CORPORATE SOCIAL RESPONSIBILITY

THE INDIAN PERSPECTIVE

A report submitted for internal assessment of

LEGAL SYSTEM ( BUSINESS & COMPANY LAW )

Under the guidance of

Prof. S N Ghosh

PREPARED BY
Roll No. Name Section Group No. Signature
12 Manab jyoti Boruah
1
38 Noman shamsi

20 Samar pratap singh

FF1

54 Tushar Bhati

70 Udayan singh Baghel

IIPM
NEW DELHI IIPM TOWER, SATBARI,
CHANDAN HAULA, CHATTARPUR-BHATIMINES ROAD

Corporate social responsibility –the Indian prospective

 ACKNOWLEDGEMENT

We thank Mr. S.N.Ghosh in particular for assigning us this topic and

encouraging us to write in the first place. We owe to Mr. S.N.Ghosh for his helpful comments.

We are indebted to all those who have been helpful throughout the process of
writing this Report- I am thankful to IIPM Library, our team mates, our seniors from whom we’ve
taken the ideas but as the cliché goes we are solely responsible for any remaining errors of fact or
judgment.

Signature of group members

(Mr. Manab Boruah) (Mr. Noman Shamsi) (Mr. Samar ) (Mr. Tushar ) (Mr. Udayan Singh)

Corporate social responsibility –the Indian prospective

 CONTENTS  Acknowledgement

 Abstract

 Introduction

 Definition

 Concept of CSR

 CSR in developing country (India)

 Purpous of CSR

 Benefits of CSR

 Is CSR is same as business ethics

 Corporate social responsibility –the Indian prospective

Corporate Social ABSTRACT

Responsibility is about how companies
manage the business processes to produce an overall positive impact on society. An obligation,
beyond that required by the law and economics, for a firm to pursue long term goals that are good
for society .
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 that of the local community and society at large .It is About how a company manages its
business process to produce an overall positive impact on society. ITC ltd is one of the company
who is maintaining corporate social responsibility very well .

Signature of group member

(Mr. Manab Boruah) (Mr. Noman Shamsi) (Mr. Samar ) (Mr. Tushar ) (Mr. Udayan Singh)
Corporate social responsibility –the Indian prospective

CORPORATE SOCIAL RESPONSIBILITY

THE INDIAN PERSPECTIVE

INTRODUCTION

Corporate social responsibility in a way means Conducting business in

an ethical way and in the interests of the wider community and responding positively to
emerging societal priorities and expectations. It is also a willingness to act ahead of regulatory
confrontation and balancing shareholder interests against the interests of the wider community
and being a good citizen in the community the companies take the necessary steps to sort the
problem.
Corporate Social Responsibility has been assuming greater importance in
the corporate world, including the banking sector. There is a visible trend in the financial sector
of promoting environment friendly and socially responsible lending and investment practices.
Reserve Bank of India has also highlighted the importance of CSR and advised all scheduled
commercial banks to put in place a suitable and appropriate plan of action towards helping the
cause of sustainable development. Recognizing the importance of CSR, the Ministry of
Corporate Affairs, Government of India, has recently brought out a set of voluntary guidelines
on CSR for corporate. These CSR guidelines pertain to areas, such as, care for all stakeholders,
ethical functioning, respect for workers’ rights and welfare, respect for human rights,
environment and social and inclusive development.

Over the years, we, at SIDBI, have integrated CSR principles with the
Bank’s financial, promotional and developmental assistance to the MSME sector as well as
within our own internal functioning through good corporate governance practices. Our CSR
pillars are Sustainable Banking, Environment Protection, Social Commitment, Human
Resource Development and Stakeholders Engagement. Our CSR policy, based on these pillars,
is largely in conformity with the guidelines of Government of India and the Reserve Bank of
India.

SIDBI acknowledge that lending to the MSME sector has significant

sustainability impact. The MSME sector accounts for more than 45% of the total
manufacturing output; 33% percent of the total exports of the country and is estimated to
employ about 60 million persons in over 26 million units throughout the length and breadth of
the country. Our CSR initiatives for the MSMEs are oriented towards their sustainability by
focusing on their holistic development across economic, social and environmental spheres.
Responsible banking, along with realization of economic benefits and protection of
environment (within the Bank and in its outside business operations), form an integral part of
our CSR strategy.

Signature of group member

(Mr. Manab Boruah) (Mr. Noman Shamsi) (Mr. Samar ) (Mr. Tushar ) (Mr. Udayan Singh)

www.sidbi .com
www.enclyopedia .com
 Corporate social responsibility –the Indian prospective

INTRODUCTION (Cont)

Besides, sustainability is enshrined in our financing to the MSME sector as

they have incorporated a number of environmental and social standards in their financial and
developmental schemes. For instance, SIDBI do not provide credit to Ozone depleting
industries. It gives credit to the MSMEs after they obtain ‘No Objection Certificate’ from the
Pollution Control Board, wherever required. SIDBI provide finance to enable MSMEs in
implementing effluent treatment mechanisms in the ironist and also grant support to set up
common effluent treatment plants in the clusters.

Promotion of energy efficiency within SIDBI and in the MSME sector at

large has become one of their stepping-stone towards sustainable banking, which over the
years, has become the right way of doing business. In this regard, SIDBI has expressed their
commitment to the National Action Plan on Climate Change (NAPCC) as announced by our
Hon’ble Prime Minister. To promote energy efficiency in the MSME sector, they have entered
into a Memorandum of Understanding with Bureau of Energy Efficiency (BEE) and
collaborate with Ministry of MSME, Government of India under the National Manufacturing
Competitiveness Programme . Bilateral lines of credit from Japan International Cooperation
Agency .

SIDBI continue to extend their commitment to Sustainable Development in

terms of Triple Bottom line: Profit, People and Planet, as manifested in creation of economic
wealth, its distribution for an egalitarian society, and preservation of ecological wealth. We are
confident that each small thing that we do today will contribute to a bigger change for a brighter
tomorrow of the MSME sector. Hence, we constantly Endeavour to adopt internationally best
CSR practices and measure our efforts against the yardstick of guidelines accepted across the-
globe. Thus, we have begun benchmarking our CSR initiatives against the Global Reporting
Initiatives (GRI) G3 Guidelines, which are an internationally accepted sustainability reporting
format. We have tried to present in this debut CSR Report a fair, balanced and transparent view
of our sustainability operations.

Signature of group member

(Mr. Manab Boruah) (Mr. Noman Shamsi) (Mr. Samar ) (Mr. Tushar ) (Mr. Udayan Singh)
 Corporate social responsibility –the Indian prospective

DEFINITION OF CORPORATE SOCIAL RESPONSIBILITY

‘Corporate,’ ‘Social,’ and ‘Responsibility.’

In broad terms, CSR relates to responsibilities corporations have towards

society within which they are based and operate, not denying the fact that the purview of CSR goes
much beyond this. CSR is comprehended differently by different people.

“A commitment to improve community well being through discretionary

business practices and contributions of corporate resource”

According to Millen Baker corporate social responsibility “A way companies

manage the business processes to produce an overall positive impact on society.”

World Business Council for Sustainable Development define

Corporate Social Responsibility 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 of the local community and society at large”.

Signature of group member

(Mr. Manab Boruah) (Mr. Noman Shamsi) (Mr. Samar ) (Mr. Tushar ) (Mr. Udayan Singh)
 Corporate social responsibility –the Indian prospective

CONCEPT OF CORPORATE SOCIAL RESPONSIBILITY

CSR(corporate social responsibility) is a concept in which organizations

consider the interests of society by taking responsibility for the impact of their activities on
customers, suppliers, employees, shareholders, communities other stakeholders, future generation
and on environment. The organizations voluntarily taking advance steps to improve the quality of
life for employees and their families as well as for the local community and society.

CORPORATE SOCIAL RESPONSIBILITY IN INDIA

In India, CSR has evolved to encompass employees, customers, stakeholders

and sustainable development or corporate citizenship. The spectrum of CSR includes a number of
areas as human rights, safety at work, consumer protection, climate protection and caring for the
environment, and sustainable management of natural resources. From the perspective of
employees, CSR activities include providing health and safety measures, preserving employee
rights and discouraging discrimination at workplace. This helps in fostering a healthy environment
within the company.
For example, after 1945, TATA implemented social welfare provisions for its
employees that have since become the legislative norm. From the perspectives of customers, CRS
activities may include commitment to product quality, fair pricing policies, and so.

TVS Electronics was involved in CSR during the Tsunami to provide relief
measures to the victims. They have also participated with the government to improve sanitation in a
village called Tiruvidenthai. Such initiatives will help in improving the conditions of rural people

CORPORATE SOCIAL RESPONSIBILITY IN DEVELOPING COUNTRY (INDIA)

• Focus on nation building

• Socio-economic development

• Rural development

• Employment

• Education

• Health care

• Community support

Signature of group member

 (Mr. Manab Boruah) (Mr. Noman Shamsi) (Mr. Samar ) (Mr. Tushar ) (Mr. Udayan Singh)

Corporate social responsibility –the Indian prospective

THE PURPOUS OF CONSUMER SOCIAL RESPONSIBILITY

The purpose of Corporate Social Responsibility (CSR) is to make corporate business

activity and corporate culture become sustainable in its three dimensions: economic, social and
environmental.

BENEFITS OF CONSUMER SOCIAL RESPONSIBILITY

CSR behaviour can benefit the firm in several Ways:

• It aids the attraction and retention of staff

• It attracts green and ethical investment

• It attracts ethically conscious customers

• It can lead to a reduction in costs through re-cycling

• It differentiates the firm from its competitor and can be a source of competitive advantage

• It can lead to increased profitability in the long run

IS CONSUMER SOCIAL RESPONSIBILITY IS SAME AS BUSINESS ETHICS

There is clearly an overlap between CSR and business ethics .Both

concepts concern values, objectives and decision based on something than the pursuit of profits
and socially responsible firms must act ethically. The difference is that ethics concern individual
actions which can be assessed as right or wrong by reference to moral principles.

Signature of group member

(Mr. Manab Boruah) (Mr. Noman Shamsi) (Mr. Samar ) (Mr. Tushar ) (Mr. Udayan Singh)
 CONCLUSION

After doing research in this topic we find that consumer social responsibility is
important for all companies and the companies must do something for their society and their
country . for example ITC ltd give 1 rs to the poor children for their studies

Signature of group member

(Mr. Manab Boruah) (Mr. Noman Shamsi) (Mr. Samar ) (Mr. Tushar ) (Mr. Udayan Singh)