CSR & HR
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Transcript of CSR & HR
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Corporate Social Responsibility
The Human Resources Case
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What it CSR and how it has evolved
Why does CSR make sense for HR
CSR at Lafarge - The status today
CSR Going Forward : Opportunities in HR
Agenda
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Business Involvement With Communities
Merchant Charity
All merchant communities had traditions of giving
Types of works supported Dharamshalas, pathsahalas,
tree plantations, wells, tanks, marriages etc.
Corporate Philanthrophy : Golden Age 1857 - 1947
Industrialisation and amassing of
wealth
Govt. encouragement
Establishment of foundations.
Dynastic traditions in
philanthropy- Tatas, Birlas,
Mafatlals, Sriram etc.
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CSR
Why it Makes Business Sense
"Corporate social responsibility is a hard-edged
business decision. Not because it is a nice thingto do or because people are forcing us to do it...
because it is good for our business" - NiallFitzerald, Former CEO, Unilever
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What CSR Isnt
It isnt CHARITY
- Immediate distress relief to persons or communities
It isnt PHILANTHROPY
- Donations / EndowmentsIt isnt PROFIT SHARING
- Giving back to society
It isnt a COST OF DOING BUSINESS
It isnt a TOOL of building community relationships
It isnt a GENEROSITY in a good financial year
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What CSR Is :
Sustainable Business Principles
Is built into the business operations - a way of doing
business and not an add on activity
Its totally aligned to the strategic objectives of the
company
Has a long-term road map not an ad-hoc activity
Social Investment which creates tangible andmeasurable long-term shareholder value
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We Need CSR Because
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CSR at Lafarge
The Status Today
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CSR At Lafarge
2006-2008
EMPLOYABILITY HEALTH EDUCATION
MISCRURAL
INFRASTRUCTURE
Mason Training : 118
youths trained across three
locations
Drivers Training: 101
trained
Stitching classes: 209 girls
attended
OtherTrainings : 130 trained.
59500 patients
treated 13 villages
covered
17 specialized healthcamps reach out to
5638 patients
Computer Education
4922 students
covered through
computer literacy
programs.
Construction of school buildings
Construction of classrooms
School boundary walls
Construction of Community Halls
Hand Pumps
Construction of village
roads/playgrounds/ pond deepening
Drinking water supply throughtankers in summers
Plantation
Toilets for BPL Families
Community Toilets
Cremation Sheds/Sports
Events/Donations For Cultural
Events, Fairs & Festivals
An Omnibus Approach
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CSR : The Human Resources Perspective
Where do we differentiate from others
How do we differentiate from others
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Who Are Our Stakeholders
LIPL
?
VPs
Managers
Factory Contract
60
2000
2000
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Adopt Gender Budgeting as CSR Measure
Dr Girija Vyas
Male population should also be sensitised on
women issues for spreading gender equality
[New Delhi, 05 March 2009] Corporate housesshould adopt gender budgeting as a CSR
measure. Gender Budgeting provides a
mechanism wherein 30-40% of corporate or
ministerial budget is spent towards gendersensitization
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HR Becomes a Key Player in CSR
HR already plays an important role through
recruitment and learning, says Jim Maurer, apartner with Grant Thornton LLP in Chicago. And
that is only going to increase.
The new generation of recruits wants to be part
of a company that is socially responsible, and they
want the opportunity to take part in socially
responsible initiatives, he says. They expect
companies to be socially responsible and they
want to know what the company is doing in that
area.
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Corporate Responsibility Can Be Profitable
In June 2007, BusinessWeek National CSR Survey
The survey of 159 U.S. companies & 500 executives
75% + believe that corporate responsibility
initiatives can enhance profitability,
77 % expect corporate responsibility to have a
major impact on business strategies over the next
several years.
Moreover, 64 percent of these executives felt that HR
should take a leading role with social initiatives.
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HR Becomes a Key Player in CSR
19% of surveyed companies report having a single
person in charge of all their CSR programs.
68% say they expect environmental responsibilityreporting to be mandatory within the next five years
70% foresee increased government regulation forenvironmental responsibility in five years or less
62 percent believe that pressure to pursue CSR
programs will come chiefly from consumers (45percent) and investors (21 percent).
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HR Becomes a Key Player in CSR
64% believe that the HR department should takethe lead on social programs,
while 5% say operations should be in charge ofenvironmental initiatives
57% feel that finance should be responsible for
economic responsibility programs
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HR Becomes a Key Player in CSR
The 3 greatest benefits of enacting corporateresponsibility programs, executives said, were :
Improve public opinion.
Improve customer relations.
Help attract/retain talent.
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Customer-Driven CSR at Sun Microsystems
Marcy Scott Lynn, CSR program manager with SunMicrosystems in Santa Clara, Calif., notes that thecompanys customers have been demanding greaterCSR from Sun and their other vendors. Ourcustomers demand a higher level of accountabilitywith regard to social responsibility, she says.
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Sun Microsystems
The company publishes its monthly energy useand related carbon dioxide emissions for its majorfacilities and communicates the energy requirementsof its various products.
The company electronically also publishes anAnnual CSR Report
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HR Becomes a Key Player in CSR
64%
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Some CSR Examples
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Project Shakti
To create income-generating capabilities for rural women
Providing a range of mass-market products to the SHGs,
which are relevant to rural customers
HUL provides on-the-job training in ensuring the stabilization
of the womens fledgling businesses.
Armed with micro-credit, women from SHGs become direct-
to-home distributors in rural markets
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E-Choupal Empowering Indian Farmers
e-Choupal No Next 5 Years
States Covered 10 15
Villages Covered 40000 100000
No. of e-Choupals 6500 20000
Farmers Empowered 4mill 10 million
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CSR programs aligned to corporate strategy are
not reckless, are not illogical and are not tree-
hugging. They minimize risk, maximizeopportunity and the world will reap the rewards.
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"Corporate social responsibility is a hard-edgedbusiness decision. Not because it is a nice thing
to do or because people are forcing us to do it...
because it is good for our business" - Niall
Fitzerald, Former CEO, Unilever
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End of Document