Literature review

https://hbr.org/2015/01/the-truth-about-csr
1) Truth about CSR by V. Kasturi Rangan, Lisa Chase and Sohel Karim
CSR as a business discipline and demand that every initiative deliver business results.
That is asking too much of CSR and distracts from what must be its main goal: to align a
companys social and environmental activities with its business purpose and values. If in
doing so CSR activities mitigate risks, enhance reputation, and contribute to business
results, that is all to the good.
It is based on triple line bottom social , economic , profit create value for societyour
research suggests that this is not the norm. To maximize their positive impact on the
social and environmental systems in which they operate, companies must develop CSR
strategies. This should be an essential part of the job of every CEO and board. Aligning
CSR programs must begin with an inventory and audit of existing initiatives.
Programs in this theater are not designed to produce profits or directly improve business
performance. Examples include donations of money or equipment to civic organizations,
engagement with community initiatives, and support for employee volunteering.
They maybut dont alwaysincrease revenue, decrease costs, or both. Examples
include sustainability initiatives that reduce resource use, waste, or emissions, which may
in turn reduce costs; and investments in employee working conditions, health care, or
education, which may enhance productivity, retention, and company reputation.
They should work for the welfare of society .
Hindustan Unilevers Project Shakti (empowerment) in India provides a good example.
Instead of using its customary wholesaler-to-retailer distribution model to reach remote
villages, the company recruits village women, provides them with access to microfinance
loans, and trains them in selling soaps, detergents, and other products door-to-door. More
than 65,000 women entrepreneurs now participate, nearly doubling their household
incomes, on average, while increasing rural access to hygiene products and thus
contributing to public health. These social gains have been met by business gains for the
company: As of 2012 Project Shakti had achieved more than $100 million in sales. Its
success has led Unilever to roll out similar programs in other parts of the world.Since
creating societal value is essential to business success in this theater, firms must develop
measures both of the social or environmental value produced by a new business model
and of the financial results, and must demonstrate how the two are connected. Best-
practices companies operate coordinated and interdependent programs across the CSR
portfolio. Some of their initiatives indeed create shared value; some, though intended to
do so, create more value for society than for the firm; and some are intended to create
value primarily for society. Yet all have one thing in common: They are aligned with the
companies business purpose, the values of the companies important stakeholders, and
the needs of the communities in which the companies operate. These companies, of
course, stand in stark contrast to those that are focused solely on creating value for their
shareholders.
2) Why CSR future matters to your company by Susan McPherson

https://hbr.org/2012/01/why-csrs-future-matters-to-you&cm_sp=Article-_-Links-_-
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More and more, companies are building long-term commitments to corporate social
responsibility (CSR). In 2012 the rise in consumer activism and mobility, the Occupy
movement, 24-hour accountability (thanks to social media), and global resource depletion
will force every enterprise, large and small, to make CSR a focal point. Four particular
areas stand out among many.

Employee Engagement: There will be a continued growth in employee-engagement

programs. If the economy continues to falter, we will see more corporations supporting
NGOs and nonprofits via employee volunteer programs, rather than just writing checks.
A recent sustainability study by Green Research found that 80% of major corporations
are planning to invest significantly in employee engagement in 2012. According to
Gallup, 86% of engaged employees say they very often feel happy at work.

Cause-marketing programs will multiply. These programs are created when a for-profit
and nonprofit partner to drive revenues, exposure, and fundraising dollars to the non-
profits cause. Why will these programs continue to appeal to corporations this year?
Cause-marketing provides businesses with legitimacy, along with a partner that has issue
expertise. If done authentically, such programs can enhance a firms reputation in the
eyes of stakeholders, leading to public good, the viral sharing of information and
potentially increased revenues.

As social media platforms continue to grow beyond their pre-teen years (Twitter was
only being used by 12-14 percent of the population in early 2011), consumers will
demand more transparency from corporations and nonprofits. My firm, Fenton, along
with GlobeScan conducted a survey this year, and one of the most telling insights was the
call for nonprofits and NGOs to engage directly with their donors and stakeholders.
Additionally, smarter consumers now have online tools (BrandKarma, GoodGuide,
Positive Luxury, and more) to help them interact directly with organizations, track
corporate practices, and share their demands in real-time with marketers. Those
companies and nonprofits that invest in engaging with such consumers will reap
benefits.With regards to board oversight in CSR, the informed investor evaluates risk,
return potential and financial performance while incorporating environmental, social and
governance into his/her analysis. According to Fay Feeney, CEO of Risk for Good,
Boardrooms will see CSR issues presented to them in many ways
What we see today is a far more complex picture and an ever-widening stakeholder
universe. I predict that within the next few years, CSR will be a requirement for all
organizations and will positively affect their bottom lines. Good business will be the
norm.
3) The social responsibility of business is to increase what exactly by Justin fox

https://hbr.org/2012/04/you-might-disagree-with-milton&cm_sp=Article-_-Links-_-
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There is one and only one social responsibility of business to use its resources and
engage in activities designed to increase its profits so long as it stays within the rules of
the game, which is to say, engages in open and free competition without deception or
fraud.

the proposition that ones true purpose and that the ultimate purpose of organizations
and of our communities is to serve others. When I met with him this week in RBCs
Boston office, Taft said the stewardship focus came to him as an epiphany in the midst
of the financial crisis. It hit a moment where I just thought, Ive got to stop worrying
about myself. Ive got to think first about other people.

The most obvious complication is that the rules of the game Friedman mentions arent
set by impartial referees. In the U.S., laws and regulations are crafted in a political system
where some businesses expend huge sums of money to ensure that the rules favor them
and in multiple countries in 2008, the rules were set aside to rescue companies whose
failure was seen as too much for the financial system to handle.

The rules of the game also go way beyond those enforced by governments. Economies
function within a set of societal norms about how much employees and executives
should be paid, about gender roles, about community obligations, about how seriously to
take tax laws, about appropriate behavior toward customers &#8212 that can change over
time, and have a huge impact on overall economic success. Its likely that Friedman
teachings on corporate responsibility have played a role in changing those norms.

Thus creating value to consumers by giving back to society, creating value for
shareholder and in the end serve to the society.
4) Corporate social responsibility by Bhavesh A. Kinkhabwala

http://www.icsi.edu/cs/April2009/Articles/Company%20Secretary%20and%20Corporate
%20Social%20 Responsibility%20[CSR]%20by%20Bhavesh%20A.%20Kinkhab

In a way CSR emphasizes the need for organizations to consider the good, welfare of the
mass level of the society, local and at the global level within which they function in terms
of the economic, legal, ethical and philanthropic impact of their way of conducting
business operations. CSR implies an organization be accountable to all the stakeholders
with a goal of achieving sustainable development not only in the economic sphere but
also in social and environmental spheres.

CSR has much broader implications for the globe as a whole as it reduces dependency on
the Government for social welfare and change. Social reforms driven by the community
will bring synchronization of efforts, synergies and people together, improve group
cohesiveness and lead to state of peace and harmony .Leading Indian corporates like
Infosys, Wipro, TATA, TVS, Dr.Reddys Lab, Reliance, NTPC and ONGC have taken
keen initiatives in CSR activities by concrete actions towards healthcare, education,
improving the standard of living and reducing poverty. These corporate foundations
support numerous Government schools, NGOs, have built orphanages, hospitals,
schools. Other big, medium, small business houses can also learn and initiate CSR
activities and corporate houses collectively can make India a better country for ideal
living. Wagh Bakri Tea Group as a responsible corporate citizen is focused on promotion
of Education, Health Care and Rural Development and has been periodically assisting
various Schools, Hospitals, Medical Research Institutes, Charitable Trusts and NGOs.
CSR should be nurtured as a culture and tradition. Employees participating in a CSR,
community welfare can be given recognition by separate performance evaluation.

A popular saying is Journey begins at home. One cannot every time blame the
Government. It should be important for each one of the citizens to give back something to
the society in some form or other. Social responsibility needs to be deeply ingrained in
the minds of every one right from childhood. To break the tradition of ignoring social
responsibility there needs to be a radical change in the incentive structure in the
educational system ,admission and hiring system. Marks, grades should also be awarded
based on the effective performance towards discharging social responsibility, leadership
role leading to positive societal impact. Seniors should also prove themselves as role
models. A child should at a very early stage of life, be inculcated with a sensible feeling
towards the well being of a society, community and should be encouraged to develop the
same and nurtured through schooling environment which they carry over to the corporate
world. CSR should not be mistaken as socialism but, should perceive as an effective tool
for the well balanced growth and development of a nation.