CORPORATE SOCIAL RESPONSIBILITY

"Corporate social responsibility is a hardedged business 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

Going Green

In 2003, 1 out of 10 Fortune 500 companies had a board committee dedicated to environmental issues

Now its 1 out of 4

Introduction
Corporate Social Responsibility involves responsibilities outside of making a profit and the key questions for corporations include:
Does business have a social responsibility? If so, what is the extent and type of the responsibility?

Corporate Social Responsibility (CSR) Arguments Against

Restricts the free Increase business market goal of power profit maximization Limits the ability to Business is not compete in a global equipped to handle marketplace social activities Dilutes the primary aim of business

Corporate Social Responsibility (CSR) Arguments For

Addresses social issues business caused and allows business to be part of the solution Protects business self-interest Limits future government intervention Addresses issues by using business resources and expertise Addresses issues by being proactive

Concept of
Social responsiveness: It implies a socially responsive organization that is expected to anticipate change or social problem and response to it. Social obligation: It implies the typical activities of an organization directed in response to market forces and internal aspirants. Social Responsibility: It implies responsibility of business towards society.

Total Corporate Social Responsibility

Reasons for growing concern for CSR

Consumerism: Growing consciousness among consumer about their rights, laws and groups. Trade unionism: Growing power of the TUs & labour laws have led to labour welfare. Public opinion: Public opinion & threat of govt. control has made businessmen realise that responsible behavior is necessary for establishment of free enterprise. Enlightened self-interest: The spread of education has led businessmen to be concerned with the quality of life. Professionalisation: Separation of ownership from mgt. made manager to take a long term a long term and more responsible view of there roles.

CSR In INDIA
A few big economic players have made significant contribution in the field of CSR. Acc. To a survey of 627 Co. conducted by Partners in change action aid & SRI/IMRB: About 36% of Co. in India have the policy on CSR. Only 7% of Co. have written policy. Of those having written policy 86% were actually following it. Almost 60% of Co. with a policy have a person responsible for actual implementation. 80% of Co. are working with NGOs of which rotary and lions club are main. Cash donation is the major form of support.

Strategies for CSR

Legislative measures: The companies law may be amended. Voluntary measures: Law alone cannot solve the purpose some voluntary measures such as: Shareholders association should be formed. Consumers association should be formed. Should develop a organised culture.

 CSR evolving in todays world as Social Cause Marketing Whats the future of CSR in various organizations