Research on Corporate Social Responsibility

 

Corporate Social Responsibility is a boon to develop society by corporate companies but if they use the CSR fund in sustainable way that will be useful for get rid societal problem and bring sustainability among community. The study has been carried out with the help of exploratory research design three case studies have been conducted by using qualitative research approach by conducting interview, observation tools. The study conducted to explore corporate social responsibility and sustainable development of society, to assess corporate companies, responsibility credibility and transparency in bringing sustainable societal development.

Corporations around the world are struggling with a new role, which is to meet the needs of the present generation without compromising the ability of the next generations to meet their own needs (Bhagwat, 2011). The concept of Corporate Social Responsibility (CSR) underwent a overhaul in India for certain large, stable companies post the passing of the Companies Act, 2013. It transited from being a voluntary, sporadic exercise to mandated, objective, structured, transparent and accountable compliance - not only to the Government, but also to the other stakeholders and most importantly, to the Companies themselves. As a result, Corporate Communication on CSR became extremely relevant. Moreover, study of mandated CSR (here, under the Section 135 and Schedule VII of the Companies Act, 2013) also became a new area for knowledge creation. We understand CSR as an approach that simultaneously strives to satisfy environmental, economic and social standards (Montiel & Ivan , 2008).

World Commission on Environment and Development, Our Common Future (1987) describes Sustainable development is development that meets the needs of the present without compromising the ability of future generations to meet their own needs. It contains within it two key concepts:• The concept of 'needs', in particular, the essential needs of the world's poor, to which overriding priority should be given; and • The idea of limitations imposed by the state of technology and social organization on the environment's ability to meet present and future needs (Nations., 1987).

CSR is an integral part of sustainable development. Exactly where it fits in is vigorously debated, mainly because the concept of sustainable development also has many different interpretations. This diagram, illuminates CSR‘s relationship with sustainable development. The basic idea to incorporate the sustainability aspect into business management should be grounded in the ethical belief of give and take to maintain a successful company in the long-term. As the company is embedded in a complex system of interdependences in- and outside the firm, this maintaining character should be fulfilled due to the company‘s commitment in protecting the environment or reducing its ecological footprint and due to the general acceptance of its corporate behaviour by society in- and outside of the firm. It is recommended that CSR is to be used as social strand of the sustainable development-concept which is mainly built on a sound stakeholder approach. CSR focus especially on the corporate engagement realizing its responsibilities as a member of society and meeting the expectations of all stakeholders (Nations., 1987).

Everybody is moving towards sustainability. That is the real purpose. Otherwise, CSR would only be for the purpose of optics. CSR activities with the UN’s sustainable development goals (SDGs) since, at the bank, CSR and sustainability converge at my level. I am always mindful that whatever we do in CSR, we always take care of social, environmental and governance issues. That is how we have converged CSR and SDGs (Zargar, 2018).

In a climate that is arguably marked by more informed publics and a critical media, companies are facing more clearly articulated expectations from customers and consumers regarding their contributions to sustainable development, which puts pressure on them to maintain transparency and be proactive in communicating with its publics (Ghosh, 2014) (Mitra, 2015).

Infact, Sethi (2014), Mitra (2015) feels that CSR reports, Business Responsibility Reports and Sustainability Reports are instruments to manage reputation; therefore should be the essence of a robust communication strategy (Sethi, 2014).

Rationale of the study

CSR was mainly understood to be a voluntary type (Van Marrewijk & Marcel , 2003).The expanded understanding of CSR elaborated above sets a high standard for a TNC’s (transnational corporations) capability to identify societal needs, understand the complex dynamics of the social and biophysical systems in which they are embedded, and engage with a multitude of stakeholders to address sustainable development issues beyond their direct and exclusive control (Starik, Mark, & Kanashiro, 2013). of social engagement of corporations, built on principles of charity and stewardship. So, even within emerging economies, India was selected as ‘there has been little emphasis on CSR researches in Asian developing countries as compared to the West’ (Erden & Bodur, 2013). Moreover, in the management literature, only recently, some work has been done on CSR in Asian developing countries (Chapple & Moon, 2005)(Erden and Bodur 2013).

Objectives of the study

• To explore corporate social responsibility and sustainable development of society

• To assess corporate companies, responsibility credibility and transparency in bringing sustainable societal development.

Research Methodology

The present study was exploratory in nature hence exploratory research design was adopted . by using case study method primary data have been drawn during case study interview and observation tools have been used as a qualitative research approach. Three case studies of CSR projects were delineated and ascertained how sustainable practices happening through CSR projects in Karnataka. Secondary data were drawn from various journal, websites, books so on.

Case study 1

Navya Disha works with poor households to facilitate construction of toilets in individual homes. We encourage every family in the village to have its own water connection so they don’t have to trek for miles for potable water. We conduct extensive and in-depth awareness programs on the importance of building rainwater harvesting systems and ensuring safe disposal of waste by opting for biogas plants, composting and solid waste management programs.

WatSan program is implemented in the operational areas of Grameen Koota, in association with water.org. The objective is to increase access to improved sanitation facilities and promote access to clean and safe drinking water. They also provide skills training to local masons, in building low-cost and affordable models of sanitation. They work closely with Grameen Koota which offers collateral-free microloans to their members to improve water and sanitation systems in their homes. We help non-Grameen Koota members in accessing subsidies under the Swachh Bharath Mission initiative after construction of toilets in their homes.

Sugrama project aims to achieve 100% sanitation coverage in all the target areas and create model villages, free from open defecation and with access to potable water in every household. Sugrama will encourage rural communities to adopt rain water harvesting and watershed techniques to improve groundwater level and adopt eco-friendly solid waste management and waste disposal systems. Currently, this project is being implemented in two of the most underdeveloped Grama Panchayaths in Karnataka – Urdigere Grama Panchayath in Tumkur District and New Vantamuri Grama Panchayath in Belagavi District. Plans are afoot to cover the entire district under this project (Disha, 2018).

In total sanitation drive SUGRAMA, Navya Disha has been adopted a village Urdigere in Tumkur taluk Karnataka. In this endeavor the organization working to bring total sanitation in the village. baseline survey conducted by the agency they found total 220 households dwelling in the village among them only 55 housholds were having toilet facility among 55 households only few of them were utilizing the existing toilets, apart from that, everybody were going for open deification. For this reason they have selected and adopted the village to make open deification free village. In this endeavor they strived to bring awareness among people. They have organized awareness programmes through public speech, street plays, model exhibition and morning interrogating of people those who go for open deification and interacting with them and given awareness about ill effect of open deification.

Case study 2

Dr. Reddy’s foundation is working for the vision of enable sustainable social impact at scale mission statement of the organization is to empower communities through improved education, livelihood and health outcomes strategies adopted to achieve this vision and mission is to develop and test innovative solutions to address complex social problems and leverage partnerships to scale up impact. wellbeing of the socially and economical vulnerable people. Especially with Children, Youth (including Persons with Disabilities) Women and Households across 20 states in India.

The Dr Reddy’s foundation working since 2014 at Tumkur, Karnataka. This organization is CSR project of Dr. Redy’s hospital it is indeed working good when it comes to youth empowerment through identifying rural educational dropout youth and rendering vocational training according to industrial requirement. By developing certain skills among youth facilitating them to have better job opportunities in industries. Around 10,000 youth were trained from grow programme of Dr. Reddy’s foundation among them around 8,000 were placed in various industrial setting in and around Tumkur district.

Case Study 3

SELCO Foundation seeks to inspire and implement socially, financially and environmentally inclusive solutions by improving access to sustainable energy. They make under-served communities the central focus of our thoughts, words and actions (SELCO, 2014). SELCO collaborately implement their CSR project with APSA(Association for Promoting Social Action) implemented HUM (housing for urban migrants) in sustainable way at near Annasandra Palya, 1.5km from the HAL Bus Stop on the Old Airport Road, Bengaluru, Karnataka.The Project Site is a 9m x 13m (approx.) plot located opposite to the APSA office and residential complex, under the ownership of APSA. The community consisting of 80 population dwelling in 25 households, main Occupation of Men is Construction Labourers, main Occupation of Women is domestic help. Owner of the land is Private Individual, They are staying since 4-5yrs, their vulnerability was medium, the owner has already constructed a 4 storey walkup residential complex on the site opposite to the Community. Eviction of the Community is not expected in the next 3 yrs. All Children go either to the Govt Anganwadi or the APSA Dream School for education. Most of the Units are using Selco Battery lights from the Integrated Energy Centre at APSA.

Main Issues of the Community: dilapidated Dwelling Units – lack of Ventilation, Strength, durability and protection against pests and mosquitoes, acute Cooking Smoke inside Units while Cooking, anti Social Elements within community such as Goondaism, Alcoholism, Water Scarcity , Sewage Drainage and Sanitation Issues

Apsa: association for promoting social action, Project partner a rights-based child-centered community development organisation, APSA work towards the development of the community through a systematic process of empowerment. They partner with communities of street children, child labourers and other children in distress, including abandoned and runaway children, child victims of abuse and prostitution, children of sex workers as well as the larger communities of the urban slums. APSA has already partnered with Selco Foundation to set up an IEC in its campus. Project justification owning a temporary portable dwelling unit is perhaps the biggest investment an ultra poor person/ family would make in megacities like Bangalore. Therefore, in order to cultivate the awareness of a cheap, durable alternative, a prototype was needed to be constructed so that they can ‘see and believe’. By allowing one or more families to voluntarily shift to the new units and then experience the difference of living in a better environment, it is expected that they can influence the people in the community and convince them of the advantages of living in a dwelling unit with adequate light, head room and ventilation. By collaborating with APSA, an organization which is already working with the community, the community will trust the intentions of this project and what it offers to them.

Planning and implementation of house for urban migrants (HUM) Successful in collaborating with another organization familiar with the community. Cost shared 50 : 50 . Use of existing partnership for another project, the Project planning did not include contingencies, the implementation was riddled with unnecessary delays in material procurement, transportation and inefficient use of available labour, material procurement and transportation 70% of the Materials were procured from outside an 8km radius of the site, thereby pushing transportation costs higher. Unnecessary expenditure on transportation on repeated orders of cement, sand, jelly, mud, bricks etc. Contingency Planning and effective project coordination is really important in avoiding delays and bringing down costs. Scale down the duration of similar projects down to a maximum of 2 weeks, more than 70% of the materials should be procured from within 5km radius of the site. Plan transportation routes and exact materials required efficiently to avoid multiple trips. The design was able to provide for the basic requirements of the project such ample amounts of light, ventilation, head room, protection from pests and mosquitos and the rain. To accomplish this project they have conducted several outreach activities those are Constant Community Connect for feedback on design and financial models, community Survey, Impact Study and awareness programmes, Conducted Workshops for Vendors and Fabricators, spread Awareness through existing IECs and the SELCO Networks in Urban Areas, meetings with Contractors and Landlords, Partner with NGOs working in communities, Educational Institutions for Design Development and Material Testing, Corporates for CSR Funding.

Discussion and need for Social Work Intervention

The above case studies reveals that, how corporate social responsibility projects can bring sustainable societal change. Collaboration with NGO’s(Non Government Organization), CBO’s (Community Based Organization) those who are working at thrust area can be effective approach to bring sustainability, along with that if these NGO’s could hire trained Social Work professionals, it will be effective to implement project and through micro, mezzo and macro level intervention of Social Work. For creating sustainability in project implementation, bringing awareness among thrust group is must because mere providing privileges will not be long lasting therefore Social Work intervention is required to make even more sustainability of the CSR projects.

Conclusion

Corporate social responsibility (CSR) as just another source of pressure or passing fad. But as customers, employees, and suppliers—and, indeed, society more broadly—place increasing importance on CSR, some leaders have started to look at it as a creative opportunity to fundamentally strengthen their businesses while contributing to society at the same time. They view CSR as central to their overall strategies, helping them to creatively address key business issues. There is a growing awareness that business needs to manage its relationship with the wider society. Corporate leaders are responsible for their corporations‘ impact on society and the natural environment beyond legal compliance and the liability of individuals. More experienced leaders can gain new perspectives on how to grow in their approach to sustainability and how to develop innovative business models. CSR is becoming a leading principle of top management and of entrepreneur.

References

Chapple, W., & Moon, J. (2005). Corporate social responsibility (CSR) in Asia: A Seven Country Study of CSR Website Reporting. Business and Society, 44(4), 415-441.

Disha, N. (2018). Projects. Retrieved from http://www.navyadisha.org/: http://www.navyadisha.org/index.php/what-we-do/projects/

Erden, D., & Bodur, M. (2013). Responsibility and Performance: Social Actions of firms in a Transitional Society. In Crowther, & G. Aras , A Handbook of Corporate Governance and social responsibility (pp. 341-364). Surrey: Gower Publishing Limited.

Ghosh, S. (2014). A study of the participation of the private sector companies of India in corporate social responsibility activities through conjoint analysis. Vision, 18(2), 91-108.

Mitra, N. (2015). The why, how and what of CSR communication. Academia, , 2.

Montiel, & Ivan . (2008). Corporate social responsibility and corporate sustainability separate pasts, common futures. Organization & Environment, 21(3), 245-269.

Nations., B. C. (1987). Report of the World Commission on Environment and Development. United nation.

SELCO. (2014). APSA project documentation and report. Retrieved from selcofoundation.org: https://selcofoundation.org/wp-content/uploads/2017/03/APSA.pdf

Sethi, B. (2014). CSR - an essential strategic reputation management tool. CSR & Competitiveness, 1(9), 20.

Starik, Mark, & Kanashiro, P. (2013). Towards a theory of sustainability management:Uncovering and integrating the nearly obvious,. Organization & Environment, 26(1), 7-30.

Van Marrewijk, & Marcel . (2003). Concepts and definitions of CSR and corporate sustainability:between agency and communion,. Journal of Business Ethics 44(2), 95–105.

Zargar, H. (2018, August 28). Sustainable development of villages is needed. Retrieved from www.livemint.com: https://www.livemint.com/Leisure/qq76sZHUXtQpy1QLCLavBI/Sustainable-development-of-villages-is-needed.html

 

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