By Mauniera Samel
What is Corporate Social Responsibility (CSR)?
The concept of Corporate Social Responsibility (CSR) is not only a corporate governance exercise, but also an opportunity for the companies to give back to the society and make a tangible social difference. CSR initiatives are often backed and supported by Non Governmental Organisation (NGO) partners that work closely with the corporates.
Corporate Social Responsibility is largely based on four main pillars – environmental responsibility, economic impact, philanthropic efforts and ethical responsibility.
The Sustainable Development Goals (SDGs) adopted by the United Nations tie in closely with CSR activities. SDGs are a global agenda for sustainable development set with a target of ‘Leaving no one behind’ by the year 2030. Also called Global Goals, these 17 areas of work focus on improving the socio-economic and environmental landscape for all people on this planet. Some of these goals are gender equality, zero hunger, climate action, sustainable cities and communities, etc.
In this article, we will cover a list of institutions that work towards the Sustainable Development Goals, with a special focus on institutions from Maharashtra. Let us first understand the context of Corporate Social Responsibility and Sustainable Development Goals of India, and how these goals contribute to the economic growth in India.
The Sustainable Development Goals of India
The Companies Act, 2013, mandated the provision and reporting of CSR practices, with effect from 2014.
History of CSR guidelines, provisions and mandates by the Ministry of Corporate Affairs in India.
Source: National Portal of CSR
Maharashtra in focus
The financial resources invested in Corporate Social Responsibility and Sustainable Development Goals of India can be accessed and tracked by the public. A thorough breakdown of funds spent (state wise, district wise and developmental activity wise) is available on public domain. In FY 21-22, the organisations and institutes in Maharashtra invested and spent a total of INR 5290.19 Cr towards CSR work; Mumbai City leading with INR 2927.65 Cr.
Top 7 institutes and companies in Maharashtra that spearhead the economic growth in India with their CSR work
Tata Group
Tata Sustainability Group, formulated in 2014, is the main arm that works alongside all the Tata Group companies to implement CSR initiatives.
The top goals of Tata Sustainability Group are education, livelihood generation which also ties in with skill development, development of rural areas, climate change mitigation, water resources management, sanitation and healthcare. All of these initiatives are in alignment with the Sustainable Development Goals and contribute to the economic growth in India.
Some key CSR work done by Tata Steel in the districts of Thane and Palghar are Project Mansi, which focuses on healthcare initiatives for the community, Tata Steel Rural Development Society (TSRDS) that supports education and provides scholarships to students, and Project Rishta that works on livelihood and employment generation.
Tata Motors regularly conducts tree plantation drives (Vasundhara project), educational and skill development programmes (Kaushalya project) in Pune and Thane districts.
Tata Consultancy Services works on digital literacy programmes in the rural areas of Nashik, via a project called Digital Impact Square which focuses on driving innovation using digital technologies to address the social challenges.
Reliance Foundation
Reliance Foundation undertakes several significant Corporate Social Responsibility projects in Maharashtra that address various social, economic and environmental challenges. All of these initiatives adhere to the Sustainable Development Goals.
One of the key CSR projects undertaken by them is Paani Foundation. This focuses on sustainable agriculture and water conservation in drought-prone areas like Satara, Jalna, and Osmanabad.
Reliance Nutrition Gardens (RNGs) is another initiative that works towards providing self-sufficiency when it comes to nutrition and livelihoods of low-income communities in Nashik and Aurangabad. These RNGs are essentially low-cost and easy to cultivate and maintain kitchen gardens that not only provide an additional income source to such communities but also support the nutritional needs of their own households.
Drishti is a healthcare initiative that has conducted 20,500 corneal transplants, free of cost, across Maharashtra. 1.75 Lakh individuals have benefitted from their optical health services. Under Drishti, a Marathi newspaper in Braille has also been launched.
Yashwantrao Chavan Maharashtra Open University (YCMOU)
YCMOU partners up with NGOs and government agencies to conduct educational programmes for underprivileged communities in remote areas of Maharashtra. They also cater to educational needs of farmers and women labourers. YCMOU’s School of Vocational Education & Skill Development makes students job-ready with relevant skills and hands-on training.
Child Rights and You (CRY)
CRY is an NGO that works towards supporting children’s rights. They work as Corporate Social Responsibility partners for several companies, not only within Maharashtra but also across the whole country. Bajaj Finserv worked alongside CRY to provide nutrition, healthcare and education for 50,000 children in marginalised districts of Maharashtra.
Lloyds Infinite Foundation
Lloyds Infinite Foundation is the Corporate Social Responsibility unit of Lloyds Metals and Energy Limited. Their main areas of focus are healthcare, community development, education and infrastructure development in the districts of Chandrapur and Gadchiroli in Maharashtra.
In alignment with the Sustainable Development Goals of India, they conduct regular medical camps, tree plantation drives and provide clean drinking water in the remote areas of Chandrapur. Some of their key projects include a garment making unit called Lloyds Garment Unit in Hedri village, Gadchiroli, that employs and empowers women to earn their livelihoods and develop practical skills, so that they can become financially independent.
Lloyds Sports Academy (LSA) near Konsari in Gadchiroli is another successful initiative that provides professional training and coaching to over 300 youth in the fields of athletics, archery, football, volleyball, kabaddi and self-defence.
Mahindra and Mahindra
Mahindra and Mahindra does significant social work across Maharashtra that not only falls in line with some of the key Sustainability Development Goals but also contributes towards the economic growth in India.
As a part of their women empowerment goals, Project Nanhi Kali works towards providing quality education, life skills and work opportunities to girls, especially for those who come from underprivileged families. Mahindra Pride Classrooms, another of their women-focused initiatives helped 1,03,699 women through skill development programmes in FY 2023.
Mahindra and Mahindra also undertakes water conservation projects across Maharashtra. These projects include watershed development, crop diversification, conservation of water and soil and livelihood training.
Infosys Foundation
As per the Infosys Foundation Report for FY 2022-23, Infosys Foundation worked towards healthcare, alternative sources of livelihood for women, education of girl students, research funding and housing for underprivileged girl students in Maharashtra.
In the field of healthcare, Infosys Foundation built a dharmashala spanning 12 floors for Tata Memorial’s cancer centre in Navi Mumbai. In Beed district, their Pune-based CSR unit called Sparsh, worked towards providing skills to women who work as seasonal cane-cutters to earn alternative livelihoods. Infosys foundation also granted funds to Bhandarkar Oriental Research Institute in Pune to train young scholars.
Significance of Corporate Social Responsibility and the challenges faced by CSR institutions in Maharashtra
For companies, Corporate Social Responsibility is not only a governance mandate, but it also helps them enhance their public image in the larger society. Working with the Sustainable Development Goals gives them a direction to amplify their CSR efforts.
With the increasing accessibility of news, publicly listed information and disclosures, consumers are now more aware of what their favourite brands are doing. Consumers can easily distinguish between paid Public Relations and real contributions to the society. They want to support companies that truly do good and make a difference in the world. Hence it becomes extremely important for the companies to live up to this positive image inorder to gain customer loyalty and brand advocacy.
Corporations also usually have a lot of resources in place, be it financial backing, subject matter experts, strategic advisors, cross functional teams, legal resources and also a better understanding of the world markets. With this enormous capacity, they can truly pioneer big movements that help the society and tie in with the Sustainable Development Goals.
However, meeting regulatory requirements under the Companies Act, 2013, and accurately measuring the impact of Corporate Social Responsibility initiatives are top challenges that most CSR institutions deal with. They also need to manage budgets effectively and balance this out with other challenges like community requirements, stakeholder engagement and skill development of their own internal teams.
There are some clear solutions to address these challenges. Using innovative technology, making and sustaining key partnerships would improve efficiency. Also a strong commitment to sustainable practices would ensure long lasting positive changes for communities.
Conclusion
Corporate Social Responsibility initiatives ensure a lasting tangible impact on the society. Maharashtra has stood out as a key leader and a great example to follow for the rest of the states of India. The ongoing work being done by CSR units of companies will not only ensure that the Sustainable Development Goals are met by 2030, but will also drive the economic growth in India. While regulatory challenges persist, innovative solutions to address key social challenges are the way forward for CSR arms of all companies.
