76 Rural & Marketing March 2013

Philanthropy among

Indian businesses has

always existed. In an

Indian context, the

Gandhian principle of

trusteeship expresses the inherent

duties of the business enterprises to

its consumers, workers, community

and the mutual responsibilities

of these to one another. In India,

!"#$%#&'( )* ( +,-( "!&( ."%/%/.(

momentum. Rather than looking at

+,-( 0!&12( "'( 3%1"/$3!) 2( "/4( "'(

external to their business operations,

it is now increasingly common for

businesses to incorporate ethics,

innovation and social sensitivity into

their businesses thereby generating

!)5$'("/4(#)/$!%60$%/.($)(')#%&$27

EVOLVING CONCEPT

+,-( 3"'( &8)18&4( *!)9( 6&%/.( "(

Corporate Social

Responsibility (CSR) is

an evolving concept

in India and India Inc.

seems to be adjusting to

the new role. Company’s

Bill, 2012 is expected to

straighten the inherent

ambiguities in the

concept

by Payal Mulchandani

csr watch

EnterprisingResponsibility

77Rural & MarketingMarch 2013

csr watch

philanthropic activity to a concept which has pro

active engagement with serious pressing issues like

environment sustainability, human rights, social ills,

etc. because of the country’s monetary wealth in

the private sector and the belief that resources to

develop real world solutions lie in the private sector.

+,-( %/( :/4%"( %'( '$%11( "$( "( '$".&( ;3&!&( 4&1%6&!"$&(

efforts are required to be made on a large scale,

%/( $&!9'( )* ( +,-( )1%#2<( 1"//%/.<( ";"!&/&''( "/4(

training, research and execution teams, etc. The

!&#&/$(+)9 "/%&'(=%11<(>?@>("/4($3&(%/#)! )!"$%)/(

)* ( "(+,-(#1"0'&<( *0!$3&!'( $3&( %9 )!$"/#&()* (+,-(

&A !&''&4( 62( $3&( .)8&!/9&/$( "'( ;&117( B,C'( "!&(

%/8&'$%/.()8&!(>( &!(#&/$()* ($3&%!(/&$( !)5$'(%/(+,-(

activities but due to lack of manpower, concrete

strategy and direction along with low management

interest, they haven’t been able to achieve desired

results. With the new company’s bill, which will

include the private companies as well under the

9"/4"$)!2(+,-(096!&11"<( %$( %'(&'$%9"$&4($3"$()8&!(

Rs. 1,000 Crore per year will be dedicated for

+,-("#$%8%$%&'7(

+,-(%'(6&#)9%/.("( !%)!%$2(%/(9)'$(#)9 "/%&'7(

D3%'( %'(/)$( E0'$(6&#"0'&()* (F)8&!/9&/$(=%11'( "/4(

Guidelines. It is due to the increasing recognition

by business of the fact that a business can no longer

survive in isolation, taking into consideration

only shareholder’s value but should be based on

an inclusive concept of

‘stakeholder value’.

+,-( %'( "( /&;( 8%'%)/(

of looking at players on

the development fora.

It is no longer possible

for the business sector

to take a back seat in

facilitating environmental,

economic, human and social

development, but should

make conscious efforts

to work in coalition with different civil sector

)!."/%'"$%)/'("/4($3&(,$"$&7(

Companies are beginning to accept corporate

governance principles, take into consideration

the social impacts of their business operations,

mitigate harm from value chain activities, transform

8"10&( #3"%/( "#$%8%$%&'( $)( 6&/&5$( ')#%&$2<( 1&8&!".&(

capabilities to improve salient areas of competitive

advantage and engage in strategic

+,-(62("1%./%/.(%$(;%$3(60'%/&''(

.)"1'("/4()6E&#$%8&'7(

Companies have realised

the impact they can create by

using their core competencies to

further growth and development

in their organisations and

the society around them.

Information Technology being

D"$"( +)/'01$"/#2( ,&!8%#&G'(

HD+,I( #)!&( 60'%/&''<( %$( 0'&'(

this competency to address

large scale societal problems

through software innovations. Microsoft through

%$'( C/1%9%$&4( B)$&/$%"1( B!).!"9( .%8&'( '06'%4%'&4(

software to NGOs and they work extensively on

computer skill trainings. A lot of companies have

signed Public Private Partnerships to partner

*)!( 'J%11( 4&8&1) 9&/$( ;%$3( ,$"$&( F)8&!/9&/$'7(

Companies are working towards reducing their

environment footprint by reducing their waste. A

With the new

Company’s Bill, that

includes private

companies also

under the mandatory

CSR umbrella, it is

estimated that over Rs.

1,000 Crore per year

will be dedicated for

CSR activities

Tatjana Loren, Team Member 4th Wheel onsite Adani Foundation project, Mundra

78 Rural & Marketing March 2013

large number of companies have also only

been engaged in providing donations to

religious organisations. We are certain this

trend and form of engagement will change

to more strategic and effective models of

+,-<(%/($3&(/&"!(*0$0!&7((

THE GREY ELEMENTS

One of the loopholes for India Inc. has

6&&/(KL3"$(4)&'()/&(#)/'%4&!("'(+,-G7((D3&(

%4&"()* (;3"$(#)/'$%$0$&'(+,-(%'('$%11(8".0&(

amongst companies. With the Companies

bill it is becoming clearer as to where

investments should and can be made. One

#)/#&!/(3);&8&!<(%'($3"$($3&(=%11(#)/'%4&!'(

contributions to the PM Relief fund, Tribal

*0/4'("'("( "!$()* (+,-("/4(/)$("'(#3"!%$27((

M/)$3&!( 1)) 3)1&( %'( 5/4%/.( $3&( !%.3$(

people, trained professionally in social

4&8&1) 9&/$( "/4( ' &#%5#"112( )/( +,-7(

There is a dearth of formal education in

+,-( "/4( '0'$"%/"6%1%$2( %/( $3&( #)0/$!27(

B!)E&#$( #)/#& $0"1%'"$%)/( "/4( '$!"$&.2(

#"/( 6&( %9 !)8&4( 62( %1)$( $&'$%/.( !)E&#$'(

"/4( 5A%/.( $"/.%61&( 4&1%8&!"61&'( $)( ')#%"1(

programs. Monitoring and evaluation of

!)E&#$'( %'(8&!2( 1);( %/( $3&(#)0/$!2<(;3%#3(

%'( )/&( )* ( $3&( 6%..&'$( 30!41&'( $)( +,-(

!)E&#$G'( '0##&''7( +)9 "/%&'( #)/$%/0&(

$)( %/8&'$( %/( $3&( '"9&( !)E&#$'( "/4( %''0&'(

without looking at the impact they have

created and weeding out the issues that

hamper the potential impact. The notion

of charity is ingrained in the minds of both

communities and companies. This mindset

needs some reformation to ensure self-

'0'$"%/%/.("/4('0'$"%/"61&(+,-( !)E&#$'7(

WE AT THE 4th WHEEL

We, as facilitators are currently working

;%$3( +FBN( HD"$"( B);&!( 0/4&!$"J%/.( "$(

O0/4!"<( F0E"!"$I( *)!( "( 061%#"$%)/( )/(

$3&%!( ,"*&$2( %/$&!8&/$%)/'( "/4( "( ,)#%"1(

-&$0!/( )/( :/8&'$9&/$( ,$042( *)!( M4"/%(

P)0/4"$%)/7( =&'%4&'<( 3"/41&( "11( $3&( +,-(

communication and documentation for

+FBN(HD"$"(B);&!I7(

Moreover, we have worked with 6

corporate houses and industry bodies, 7

NGOs and various universities across the

country. The corporate houses, we have

;)!J&4( ;%$3<( "!&( +)"'$"1( F0E"!"$( B);&!(

N%9%$&4HD"$"( B);&!I<( M4"/%( P)0/4"$%)/<(

FQ+N<( -3%R)9&( N$47<( F0E"!"$( +3"96&!(

)* ( +)99&!#&( "/4( :/40'$!2<( ,9%1&( :/4%"(

P)0/4"$%)/HMR0!&(N$47I

M9)/.'$(SFT,(;&(3"8&(;)!J&4(;%$3(

,ULM<(Q)9&(S&$(,)0$3(M'%"("/4(Q)9&(

csr watch

There is a dearth of

formal education

in CSR and

sustainability in

the country. Project

conceptualisation

and strategy can be

improved by pilot

testing projects

and !xing tangible

deliverables to

social programs

Plan and Participate Project(Employee Engagement) training at Vadilal Group, Ahmedabad

79Rural & MarketingMarch 2013

S&$(:/4%"<(V%4'(P)0/4"$%)/()* (:/4%"<(B!)E&#$(

+)/#&!/( :/4%"<( +)"'$"1( ,"1%/%$2( B!&8&/$%)/(

+&11( "/4( Q"6%$"$( *)!( Q09"/%$27( ( B!)E&#$'(

have also been undertaken with PhD

'$04&/$'(*!)9(N)/4)/(,#3))1()* (U#)/)9%#'(

"/4( '$04&/$'( *!)9( BWBC<( F"/43%/"."!<(

QN==M<(M39&4"6"4<(P1"9&'<(B0/&<(&$#7(

We work as Knowledge Partners for

8"!%)0'( ')#%"1( 4&8&1) 9&/$( "/4( +,-(

related events across the country. A few

)* ( )0!( "!$/&!'( 3"8&( 6&&/( :/4%"( +,-<(

Green Earth Alliance, Indian Institute of

P)!&'$( O"/".&9&/$H::POI<( &$#7( ( M#"4&9%#(

workshops and sessions have been

undertaken by our team at undergraduate

"/4( O=M( #)11&.&'( /"9&12( ,3"/$%( =0'%/&''(

,#3))1<( B"/4%$( W&&/4"2"1( B&$!)1&09(

C/%8&!'%$2<( =V( O"E094"!( :/'$%$0$&( )* (

=0'%/&''(M49%/%'$!"$%)/<(F"/ "$(C/%8&!'%$2(

among others.

We initiated and implemented the

B1"/( "/4( B"!$%#% "$&( B!)E&#$( "/( U9 1)2&&(

U/.".&9&/$( !)E&#$( ;%$3( @>( #)9 "/%&'(

"$( M39&4"6"4( HO"!!%)$$( Q)$&1'<( X"4%1"1<(

FQ+N<(C/%L)!14<( :4&"<(O)$%* ("/4()$3&!'I7(

Our partner organizations were Ahmedabad

O0/%#% "1( +)! )!"$%)/<( ,MMDQ( +3"!%$"61&(

D!0'$<( Y"/ "$3( :/$&!/"$%)/"1<( :/'$%$0$&( *)!(

Transportation and Development Policy and

M."( V3"/( -0!"1( ,0 )!$( B!).!"9<( :/4%"7((

M#$%8%$%&'(*)!(8)10/$&&!%/.(0/4&!($3%'( !)E&#$(

included street audits, waste management

workshops, RTI outreach sessions at

hospitals, skill sharing programs for urban

youth, etc.

THE WAY AHEAD

M(/&;( #)/#& $( )* ( Z+!&"$%/.( ,3"!&4(X"10&G(

developed by Michael Porter and Mark

V!"9&!( %'( $3&( *0$0!&( )* ( K,)#%"1<( U#)/)9%#(

"/4( U/8%!)/9&/$"1( ,0'$"%/"6%1%$2G7( D3%'(

concept dwells on the premise that a

“company can innovate and improve

their operations, thereby ‘doing good and

doing well’”

Companies have increased training

programs for their employees on ethics

"/4( +,-<( 9)!&( "/4( 9)!&( #)9 "/%&'( "!&(

/);( '&$$%/.( 0 ( "/4( &A "/4%/.( $3&%!( +,-(

departments, employee engagement is going

to get much more popular and strategic,

needs assessment studies and baselines

'$04%&'( "!&( 6&#)9%/.( #!0#%"1( 6&*)!&( +,-(

program conceptualisation and monitoring

and evaluation frameworks are being devised

and implemented to ensure stipulated

actions and results. New innovative,

technology driven methods of catering to

the peculiar needs of today’s rural and urban

are being piloted and a step towards stopping

replication and duplication of programs and

!)E&#$'(%'(6&%/.(9"4&7(

M$( [$3( L3&&1( ;&( *&&1( $3"$( +,-( 3"'(

tremendous potential and scope in driving

development in the right direction and

deriving economic, social and environmental

sustainability. Companies should incorporate

+,-( %/( 6)$3( $3&%!( 60'%/&''( 3%1)') 32(

and operations and should use their

core competencies to tackle societal or

environmental issues. We are constantly

;)!J%/.( $);"!4'( 9)!&( '$!"$&.%#( +,-<(

which includes the principles of inclusive,

participatory and sustainable development.

(The writer is co-founder 4th Wheel and Ahmedabad

based NGO)

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Projects have

also been

undertaken with

PhD students from

London School

of Economics

and students

from PDPU,

Gandhinagar,

HLBBA,

Ahmedabad,

Flames, Pune, etc

Session on ‘Railways and CSR’ at Railway Staff College, Baroda