Project Report

(Submitted for the Degree of B.Com Honours in Accounting

& Finance under the University of Calcutta)

Title of the Project

Corporate Social Responsibility

Submitted by
Name: RUNA KUMARI JHA
Registration No. : 016-1221-0247-16
Roll No. 301-248
Name of the College-SYAMAPRASAD COLLEGE
Supervised by
Name of the Supervisor: Prof. Smt.Nibedita Bhawmik
Name of the College-SYAMAPRASAD COLLEGE

Month & Year of Submission :

FEBRUARY,2019

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 ACKNOWLEDGEMENT
RUNA KUMARI JHA , would like to extend that this project could not been completed

without the able guidancute and support of Prof. Smt.Nibedita Bhawmik

(Project Supervisor)
My thanks and appreciations also go to my friend in developing the project and people who
have willingly helped me out with their abilities thanks to all of them.
Working on this project has proved to be an enlightening experience for me.

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Annexure- I

Supervisor's Certificate

This is to certify that Runa Kumari Jha student of B.Com. Honours in Accounting & Finance
of SYAMAPRASAD COLLEGE under the University of Calcutta has worked under my
supervision and guidance for her Project Work and prepared a Project Report with the title
corporate social responsibility.
The project report, which she is submitting, is her genuine and original work to the best of
my knowledge.

Signature:
Place: Kolkata Name: Prof.Smt.Nibedita Bhawmik

Date: Designation: Lecturer in Commerce

College Name:Syamaprasad College

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Annexure- II

Student’s Declaration

I hereby declare that the Project Work with the title “CORPORATE SOCIAL
RESPONSIBILITY” submitted by me for the partial fulfilment of the degree of B .Com.
Honours in Accounting & Finance under the University of Calcutta is my original work and
has not been submitted earlier to any other University /Institution for the fulfilment of the
requirement for any course of study.

I also declare that no chapter of this manuscript in whole or in part has been incorporated in
this report from any earlier work done by others or by me. However, extracts of any literature
which has been used for this report has been duly acknowledged providing details of such
literature in the references.

Place: Kolkata Signature:

Date: Name: Runa Kumar Jha
Address:Boienchtalla dhapa road
Kolkata - 700105
Registration: 016-1221-0247-16
Roll No:301-248

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CONTENTS
TOPIC PAGE NO
CHAPTER 1
1.1 INTRODUCTION (6)
1.2 OBJECTIVE OF THE STUDY (7)
1.3 RESEARCH METHEDOLOGY (8)
1.4 LIMITATIONS OF THE STUDY (8-9)
CHAPTER 2
2.1 REVIEW OF EXISTING (9-10)
LITERATURE
2.2 CONCEPT (10-13)
2.3 CSR IN INTERNATIONAL (13-15
COUNTRIES
2.4 CSR IN INDIA (15-17)
2.5 COMPONENTS OF CSR (17-19)

2.6 TYPES OF CSR (19-20)

2.7 CSR IN DIFFERENT MNC’S (20-24)

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CHAPTER3

CASE STUDY [COCA COLA] (25-30)

CHAPTER 4
CONCLUSION (31)
RECOMMENDATION (32-33)

BIBLIOGRAPHY (34-35)

CHAPTER-1

INTRODUCTION

1.1 BACKGROUND OF THE STUDY

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C
ompanies' corporate social responsibility must be seen with regards to the
obligations and rights they hold in society. The relationship between rights and
obligations is constantly changing. Industrial history shows a steady stream of
events characterized by actors in the private sector crossing boundaries, followed by
governments issuing regulations, most of them stating obligations and restricting companies'
freedom and license to operate.

• The economic crisis in the thirties led to widespread regulations of the economy.
• The 1960s saw the dawning of consumerism and the consume movement.

The globalization of the economy and the increasing tendency of supply chains stretching
deep into third world countries has, along with the technological development and the media
revolution, led to an increased attention on companies' behaviour when operating in these
regions, and especially where serious violations of human rights are know to take place.
Shell's engagement in Nigeria resulted in an increased awareness of business and human
rights. The company had not detected the increased expectations in Europe towards
environmental obligations for companies and had also failed to notice the Nigerian
expectations that a company of Shell's size and reputation would take on certain political and
societal commitments also when operating in a foreign company. Neither, had the company
discovered the increased global expectations to companies with regards to respecting and
actively supporting human rights.

All these trends challenge a traditional view of corporations' holding a limited social
responsibility. Attitudes in society have changed resulting in unclear roles and blurred
conceptions of responsibility and unclear perceptions of what's right and wrong. Numerous
historical examples can be found of how the public agenda has been set by actors outside of
the traditional dichotomy of public and private actors. Often opinionated individuals manage
to instigate debate by pinpointing shortcomings and dangers. Often the debate focuses around
single incidents depicted as scandalous by the media. NGOs also often play an important role

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in shaping public opinion and in holding companies accountable for their actions or
alternatively lack of actions.

Globalization means increased contact between people with different beliefs, cultural
perceptions and values and the chance for collisions of value systems rises with increasing
globalization. Thus, there is a growing need for cultural sensitivity and a developed
consciousness with regards to values, ethics and corporate responsibilities.

1.2 OBJECTIVES OF THE STUDY

The objective of this path is to introduce the accomplice to the concept of Corporate Social
Responsibility today, operationalization the term and ensuring a cohesive definition of CSR
and its applications for corporate sustainability. To define and summarise the concept of
Corporate Social Responsibility. the objectives are as follows-

1) To review alternative definitions of CSR and their strengths and limitations

2) To present the present scenario of CSR in corporate world
3) To assess comparative needs for CSR and
4) To distinguish between the application of CSR in various practical situations

1.3 RESEARCH METHODOLOGY

Analysing data of MNC’s from articles published

Primary source of data being gathering information from professors of our college and
personal touch up with employees of such companies performing CSR

Secondary source being articles and journals published over internet

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 The data are thoroughly reliable and are collected based on past performances of such
companies

Taking information from other sources like directors report

1.4 LIMITATIONS OF THE STUDY

The limitations faced by me for making this project are briefed as under:

The present study has been conducted based on data collected from secondary
sources. So, data are not reliable as compared to data collected from secondary
sources.

As this project work is totally self finance so cost factor is also one of the major
limitation s as huge cost outlay for the purpose of data gathering, project
designing, companies to company’s survey and so on not affordable.

The data available didn’t prove whether such companies had undertaken such
tasks to enhance their social responsibility.

The expenditure made for social responsibility dose not form a part of financial
accounts.

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 The Directors report didn’t highlight a comprehensive idea about what there
policies are.

The study doesn’t reveal the current scenario of CSR on national and
international basis.

CHAPTER 2

CONCEPTUAL FRAMEWORK

2.1 REVIEW OF EXISTING LITERATURE

2.1.1. Zero garbage project at Baner in Pune Prasad Kulkarni, TNN Jan 31, 2013

PUNE: The civic administration launched the 'zero garbage project' at Baner ward 9 on
Wednesday evening. The project was inaugurated by member of parliament (MP) Supriya
Sule, a statement issued by the Nationalist Congress party (NCP) said.

Baner ward 9 is the second ward after Katraj, where zero garbage project will be carried out
by the Pune municipal corporation (PMC), Janwani (social initiative of MCCIA), SWACH
and Cummins India Ltd.Under the zero garbage project, waste is disposed of locally to reduce
load on dumping sites and also minimize transportation costs.

2.1.2 Bokaro Steel Plant to fill up 1700 vacancies TNN Jun 21, 2012

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BOKARO: Faced with manpower shortage, the Bokaro Steel Plant (BSL), a unit of the
SteelAuthority of India Limited (SAIL), is coming up with 1,700 job vacancies this year.

Chief executive officer (CEO) Anutosh Maitra on Wednesday said the company had got the
approval from the SAIL board for recruitment of 1,700 people for which the process would
begin this year.

The BSL is facing manpower crisis as approximately 180-200 employees are retiring from
the company every month. The targeted manpower strength of the BSL is 20,000 employees,
which has shrunk due to retirement in the past few years. To compensate the shortfall, 1,700
vacancies are to be announced. These vacancies will basically invite skilled workers
comprising ITI and diploma holders, management trainees, etc.

2.2 CONCEPT

Different organisations have framed different definitions - although there is considerable

common ground between them. My own definition is that CSR is about how companies
manage the business processes to produce an overall positive impact on society.

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Take the following illustration

Companies need to answer to two aspects of their operations.

I. The quality of their management - both in terms of people and process(the inner
circle).
II. The nature of, and quantity of their impact on society in the various areas.

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Outside stakeholders are taking an increasing interest in the activity of the company. Most
look to the outer circle - what the company has actually done, good or bad, in terms of its
products and services, in terms of its impact on the environment and on local communities,
or in how it treats and develops its workforce. Out of the various stakeholders, it is financial
analysts who are predominantly focused - as well as past financial performance - on quality
of management as an indicator of likely future performance

The World Business Council for Sustainable Development in its publication

MakingGoodBusinessSense by Lord Holme and Richard Watts, used the following
definition.

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

The same report gave some evidence of the different perceptions of what this should mean
from a number of different societies across the world. Definitions as different as CSR is about
capacity building for sustainable livelihoods. It respects cultural differences and finds the
business opportunities in building the skills of employees, the community and the
government from Ghana, through to CSR is about business giving back to society from the
Phillipines.

Traditionally in the United States, CSR has been defined much more in terms of a
philanphropic model. Companies make profits, unhindered except by fulfilling their duty to
pay taxes. Then they donate a certain share of the profits to charitable causes. It is seen as
tainting the act for the company to receive any benefit from the giving.

The European model is much more focused on operating the core business in a socially
responsible way, complemented by investment in communities for solid business case
reasons. Personally, I believe this model is more sustainable because:

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 i. Social responsibility becomes an integral part of the wealth creation process - which
if managed properly should enhance the competitiveness of business and maximise
the value of wealth creation to society.

ii. When times get hard, there is the incentive to practice CSR more and better - if it is
a philanphropic exercise which is peripheral to the main business, it will always be
the first thing to go when push comes to shove.

But as with any process based on the collective activities of communities of human beings
(as companies are) there is no 'one size fits all'. In different countries, there will be different
priorities, and values that will shape how business act. And even the observations above are
changing over time. The US has growing numbers of people looking towards core business
issues.

For instance, the CSR definition used by Business for Social Responsibility is:

Operating a business in a manner that meets or exceeds the ethical, legal, commercial and
public expectations that society has of business.

On the other hand, the European Commission hedges its bets with two definitions wrapped
into one:

A concept whereby companies decides voluntarily to contribute to a better

society and a cleaner environment.
A concept whereby companies integrate social and environmental concerns in
their business operations and in their interaction with their stakeholders on a
voluntary basis.

2.3 CSR IN INTERNATIONAL COUNTRIES:

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Corporate social responsibility (CSR) promotes a vision of business accountability to a wide
range of stakeholders, besides shareholders and investors. Key areas of concern are
environmental protection and the wellbeing of employees, the community and civil society
in general, both now and in the future.

The concept of CSR is underpinned by the idea that corporations can no longer act as isolated
economic entities operating in detachment from broader society. Traditional views about
competitiveness, survival and profitability are being swept away.

1. Company benefits:

Improved financial performance.

Lower operating costs.
Enhanced brand image and reputation.
Increased sales and customer loyalty.
Greater productivity and quality.
More ability to attract and retain employees.
Reduced regulatory oversight.
Access to capital.
Workforce diversity.
Product safety and decreased liability.

2. Benefits to the community and the general public:

Charitable contributions.
Employee volunteer programmes.
Corporate involvement in community education, employment and homelessness
programmes.
Product safety and quality.

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3. Environmental benefits:

• Greater material recyclables.

• Better product durability and functionality.
• Greater use of renewable resources.

• Integration of environmental management tools into business plans, including

lifecycle assessment and costing, environmental management standards, and
ecolabelling.

There is increasing recognition of the importance of public-private partnerships in

CSR. Private enterprise is beginning to reach out to other members of civil society
such as non-governmental organizations, the United Nations, and national and
regional governments. An example of such a partnership is the 'Global Compact'.
Launched in 1999 by the United Nations, the Global Compact is a coalition of large
businesses, trade unions and environmental and human rights groups, brought
together to share a dialogue on corporate social responsibility.

2.4 CSR IN INDIA:

The emerging concept of Corporate Social Responsibility (CSR) goes beyond charity and
requires the company to act beyond its legal obligations and to integrated social,
environmental and ethical concerns into company’s business process.

Business has today, emerged as one of the most powerful institutions on the earth. Some of
the biggest companies in the world are in fact, bigger in size than some of the developing
countries of the world. Globalization makes the world smaller, and business, worldwide, is
expanding like never before. Companies are expanding their operations and crossing
geographical boundaries.

Indian companies too have made their way into the business boom and are today globally
acknowledged as major players. India is currently amongst the fastest growing countries in

16
the world. The globalization and liberalization of the Indian economy has helped in stepping
up growth rates. Integration of the Indian with the global economy has also resulted in Indian
businesses opening up to international competition and thereby increasing their operations.

In the current scheme of things, business enterprises are no longer expected to play their
traditional role of mere profit making enterprises. The ever-increasing role of civil society
has started to put pressure on companies to act in an economically, socially and
environmentally sustainable way.

The companies are facing increased pressure for transparency and accountability, being
placed on them by their employees, customers, shareholders, media and civil society.
Business does not operate in isolation and there is today, an increased realization that not
only can companies affect society at large, but they are also in a unique position to influence
society and make positive impact.

Milton Friedman, Nobel Laureate in Economics and author of several books wrote in 1970
in the New York Times Magazine that “the social responsibility of business is to increase its
profits” and “the business of business is business”. This represented an extreme view that the
only social responsibility a law-abiding business has is to maximize profits for the
shareholders, which were considered the only stakeholders for the company. However, time
has given the term ‘stakeholder’ wider connotations.

Edward Freeman defines, ‘a stakeholder in an organization is any group or individual who

can affect or is affected by the achievement of the organization’s objectives.’ Thus, the term
stakeholder includes (apart from shareholders), but not limited to, customers, employees,
suppliers, community, environment and society at large.

These and a host of other such ideas have given rise to the concept of Corporate Social
Responsibility (CSR). The concept of CSR goes beyond charity or philanthropy and requires
the company to act beyond its legal obligations and to integrate social, environmental and
ethical concerns into its business process. Business for Social

17
Responsibility defines CSR as “achieving commercial success in ways that honour ethical
values and respect people, communities, and the environment.

It means addressing the legal, ethical, commercial and other expectations that society has for
business and making decisions that fairly balance the claims of all key stakeholders. In its
simplest terms it is: “what you do, how you do it, and when and what you say.” A widely
quoted definition by the World Business Council for Sustainable Development states that
“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”.

Though, there is no universal definition of CSR but the common understanding amongst
most of these definitions concern with how the profits are made and how they are used,
keeping in mind the interests of all stakeholders. The concept of Corporate Social
Responsibility is constantly evolving.

The emerging concept of CSR goes beyond charity and requires the company to act beyond
its legal obligations and to integrate social, environmental and ethical concerns into
company’s business process. What is generally understood by CSR is that the business has a
responsibility – towards its stakeholders and society at large – that extends beyond its legal
and enforceable obligations.

The triple bottom line approach to CSR emphasizes a company’s commitment to operating
in an economically, socially and environmentally sustainable manner. The emerging concept
of CSR advocates moving away from a ‘shareholder alone’ focus to a ‘multi-stakeholder’
focus. This would include investors, employees, business partners, customers, regulators,
supply chain, local communities, the environment and society at large.

2.5 COMPONENTS OF CSR:

Corporate Governance: Within the ambit of corporate governance, major issues are the
accountability, transparency and conduct in conformity with the laws. Good corporate

18
governance policy would enable the company to realize its corporate objectives, protect
shareholder rights, meet legal requirements and create transparency for all stakeholders.

Business Ethics: Relates to value-based and ethical business practices. ‘Business ethics
defines how a company integrates core values – such as honesty, trust, respect, and fairness
– into its policies, practices, and decision making. Business ethics also involves a company’s
compliance with legal standards and adherence to internal rules and regulations.’1

Workplace and labour relations: Human resources are most important and critical to a
company. Good CSR practices relating to workplace and labour relations can help in
improving the workplace in terms of health and safety, employee relations as well as result
in a healthy balance between work and non-work aspects of employees’ life. It can also make
it easier to recruit employees and make them stay longer, thereby reducing the costs and
disruption of recruitment and retraining.

Affirmative action/good practices: Equal opportunity employer, diversity of workforce that

includes people with disability, people from the local community etc., gender policy, code of
conduct/guidelines on prevention of sexual harassment at workplace, prevention of
HIV/AIDS at workplace, employee volunteering etc. are some of the good practices which
reflect CSR practices of the company.

Supply Chain: The business process of the company is not just limited to the operations
internal to the company but to the entire supply chain involved in goods and services. If
anyone from the supply chain neglects social, environmental, human rights or other aspects,
it may reflect badly on the company and may ultimately affect business heavily. Thus,
company should use its strategic position to influence the entire supply chain to positively
impact the stakeholders.

Customers: The products and services of a company are ultimately aimed at the customers.
The cost and quality of products may be of greatest concern to the customers but these are
not the only aspects that the customers are concerned with. With increased awareness and
means of communication, customer satisfaction and loyalty would depend on how the

19
company has produced the goods and services, considering the social, environmental, supply-
chain and other such aspects.

Environment: Merely meeting legal requirements in itself does not comprise CSR but it
requires company to engage in such a way that goes beyond mandatory requirements and
delivers environmental benefits. It would include, but not limited to, finding sustainable
solutions for natural resources, reducing adverse impacts on environment, reducing
environment-risky pollutants/emissions as well as producing environment-friendly goods.

Community: A major stakeholder to the business is the community in which the company
operates. The involvement of a company with the community would depend upon its direct
interaction with the community and assessment of issues/risks faced by those living in the
company surrounding areas. This helps in delivering a community-focused CSR strategy –
making positive changes to the lives of the people and improving the brand-image of the
company. Involvement with the community could be both direct & indirect – through funding
and other support for community projects implemented by local agencies.

2.6 TYPES OF CSR:

As large corporations begin to dominate the world economy, it raises questions about the
importance of corporate social responsibility in business. A variety of types of corporate
social responsibilities have emerged in public discussions, and understanding their
implications is important.

Environmental Responsibility:

People expect businesses to exhibit environmentally responsible behaviour, as evidenced by

a Price Waterhouse Coopers survey that found the No. 1 issue for companies in the future,

20
according to U.S. respondents, is carbon emissions reductions. Specific environmental issues
that affect businesses include global warming, sustainable resources and pollution.
Businesses are being urged by environmental groups and governments to reduce their carbon
footprint, to obtain their materials from sustainable sources and to reduce their pollution.

Human Rights Responsibility:

The 21st-century marketplace is highly global. This means that when a product is purchased
in the United States, for example, it may have been produced in China, or have components
from South America. The ethical issue for corporations is ensuring that human rights are
respected throughout all levels of the supply chain. Major companies have received criticism
for their use of sweat shops and for sourcing resources that are harvested by unfairly treated
workers. This has lead to a push for the use of strict labour standards to be applied to
suppliers, and a demand for fair trade products such as chocolate and coffee.

Financial Responsibility:

Financial responsibility is an important issue in corporate social responsibility. In the wake

of the accounting fraud perpetrated by Enron and Arthur Andersen and Ponzi schemes
orchestrated by the likes of Bernie Made off, businesses are questioned about the accuracy
of their financial reporting by increasingly sceptical shareholders and government officials,
as evidenced by the Sarbanes-Oxley Act. Employees are expected to act as whistle blowers
in such situations, and white collar crime is seeing high-profile prosecutions like that of
Martha Stewart or former WorldCom CEO Bernie Ebbers.

Political Responsibility:

Trading with repressive regimes is a difficult issue in corporate social responsibility. Some
businesses argue that working with these regimes will help to advance them and bring rights
to the countries. People and governments have demanded that businesses stop trading with
repressive regimes, which was most notably observed when several western governments
launched an embargo against the Apartheid government in South Africa during the 1980s.

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Shell Oil received considerable consumer backlash during the 1990s for its complicit
involvement with the Nigerian government that murdered anti-oil activists.

2.7 CSR IN DIFFERENT MNC’S:

“We have an obligation to fulfil to society and the communities in which we operate, and
help improve the quality of life for everyone, today and

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 in the future”– Bharti Airtel Ltd.

Bharti Airtel Ltd., one of India’s leading players in the telecommunications field, may have
been ranked the sixth best performing Technology Company in the world, but what we love
about them are their conscious efforts to serve more than just their 200 million customer base.

From education to nutrition, rural development to natural disaster response, Bharti Airtel
Ltd. have devised comprehensive issue-specific CSR strategies that focus on creating
highquality pan-India impact by partnering with leading NGOs in the field.

However, perhaps the most progressive of Bharti Airtel’s CSR is their Employee
Philanthropy Programme, which recognizes that social responsibility goes beyond monetary
support. Through this initiative, employees are required to devote some of their office hours
to volunteering at an organization of their choice. Not only does this satisfy the personal
preferences of each employee but taking a break from hectic work hours and deadlines has
improved staff performance and retention.

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In order to give many of the world’s children a chance to live a better life, Amway launched
the global One by One campaign for children in 2003. The One by One programme:

• helps Amway to bring its vision to life

• declares what the company stands for

• builds trust and respect in Amway brands

• establishes Corporate Social Responsibility at a high level.

Amway encourages staff and IBOs to support its One by One campaign for children.
Since 2001, Amway Europe has been an official partner of UNICEF and has been able to
contribute over €2 million (about £1.4 million). The focus is on supporting the worldwide
‘Immunisation Plus’ programme.
This involves, for example, providing measles vaccines to children across the globe. The
‘Plus’ is about using the vehicle of immunisation to deliver other life-saving services for
children. It is about making health systems stronger and promoting activities that help
communities and families to improve child-care practices. For example the ‘Plus’ could
include providing vitamin A supplements in countries where there is vitamin A deficiency.
Since 2001, Amway and its IBOs across Europe have been supporting UNICEF’s child
survival programme. The need is great. One out of ten children in Kenya does not live to see
its fifth birthday, largely through preventable diseases. Malaria is the biggest killer with 93
deaths per day. Only 58% of children under two are fully immunised.
The work of the One by One programme is illustrated by a field trip undertaken by Amway
IBOs to Kenya. The IBOs travelled to Kilifi in 2006 to meet children and to find out what
the problems are in various communities. They act as champions spreading the message
throughout their groups. In Kilifi, the focus is on trying to reach the most vulnerable children
and pregnant mothers. The aim is to increase immunisation from 40% to 70%. Other elements
of the programme involve seeking to prevent the transmission of HIV/AIDS to infants.

24
As the Amway organisation grows and prospers, it is able through CSR actions to help
communities to grow and prosper too.

Tata Motors has always been a company that cares about the
future.

True to the tradition of the Tata Group, Tata Motors is committed in letter and spirit to
Corporate Social Responsibility. It is a signatory to the United Nations Global Compact, and
is engaged in community and social initiatives on labor and environment standards in
compliance with the principles of the Global Compact. In accordance with this, it plays an
active role in community development, serving rural communities adjacent to its
manufacturing locations.

Tata Motors believes in technology for tomorrow. Our products stand testimony to this. Our
annual expenditure on R&D is approximately 2% of our turnover. We ensure that our
products are environmentally sound in a variety of ways. These include reducing hazardous
materials in vehicle components, developing extended life lubricants, fluids and using
ozonefriendly refrigerants. Tata Motors has been making conscious efforts in the
implementation of several environmentally sensitive technologies in manufacturing
processes.

Tata Motors' concern is manifested by a dual approach -

Reduction of environmental pollution and regular pollution control drives.

Restoration of ecological balance.

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 Cleaner Technology - Going Green

Tata Motors has been at the forefront of the Indian automobile industry's anti-pollution efforts
by introducing cleaner engines. It is the first Indian Company to introduce vehicles with Euro
norms well ahead of the mandated dates. Tata Motors' joint venture with Cummins

Engine Company, USA, in 1992, was a pioneering effort to introduce emission control
technology for India. Over the years, Tata Motors has also made investments in setting up of
an advanced emission-testing laboratory.

With the intention of protecting the environment, Tata Motors has upgraded the performance
of its entire range of four and six cylinder engines to meet international emission standards.
These engines are used in Tata Motors buses in the Indian market, as well as in over 70 export
markets.

Tata Motors is constantly working towards developing alternative fuel engine technologies.
It has manufactured CNG version of buses and followed it up with a CNG-Electric
HybridBus, which is indeed a benchmark in terms of emission quality. It has recently
showcased its technological excellence in the form of the Fuel Cell Bus. This environment
friendly bus has water as the only byproduct, thereby eliminating all kinds of emissions.

Society First

Driver Training Programmes: Tata Motors leads a number of driver training programmes
across the nation with a view of ensuring safety of all its passengers. These programmes have
also been aimed to increase employment and hone the skills of the drivers. A trained driver
always derives more from any vehicle leading to better fuel efficiency and lower emission
levels.

Mass Transportation:Tata Motors has always been a supporter of mass transportation by

modes such as buses and trains, leading to considerably lower pollution levels and

26
decongestion of Indian roads as compared to private modes of transportation. We have
always supported advance mass transportation programmes such as Bus Rapid Transit
Systems and have worked on development of specific products that perfectly suit these
applications.

Safety: Tata Motors buses are equipped with numerous safety features to ensure that the
passengers experience a secure journey. Especially, the School Buses from Tata Motors have
a number of safety features like tooth guards, padded windows, and many more to ensure

27
28
the Caribbean and Canadian markets and then moving in consecutive decades to Asia,
Europe, South America and the Soviet Union. By the end of the 20th century, the company
was selling its Products in almost every country in the world. In 2005 it became the largest
manufacturer, distributor and marketer of non-alcoholic beverages and syrups in the world.14
Coca-Cola is a publicly-held company listed on the New York Stock Exchange (NYSE).

3.1 COCA COLA’S CONFLICT IN INDIA:

Several campaigns and demonstrations followed the publication of are port issued by the
Indian NGO Centre for Science and Environment (CSE) in 2003.The report provided
evidence of the presence of pesticides to a level exceeding European standards,25 in a sample
of a dozen Coca-Cola and Pepsi Co. beverages sold in India.26 With that evidence at hand,
the CSE called on the Indian government to implement legally enforceable water standards.
The report gained ample public and media attention resulting in almost immediate effects on
Coca-Cola revenues. The long legal procedures against the Indian government that CocaCola
had to face were not the only consequence of the conflict. The brand suffered a great loss of
consumer trust and reputation damage in India and abroad.41 In India there was an overall
sales drop of 40% within two weeks after the release of the 2003 CSE report. The impact in
annual sales was a decline of 15% in overall sales in 2003 in comparison to prior annual
growth rates of 25-30%.

“The Indian population viewed Coca-Cola as a corporate villain who cared more about profits
than public health”.

3.2 REMEDIAL POLICIES ADOPTED BY THE COMPANY:

Coca-Cola dedicated a page in the Corporate Responsibility Review of 2006 to

address the controversy. The statement consisted mainly of providing information
supporting its good practices and water management of its operations in India.
30
 Increasing awareness on issues concerning CSR among all CCI employees.
Creating and publishing the Corporate Social Responsibility Report.
Ensuring the support by senior management of CSR strategies, policies and
goals that are to be defined and ensuring the monitoring of the practices thereof
Commitment to making a positive difference in the world.
Sustainability as part of everything we do.
Creating a more sustainable world.

Focuses on seven areas:

Beverage Benefits;
Active Healthy Living;
Energy Management and Climate Protection;
Community;
Sustainable Packaging;
Water Stewardship;
Workplace;

Corporate social responsibility is now firmly rooted on the global business agenda. But in
order to move from theory to concrete action, many obstacles need to be overcome. A key
challenge facing business is the need for more reliable indicators of progress in the field of
CSR, along with the dissemination of CSR strategies. Transparency and dialogue can help to
make a business appear more trustworthy, and push up the standards of other organizations
at the same time.
The Coca-Cola Company 2020 Vision

To continue to thrive as a business over the next ten years and beyond, we must look ahead,
understand the trends and forces that will shape our business in the future and move swiftly
to prepare for what's to come.

We must get ready for tomorrow today. That's what our 2020 Vision is all about. It creates a
long-term destination for our business and provides us with a sustainable "Roadmap" for
winning together with our bottler partners.

Our Mission:

Our Roadmap starts with our mission, which is enduring. It declares our purpose as a
company and serves as the standard against which we weigh our actions and decisions:

To refresh the world...

To inspire moments of optimism and happiness...
To create value and make a difference.

Our Vision:

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Our vision serves as the framework for our Roadmap and guides every aspect of our
business by describing what we need to accomplish in order to continue achieving
sustainable, quality growth.

People - be a great place to work where people are inspired to be the best they can be.

Portfolio - bring to the world a portfolio of quality beverage brands that anticipate and satisfy
people's desires and needs.

Partners - nurture a winning network of customers and suppliers, together we create mutual,
enduring value.

Planet - be a responsible citizen that makes a difference by helping build and support
sustainable communities.

Profit - maximize long-term return to shareowners while being mindful of our overall
responsibilities.

Productivity - be a highly effective, lean and fast-moving organization.

3.4 2020 VISION & COMMITMENT:

In early 2009, CCE convened an environmental summit to set out global goals for corporate
responsibility. We set out a road map for achieving them by the year 2020. We call it
Commitment 2020.

CCE has set out longer-term objectives as part of this commitment. These cover:

• Energy conservation/climate change - reduce the overall carbon footprint of our

business operations by 15% by 2020, as compared to 2007 baseline.

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• Sustainable packaging/recycling - reduce the impact of our packaging; maximise
our use of renewable, reusable, and recyclable resources to recover the equivalent of
100 percent of our packaging.
• Water stewardship - establish a water sustainable operation in which we minimise
our water use and have a water neutral impact on the local communities in which we
operate. We'll safely return the amount of water equivalent to that used in our
beverages and their production to these communities and their environment
• Product portfolio/wellbeing - provide refreshing beverages for every lifestyle and
occasion, while helping consumers make informed beverage choices.
• Diverse and inclusive culture - create a culture where diversity is valued, every
employee is a respected member of the team, and our workforce is a reflection of the
communities in which we operate.

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 CHAPTER 4

CONCLUSION AND RECOMMENDATIONS

4.1 CONCLUSION
The concept of corporate social responsibility is now firmly rooted on the global business
agenda. But in order to move from theory to concrete action, many obstacles need to be
overcome.
A key challenge facing business is the need for more reliable indicators of progress
in the field of CSR, along with the dissemination of CSR strategies. Transparency and
dialogue can help to make a business appear and more trustworthy, and push up the
standards of other organizations at the same time.
There is increasing recognition of the importance of public-private partnerships in CSR.
Private enterprise is beginning to reach out to other members of civil society such as non-
governmental organizations, the United Nations, and national and regional governments.
Management training plays an important role in implementation of CSR strategies, and there
are a growing number of conferences and course available on the subject. Organizations that
provide such training include Global Responsibility, business for Social responsibility and
the Corporate Social Responsibility Forum. Incorporating CSR hand-inhand with sustainable
practices will ensure that your company remains competitive in today’s consumer savvy
market.

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4.2 RECOMMENDATIONS
Corporate Social Responsibility (CSR) has undergone remarkable changes over the years
from merely dispensing cash by way of charity to organisations or NGOs engaged in social
work. Corporate “Outreach Programmes” include all stakeholders viz., shareholders,
employees, customers, suppliers, project affected people – directly or indirectly.

In this context the CSR Voluntary Guidelines, 2009, published by the Ministry of
Corporate Affairs, Government of India, brings to the fore six important aspects:

Care for all Stakeholders:

Depending upon the business entity’s operations it should endeavour to expand its horizons
beyond mere employees, suppliers etc. It should encompass the society as a whole where,
say, its manufacturing activity is being set up, environmental issues, social and all other
related issues need to be addressed effectively to the satisfaction of all concerned. It is not
merely obtaining NOC from the respective Statutory authorities. It should be imbibed in the
corporate culture how to protect and preserve the environment in which it intends to operate.

Ethical Functioning:

There is no precoined word called “corporate ethics”, the personnel who are in the control of
the affairs of such corporate need to have high ethical values. This again stems up from the
individuals’ upbringing, education, societal pressures,”intent“to uphold values in one own
life etc. A corporate being a legal entity controlled by human beings – corporate culture is
nothing but true reflection of personnel operating such corporate/organizations. This aspect
plays a very vital role in CSR.

Respect for Workers’ Rights and Welfare:

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Safe, hygienic and humane workplace environment not only increase productivity but also
leads to overall well-being of the organization and society at large. Creation of Brand value
for an organization emanates internally from its employees and other stakeholders which, in
turn, leads to better brand image of the organization.

Respect for Human Rights:

Human rights pervades many aspects – Corporate should show in letter and spirit that they
value human rights – respecting all caste, creed, color, sex and nationalities as an equal
opportunity employer/ stakeholder.

Respect for Environment:

This is taught by our Indian forefathers – respect environment which includes earth (land),
air, water (rivers), trees, mountains, and all biological specieswith utmost respect. Revere’s
them as GOD. Human beings who shamelessly misuse the natural resources for their selfish
ends. This needs to be guarded effectively by the Corporate and general people of society in
order to preserve the ecological balance effectively.

Activities for Social and Inclusive Development:

Corporates engaging themselves in areas need to see that the area is well protected from
ecological degradation, balancing environmental and societal needs. Create good culture,
values, ethics so that it is imbibed not only in the vicinity but also all around.Effective CSR
today is that which relates directly to the giver’s core competencies and offers real value, not
just philanthropy.

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 BIBLIOGRAPHY
References have been made whenever required and felt necessary. Many various links have
been sought into individually expressing which should not suffice. So, the sources have been
dubbed under the mentioned heads.

1. Books and articles

2. Internet for the explanations of the various topics discussed here under.

References:

http://www.cokecorporateresponsibility.co.uk/future-challenges/the-coca-cola-
company-2020-vision.aspx

http://www.utrechtlawreview.org/index.php/ulr/article/view/205/203

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Times Of India article

csr articles on wikipedia

csr articles in Airtel, Amway & Tata Motors website

Coca Cola website

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