View: May a thousand CSR projects bloom
India became the first country to make CSR mandatory, and today, more than 80% companies in India have CSR programmes. This is more than what is reported from Malaysia, Japan, South Korea, Thailand, Singapore and the Philippines, even though they are more prosperous than India. Yet, India's CSR programmes are underestimated at the global level.
One reason could be that international CSR rankings focus on corporate bottomlines and fail to assess Indian companies properly since firms here target social challenges such as poverty, healthcare and education. These activities are specified under Schedule 7 of the Companies Act 2013. It is also heartening to note that many Indian companies, especially in the technology sector, have begun efforts to get ahead of global competition by focusing on and showcasing their CSR activities.
This will give them a competitive edge over competitors when they approach clients for business. There is no term as corporate ethics. Those who lead companies must have high ethical standards.
A corporate is a legal entity, controlled by human beings, so corporate culture reflects the value system of people leading and working in such organisations. This aspect plays a vital role in the efficient disbursal of funds and implementation of CSR programmes. But spending on CSR is not enough for a company's brand value and social well-being.
Corporations should also respect workers' rights, ensure their welfare and be equal-opportunity employers. A safe, hygienic and humane workplace environment increases productivity and improves an organisation's and society's well-being. Creating brand value for an organisation starts with its employees and stakeholders, leading to a better brand image.
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