Corporate Social Responsibility

Arpan Mehra (309) MBA (Tech.) Manufacturing Mukesh Patel School of Technology Management And Engg. NMIMS Mumbai

Table of contents
 Company overview  CSR activities at Cadbury India  Commitment to the Environment  Growing Community Value

 Importance of CSR at Cadbury

Company Overview
 Cadbury is a leading global confectionery company with an outstanding portfolio of chocolate, gum and candy brands. We employ around 50,000 people and have direct operations in over 60 countries, selling our products in almost every country around the world.  In India, Cadbury began its operations in 1948 by importing chocolates. After 60 years of existence, it today has five companyowned manufacturing facilities at Thane, Induri (Pune) and Malanpur (Gwalior), Bangalore and Baddi (Himachal Pradesh) and 4 sales offices (New Delhi, Mumbai, Kolkata and Chennai). The corporate office is in Mumbai.

CSR activities at Cadbury India

Commitment to the Environment

 Migratory birds stop over at their Bangalore factory  Pioneering cocoa cultivation in India  Bangalore factory: the sun shines at night
Acknowledged as 'Preserver of Environment
Use of solar panels to light the streets outside the factory during the night

 The emissions targeted by the Cadbury Guide to Low Carbon

Dairy Farming CO2, methane and nitrous oxide, which contribute 23 %, 25 % and 52 % of emissions from the average dairy farm, respectively.

Growing Community Value

 Non-formal school set up by Cadbury for children of migrant workers in Baddi (HP) in association with an NGO called SAHYOG  Cadbury is in a tie-up with Bharti-Walmart to support education needs of underprivileged children  Sarvam Program
 Working in partnership with a local charity on a five-year project, Cadbury is contributing to the redevelopment of two villages in the costal region of Pondicherry

 Cadbury India has partnered with Vatsalya Foundation, an NGO working with underprivileged street children in Mumbai.  Cadbury India supports the building of a Neo-natal ward
 Supported to build this ward at the Thane Municipal Hospital

 Gurikha Project
 Gurikha is a village adopted by Cadbury India

The Cadbury approach to CSR includes

 Sustainability is fully integrated into the Cadbury business strategy  Clear roadmaps and goals established in the form of Sustainability Commitments  Creation of new significant, leading edge programmes in Purple Goes Green and the Cadbury Cocoa Partnership  Specific training in sustainable business practices for colleagues and key suppliers

Importance of CSR at Cadbury

 Corporate Responsibility is one of the things that makes
Cadbury special. Its been integral to our business for nearly 200 years since the Cadbury family first sought to be a force for good in troubled times. That sense of ambition remains at Cadbury today. - Todd Stitzer CEO Cadbury

Cadburys CSR Vision and Strategy

 Cadbury is committed to growing responsibly. We believe responsible
business comes from listening and learning, and having in place a clear CSR vision and strategy.

 Vision Working together to create brands people love.  We see CSR as a positive contributor to our competitive strategy.
Increasingly we think of it as more about doing responsible things profitably than just doing the profitable things responsibly.

 CSR strategy Five Pillars of CSR: marketing, food and consumer

trends; ethical sourcing and procurement; environment; quality, health and safety; human rights and employment standards; and community investment.

DearCadbury.com
 Cadbury launched a corporate social responsibility Web site called DearCadbury.com, which provides consumers information on ethical sourcing, responsible consumption and the environment.  The site features Cadburys 2007/08 Corporate Responsibility and Sustainability report, which revealed that the company has reduced carbon emissions almost 4 % to date; Cadbury is aiming for a 10 % reduction by 2010. As part of Cadburys Purple Goes Green program, the company committed to a 50 % absolute reduction in carbon emissions by 2020.  Cadbury also reported that it has met its 2007 goal of reducing water use by 10 %.

Review of Cadburys CSR activities

 Cadbury uses benchmarking to give an external perspective on their performance. Cadbury has been included in BITCs (Business in the Community) and DJSI (Dow Jones Sustainability Index) Worlds top rankings (scored 93% in the BITC Corporate Responsibility Index 2007, and 75% in the DJSI Index). They are also included in both FTSE4Good and in the Carbon Disclosure Project Climate Change Leadership Index  The Dow Jones Sustainability Index in 2008 Cadbury received a score of 75% the highest ever score for the company and against an industry average of 48%  The Carbon Disclosure Project in 2008 Cadbury performance was rated as best in class and the company has been reporting since launch of the project in 2003  FTSE4Good Cadbury has been submitting data to the index since its launch in 2001

What we can conclude

 Cadbury publishes a CSR report every two years, highlighting all of its CSR activities.  Total involvement of top management shows how serious the company is about its CSR activities  The launch of dearcadbury.com signifies that Cadbury has dedicated a whole new website to its CSR  Dearcadbury.com is an interactive asset that reaches beyond responsible investors and analysts. Dearcadbury.com is about sharing views and contributing to the public debate on ethical sourcing, responsible consumption and the environment  This shows genuine efforts on the part of Cadbury to make CSR initiatives an integral part of their day to day working  The initiative Purple goes Green sets stringent targets for the company to be achieved by 2020 (aiming at Carbon cuts and water conservation)

References
 http://www.cadbury.com  http://www.dearcadbury.com  http://www.environmentalleader.com  http://www.cadburyindia.com