, and creating value for shareholders and stakeholders.

21. Social Sustainability: Social sustainability involves considering and addressing the social impacts and responsibilities of the organization.

22. Environmental Sustainability: Environmental sustainability emphasizes minimizing the organization's negative environmental impacts and promoting responsible resource management. I

23. Stakeholder Management: Stakeholder management is the process of identifying, analyzing, and engaging with individuals or groups (stakeholders) who have a vested interest or are affected by an organization's activities

24. Stakeholder Management: Stakeholder management is the process of identifying, analyzing, and engaging with individuals or groups (stakeholders) who have a vested interest or are affected by an organization's activities

25. Stakeholder Identification: Identifying and understanding the diverse range of stakeholders who have an impact on or are affected by the organization.

26. Stakeholder Analysis : Assessing the interests, needs, concerns, and influence of different stakeholders to determine their level of importance and potential impact on the organization .

27. Stakeholder Engagement: Engaging and involving stakeholders in a meaningful and transparent manner. This includes communication, collaboration, and building mutually beneficial relationships

28. Stakeholder Alignment: Striving to align organizational goals and decision-making processes with stakeholder interests and values, thus fostering trust, support, and long-term partnerships.

29. Pyramid of Corporate Social Responsibility

30. Economic Responsibilities : The foundational level of the pyramid represents the economic responsibilities of a company. This includes the primary objective of a business to generate profits, maintain financial stability, and provide returns to shareholders.

31. Legal Responsibilities: The second level of the pyramid pertains to an organization's legal responsibilities. This involves complying with laws, regulations, and societal norms in the countries or jurisdictions where the business operates.

32. Ethical Responsibilities: The third level of the pyramid focuses on ethical responsibilities. Ethical responsibilities go beyond legal requirements and involve conducting business in an ethical and morally upright manner.

33. Philanthropic Responsibilities: The top level of the pyramid represents philanthropic responsibilities. These responsibilities involve giving back to society and engaging in discretionary acts of corporate citizenship.

34. Models of CSR in India Philanthropic model:  CSR as compliance Strategic model Social entrepreneurship model : Collective impact model

35. Philanthropic model This model involves companies engaging in charitable activities and donating funds for social causes without a direct linkage to their business operations. 

36. CSR as compliance : This model focuses on companies fulfilling their CSR obligations as mandated by the government. In 2013, the Indian Companies Act introduced a provision requiring certain companies to spend a specific percentage of their profits on CSR activities. 

37. Strategic model Under this model, companies view CSR as an integral part of their business strategy, aligning social and environmental goals with their core operations. This approach goes beyond mere philanthropy or compliance and aims to create shared value for both the company and society. 

38. Strategic model Under this model, companies view CSR as an integral part of their business strategy, aligning social and environmental goals with their core operations. This approach goes beyond mere philanthropy or compliance and aims to create shared value for both the company and society. 

39. Social entrepreneurship model: In this model, companies actively engage in entrepreneurial activities that address social and environmental challenges. They strive to combine profitability with a social purpose. An emerging example is SELCO Foundation, which works on providing sustainable energy solutions to rural communities in India. They not only provide solar products but also create livelihood opportunities for local communities, thus addressing energy poverty in an entrepreneurial manner.

40. Collective impact model: This model emphasizes collaboration and partnership between multiple stakeholders, including companies, NGOs, governments, and community organizations, to achieve sustainable development goals. Some companies in India have formed collaborative platforms to pool resources and expertise to tackle complex social issues. For instance, the India Development Foundation (IDF) was established by several companies to address critical social challenges in areas such as education, healthcare, and livelihood creation.

41. Companies Act, 2013: The Indian government, through its Companies Act, 2013, has mandated that businesses meeting certain criteria are required to spend a certain percentage of their profits on Corporate Social Responsibility (CSR) activities. As per the law, companies with a net worth of at least INR 500 crore or a turnover of INR 1,000 crore or a net profit of INR 5 crore are required to spend 2% of their average net profits of the preceding three years on CSR initiatives.

42. Example: Tata Group, one of the largest conglomerates in India, has consistently been at the forefront of CSR initiatives in the country. It focuses on several areas such as education, healthcare, livelihoods, and sanitation. Tata Steel, a subsidiary of Tata Group, has implemented various CSR projects in Jharkhand, including education programs, vocational training centers, healthcare infrastructure, and community development initiatives. The company has spent over 2% of its profits on CSR activities, reflecting its commitment to social development.

43. Education and Skill Development Several companies in India are actively involved in CSR initiatives focused on education and skill development, recognizing the importance of providing quality education and equipping individuals with employable skills.

44. Education and Skill Development: Several companies in India are actively involved in CSR initiatives focused on education and skill development, recognizing the importance of providing quality education and equipping individuals with employable skills.

45. Example: Infosys Foundation, the philanthropic arm of Infosys, has initiated numerous projects in education and skill development. It has established the Infosys Science Foundation to encourage scientific research, the Infosys Institute for Robust Manufacturing to enhance advanced manufacturing skills, and the Infosys Centre for Emerging Technology Solutions to promote research and development in emerging technologies. These initiatives aim to improve education standards and create a skilled workforce in India.

46. Healthcare and Sanitation: Companies in India also contribute significantly to healthcare and sanitation initiatives, realizing the importance of accessible healthcare facilities and improved sanitation practices for overall societal well-being.

47. Example: Ambuja Cement Foundation (ACF), a subsidiary of Ambuja Cements Limited, has been actively working in the areas of healthcare and sanitation. ACF has implemented projects in rural communities to provide access to primary healthcare facilities, safe drinking water, and sanitation infrastructure. The foundation has built hospitals, set up mobile healthcare vans, and conducted awareness campaigns on hygiene and sanitation practices. These initiatives have positively impacted the health and well-being of underprivileged communities.

48. Environmental Sustainability: In recent years, there has been a growing focus on CSR initiatives promoting environmental sustainability, considering the adverse effects of climate change and the need for responsible business practices .

49. Example: ITC Limited, a leading conglomerate in India, has made significant strides in environmental sustainability through its CSR initiatives. The company focuses on water resource management, watershed development, afforestation, and renewable energy projects. ITC's initiatives have resulted in the creation of green cover over thousands of hectares of land, enhanced water availability, and reduced carbon emissions, showcasing the company's commitment to environmental stewardship

50. Rural Development and Livelihoods: Many CSR initiatives in India aim to uplift rural communities, strengthen livelihoods, and promote inclusive growth .

51. Example: Hindustan Unilever Limited (HUL) has undertaken multiple projects to support rural development and livelihoods. HUL's Project Shakti empowers rural women by providing them with entrepreneurial opportunities, training, and access to microfinance. The project has created over 100,000 women entrepreneurs, providing them with a sustainable source of income and contributing to rural development

52. a) What do you mean by corporate Governance? b ) Explain the term sustainability c ) Explain corporate sustainability. State the importance of sustainability. d ) Explain CSR Practices in India. Throw lights on current trends in CSR e) Importance of charity in society . f ) What is CSR ? e) Explain in details Carrolls CSR Model? [10]

53. TASK Preparing report on CRS activities of any 5 Companies

54. Modules of Corporate Social Responsibility Models of CSR- Trusteeship, Stakeholders, Ethical Model, Statist Model, Liberal Model International Framework of CSR Sustainable Development Goals

55. The Trusteeship Model of Corporate Social Responsibility (CSR) A concept that draws its roots from the teachings of Mahatma Gandhi, a prominent Indian leader known for his philosophy of nonviolence and social welfare. This model presents a broader and more human approach to the role of businesses in society .

56. Trustee Concept: In this model, business leaders and owners are considered as trustees or custodians of society's resources, including wealth, natural resources, and other assets. The idea is that these resources do not solely belong to the business owners; rather, they are entrusted to them by society. Therefore, business leaders are expected to use these resources responsibly and in a manner that benefits all stakeholders

57. Stakeholder Orientation: The Trusteeship Model goes beyond the traditional shareholder-centric approach, emphasizing that businesses have a broader responsibility to various stakeholders . Stakeholders include employees, customers, suppliers, local communities, the environment, and society at large. Businesses should not focus solely on maximizing profits for shareholders but should consider the interests and well-being of all stakeholders.

58. Serving the Interests of All: According to this model, the primary objective of business leaders should be to serve the interests of all stakeholders, and not just their own self-interests. This means considering the impact of business decisions on employees, customers, suppliers, and the community . It encourages empathy and a sense of responsibility towards all those affected by the business's activities.

59. Balancing Profit-making and Social Welfare: The Trusteeship Model acknowledges that businesses need to be profitable to survive and grow. However , it emphasizes the importance of balancing profit-making with social welfare. Business leaders are encouraged to adopt sustainable practices that contribute positively to society while still ensuring the economic viability of the company in the long run

60. Long-term Sustainability: This model promotes the idea of long-term sustainability for businesses. By acting as trustees of society's resources, business leaders are encouraged to make decisions that not only yield short-term gains but also create enduring value for the company and society. Long-term thinking helps businesses avoid actions that may yield short-term profits but have detrimental consequences in the long run .

61. Ethical and Responsible Conduct: In line with Gandhi's principles, the Trusteeship Model emphasizes ethical conduct and responsible business practices. Business leaders are expected to act with integrity, honesty, and fairness while respecting the rights of all stakeholders.

62. Stake Holder Model The CSR stakeholder model argues that companies should consider the interests of all of their stakeholders when making decisions. This means that companies should not only focus on maximizing profits for shareholders, but should also take into account the needs of other stakeholders

63. How to use the CSR stakeholder model Identifying stakeholders:  Understanding stakeholder needs:  Involving stakeholders in decision-making: 

64. The benefits of the CSR stakeholder model Increased profits : Improved reputation : Reduced risk:  

65. An ethical model An ethical model is a framework for making ethical decisions. It provides a systematic way to think about ethical issues and to arrive at a decision that is ethical.

66. An ethical model Identify the ethical issue. The first step is to identify the ethical issue that needs to be addressed. This may involve identifying the different stakeholders involved in the issue, as well as the different values that are at stake . Gather information. Once the ethical issue has been identified, the next step is to gather information about the issue. This may involve gathering information about the different stakeholders, the different values at stake, and the different possible courses of action .

67. An ethical model Analyze the information. Once the information has been gathered, the next step is to analyze the information. This involves considering the different stakeholders, the different values at stake, and the different possible courses of action. Make a decision. The final step is to make a decision. This involves weighing the different factors involved in the decision and making a decision that is ethical

68. An ethical model Evaluate the dilemma: Identify the ethical dilemma and the different stakeholders involved. Think ahead: Consider the different possible courses of action and their potential consequences. Help: Consider the ethical implications of helping or not helping the person or people involved in the dilemma.

69. An ethical model Information: Gather information about the dilemma and the different possible courses of action. Calculate risk: Consider the potential risks and benefits of each course of action. Select an action: Make a decision and implement it.

70. CSR Statist Model The statist model of corporate social responsibility (CSR) in India is a model that emerged in the post-independence era, under the leadership of Jawaharlal Nehru. This model was based on the idea that the state should play a leading role in promoting social welfare, and that businesses should be responsible to the state for their social impact.

71. The statist model of CSR was characterized by the following features: State ownership of businesses:  Legal requirements:  Community involvement:

72. State ownership of businesses: The state owned a significant number of businesses in India, and these businesses were expected to fulfill social responsibilities as part of their mandate .  

73. Legal requirements: The state also enacted laws that required businesses to fulfill certain social responsibilities, such as providing housing for their employees and contributing to social welfare programs.

74. Community involvement Businesses were expected to be involved in their local communities, and to contribute to the social and economic development of those communities.

75. The statist model of CSR has been both criticized and praised for its role in promoting social welfare in India. It has helped millions of people and played an important role in the country's economic development

76. Liberal Model Stakeholder Model Focuses on the immediate stakeholders of a business Takes a broader view and considers the impact of a business on all of the groups that it affects Based on the idea of voluntary action Can be more prescriptive and require businesses to take action to address certain issues More flexible and adaptable More rigid and inflexible

77. I nternational F rameworks for CSR The United Nations Global Compact is a non-binding framework of T en principles in the areas of human rights, labor, the environment, and anti-corruption. It is the world's largest corporate sustainability initiative, with over 13,000 signatories from over 160 countries.

78. Businesses should support and respect the protection of internationally proclaimed human rights within their sphere of influence.

79. Businesses should make sure that they are not complicit in human rights abuses.

80. Businesses should uphold the freedom of association and the effective recognition of the right to collective bargaining.

81. Businesses should eliminate all forms of forced and compulsory labor.

82. Businesses should abolish child labor

83. Businesses should eliminate discrimination in respect of employment and occupation.

84. Businesses should support a precautionary approach to environmental challenges.

85. Businesses should undertake initiatives to promote greater environmental responsibility.

86. Businesses should encourage the development and diffusion of environmentally friendly technologies.

87. Businesses should work against corruption in all its forms, including extortion and bribery.

88. Legislation in India and The World Legislation ????

89. Legislation in India and The World “The process by which governments create and enforce laws."

90. Legislation in India and The World A bill is introduced to the legislature. The bill is debated and amended by the legislature. The bill is voted on by the legislature. If the bill passes both houses of the legislature, it is sent to the executive branch for signature. If the executive branch signs the bill, it becomes law.

91. Section 135 of Companies ACT The Companies Act, 2013 is the primary legislation that governs the incorporation, regulation, and dissolution of companies in India. It is a comprehensive law that covers a wide range of topics

92. Section 135 of Companies ACT Incorporation of companies Memorandum of association and articles of association Management of companies Shares and securities Accounting and auditing Dividends and profits Corporate governance Winding up of companies

93. Section 135 of Companies ACT Transparency: Disclosing information on CSR activities and performance in a timely and accurate manner. Accountability: Being accountable for the social, environmental, and economic impacts of CSR activities. Ethicality: Conducting CSR activities in a manner that is consistent with ethical business practices. Inclusiveness: Engaging with stakeholders in the design and implementation of CSR activities .

94. Section 135 of Companies ACT Respect for human rights: Respecting the human rights of all stakeholders in the course of CSR activities. Respect for cultural heritage: Respecting the cultural heritage of communities in which CSR activities are undertaken. Respect for the environment: Minimizing the negative environmental impacts of CSR activities and striving to have positive environmental impacts .

95. Section 135 of Companies ACT Respect for human rights: Respecting the human rights of all stakeholders Respect for the interest of local communities: Giving priority to the interests of local communities in the design and implementation of CSR activities. Compliance with the law: Complying with all applicable laws and regulations in the course of CSR activities

96. Principles of CSR Principle 1 Business should conduct and govern themselves with integrity, in a manner that is ethical, transparent and accountable.

97. Principles of CSR Principle 2 Business should provide goods and service in a manner that is sustainable and safe