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Corporate Social Responsibility

(CSR)

Presented By:

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CSR: Definition

Corporate Social Responsibility(CSR), is a form of corporate self-regulation integrated into a businessmodel.

Essentially, CSR is the deliberateinclusion of public interest into corporatedecision-making, and honoring People,

Planet and Profit.

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CSR: Its importance United Nations Millennium Development Goalslists

increased contribution of large organizations to help toalleviate poverty, hunger and being more aware of their

impact on society .

The Indian government will make it mandatoryfor companies with turnover of Rs 1,000 crore

or net profit of Rs 5 crore to allocate 2% of thei

profit towards CSR

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Drivers of CSR

Enlightened Self-interest

Creationof a synergy of ethics, a cohesive

society and a sustainable global

economy where markets, labour andcommunities are able to function well

together.

Social InvestmentContribution tophysical infrastructure and social

capital is increasingly seen as a

necessary part of doing business

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Drivers of CSR

Transparency and TrustBusinesshas low ratings of trust in publicperception. There is increasingexpectation that companies will be more

open and accountable. Increased Public Expectations of

BusinessGlobally companies areexpected to do more than merely provide

jobs and contribute to the economythrough taxes and employment.

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CSR Pyramid

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Economic Responsibilities

How resources for the production ofgoods and services are distributed

within the social system

Efficient operation to satisfy economicneeds of the society and generation of

surplus for rewarding the investors

and further development

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Ethical Responsibilities

Behaviors and activities that areexpectedor prohibited by

organizational members, the

community, and society (not codifiedinto law)

Standards, norms, or expectations

that reflect the concern of majorstakeholders

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Philanthropic

Responsibilities... Voluntary contributions of business to

the society like involvement in

community development or other

social programmes Examples-(1) Shiksha program of

Proctor & Gamble

(2) Indian Institute of Science (IISc) andthe Tata Institute for Fundamental

Research (TIFR)

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Parties To CSR

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CSR In India

Tata Steel Ltd spends an average ofRs150 crore as part of its annualrevenue expenditure.

Steel Authority of India Ltd (SAIL), the

country's largest steel company, spentRs100 crore on CSR last year; this was2% of its Profit After Tax (PAT)

TCS has its adult literacy program which

aims to address the issue of illiteracy

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ITC Limited

Leveraging Information-Technology through its

trailblazing 'e-Choupal' initiative Creating livelihoods by helping poor tribal Investing in rainwater harvesting to bring much-

needed irrigation

Empowering rural women by helping them evolveinto entrepreneurs There are 6,500 e-Choupals today. ITC Limitedplans to scale up to 20,000 e-Choupals by 2012covering 100,000 villages in 15 states, servicing 15

million farmers

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Mahindra & Mahindra The K. C. Mahindra Education Trust was

established in 1953 by late Mr. K. C.Mahindra with an objective to promoteeducation

Envisages transforming lives of people in

India through education, financialassistance

The Trust has provided more than Rs. 7.5Crore in the form of grants, scholarshipsand loans..

The Nanhi Kali project has over 3,300underprivileged children under it.

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Any Questions?????