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CHINCHWAD (2016-2018)

I, Mr. Deepak Shahaji Lonkar hereby declare that this dissertation is a record of authentic work
carried out by me during the academic year 2017-2018 and has not been submitted to any other
University or Institute for the award of any Degree or Diploma.

Signature of the student

Deepak Shahaji Lonkar


I am deeply indebted to many people for the successful completion of this dissertation.

I would like to take this opportunity and go on record to thank them for their help and

I am thankful to the International Institute of Management Science for all the support
provided for this dissertation.

I express my deep sense of gratitude and sincere feelings of obligation to the honorable
director Dr.Milind Marathe and my dissertation Guide Dr.Deepti Lele who helped me
in overcoming many difficulties and who imparted me the necessary conceptual

I wish to thank all my teachers and friends too, for their helpful inputs, insightful
comments, steadfast love and support.

Signature of the student

Deepak Shahaji Lonkar

Chapter Particulars Page No.

1 Introduction 1 – 10
1.1 Background of the study 1–9
1.2 Objectives of the study 10
1.3 Scope of the study 10
1.4 Limitations of the study 10
1.5 Significance of the study 10

2 Review of Literature 13 – 17

3 Research Methodology 18
4.1 Data sources 18
4.2 Data sources 18
4.3 Research Method 18

4 Data Analysis 19 – 47

5 Results and discussion 48 – 51

6 Suggestions 52

7 Conclusion 53

8 References 54 – 55

Bibliography 56 – 57

1.1 Background of the study

Corporate Social Responsibility is a concept whereby companies integrate social and

environmental concerns into their business operations and in their interaction with their stakeholders
(employees, customers, shareholders, investors, local communities, government), on a voluntary
basis. Corporate responsibility programs can help businesses entice customers, attract and retain
talent, assure investors, reduce operating costs, improve employee morale and enhance a company's
reputation. However, business owners should understand the benefits and limitations of corporate
responsibility programs in order to choose an initiative that benefits the community and the company.
Corporate responsibility programs must be embraced and supported by top management and woven
into company culture and operations. Stakeholders will soon become skeptical of one-time initiatives
or programs that come and go. Convincing shareholders or other financial decision makers to allocate
resources to a program designed to benefit something other than the company's bottom line can be the
first obstacle a small business owner must overcome. Small businesses owners should not assume that
customers and community members know about the company's investment in socially responsible

Among other countries India has one of the richest traditions of Corporate Social Responsibility.
Much has been done in recent years to make Indian Entrepreneurs aware of social responsibility as an
important segment of their business activity but Corporate Social Responsibility in India has yet to
receive widespread recognition. If this goal has to be realized then the Corporate Social
Responsibility approach of corporate has to be in line with their attitudes towards mainstream
business- companies setting clear objectives, undertaking potential investments, measuring and
reporting performance publicly.


The voluntary compliance of social and ecological responsibility of companies is called Corporate
Social Responsibility (CSR).Corporate social responsibility is basically a concept whereby
companies decide voluntarily to contribute to a better society and a cleaner environment, corporate
social responsibility is represented by the contributions undertaken by companies to society through
its business activities and its social investment. This is also to connect the Concept of sustainable
development to the company‘s level.

Over the last years an increasing number of companies worldwide started promoting their
Corporate Social Responsibility strategies because the customers, the public and the investors
expect them to act sustainable as well as responsible. In most cases CSR is a result of a variety of
social, environmental and economic pressures. The Term Corporate Social Responsibility is
imprecise and its application differs. CSR can not only refer to the compliance of human right
standards, labour and social security arrangements, but also to the fight against climate change,
sustainable management of natural resources and consumer protection. The concept of Corporate
Social Responsibility was first mentioned 1953 in the Publication ‗Social Responsibilities of the
Businessman ‘by William J. Bowen. However, the term CSR became only popular in the 1990s,
when the German Beta pharm, a generic pharmaceutical company decided to implement CSR. The
generic market is characterized by an interchange ability of products. In 1997 a halt in sales growth
led the company to the realization that in the generic drugs market companies could not
differentiate on price or quality. This was the prelude for the company to adopt CSR as an
expression of the company‘s values and as a part of its corporate strategies. By using strategic and
social commitment for families with chronically ill children, Beta pharm took a strategic advantage.
In July 2001, the European Commission decided to launch a consultative paper on Corporate Social
Responsibility with the title „Promoting a European Framework for Corporate Social
Responsibility―. This paper aimed to launch a debate on how the European Union could promote
Corporate Social Responsibility at both the European and international level. The paper further
aimed to promote CSR practices, to ensure the credibility of CSR claims as well as to provide
coherence in public policy on CSR.


Corporate social responsibility (CSR) plays a major role in developing the economy of a
country. It can be defined as the way in which a company manages various business entities to
produce an impact on the society. Companies with high CSR standards are able to demonstrate their
responsibilities to the stock holders, employees, customers, and the general public. Business
organizations that have high corporate social responsibility standard scan attract staff thereby
reducing employee turnover and cost of recruitment. What is the importance of corporate social
responsibility? Anyone can give a clear answer to this question. Companies voluntarily contribute a
large sum of money to make a better society and a clean environment. Corporate social
responsibility is a process in which all companies come together as one and take part in the welfare
of the society. Many organizations conduct campaigns to create awareness among corporate, civic
bodies, and government bodies about the importance of corporate social responsibility. Many
national and multinational firms are booming in various developing countries. But at the same time,

these countries suffer social challenges such as poverty, corruption, population growth, etc.
Therefore, it is important for all companies to strive together and adapt corporate social
responsibility standards to make the society better than before. An organization can exhibit a better
image in the society if it cares for its employees and involve them in social activities. The
responsibilities of an organization may range from providing small donations to executing bigger
projects for the welfare of the society. Many business houses around the world show their
commitment to corporate social responsibility. What is the importance of corporate social
responsibility? The answer lies in two things: 1) organizations understanding their role in
developing a society and2) awareness among business houses, corporate bodies, and the people.
Versatile, profitable, and dynamic businesses are the driving forces that build the economy of the
country. We must remember that the growth of a country purely depends on the growth of the
society and the people in the society.

The Four Phases of CSR Development in India

The history of Corporate Social Responsibility in India has its four phases which run
parallel to India's historical development and has resulted in different approaches towards
Corporate Social Responsibility. However the phases are not static and the features of each phase
may overlap other phases.
The First Phase

In the first phase charity and philanthropy were the main drivers of Corporate Social
Responsibility. Culture, religion, family values and tradition and industrialization had an
influential effect on Corporate Social Responsibility. In the pre-industrialization period, which
lasted till 1850, wealthy merchants shared a part of their wealth with the wider society by way of
setting up temples for a religious cause With the arrival of colonial rule in India from 1850s

onwards, the approach towards Corporate Social Responsibility changed. The industrial families of
the 19th century such as Tata, Godrej, Bajaj, Birla, Singhania were strongly inclined towards
economic as well as social considerations. However it has been observed that their efforts towards
social as well as industrial development were not only driven by selfless and religious motives but
also influenced by caste groups and political objectives.

The Second Phase

In the second phase, during the Independence movement, there was increased stress on Indian
Industrialists to demonstrate their dedication towards the progress of the society. According to
Gandhi, Indian companies were supposed to be the "temples of modern India". Under his influence

businesses established trusts for schools and colleges and also helped in setting up training and
scientific institutions. The operations of the trusts were largely in line with Gandhi's reforms which
sought to abolish un touch ability, encourage empowerment of women and rural development.

The Third Phase

The third phase of Corporate Social Responsibility (1960–80) had its relation to the element of
"mixed economy", emergence of Public Sector Undertaking and laws relating labour and
environmental standards. During this period the private sector was forced to take a backseat. The
public sector was seen as the prime mover of development. Because of the stringent legal rules and
regulations surrounding the activities of the private sector, the period was described as an "era of
command and control".

The Fourth Phase

In the fourth phase (1980 until the present) Indian companies started abandoning their
traditional engagement with CSR and integrated it into a sustainable business strategy. In 1990s
the first initiation towards Globalizations and Economic Liberalization were undertaken. Controls
and licensing system were partly done away with which gave a boost to the economy the signs of
which are very evident today. Increased growth momentum of the economy helped Indian
companies grow rapidly and this made them more willing. Globalization has transformed India
into an important destination in terms of production and manufacturing bases of TNCs are
concerned. As Western markets are becoming more and more concerned about and labour and
environmental standards in the developing countries, Indian companies who export and produce
goods for the developed world need to pay a close attention to compliance with the international
Some of the positive outcomes that can arise when businesses adopt a policy of social
responsibility include:
 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.


 Charitable contributions

 Employee volunteer programmes

 Corporate involvement in community education, employment and homelessness

 Product safety and quality.


 Greater material recyclability

 Better product durability and functionality

 Greater use of renewable resources

 Integration of environmental management tools into business plans, including life-

cycle assessment and costing, environmental management standards, and eco-

 How companies benefit from the Corporate Social Responsibility concept?

No matter the size of an organization or the level of its involvement with Corporate Social
Responsibility every contribution is important and provides a number of benefits to both the
community and business. Contributing to and supporting Corporate Social Responsibility does not
have to be costly or time consuming and more and more businesses active in their local
communities are seeing significant benefits from their involvement:
Reduced costs

Increased business leads

Increased reputation

Increased staff morale and skills development

Improved relationships with the local community, partners and clients

Innovation in processes, products and services

Managing the risks a company faces


Companies have specialized Corporate Social Responsibility teams that formulate policies,
strategies and goals for their Corporate Social Responsibility programs and set aside budgets to
fund them. These programs are often determined by social philosophy which have clear objectives
and are well defined and are aligned with the main stream business. The programs are put into
practice by the employees who are crucial to this process. Corporate Social Responsibility
programs ranges from community development to development in education, environment and
healthcare etc.

For example, a more comprehensive method of development is adopted by some

corporations such as Bharat Petroleum, and Hindustan Unilever Limited. Provision of improved
medical and Sanitation facilities, building schools and houses, and empowering the villagers and in
process making them more self-reliant by providing Vocational training and a knowledge of
business operations are the facilities that these corporations focus on. Many of the companies are
helping other peoples by providing them good standard of living.
Kingfisher is Europe's largest home improvement retailer, with 1,300 stores and 9,000
employees in 16 countries. Its operating companies include BCC (The Netherlands), Promarkt

(Germany), VandenBorre (Belgium), Darty (France), Comet (UK), B&Q (UK), Koçtas (Turkey)
and Réno-Dépôt (Canada).
At the end of 2001, Kingfisher unveiled a group-wide initiative to monitor, improve and
report on corporate social responsibility issues at the level of individual companies.
The group has identified six ways in which it believes Corporate Social Responsibility can
help its business:
Being ready for the future:
Identifying and managing issues which have the potential to affect the bottom line, either
positively or negatively;
Respect for people:

Making Kingfisher companies attractive places to work, and thereby retaining skilled staff;

Stores that communities welcome:

Maximizing customer loyalty and improving morale among the workforce;

Product innovation:

Identifying 'green' products that consumers will want to buy;

Saving costs:

recognizing that many CSR initiatives are largely good housekeeping, such as reducing
waste and retaining staff more effectively;
Advantages and Disadvantages to Corporate Social Responsibility
Working in the non-profit sector, you will encounter things that will alternately excite and
frustrate you. Some advantages, like fulfilling work and kind co-workers, can be expected. Many
disadvantages, like increased bureaucracy and burnout, often take career changers by surprise.
Knowing about both before you make a decision will better prepare you for success.

Corporate Social Responsibility, while they may be emotional, personal, mental, physical,
and spiritual in nature, the advantages of working in the non-profit sector far outnumber the
disadvantages. Perhaps the best advantage is that it simply feels right to you, right now, to work
for something you believe in deeply.
Non-profits employ interesting people. It is a common misconception that non-profits have
to settle for only those employees willing to work long hours for low pay. On the contrary, non-

profits often get to choose between the best and the brightest candidates and can afford to be picky
about who they choose to employ. There is something to be said for working with people who have
chosen to work toward a higher goal.
Unparalleled growth opportunities exist. While three corporate employees may be assigned to
one project, one non-profit employee may find himself assigned to three projects. This can lead to faster
career development and more varied job responsibilities for those looking to get ahead quickly.
Employees can shift skill sets quickly. The non-profit sector loves a generalist. With fewer
staff slots than necessary for the work to be done, non-profits look to employees to multi-task, and
multi-task big time. Because of that, non-profits offer the opportunity for employees to learn new
skills and gain experience in areas they have yet to tackle.
The opportunity to change the world is around every corner. Non-profits have become
much more sophisticated. They increasingly look like corporations, eager and able to nimbly
respond to opportunities presented by the market. Whether it is a natural disaster half the world
away, or a donor down the street who wants the organization to think bigger about its programs,
many non-profit have employed new thinking, technological advances, and a more entrepreneurial
approach to become more agile, adept, and prepared.
Non-profits value business skills. The non-profit sector is being flooded with people who
have spent a day, a year, or a whole career in the for-profit sector and have decided that now is the
time for change. The lines between corporate and community are shrinking, and the value of those
from each sector is rapidly being understood and capitalized upon by the other.

Work environments can be frustrating. From antiquated technology to bureaucratic red tape,
working at a non-profit can be downright exasperating. Employees are asked to do more work
with fewer resources, create miracles on a daily basis, and satisfy competing interests. The pace
of change is often slower than it is in a for-profit environment, given that so many opinions must
be considered and the bottom line is not as clear.
The level of burnout is high. Those who enter the non-profit workforce with a specific mission and
goal in mind do so with great purpose. This great purpose often places a heavy weight on the
shoulders of those doing the work.
The stakes are higher. A bad day in a corporate job is unlikely to resemble a bad day in a non-
profit job. Consider the difference between losing a few per cent off your stock price and losing a
mentored young person to drugs. The stakes are simply higher when you are dealing with a cause
close to your heart.
There is a constant focus on fundraising. Non-profit executives wake up every morning and go to
bed every night worrying about the location of their next fundraised dollar. This constant Pressure

leads to certain internal issues going unaddressed until a crisis emerges, takes the chief executive away
from the office for long periods of time, and can lend itself to mission drift.

Why Corporate Social Responsibility?

Corporate Social Responsibility main aim is to embrace responsibility for the company's actions
and encourage a positive impact through its activities on the environment, consumers, employees,
communities, stakeholders and all other members of the public spare. There are many numbers of
business models developed in order to achieve CSR objectives. Being a good corporate citizen the
companies have to be internally well governed and externally responsible. In other words, CSR and
corporate governance are two sides of the same coin.
The following are some of the drivers pushing business towards Corporate Social Responsibility.

1. The Shrinking Role of Government: Shrinking government resources, coupled with a distrust of
regulations, has led to the exploration of voluntary and non-regulatory initiatives instead.
2. Demands for Greater Disclosure including customers, suppliers, employees, communities,
investors, and activist organizations.
3. Increased Customer Interest: In a recent survey by Environs International, more than one in
five consumers reported having either rewarded or punished companies based on their perceived
social performance.

4. Growing Investor Pressure: The Social Investment Forum reports that in the US in 1999, there
was more than $2 trillion worth of assets invested in portfolios that used screens linked to the
environment and social responsibility. A separate survey by Environs International revealed that
more than a quarter of share-owning Americans took into account ethical considerations when
buying and selling stocks.

5. Competitive Labour Markets: Employees are increasingly looking beyond pay checks and
benefits, and seeking out employers whose philosophies and operating practices match their own
principles. In order to hire and retain skilled employees, companies are being forced to improve
working conditions.
6. Supplier Relations: As stakeholders are becoming increasingly interested in business affairs,
many companies are taking steps to ensure that their partners conduct themselves in a socially
responsible manner are introducing codes of conduct for their suppliers, to ensure that other
companies' policies or practices do not tarnish their reputation.

1.2 Objectives of the study
1. The study has been conducted mainly to understand the concept of CSR.
2. To study the efforts of various organisations in CSR and its impact on the company.
1.3 Scope of the study
Initially, CSR emphasized the official behaviour of individual firms. Later, it expanded to
include supplier behaviour and the uses to which products were put and how they were disposed of
after they used.
1.4 Limitations of the study
Costs of operation could rise above those required for continued profitability and
Critics already argue that the CSR of companies is simply to make a profit, and legislation
would increase the vocalization of these concerns.
Reporting criteria vary so much by company, sector and country, and they are in constant
1.5 Significance of the study
It would help to avoid the excessive exploitation of labour, bribery and corruption.
Companies would know what is expected of them, thereby promoting a level playing field.
Many aspects of CSR behaviour are good for business (such as reputation, human resources,
branding and making it easier to locate in new communities) and legislation It could help to
improve profitability, growth and sustainability.
Some areas, such as downsizing, could help to redress the balance between companies and
their employees.
Rogue companies would find it more difficult to compete through lower standards. The wider
community would benefit as companies reach out to the key issue of Under development
around the world.

Theoretical Background:-
Corporates social responsibility is defined as the voluntary actives undertaken by a
company to operate in an economic social and environmentally sustainable manner. The world
business council for sustainable developed in its publication, Corporate social Responsibility is the
continuing by business to behave ethically and contribute to economic developed while improving
the quality of life of the workforce and their families as well as of local community and society at
Traditionally, this has been the responsibility of the government, but since this delivery of
goods and services has been riddled with corruption and bureaucratic inefficiency and the welfare
schemes are plugged with leakage, CSR is being seen as an alternative to governmental provisions
of merit goods. CSR will increase availability of funds for welfare activities and may lead to
delivery of goods and services to the people in cost effective manner.

Section 135 of the Companies Act 2013

1. Every company having net worth of rupees five hundred crore or more, or turnover of rupees one
thousand crore or more or a net profit of rupees five crore or more during any financial year shall
constitute a corporate social responsibility committee of the board consisting of three or more
directors shall be an independent director.

2. The board’s report under sub section (3) of section 134 shall disclose the composition of the
corporate social responsibility committee.

3. The corporate social responsibility committee shall,

a) Formulate and recommend to board, a corporate social responsibility policy which shall indicate
the activities to be undertaken by the company as specified in schedule VII.
b) Recommend the amount of expenditure to be incurred on the activities referred to in clause (a);
c) Monitor the corporate social responsibility policy of the company from time to time

4. The board of every company referred to in sub section (1) shall,

a) After taking into account the recommendations made by the corporate social responsibility
committee, approve the corporate social responsibility policy for the company and disclose
contents of such policy in its report and also place it on the company’s website, if any, in such
manner as may be prescribed;

b) Ensure that the activities as are included in the corporate social responsibility policy of the
company are undertaken by the company.

5. The board of every company referred to in sub – section (1), shall ensure that the company spends,
in every financial year, at least two per cent of the average net profits of the company made
during the three immediately preceding financial years, in pursuance of its corporate social
responsibility policy: Provided that the company shall give preference to the local area and the
area around it where it operates, for spending the amount earmarked for CSR.

Activities: provided further that if the company fails to spend such amount, the board shall, in its
report made under clause (o) of sub- section (3) of section 134, specify the reasons for not
spending the amount.

CSR Activities as per sec - 135 (Schedule, VII) of CSR Activities.

Sr. No. Type of activity

1 Eradicating extreme hunger and poverty

2 Promotion of education
3 Promoting gender equality and empowering women
4 Reducing Child Morality and improving material health
5 Combating human immune - deficiency virus, acquired immune deficiency
syndrome, malaria and other diseases
6 Ensuring environmental sustainability
7 Employment enhancing vocational skills
8 Social business projects
9 Contribution to the prime Minister's National Relief Fund or any other fund set up
by the central government or state governments for socioeconomic development,
relief and funds for the welfare of the scheduled castes the scheduled tribes, other
backward classes, minorities and women
10 Other activities not mentioned above


A literature review is a body text that aims to review the critical points of current knowledge
including substantive findings as well as theoretical and methodological contributions to a particular
topic. Literature reviews are secondary sources and as such do not report any new or original
experimental work. Its ultimate goal is to bring the reader up to date with current literature on a
topic and forms the basis for another goal such as future research that may be needed in the area.
To design the present study in scientific manner, the researcher surveyed a good amount of
research work and literature carried out in the area of corporate social responsibility. There are some
of the reviews of the studies which had been previously undertaken in the field of CSR.

The paper finds that how job satisfaction and firm value are linked. Companies listed in the “100
Best Companies to work for in America” generated 2.3% to 3.8% higher stock returns per year than
their peers from 1984 through 2011. These results have three main implications. First, consistent
with human resource management theories, job satisfaction is beneficial for firm value. Second,
corporate social responsibility can improve stock returns. Third, the stock market does not fully
value intangible assets, and so it may be necessary to shield managers from short term stock prices
to encourage long run growth. 1
In India, many firms have taken the initiatives of CSR practices which have met with varying
needs of the society. The present study has made an attempt to understand the status, progress and
initiatives made by large firms of India in context to CSR policy framing and implementation.
Although India has entered or taken a transformational change by involving into new CSR
initiatives, but still a lot has to be done in this area.2
Many companies have established a corporate identity using CSR as a core activity of their
business, which has become a focal point of their success and competitive advantage. The basic
objective of this paper is to know the concept of corporate social responsibility and review existing
knowledge available in this area.3

1. Alex Edmans (2012)- The Link Between Job Satisfaction And Firm Value, With Implications
For Corporate Social Responsibility
2. Anupam Sharma And Ravi Kiran, School Of Behavioural Sciences And Business Studies,
Thapar University, Patiala, India (2012)- Corporate Social Responsibility Initiatives Of Major
Companies Of India With Focus On Health, Eduction And Environment.
3. Dr. Arvind Jain, Senior Manager(Sme), Axis Bank Ltd., Rajkot (2012)-Corporate Social
Responsibility:An Explorative Review.

CSR has been assuming greater importance in the corporate world in 21th century. Indian
Government has drafted guidelines for CSR practices, which of late proposed companies to
contribute a percentage share towards that cause (CSR). This study compares the CSR activities of
Tata Company and ITC Company on different areas i.e. environmental friendliness, social
accountability, employee’s safety, human rights promotion and healthcare etc. The study also
focuses on the reporting methods used by these companies. From this study, it is observed that all
the two big private companies of the country are directly engaged in social responsibility in various
areas, from innovation in agriculture & education to saving the environment. It is concluded that
environment, education, community involvement and health care activities practiced as CSR by
both companies.4
Over the time, CSR expanded to include both economic and social interests. Companies
have become more transparent in accounting and display „public reporting‟ due to pressures from
various stakeholders. In this research paper CSR status, challenges of CSR, policies for CSR in
India are studied. The concept of CSR 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. Many positive
outcomes can arise when businesses adopt a policy of social responsibility.5
CSR has a wide ranging effect across the globe especially in emerging markets. CSR
activities have been posited to include incorporating social characteristics or features into products
and manufacturing processes(aerosol products with no fluorocarbons, environment friendly
technologies), adopting progressive human resource management practices(promoting employee
empowerment), achieving higher levels of environmental performance through recycling and
pollution abatement (reducing emissions), and advancing the goals of community
organizations(working closely with groups such as United Way). In this context this paper has
studied the theoretical aspect of CSR including the Global Reporting Initiative and CSR Legislation
norms and globalization of CSR in India. In this paper few specific cases of CSR activity and CSR
violation in India have studied.6

4. Omweno Nyameyio Enock & Dr. Kundan Basavaraji, Kuvempu University (2013) -
Corporate Social Responsibility of Tata and Itc Company: A Comparative Study
5. Bhupender & Vikas Kumar Joshiya, Assistant Professor , University Of Delhi (2012) -
Issues and Challenges of Corporate Social Responsibility in India.
6. Soheli Ghose, Assistant Professor, Department Of Commerce, J.D. Birla Institute, Jadavpur
University (2012)- Globalization Of Corporate Social Responsibility Focussing On Indian

This research paper is an effort to understand the symbiotic relationship between economic and
social performance. It also presents the challenges associated with it and the benefits of the CSR
along with sustainable development measures being undertaken by corporate sector.7
This paper charts the road map of evolution of India Inc. It has scanned particularly those
companies who have crossed the various milestones of standard namely ISO 9000, ISO 14000,
ISO 18000, environmental trustworthiness, safety and social accountability etc. Then it
investigates the role, the background framework and the potentially of CSR ratings obtained from platform that may act as suitable means to drive the industry further up the ladder
of social responsibility.8
Looking at current economic condition of India, there is an immediate need of strategic CSR
delivering value proposition to the masses. The paper focuses on the reasons to analyse the
strategic gap between CSR implementation and CSR effectiveness and to identify the focused
sectors where sustainable actions of strategic CSR are required to create synergies in India. The
paper urges the Corporate not to look CSR as a non- profit activity in fact in the long run,
expenditure in CSR can help increase profitability.9
The purpose of this paper is to examine the trend of CSR in all its complexity and look forward
in the potential impact and major concerns related to it. This paper includes various approaches,
combined analysis of central documents and publications on CSR with analysis of articles related
to CSR. It throws further insights in the prevalent trends of CSR in various corporate in India.10
In this paper, social responsibility implies what business does over and above the statutory
requirement for the benefit of the society. The term corporate citizenship is also commonly used to
refer to the moral obligations of the business towards the society. The objective of this study is to
know about the efforts done by Indian business houses in relation to their social responsibility.11

7. Hurratul Maleka Taj, Mba, Narsee Monjee Institute Of Management Studies, Mumbai
(2011)- Corporate Social Responsibility, Sustainable Development: Performance
Measures And Indicators.
8. Lokaranjan Guha, Professor, Eiilm, Kolkata (2011)- Corporate Social Responsibility
Rating: India Focus.
9. Ms Nidhi Khurana Asia Pacific Institute Of Information Technology, Panipat (2011) -
Strategic Corporate Social Responsibility: Challenging Sustainable Actions In India.
10. Sweta Singh, Great Lakes Institute Of Management, Chennai, India (2010) =
Philanthropy To Corporate Social Responsibility: An Indian Perspective.
11. Dhond Arvind, Assistant Professor(Selection Grade), St. Xavier’s College Mumbai
(2008)- Corporate Social Responsibility Of Indian Business Houses.

The purpose of this study is to explore the various definitions and descriptions of Corporate
Social Responsibility; elaborate upon development of CSR in India; study the theoretical concepts
explained by various researchers and study the deployment of current CSR practices in India. This
paper examines how India’s top 500 companies view and conduct their CSR, identifies key CSR
practices and maps these against Global Reporting Initiative Standards.12
Corporate Social Responsibility has become a pervasive topic in the business literature, but has
largely neglected the role of institutions. This introductory article to the Special Issue of Socio-
Economic Review examines the potential contributions of institutional theory to understanding
CSR as a mode of governance. This perspective suggests going beyond grounding CSR in the
voluntary behaviour of companies, and understanding the larger historical and political
determinants of whether and in what forms corporations take on social responsibilities.
Institutional theory seems to be a promising avenue to explore how the boundaries between
business and society are constructed in different ways, and improve our understanding of the
effectiveness of CSR within the wider institutional field of economic governance.13
Corporate Social Responsibility is business contribution to sustainable development that
corporate behavior not only needed to ensure return to shareholders but also other stakeholders‟
interest. In Indonesia, CSR currently is an obligation only for corporations in natural resources-
related business. This paper will examine impact of CSR towards firm value and profitability in
selected 30 listed Indonesian corporations. The impact of CSR on accounting performance (for
example ROA) is a long-standing but still unresolved question. While the impact of CSR on firm
value relatively less examined. This paper examined 30 selected Indonesian listed corporation to
find out is there any relation between CSR to firm value and profitability. Researchers have
employed GRI method to measure CSR.14
`Here they have highlighted that CEO’s have been long accountable to a varied group of
stakeholders-employees and communities as well as investors. The nature of these relationships is
now changing in ways that significantly affect corporate performance in part due to the emergence
of the internet and continuing globalization companies are becoming accountable for labor issues
and working conditions in their partners as well as their own.15
12. Richa Gautam And Anju Singh, Industrial Safety & Environment Management Group, National
Institute Of Industrial Engineering (Nitie), India (2010) - Corporate Social Responsibility
Practices In India: A Study Of Top 500 Companies.
13. Stephen Brammer, Gregory Jackson, And Dirk Matten (2012) - Corporate Social Responsibility
And Institutional Theory: New Perspectives On Private Governance.
14. Martin Surya Mulyadi And Yanita Anwar, Binus University, Jakarta, Indonesia (2012) - Impact
Of Corporate Social Responsibility Towards Firm Value & Profitability.
15. George Pohle And Jeff Hittner In Their Study On “Attaining Sustainable Growth Through
Corporate Social Responsibility”

Corporate Social Responsibility in simple term means, "Giving back to the society from where
an organization operates its functions, employ resources and satisfy human wants by offering
goods and services. But in the recent times we have an amendment in the companies Act 2013.
The purview for practicing CSR has undergone a change it has not only helped the society but also
is seen from the different perspectives and has helped companies in building their brand image,
gaining acceptance and thus helping them earn higher amount of profits. The objective of research
paper is to begin with defining and understanding the meaning of CSR, understanding its
significance in today's rapid changing business environment and then examining the corporate
social responsibility initiatives taken by the four companies (HUL, Hero Motorcorp, HPCL and
Tata steel Limited) from the various sectors in accordance to the contribution made by these
sectors towards CSR in the previous years. The findings of paper confirm the various activities
done (as per sec -135 (Schedule, VII) of CSR activities) and also analyses the financial spending
for the financial year 2014-2015 for the various projects and the amount actually spent.16

16. Parul Manchanda (2017) "Corporate Social Responsibility: Inventiveness by various

enterprises", JIMS 8M, July - September, 2017.



The data is secondary in nature and the knowledge has been obtained only through various
articles available on various websites.


1. The study has been conducted mainly to understand the concept of CSR.

2. To study and analyze the purview of CSR in present day’s context.

3. To identify well established companies from various sectors and studying their
corporate social responsibilities. The companies that have been selected are pioneers or the
market leaders, in their respective industry area.


The research commences by searching for the articles related to the topic Corporate Social
Responsibility, then having a detailed knowledge of the same and studying the steps taken and
efforts made in this field by various Indian companies. Taking some examples of Indian companies
and explaining the efforts made by listing their contributions. After identifying them, there is study
of the results it had on the business and what positive results came out.

Then explaining by examples of various studies that how it has led to increase in profits and is
one the reason of corporate success. Also there is special emphasis on an Indian company which
can explain the topic better and help to achieve the objectives.


Qualitative analysis
Status of Corporate Responsibility in India, 2017 Preface:
Corporate Responsibility Watch launched its first ever CSR in India Report in the year
2016 with the objective of providing an overall status of Business Responsibility. CSR in its
original avatar was considered as responsible operations by businesses in their core business. In
its new avatar, the Companies Act 2013, Corporate Social Responsibilities (CSR) initiatives are
often talked about or undertaken as if they were something special, which is rather problematic.
Separating responsibility from core business operations might reduce CSR to acts of
philanthropy, as companies continue being irresponsible in their primary business activities.
While aligning both aspects, compliance becomes a given when discussing CSR. It is detrimental
for a company’s long term sustainability strategy to implement activities that have limited or no
relationship to a company’s operations, as this exercise will have limited contribution in realising
social, environmental and ethical business practices.

Through its efforts, Corporate Responsibility Watch (CRW) is among one of the initiatives in the
country that is attempting to unpack, track and monitor corporate responsibility. With an aim to
enhance the dimensions of transparency and accountability of corporates towards society, the tool
of advocacy and engagement with the Ministry of Corporate Affairs and corporates has been the
National Voluntary Guidelines (NVG) framework for business responsibility. This framework has
been a starting point to steer the discussion on business responsibility back to a wider scope
covering social and environmental practices. Over the past couple of years, CRW has published
analyses of Business Responsibility Reports (BRRs) through the series Disclosure Matters and
launched two editions of the India Responsible Business Index. This report, which is the second
edition of the CSR in India series, aims to maintain the continuity in compelling companies to go
beyond the mandated two per cent CSR spend and examine how the profits are made, rather than
how they are being spent. Building on our analyses of the BRRs, authors have examined the
ground realities of CSR practices through the lens of labour reform, workers' rights and current
trends within the policy environment. The report uses information available in the public domain,
largely put across by companies themselves through their business responsibility reports, annual
reports and annual CSR reports.

Government remedy
If a common man ever misses paying his monthly instalment on a loan, he is humiliated, and
often harassed by the bank's recovery staff. Should these tactics fail, the lender seizes the
collateral, as well as the property bought with the loan amount. In dealing with big corporates
though, the approach is different and the term ‘bad bank’ finds currency.
As the name suggests, a bad bank is supposed to take over all the corporate sector bad loans
from the banks - at a discounted rate, and sell those loans to third parties who are interested in
running the businesses on their own, or selling the assets attached with the loan amount.
India's chief economic advisor Arvind Subramanian's views on farm loans waivers are well
known - he considers them problematic for fiscal consolidation in the budget and the progress
of the economy- but in the economic survey for 2017-18, he gives a long argument justifying
the idea of a bad bank.
Where will the capital for this 'bad bank' come from? The government has not decided this yet,
but in low-pitched whispers, there is talk of using the tax-payer’s money to do so. It needs some
creative thinking to understand how a government owned ‘bad bank’ would succeed in dealing
with loans that many private sector asset restructuring companies (ARCs) have given a pass.
Even as the government builds “political consensus” on creating a ‘bad bank’5, it has already
allocated an amount of Rs 70,000 crore under the Indradhanush scheme that will be used to re-
capitalise banks between 2015 and 2019. But that amount is a fraction of the capital required by
the public sector banks (PSBs). And it is believed that the government is planning Indradhanush
2.0 to flush more funds into the banking sector that will allow banks to remain solvent and
comply with the global capital adequacy norms, Basel-III6.

Who is responsible for this mess?

When the Indian economy was in good shape, the banks, in order to increase their loan books,
adopted an altruistic approach to lending. Irrespective of what the future prospects of a project
were, loans were sanctioned on the basis of company promoters’ relationship with the bank’s
management. Closeness to government officials and politicians was an important criterion for
getting approval for loans.
Commenting on the excesses of the bank's management, in 2014, Dr KC Chakrabarty, the then
Deputy Governor of the RBI, said, "A very disturbing fact which hits us is the quality of equity
that has been brought in by the promoters. The banks, to put it mildly, have been very
lackadaisical in the credit appraisals. Most of the time it is debt raised elsewhere by the
promoter, either in the holding company or in a Special Purpose Vehicle, which is used to fund

their portion of the equity. Effectively, promoters do not have any ‘skin’ in the game and they
are least bothered whether or not the projects see the light of the day7.”
It is not a surprise then that the chairman of Kingfisher Airlines, Vijay Mallya, who owes Rs
9000 crore to a consortium of Indian banks, is attending cricket matches in the UK, while his
lenders managed to recover just Rs 73 crore by selling one of his confiscated villas in their
fourth attempt in a year8.
Mallya’s loan default is just the tip of the iceberg. According to a report in March 2016, as
much as Rs 1.14 lakh crore of bad loans were written off by public sector banks between 2013
and 2015. The report mentions the case of Punjab National Bank, which filed cases against 904
companies for wilfully defaulting on loan payments. The amount these companies owed to the
public sector banks was Rs 10,869 crore out of the total NPA portfolio of Rs 34,338 crore.
Interestingly, even as a report leaked to the media mentioned the names of loan defaulters
accounting for Rs 5 lakh crore of NPAs, the RBI till date has not come clean on the names of
the companies that have failed to pay their loans. The country finds out about a defaulting
company as and when the fight between the lenders and the corporate goes public due to
disclosure norms of Securities and Exchange Board of India. But this works only in the case of
listed companies. There are hundreds of unlisted companies - mentioned in the report, whose
promoters are accused of wilful default. In April 2017, the Central government handed over to
the Supreme Court a confidential list of corporate entities which owed more than Rs 500 crore
each to banks10 - the secrecy around the identities was to ensure protection of the interests of
the defaulters, even at the cost of public sector banks and public money.

Who foots the bill for bailing out corporates?

The poor and the middle class are paying for the defaulters’ careless ways with money.
Despite defaulting on over ten lakh crore worth of loans, the industry has had the audacity to
demand a low interest rate regime in the country. Knowing well that the banks did not have
enough capital to loan out, the government in November 2016 announced that currency notes
of Rs 500 and Rs 1,000 would no more be legal tender, except when deposited in the banks
within a 60 day time period. Even as the decision to demonetise 86 per cent of the currency in
circulation was officially projected as a battle against black money, its real intentions seem to
be to increase the deposit base of banks to allow them to reduce interest rates on savings and
fixed deposits. Within weeks of demonetisaton, the State Bank of India (SBI) cut its interest
rate to 6.50 per cent for maturity periods between three years and 10 years. The rate for one-
year Fixed Deposit (FD) was reduced to 6.90 per cent. In July 2017, the SBI further cut
interest rates on one-year FD to 6.75 per cent12. By August 2017, saddled with additional

deposits during demonetisation, the SBI reduced its interest rates on savings accounts to 3.5
per cent, which is the lowest since 200313.
As far as the rhetoric of attacking black economy was concerned, the Pradhan Mantri Garib
Kalyan Yojana - a black money amnesty scheme announced post-demonetisation fetched an
amount of only Rs 5,000 crore14. According to global estimates, India’s black economy is
pegged at 30 per cent of the GDP or Rs 28 lakh crore15. Therefore, the paltry amount that
government collected under its grand amnesty scheme is telling of the real story behind
But flawed as the demonetization scheme was, it seems to have got the Public Sector Banks into
more trouble. Seven months after the last date for depositing old notes, the government has not
been able to calculate the total amount of currency that has come back into the system. As a
result, the RBI, for the first time, skipped publishing the balance sheet for the week ended June
30, 2017, which is the day the central bank officially closes its accounting year16. But that was
not the end of woes for the RBI and the government. The central bank's dividend to the
government for 2016-17 was reduced to Rs 30,659 crore - less than half the amount (Rs 65,876
crore) transferred last year17. The reduction in dividend came as an anti-thesis to the theory of
the windfall gain for the RBI due to demonetization, promoted by a section of pro-government
economists in the country.

Bank Commitments to Responsibility: Some key Indicators

Yes Bank



Level of policy commitment to 4 1 1 1 1 1 1 1
Human Right And Social

human rights (Stages0-5)

Whether financial Institutions have a Y N N N N N N Y

system for Assessing social risks

associated with their investments
Whether financial Institutions N N N N N N N N
integrate human rights due diligence
into their E&S risk Assessments
Level of policy commitment to 5 0 1 2 0 0 1 2

environment (Stages0-5)

Whether financial Institutions have a Y Y Y Y Y N N Y

statement on Nn- acceptance of gifts

Whether financial Institutions have a Y Y Y N Y Y N N

statement on Corruption
Whether financial Institutions have a Y Y N N N Y N Y
statement on Bribery

Sources: Partners in Change and Praxis; 2015-16 Annual/BRR/Sustainability Reports and

data available on Bank Website

Remedy for the banks

To avoid mistakes of the past, the RBI must ensure that the top management takes responsibility for
sanction of big corporate loans, especially, when they are found to have gone bad due to flawed
business models/ environmental clearance and human rights issues. It has been Nticed that often the
loans for big corporate houses are passed due to the promoters' personal relationships with the
bank's management, rather than the merit of the projects.

The government kNws well that a transparent investigation into the loan defaults by corporates can
open a Pandora’s box, leaving many of the powerful in the country vulnerable. But a government
that came to power on the anti-corruption plank must have the ability to prosecute those
responsible for the current situation of the banking sector. An independent scrutiny of large
defaulters will set the tone for responsible banking in the country. Apart from this, the RBI
must come up with a set of guidelines for banks that requires them to incorporate environmental
and human rights risks in their evaluation of projects. Additionally, to heal the damage that has
already been done; the RBI should take the lead in demanding investigations into the bad loans
and share findings in the public domain.

The banking sector is the backbone of a country's ecoNmy, and a bad loan crisis, if allowed to
remain unresolved for a long period, will have far reaching effects and bring down job growth,
investment and spending among other things. The sooner the RBI and the government resolve
this crisis, the easier it will be for India to continue on its road to progress.

Way Forward in the Contemporary Policy Environment

Challenges Ahead: Evolving Role of NGOs Under CSR
While there is N doubt that Nn-governmental organisations (NGOs) would remain an
essential part of any social development programme, whether implemented by the government
or by corporates, this write-up looks into the increasingly subservient role that the NGOs are
being asked to play.

Historical Evidence
Non-profit institutions perform a vital role in improving the socio-ecoNmic conditions of
society. Historically, though several social reformers initiated reforms in pre-Independence Indian
society, the ground work undertaken by Nn-profit institutions established by these reformers or
their followers helped the changes to become widespread. For example, social reformers like Raja
Ram Mohan Roy, Swami Dayanand Saraswati and leaders like Mahatma Gandhi took initiatives
for removal of Sati practice, emancipation of women, bringing scientific temper in religious
practices and removal of untouchability among other issues. However, on the ground-level,
several Nn-profit entities like Brahmo Samaj, Arya Samaj or several Gandhian institutions carried
on these initiatives bringing perceptible changes within the Indian society. In fact, it will Nt be
wrong to state that Gandhian institutions have been instrumental in shaping the advent of
NGOs in contemporary times.

Achievements of NGO Sector
Availability of organised charitable funds grew, particularly after 70s, giving a major fillip to
the Nn-profit institutions which have acquired greater kNwledge and experience. This is
reflected in the evolution of social development approaches within the sector, which started as
Religious Philanthropy and moved to Doing Good. From Supply Driven to Participative &
Demand Driven, and currently generally follow the Rights-based approach In fact, NGOs have
also played an important role in government policy changes through their advocacy efforts.
Several initiatives originating in the sector have ultimately resulted in improvement of legal
frameworks strengthening the Rights-Based approach. Some of these cover eradication of
leprosy, enhancing protection and livelihood for single women headed households, Mental
Health Act, Right to Information, Right to Education, Right to Food Act, etc.

CSR Model
This scenario of unstinted growth of the NGO sector is undergoing a major shift in last few
years. The NGO sector is facing major fund crunch situations due to stringent Foreign
Contributions Regulations Act (2010) rules and departure of many traditional foreign doNrs
from the country, several NGOs complain of loss of their moorings as they increasingly become
reliant on Corporate Social Responsibility funds. Initially, when the compulsory CSR proposal
was mooted by the Government in 2013, there were great expectations from the sector, which
saw in it an opportunity for getting additional resources for welfare programme. But as the
scenario unfolded, many are Nt so optimistic any longer. Many NGOs have misgivings about
companies forming their own foundations. On its own, this move should Nt be seen as being
against NGOs, since the companies need to put in internal mechanisms which help them
comply with the Companies Act 2013 requirements. The Act, for example, requires that the
Board certify the ‘CSR expenditure incurred’. They have also been made responsible for
ensuring the programme’s effective monitoring. Hence, such moves help companies make
certain institutions / officers responsible for ensuring compliance with CSR provisions and
correct reporting, for which ultimately, the Board of Directors is accountable.
In fact, NGOs continue to be involved in CSR implementation. A recent KPMG Survey of 100 top
companies based on FY 2015-16 indicates NGO involvement in most CSR programs is around 89
per cent, including through corporate foundations. Thus this indicates that even if foundations
have been formed, they do need Nn-profits to implement the programmers.

Impact of deduction of TDS from CSR Grants
On a practical level, NGOs have been facing some new situations which they have Nt faced in
past. Several companies deduct TDS (Tax Deducted at Source) from the CSR grants, treating it
more like a service contract. This Nt only reduces cash-flow, but also gives rise to other
complications. For example, NGOs are Nt sure whether companies would require them to
certify utilisation against the actual net amount received or the gross CSR grant, since the TDS
amount can be received by NGOs as refund from the Income Tax department, but that
generally could take 2-3 years. ANther major complication has been observed at times, the
Income Tax department takes a position that if the TDS has been deducted, and that Income
must be ‘for profit’ and decides to treat the same accordingly3. Although courts have generally
Nt accepted such interpretations, deduction of TDS creates a situation that tax authorities could
interpret it against the interests of NGOs and make such income subject to tax.

GST and likely impact on NGOs

Currently, as the Goods & Services Tax (GST) is in an early stage of implementation, it may be
of interest to understand how it could impact NGOs while they implement CSR projects. Per se,
NGOs are Nt exempt from GST, as the exemption Ntification is applicable to very few
charitable activities, leaving most NGOs out of scope of exemption. However, GST is
applicable only if the activity is undertaken in furtherance of business and for consideration. In
our view, this should keep a large number of NGOs out of the ambit of GST, while their only
income is CSR grants. But this is an interpretation and Nt based on any direct circular /
clarification by the Government, leaving NGOs vulnerable to different types of interpretations,
particularly if a company insists that an invoice has to be raised for payment of CSR grant. This
could adversely impact NGOs, as Income Tax authorities may treat this as service and include it
as Business Income under Section S.2(15) of Income Tax rules.
Further, there is always a possibility that a company may decide to pay GST on reverse charge
mechanism, thereby reducing the total CSR grant amount.
To conclude, while issues of Income Tax and GST have direct impact on fund-flow to the
NGOs, there is a need for the companies to look at their own role in the social development
sector. Companies undoubtedly are taking the mantle of funding agencies; in such a scenario
they need to understand what kind of relationships they want to have with NGOs. Are they to
be treated as vendors or partners in development? NGOs need money to grow, to improve, to
build their own capacities. From our past experience, we kNw that organisations like CSE,
PRIA, SEWA to name a few, are recognised in the area of their expertise. Creating such self-
sustaining funding models should be an object worth pursuing. Are companies prepared to

invest in long-term growth of its NGO partners? The sector has to also introspect regarding
their own long-term position. The sector traditionally has been kNwn for its role of activism,
which has resulted in a number of policy changes.
But it has to recognise that N company would fund activism, particularly that which is against
government policies. Forget funding, a company may Nt want to even associate with an NGO
(by funding other Nn-controversial projects) which is involved in such activism. How would the
sector find money to fulfil this role?
In the new emergent scenario, these are some of the questions which both the voluntary sector
as well as the companies implementing CSR needs to introspect upon.

- Current scenario in India

- It will be Nt be right to say that this movement towards resource efficiency and circular
thinking is a ‘foreign’ concept for India. Some of the elements of resource efficiency and
indeed targets of SDG-12 (e.g., ‘….substantially reduce waste generation through prevention,
reduction, recycling and reuse’) are deeply ingrained in the Indian culture of frugality. So, a
turn-around from the present unsustainable production and consumption is possible and is
perfectly in sync with the Indian culture and tradition. One of the key determinants of such a
shift would be consumer behaviour changes - thereby prompting transforming production and
materials used by businesses. India had already exceeded its bio-capacity, and hence to achieve
sustainable development, it is critical to find appropriate models of production and consumption
– and a lifestyle of moderation can be a strong tool in achieving this10. Needless to say that
certain enabling conditions and the necessary infrastructure would be required to facilitate such
a transition. Government of India has realised the need for this transition, especially in the
interest of its trade and investment relations, and has taken a brave step by establishing the
Indian ResourcePanel (InRP) – the first time in the history of the country. InRP is an advisory
body established under the Ministry of Environment, Forest and Climate Change (MoEFCC) –
through the support of an Indo-German bilateral cooperation project, to assess resource-related
issues facing India and advice the government on a comprehensive strategy for resource
efficiency. A draft ‘strategy paper’ has been developed by this Panel and is up for comments11.
One of the challenges encountered in the process as attested by some of the key actors engaged
with the process, has been to find the right custodian within the government to push this
strategy into implementation. For the time being, NITI-Aayog has taken up this responsibility.
However, observers feel that NITI-Aayog will need to do much more than act as an arm-chair
advisor to ensure the strategy is implemented and its objectives achieved.

It is logical to believe that businesses would need to play a lead role in ensuring the
transformation towards sustainable consumption and production Gradually, businesses are
also realising the ‘business case’ of this transformation. One of the key triggers is capturing
new markets achieved on account of better visibility across consumers. Manufacturers will
need to provide information to consumers to encourage more sustainable consumption
patterns via the choice, usage and disposal of consumer products. In addition to individual
companies, industry associations (especially in resource intense manufacturing sectors) need
to play a key role to facilitate this. The ‘business case’ for sustainable production and
consumption is clear: from cost savings through optimisation of material/ resource use; to
shifting to cleaner energy options thereby improving processes; gaining new
markets/consumers; or reducing risks through effective pollution mitigation. A number of
steps are being taken by some Indian businesses as indicated below, and these actions are
likely to motivate others in the industry as well.

- Sustainable consumption and production in practice – some illustrations

An illustrative list of some of the initiatives taken by leading India firms has been provided
in this section. It needs to be mentioned here that these examples were readily available in
the public domain and hence have been provided here.

• Waste to Wealth (business model):

For some companies like Mahindra Sanyo Special Steel Ltd (MSSSPL), the core model of
doing business is based on ‘re-use’, whereby scrap steel is used to manufacture special
steel, which is sold to other businesses as inputs or after some value-addition.

• Material use efficiency:

A fair bit of background work has been undertaken in the automobile sector (a ‘hot-spot’
for material use given the expanding market of owned vehicles in
- India) and construction sectors (pressure on construction materials, given the growth of the
sector) in India, and several recommendations have been made for ensuring better
management of material flows, extending product life, changes in design, categorisation and
inventorisation of wastes, etc. Further, there are some regulations which help advance the
idea, viz. Fly Ash Ntification (1999), which urges all construction agencies within a radius of
100 km from a coal or lignite based thermal power plant shall to use only fly ash based
products for construction. Further, properly processed Construction and Demolition (C&D)
waste can be used as a raw material for construction. In India, management of C&D waste

assumes prime importance given the potential to reduce environmental pollution as well as
contributing to the sustainable consumption of resources in the construction sector.

• Renewable energy:
There is an overall transformation in the Indian power sector/ market, given the
government’s unprecedented zeal in promoting renewable energy. The result has been an
overall growth in the sector, currently contributing towards 17.5 per cent of the total energy
mix in India – with the government fixing a target of 40 per cent by the year 203012. A
number of players (traditional and new) have taken advantage of the enabling policies and
market conditions to strengthen their renewable energy (RE) portfolio in India. This
momentum (paradigm shift) would reduce the overall stress on Nn-renewable resources/
materials for meeting the country’s energy needs.

• Industrial symbiosis:
Industrial symbiosis engages traditionally separate industries in a collective approach to
competitive advantage involving physical exchange of materials, energy, water and by-
products13. Gujarat Cleaner Production Centre has been pursuing the development of
Eco Industrial Parks in the industrial estates of Dahej and Nandesari in Gujarat.

• Product lifetime extension:

Refers to a strategy to extend the lifetime of the product by making small
improvements without any additional costs.

- Corporate Social Responsibility: An International Comparison:

Corporate social responsibility (CSR) has been, and continues to be, a very live issue for
discussion since August 30, 2013, when the Companies Act 2013 specified, in Section 135,
that “(1) Every company having net worth of rupees five hundred crore or more, or turNver of
rupees one thousand crore or more or a net profit of rupees five crore or more during any
financial year shall constitute a Corporate Social Responsibility Committee of the Board
consisting of three or more directors, out of which at least one director shall be an
independent director,…(and) (5) The Board of every company referred to in sub-section (1),
shall ensure that the company spends, in every financial year, at least two per cent of the
average net profits of the company made during the three immediately preceding financial
years, in pursuance of its Corporate Social Responsibility Policy.”2 Schedule VII of the Act
also listed the activities that were to qualify as CSR activities under the Act The discussion

became more immediate from February 27, 2014 when the Ministry of Corporate Affairs
Ntified the Companies (Corporate Social Responsibility Policy) Rules, 20I4, to come into
force with effect from April 01, 2014. As a possible interim response to the discussion, the
Ministry of Corporate Affairs issued a “General Circular” on June 18, 2014, clarifying that
“The statutory provision and provisions of CSR Rules, 2014, is to ensure that while activities
undertaken in pursuance of the CSR policy must be relatable to Schedule VII of the
Companies Act 2013, the entries in the said Schedule VII must be interpreted liberally so as
to capture the essence of the subjects enumerated in the said Schedule. The items enlisted in
the amended Schedule VII of the Act, are broad-based and are intended to cover a wide range
of activities as illustratively mentioned in the Annexure” (Italics added, bold in the original).
The above brief and factual sequence of events does Nt capture the intense behind the scenes
activities that went on before and during this period. The confusion, and anxiety, are Nt only
that the government is trying to “tell” corporates how to spend a portion of their profits but
also what exactly is CSR and why should companies be “forced” to engage in that by law.

Industry wise segregation of major CSR activities undertaken by firms

Industry Health Education Community Environment Total

and Rural
Oil and Gas 23.50 35.29 29.41 11.76 100
Automobile 40.00 10.00 40.00 10 100
Consumer 24.76 21.34 15.25 28.75 100
Iron and Steel 35.29 23.53 35.29 5.88 100
Banking and 8.57 20.00 48.57 35.00 100
finance Services
Power 10.00 10.00 45.00 35.00 100
Infrastructure 8.35 30.55 44.44 16.66 100
Cement 22.20 25.00 29.00 23.08 100
Paper and Pulp 19.90 24.10 18.00 38.00 100
Pharmaceutical 30.00 28.00 22.00 20.00 100

The above table shows the various sectors/industries and their contribution towards CSR
activities. After thorough analysis of each sector, it has been seen that the major sectors are Oil
and Gas, Automobile, Consumer Durables and Iron and Steel. Correspondence to these we have
chosen our companies i.e. HPCL, Hero Motocorp, HPL and Tata Steel Limited.

The data collected for the research is secondary data and it has been gathered from the official
website of the respective companies.

Hero Motocorp Limited, formerly Hero Honda, is an Indian scooter and
motorcycle (<250cc) manufacturer headquartered in New Delhi, India. It is the largest two
wheeler manufacturer in India. Its market share in India is of about 46% share in 2-
wheeler category. The market capitalization of the company on 31 March 2013 was INR
308 billion (USD 5.66 billion). The CSR activities initiated by Hero Motocorp include the

 Ride Safe India:

It is a 360-degree initiative started by the company was started to make Indian
road safer. They are setting up road safety Riding Schools and plan campaigns on ground,
air, social media, and schools to spread awareness for the same.

 HamariPari:

This was the step taken by the company for the girl child with the age 6+ for the
underprivileged section of the society to support them from holistic development and
empower women of tomorrow.

 Happy Earth:
The company aims at bringing a change in the environment by literally making the world
a happy place to live. They have initiated 120000 tree plantations and build over 50 toilets
in schools and future possibilities are endless.

 E-2 Educate to Empower:
Education is basis of empowerment Nt for the individual but for the society and
ecoNmy also. Thus, Hero Motorcorp pledge with E2 and supports education, kNwledge,
sharing, skills development at every level.

 Raman MunjalVidyaMandir:
The Company has started a senior secondary school, affiliated by CBSE having
1200 students and 61 teachers. It was started in order to provide education to rural people
of nearby areas which will help them to attain better lifestyle and better kNwledge.

 Raman Munjal Memorial Hospital:

A Multi-speciality hospital was started by the company having latest diagNstic and
surgical techNlogy to, provide healthcare to rural population in Dharuhera. It also caters
accident and trauma victims.

 Raman Munjal Sports Complex:

It was started by the company for local villagers to engage them to play
basketball, volleyball courts, etc.

 Adult Literacy Mission:

Launched on 21st September, 1999, covering the nearby villages of Malpura, etc.
The company started the project with 36 adults. It imparts adult literacy capsules to adults
to motivate illiterate adults.

 Marriage of Underprivileged Girls:
The Company took an initiative to organize the Marriages of girls, particularly for
backward class’s girls, providing help and support to the families of the girls.

 Rural Health Care:

Company took a step to provide regular doorstep and free health care services to
local people, free medical camps and is Nw a regular feature in the hero group. It was
started to provide better health to the people of local area
 Vocational Training Centre:
In order to help women, Hero has set up a Vocational Training Centre. Women
were trained in tailoring, embroidery and knitting. It was helped them to set up production
unit to stich uniforms.


Hindustan Unilever Limited (HUL) is an Indian consumer goods company or

FMCG. Its products include food, beverages, personal, water purifiers, etc. Hindustan
Unilever’s distribution covers over 2 million retail outlets across India directly and its
products are available in over 6.4 million outlets in the country. The CSR activities
initiated by Hindustan Unilever Limited include the following:

 Project Shakti- Changing Lives in India:

Project Shakti started by the company covers 100,000 villages and touching lives
of 100 million rural consumers. It focuses on empowering women of rural area. It
enhances the livelihood opportunities for women. It provides regular income stream for

 Lifebuoy SwasthyaChetana– Health & Hygiene Education:
The main aim on which the company tries to focus on was to make a billion
Indians feel safe and secured by focusing on health and hygiene. It spreads awareness
about germs and their adverse effects on health.

 Fair & Lovely Foundation – EcoNmic Empowerment of Women:

Launched in 2003, company aims at providing scholarships and enterprise
initiatives to women. For career guidance, it touches millions of aspiring women and
students programme, covering three states and main metros in the country.

 Greening Barrens – Water Conservation & Harvesting:
A Company effort was to inNvate techNlogies to reduce water consumption and
further increase conservation in its operations. Simultaneously, HUL sites progressively
help communities, wherever required to develop watersheds.

 Enterprise: Vocational training

a. A 3- month Home Health Care Nursing Assistant’s Course
b. Skill development in the areas of embroidery and garment designing
c. Professional course for aspiring beauticians

 Happy Homes – Special Education & Rehabilitation:

It was a step by the company to, support special education and rehabilitation of
children with challenges. Other projects in which HUL is involved in are AshaDaan,
Ankur, Kappagam, Anbagam, Yashodadham, and Rural Education Project at Khemgaon,
Integrated Rural Development and Vindhya Valley.

a. AshaDaan:
The initiative began in 1976; it was designed for challenged Children and the
destitute. Subsequently, AshaDaan has also become a home for HIV positive. The
destitute and HIV-positive are provided food , shelter and medication for the last
days of their lives.

b. Ankur:
In 1993, HLL’s set up Ankur, centre for special education for challenged
Children of aged 5 to 15 years. Ankur provides educational, vocational,
recreational activities including sight or hearing impairment, etc. These physically
and mentally challenged children are taught skills like cookery,painting,
embroidery, bamboo crafts, weaving, stiching, etc depending on aptitudes of

c. Kappagam:
In 1998 Kappagam (“shelter”), the second centre for special education of
challenged children. The focus of Kappagam is same as that of Ankur. It teaches
self-help skills, vocational activities like making of paper covers, greeting cards,
wrapping papers, fancy stationery, napkins, some home care products, etc.
d. Anbagam:
In 2003, A day care center, Anbagam (“shelter of love”), was started. It took
care of 11 children. It also provides medical care and meals, they are taught skills
so that they can become self-reliant and elementary studies.

e. Yashodadham:
HLL has also provided school building, playground for children and a multi-
purpose community centre, health centre, community room, etc. The structures are
earthquake and cyclone resistant. Spaces have been left along the village for parks
and public squares, where villagers will plant trees.

f. Vidhya Valley:
In 2002, the company started a project in Madhya Pradesh, which will impact
the entire state’s rural population. The mainstay of MP is agriculture. Prosperity
means increasing income of farmers, small town and village entrepreneurs
engaged in agro-processing and cottage industries.


Hindustan Petroleum Corporation Limited (HPCL) is a state-owned Indian oil and

natural gas company with its headquarters at Mumbai, Maharashtra. It has been ranked
260th in the Fortune Global 500 rankings of the world’s biggest corporations (2013) and
4th among India’s Companies for the year 2012. HPCL has about 25% market share in
India among PSUs and a strong marketing infrastructure. The Government of India owns
51.11% shares in HPCL and others are distributed amongst financial institutes, public and
other investors. The CSR activities initiated by HPCL include the following:

 Skill Development – Swavalamban:

Un-employment is one of the biggest problems faced by the country and its youth
today. Most of the youth in rural areas, lack the requisite skills for the available jobs.
Thus, there is a need for them to be trained in different skills. Thus enables them to be
self-employed, earn their livelihood, and at the same tim, create job opportunities for

 Employability for youth in Urban slums – Smile:
This project aims at enhancing their prospects of employment in fast expanding
sector like hospitality, retail outlets and BPO sectors by preparing the urban
underprivileged (adolescent youths) with skills in English Proficiency, basic computer
education and soft skills.

 Dill without bill- SathyaSai Heart Hospital:

The SathyaSai Heart Hospital in Rajkot is engaged in providing medical and
charitable services for the underprivileged. The HPCL’s CSR has tried to Save Lives by
providing free of cost Heart Surgeries to the less privileged and ecoNmically
marginalized sections of Society who would have otherwise been unable to afford such
expensive medical procedures or would have inevitably been victims of heavy financial
debts. Awareness as well as follow-up camps are been conducted at various cities and
towns, during the year to reach out to the neediest patients.

 Children with special needs – Adapt:
Since 1972, ADAPT has been providing quality education and treatment for
children and adults with disabilities under one roof. A study of strategic interventions
was provided to the children and their effectiveness within these services will be
conducted as part of ADAPT’s Social Audit of the Colaba, Bandra community services.

 Computer awareness- Unnati:

Considering education of utmost concern, HPCL have initiated a voluntary Nn-
profit organization registered under the Societies Registration Act (1860) in 1990. They
aim to promote social inclusion and democratic governance so that the vulnerable
sections of society are empowered to effectively and decisively participate in
mainstream development and decision making processes.

 Girl Child- NANHI KALI:

The Company targets at encouraging girl child education and building gender
equality among communities is one of the challenges of our society. Through this
planned intervention of HPCL, it has been able to reduce the dropouts of girls, prevent
child marriages and promote higher education for girls.

 Mid day Meals for Govt. schools – Akshayapatra:

Hunger and Malnutrition is considered as one of the major factors hampering the
education process in India. HPCL’s CSR is helping to bridge the gap by providing
hygienic and nutritious food to students from rural areas of Vishakhapatnam and
Guwahati through specialized agencies. The intervention through HPCL’s program has
resulted in higher enrollments and negligible drop-outs from schools.
 Rescue of Children in distress- Childline:
By supporting rescue vans HPCL has been able to enhance and ensure the impact
of the project in rescuing groups of children in risk situationslike trafficking, child
labour, dangerous circumstances, etc. in three major metropolitan cities in the country –
Delhi, Kolkata and Mumbai.

 Awareness on HIV among truckers- Suraksha:

To impart awareness about HIV amongst the truckers who are considered high risk
population, the company has initiated SURAKSHA programme. A number of Khushi
clinics have been opened for free diagNsis and treatment of STD and HIV. This

minimizes the threat so the large population of truckers and their families. Condom
vending machines have also been installed at petrol pumps, giving the target group easy
access to condoms.

 Sushrut Hospital:
Sushrut Hospital is a well-equipped tertiary referral acute care hospital located at
Chamber, Mumbai. This Hospital is first of its kind in the Country for handling Burns &
extended Trauma care with State of the Art facilities & equipment’s.

 Health at Rehabilitation Centres-Navjyot:

In order to improve the health index of children by providing them health care that
would in turn ensure that they do Nt drop out of school for health reasons. It advises the
children and their parents on the need for a balanced diet and wherever required, a diet
chart is worked out on the basis of the child’s health and is given to the parents for

 Rain water Harvesting – Jaltarang:

This program sets up solar charging stations in villages which in turn offer
certified, bright, solar lanterns for rental to the local people. The charging station
consists of 50 solar lanterns and charging panels. A trained local entrepreneur manages
and operates the charging station and leases the solar lanterns every evening for the very
affordable fee.

 Community Kitchen – RasoiGhar:

This programme has been setup to make cleaner fuel accessible to rural women
and give them better health, hygiene and safety, and reduce deforestation and improve
climate. Free LPG connections without security deposits are provided to BPL families
under the Rajiv Gandhi Gramin LPG VitranYojana.


Tata Steel Limited (formerly Tata Iron and Steel Company Limited (or TISCO)) is an
Indian multinational company of steel making and is head-quartered in Mumbai,
Maharashtra, India, and is a subsidiary of the Tata Group. TISCO was the 11th largest steel
producing company in the world in 2013. The CSR activities initiated by Tata Steel
Limited include the following:

 Project Prerna:
The priority of this program is to facilitate the ecoNmic rehabilitation of families.
All the efforts are directed towards sharing the wealth and prosperity that is generated
collectively. For relocated communities, ecoNmic rehabilitation is planned to be
achieved through-
a. Employment in industries or ancillaries following technical training.
b. Employment is Nn-farm-based small & micro enterprises following training / skills
up gradation. Employment by using traditional skills for farm-based activities.
c. Self-employment following exposure and skills up gradation.
d. Nurturing entrepreneurial potential.

 Natseel (NSA):
It is a programme being vigorously initiated in its Singapore operations in the area of
Social and health care. These operations include blood donation drives, ensuring the
emotional well-being of senior citizens through various social initiatives etc.

 Sneh Kendra:
Tata Steel Limited has initiated counselling initiative which provides regular
counselling, referrals and support services for people living with HIV/AIDS*

 Tata Main Hospital (TMH):

It includes the hospitals in Jamshedpur as well as Hospitals located in all mining
units (Namundi, West Bokaro, Jharia, Joda, Sukinda and Bamnipal). There are several
key healthcare and well-being projects undertaken which include Project Mansi on
maternal and new born survival, Project Rishta on adolescent health, Project Roshni to
provide nursing training to tribal girls and Projects like Sathi, Kavach, Base.

 Drug Free Workplace:
Tata Steel Limited in Thailand works in conjugation with the Thai government to
ensure and offers support to prevent, as well as solve drug addiction. Additionally, it
regularly organizes mobile clinic, influenza prevention campaigns and also works with
NGOs and other philanthropic organizations like the Thai Red Cross Society as a part
of its health initiatives.

 Lifeline Express:
It is world’s first hospital on rails, catering to inaccessible rural areas of Bihar,
Jharkhand, Odisha, Chattishgarh, West Bengal and Tamil Nadu, where medical
services are Nt available. This moving hospital is equipped with a modern operation
theatre and other medical facilities, offering on-the-spot diagNstic, medical and
advanced surgical treatment through preventive and curative interventions to persons
with orthopaedic, ENT and eye ailments.

 Mid-Day Meal Programme:

Tata Steel Limited runs this programme in partnership with Government of
Jharkhand and ISKCON Food Relief Foundation and supplies mid-day meals to nearly
50,000 students across 387 government schools in East Singhbhum and Seraikela-
Kharsawan districts.

 Early Child Education Project:

This programme operates 49 rural centers involving approximately 1200 children,
for inculcating a school-going habit in children.

 Camp School Programme:

The Company targets to enhance the educational interests of the school drop-out
girls residing in core tribal villages of East and West Singhbhum districts of
Jharkhand Tata Steel, is running this program in collaboration with Jharkhand
Education Project in two schools- one at Pipla in Jamshedpur block in East
Singhbhum district and the other in Namundi in Namundi Block of West Singhbhum
district of Jharkhand.

 Coaching Programme:
The Company aims to prepare students for Class 10 examination. The primary aim
of this programme is to strengthen the basic concepts of the students, guide them and
improve their performance in subjects like English, Mathematics and Science. In the
FY 2013-14, through these programme more than 10,000 students of classes 8, 9 and
10, were provided pre-matric coaching.

 Adult Literacy Programme:

This programme targets the rural women in order to provide literacy. With more
than 30,000 women, Tata Steel has provided literacy to them and has also helped build
the self-esteem of illiterate rural women by successfully learning to write and read
since being implemented in 2009.

 Project Aakanksha:
The Company has targeted theecoNmically backward communities, who depend
on forest produce to eke out a living. Since 2012, Tata Steel Limited is running the
programme for the development of children from these communities by facilitating
their education in residential schools and taking care of all their expenses.

 Tata Classedge:
This programme has been recently launched by Tata Steel in association with Tata
Interactive Systems (TIS), which is an interactive learning and teaching solution in
few schools near Jamshedpur. This is a holistic classroom solution that Nt only makes
the teaching process interactive by using visual means but also enables teachers to
create question papers and analyse student performance.

 Brownfield Expansion Project:

Tata Steel has always focused on responsible environmental practices and
responsible resource management while upgrading skills of workmen through training
as techNlogies evolve. This programme will help Tata Steel add eco-efficient products
to its portfolio while using fewer natural resources, less energy and less water per ton
of steel produced.

 Sports:
The Company pays special attention towards the sporting activities for youth at the
National as well as State levels. The Company has begun its work for opening Feeder
Centers at out-locations and in Greenfield project areas.

 Responsible Mining:
The Company has adopted the best practices for monitoring as well as for
management of environmental parameters including ambient air quality levels and dust
suppression arrangements, water impact, Nise level, waste and fines generation and
rejections, etc.


 Some of the key elements that emerge from the analysis and are relevant for India,

 The government of India would need to create an appropriate enabling environment

(through policies, legislations, strategies and programmers) to facilitate the transition
towards resource efficiency for India businesses. The strategy paper developed under
the aegis of the ‘India Resource Panel’15 should come up with these
 Some of the businesses have realized the advantages of resorting to resource
efficiency and have Nt only integrated this in their operations (recycling, re-use,
renewable energy use, etc.) but also as part of their business model/ strategy (waste
to wealth).
 Consumer awareness and understanding is a key to enable market transformation
towards sustainable production and consumption.
 Businesses should realize this opportunity and communicate accordingly to the
Indian consumers, especially the middle-class.
 Engaging with India’s trade and ecoNmic partners to ensure that the gains from
resource efficiency is understood and utilized by the domestic suppliers when they
engage with partners from advanced countries like the EU Member States.

 Some of the key elements that emerge from the analysis and are relevant for India,

 After analysing the CSR activities initiated by HUL, Hero Motocorp, HPCL, Tata Steel
various points can be concluded which are as follows:
 Of the 4 companies taken under observation only HUL, HPCL, and Tata Steel are
involved into activities which help in eradicating hunger among the rural government
schools. Also it was stated that the main reason behind providing these mid-day meals
was encouraging students to go to school.
 Of the 4 companies, HUL is promoting scholarship among girl child. Hero Motocorp
on the other hand has been working for promoting education of girl child. HPCL has
initiated a programme with the name AkshayPatra and Adapt that aims at N child in
India shall be deprived because of hunger, were as Tata Steel has been focusing on the
education of rural and urban slum children school dropout.
 All the companies have been taking initiatives for empowering women through
various ways:
 HUL has initiated scholarship & enterprise initiatives and providing career
guidance for empowering women in all the metro cities of the country.
 Hero Motocorp through HamariPari and E2 in fostering education and
opportunity and ensuring for girls. It aims to recognize and celebrate the
eNrmous potential in a girl.
 HPCL Project Nanhi Kali has been helping girl’s identity their talents and
helping them face hindrances in the path of education.
 Tata Steel Ltd through SELF HELP GROUPS (SHG) has been
empowering women from poor families by training them in necessary skills
from rice processing, artificial jewellers, etc.
 Of the 4 companies, only HUL has been supporting education and rehabilitation of
children with challenges through their programme Happy Home.
 All the companies have been running the programme in combating with various
diseases like AIDS, Malaria, etc.
 Of the companies analysed HUL, Hero Motocorp and Tata Steel are involved in
activities which ensure environmental sustainability through their various
programmes- Green Barrens, Happy Earth, Clean Development Mechanisms Projects,

 HUL has been providing vocational training in the fields of Nursing, Embroidery,
Garment Designing, Beautician courses. Hero Motocorp has been providing vocational
training. HPCL through its Unnati, Smile and Swavalamban programmes has been
promoting computer awareness which in turn is helping the vulnerable sections of the
society. Tata Steel Limited through its programme PRERNA has been promoting
vocational training in the areas of Orrisa and Chattishgarh.
 Of the 4 companies observed, Hero Motocorp, HPCL & Tata Steel have involved
themselves in various social business project like:
 Hero Motocorp is involved into marriages of under privileged girls.
 HPCL through its CHILDLINE programmes is helping children in rescuing from
situations like trafficking, child labour, etc.
 Tata Steel has been organizing various blood donation drives and ensuring the
emotional wellbeing of senior citizen through various social initiatives.

CSR Activities as per sec - 135 (Schedule, VII) of CSR Activities undertaken by selected

Sr. N. Type of activity HUL Hero HPCL Tata

Motocorp Steel

1 Eradicating extreme hunger and Y N Y Y

2 Promotion of education Y Y Y Y
3 Promoting gender equality and Y Y Y Y
empowering women
4 Reducing Child Morality and Y N N N
improving material health
5 Combating human immune - Y Y Y Y
deficiency virus, acquired immune
deficiency syndrome, malaria and
other diseases
6 Ensuring environmental Y Y Y Y
7 Employment enhancing vocational Y Y Y Y
8 Social business projects Y Y Y Y
9 Contribution to the prime Minister's Y Y N Y
National Relief Fund or any other
fund set up by the central
government or state governments
for socioecoNmic development,
relief and funds for the welfare of
the scheduled castes the scheduled
tribes, other backward classes,
miNrities and women
10 Other activities Nt mentioned Y Y Y Y

1. Felicitations for CSR professionals
Many CSR professionals have been selflessly engaged in the domain and have been
instrumental in making a great impact at the grassroots. Since the awards have been
conceptualised for the programmes, it would be great value addition to have a few
professionals felicitated for exceptional work.
2. It’s the time for the businesses to the next level of CSR, which is Individual Social
3. Ideally, the entire cycle from short-listing to awarding should be transparent, and the
companies that do Not get the award should know the reason for their nott making it and
work upon betterment of the project.


 This dissertation talks about the CSR in the today’s context scenario and the various
initiatives that have been taken by the various leading firms of the industry from
various sectors in the various community initiatives towards the society.
 It provides a deep insight on the various activities that have been recently classified
under the domain of CSR.
 The various initiatives that have been taken by the various leading firms HUL(FMCG),
Hero Motocorp (Automobile), HPCL (Oil & Gas) and Tata Steel Ltd (Iron and Steel) of
the industry from various sectors in the various community initiatives towards the society.
It provides a deep insight on the various, activities that have been recently classified under
the domain of CSR activities as per the latest amendment in the Companies Act. Also, it
used this as the basis for classifying the various efforts that have been put in by the
various firms into these categories specifically. Also the second section of the paper, talks
about the financial spending that is done by these companies on the various community
initiatives. For Hero Motocorp, HUL, Tata Steel deviations have been observed between
the actual and the observed outlay, but for HPCL, the actual and observed outlay is the
same. Thus companies are making more rigorous attempts to make the CSR spending in
line with the latest amendment that has been given, for the interest of the society and also
to save themselves from any kind of legal actions. Companies in the Indian Context have
realized that they cannot sideline CSR any longer, but it is very much now a part of their
strategic business as it would involve 2% spending of their Net Profits.


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