CORPORATE SOCIAL RESPONSIBILITY

By: Prof. (Dr.) S. K. Moharana

INTRODUCTION
1.Responsibility of corporate towards the benefit of society. 2.Relationship of business and society. 3.Profitability should not be primary purpose. 4.Corporate as integral part of society.

CLASSICAL VIEW OF CSR

Business responsibility i.e use resources & energy to earn max profit.

CONTEMPORARY VIEW 1.Take care of expectation of strikeholders(employees, supplier,shareholders,consumer etc.) 2.Business as economic entity. 3.CSR directly proportional to company size. 4.Social operation of business. 5.Economic obligation

5 KEY DIMENSIONS OF CSR

RESPONSIBILITY TOWARDS SHAREHOLDERS RESPONSIBILITY TOWARDS EMPLOYEES RESPONSIBILITY TOWARDS CONSUMERS RESPONSIBILITY TOWARDS COMMUNITY RESPONSIBILITY TOWARDS GOVERNMEN

SHARE HOLDERS

GOVT.
CSR

EMPLOYEES

COMMUNITY

CONSUMERS

Responsibility towards shareholders

Protection of interest of shareholders.

Earn sufficient profit to provide divident even during lean period. Shareholders interest not only in wealth collection but also in csr and image of company.

Responsibility towards employees

Payment of fair wages. Best working conditions. Arrangement of proper training and education for workers. Proper recognisation, appreciation and encouragement of special skills. Installation of effective grievances handling.

Responsibility towards consumers

Increase efficiency of functioning of

business so as to increase production. Improve quality. Smoothen the distribution system. Supply goods at reasonable prices.

Responsibility towards community

Steps to prevent environment

pollution. Rehabilitation of displaced population. Overall development of locality. Steps to conserve scare resources and develop alternatives.

Responsibility towards government

Obeying the law of land.

Paying corporate tax to govt on time. Disclosure of financial statements from time to time.

TYPES OF COMPANY ON THE BASIS OF CSR

ANTI SOCIAL COMPANY:Having no social responsibility.They do not obey laws and regulation and make use of loopholes or flexibility in rules and regulation. this business may contribute their illegal money to mask their real face. EX: Liquor shops. INDIFFERENT COMPANY:Also not having social responsibility but they obey rules and regulation and follow economic responsibility. EX: Small scale industries.

 PERIPHERAL COMPANY:These are slightly better than the indifferent companies and have little bit social responsibilities. EX: Medium size enterprise. SOCIALLY ORIENTED COMPANY:High level of social orientation but have limited resources to assist their objective.

 COMMITTED AND VERY

ACTIVE COMPANY:High level of social orientation and involvement in welfare of society.

TISCO(TATA IRON & STEEL COMPANY)

Developed in 1979, S.P Kotval as Chairman. The report on July 1980 includes its CSR discharged by the company. Taken various majors like Housing,Medical Services ,school, transportation facilities,Pollution control measures. Company maintained harmonius employeeemployee relation & not a single day was lost due to strike or lockout. In respect to consumers:smooth supply of product and ample measures to ensure quality. In respect to shareholders:paid fair amount of wages.

 Taken various programs for Rural development. Conclusion:it fulfilled the objective contained in clause3A of its article of association regarding its social responsibility.

HINDALCO (A BIRLA GROUP COMPANY)

MR.KUMAR MANGALAM BIRLA,CHAIRMAN Balwadis=providing for primary education. Merit scholarship=two support female,& also provide free textbooks. THE ADITYA BIRLA RURAL TECHNOLOGY PROGRAM(Manipur UP,India). THE YASHOGAMI SKILL TRAINING CENTRE(Maharashtra). WATERSHED DEVELOPMENT

AVON CYCLE LIMITED

Established in 1952, Managing Director =ONKAR SINGH PAHWA, Chairman=SH. SOHAN LAL PAHWA
SARDAR NAHAL SINGH PAHWA HOSPITAL IN INDUSTRIAL AREA IN 1973. MATA KAUSHALIYA DEVI PAHWA CHARITABLE HOSPITAL IN RURAL AREA

WIPRO
DEVELOPED IN 1945 AND STARTED ITS TECH.BUSINESS IN 1980. CHAIRMAN=AZIM H.PREMJI ADOPTED PUSHPAVANAM VILLAGE IN TSUNAMI RAVAGEDBELT OF TAMILNADU . BIT SUNAMI A TRUST. PROVIDE REHABILITATION IN ORRISA DURING CYCLONE IN 1999 AND IN GUJRAT DURING EARTH QUAKE IN 2001.

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