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Corporate Social Responsibility

IIPM INDORE
PRESENTED BY:SHRADHA BIYANI

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CORPORATE SOCIAL RESPONSIBILITY

CSR is about how companies manage the business processes to produce an overall positive impact on society.
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Corporate Social Responsibilities (CSR)


Business and society has always been inter-related and interdependent. Society depends on business for the fulfillment of it's needs whereas business depends on society for much needed inputs like money and men. The growth of business also depends on society. Therefore, a business has to undertake various social responsibility to keep the society happy. In short, social responsibility of business means duties and obligations of business towards different social groups i.e. consumers, shareholders, employees, society etc. The concept of social responsibility is applicable to all business irrespective of their size and nature of business.

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THE LAW AND SOCIAL RESPONSIBILITY


Illegal and irresponsible.

Illegal and responsible

Irresponsible and legal

Legal and responsible


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CORPORATE SOCIAL RESPONSIBILITY IN INDIA


CSR in a Developing Country ( India): Governance, Business Ethics, Human Rights And Environment

Focus on nation building Socio-economic development Rural development Employment Education Health care Community support

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EXAMPLE CSR IN INDIA


ASIANPAINT HINDUSTAN UNILEVER TATA STEEL ITC LTD COLGATE PALMOLIVE WIPRO TECHNOLOGIES

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Benefits of CSR
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

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Development of CSR Concept


Social Responsibilities of the Businessman -H R Bowen ,1953 1980s
Bhopal disaster CSR activities incorporated in organizational setting Linkages between businesss social and financial performance
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Bhopal Gas Disaster


40 tons methyl iso cyanate escaped 20,000 have died

More than 120,000 people still continue to suffer. In 2001 Dow Chemical purchased Union Carbide.
Union Carbide dumped waste in the surrounding areas, after the disaster, many tons of highly toxic simply abandoned. Greenpeace label the site a Global Toxic Hotspot.
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Fundamental Principles of CSR


1. Care for all Stakeholders Ethical functioning Respect for Workers' Rights and Welfare . Respect for Human Rights Respect for Environment. Activities for Social and Inclusive Development
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ARGUMENTS AGAINST SOCIAL RESPONSIBILITY


Reduce economic efficiency. Creates excessive costs. Lack of skills. Not accountable create shareholder wealth

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21st century
CSR fusion and merger with marketing , operations, human resources, social entrepreneurship

Codes ,regulations and legal frameworks(Global compact, AA1000)

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Key Issues in CSR


Labour Rights: Child labour Forced labour Right to organise Safety and health

Environmental Conditions Water & Air emissions Climate change

Poverty Alleviation Job creation Public revenues Skills and technology


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The concept of TBL demands that a company's responsibility lies with stakeholders rather than shareholders.

TRIPLE BOTTOM LINE

The purpose of CSR The Triple Bottom Line is made up of

Social, Environmental and Economic means the


People,
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Planet,

Profit.
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PURPOSE OF CSR

"People" (human capital) fair and beneficial business practices toward labour and the community and region. "Planet" (natural capital) refers to sustainable environmental practices, do no harm and curtail environmental impact. Profit" aspect needs to be seen as the real economic benefit enjoyed by the host society.
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You have to draw a line between Charity and CSR.

There can be business without charity.


There can be charity without business. But there can be no business without
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Corporate Social Responsibility.


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