Introduction

Social responsibility is the responsibility of an organisation for the impacts of its decisions and activities on society and the environment through transparent and ethical behaviour that is consistent with sustainable development and the welfare of society; takes into account the expectations of stakeholders; is in compliance with applicable law and consistent with international norms of behaviour; and is integrated throughout the organisation. Corporate social responsibility (CSR) is also known by a number of other names. These include corporate responsibility, corporate accountability, corporate ethics, corporate citizenship or stewardship, responsible entrepreneurship, and "triple bottom line," to name just a few. As CSR issues become increasingly integrated into modern business practices, there is a trend towards referring to it as "responsible competitiveness" or corporate sustainability." A key point to note is that CSR is an evolving concept that currently does not have a universally accepted definition. Generally, CSR is understood to be the way firms integrate social, environmental and economic concerns into their values, culture, decision making, strategy and operations in a transparent and accountable manner and thereby establish better practices within the firm, create wealth and improve society. As issues of sustain- able development become more important, the question of how the business sector addresses them is also becoming an element of CSR CSR is a means of analyzing the inter-dependent relationships that exist between businesses and economic systems, and the communities within which they are based. CSR is a means of discussing the extent of any obligations a business has to its immediate society; a way of proposing policy ideas on how those obligations can be met; as well as a tool by which the benefits to a business for meeting those obligations can be identified. It is important to stress that the study of CSR focuses largely on the margins of a business' discretionary actions and obligations. This is rather than any legal or regulatory obligations individuals and corporations face in the day-to-day management of operations within any specific industry. To break these rules and regulations is to break the law. Such infractions are simply actions that are illegal. Of course, adhering to the law is an important component of an ethical organization's ethos, but it is not the primary concern of CSR, which primarily deals with decisions incorporating discretionary actions. CSR is a business strategy and, therefore, represents actions that need to be positively selected, or avoided. CSR advocates believe there is strategic advantage to a company that makes these choices. It is also important that CSR focuses on areas of immediate relevance to an organization's sphere of operations. CSR is not about pursuing the CEO's pet interest and 'saving the whales.' CSR should be distinguished from concepts such as 'strategic philosophy' and 'cause-related marketing,' which are valid business strategies and form an element of an organization's CSR policy, but are not a central component of CSR. CSR is a much more holistic approach to business, which is designed to enhance corporate success because of its relevance, rather than represent something unconnected to an organization's core business

Importance of CSR
CSR is an important business strategy because, wherever possible, consumers want to buy products from companies they trust; suppliers want to form business partnerships with companies they can rely on; employees want to work for companies they respect; and NGOs, increasingly, want to work together with companies seeking feasible solutions and innovations in areas of common concern. Satisfying each of these stakeholder groups allows companies to maximize their commitment to another important stakeholder grouptheir investors, who benefit most when the needs of these other stakeholder groups are being met Changing social expectations Consumers and society in general expect more from the companies whose products they buy. This sense has increased in the light of recent corporate scandals, which reduced public trust of corporations, and reduced public confidence in the ability of regulatory bodies and organizations to control corporate excess. Increasing affluence This is true within developed nations, but also in comparison to developing nations. Affluent consumers can afford to pick and choose the products they buy. A society in need of work and inward investment is less likely to enforce strict regulations and penalize organizations that might take their business and money elsewhere. Globalization The growing influence of the media sees any 'mistakes' by companies brought immediately to the attention of the public. In addition, the Internet fuels communication among like-minded groups and consumersempowering them to spread their message, while giving them the means to co-ordinate collective action (i.e. a product boycott).

These three trends combine with the growing importance of brands and brand value to corporate success (particularly lifestyle brands) to produce a shift in the relationship between corporation and consumer, in particular, and between corporation and all stakeholder groups, in general. The result of this mix is that consumers today are better informed and feel more empowered to put their beliefs into action. From the corporate point of view, the market parameters within which companies must operate are increasingly being shaped by bottom-up, grassroots campaigns. NGOs and consumer activists are feeding, and often driving, this changing relationship between consumer and company. CSR is particularly important within a globalizing world because of the way brands are builton perceptions, ideals and concepts that usually appeal to higher values. CSR is a means of matching corporate operations with stakeholder values and demands, at a time when these values and demands are constantly evolving. CSR can therefore best be described as a total approach to business. CSR creeps into all aspects of operations. Like quality, it is something that you know when you see it. It is something that businesses today should be genuinely and wholeheartedly committed to. The dangers of ignoring CSR are too dangerous when it is remembered how important brands are to overall company value; how difficult it is to build brand strength; yet how easy it can be to lose brand dominance. CSR is, therefore, also something that a company should try and get right in implementation
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Factors leading to increasing attention being devoted to the role of companies and CSR:-

Sustainable development: United Nations' (UN) studies and many others have underlined the fact that humankind is using natural resources at a faster rate than they are being replaced. If this continues, future generations will not have the resources they need for their development. In this sense, much of current development is unsustainableit can't be continued for both practical and moral reasons. Related issues include the need for greater attention to poverty alleviation and respect for human rights. CSR is an entry point for understanding sustainable development issues and responding to them in a firm's business strategy. Globalization: With its attendant focus on cross-border trade, multinational enterprises and global supply chainseconomic globalization is increasingly raising CSR concerns related to human resource management practices, environmental protection, and health and safety, among other things. CSR can play a vital role in detecting how business impacts labour condi- tions, local communities and economies, and what steps can be taken to ensure business helps to maintain and build the public good. This can be especially important for export-oriented firms in emerging economies. Governance: Governments and intergovernmental bodies, such as the UN, the Organisation for Economic Co-operation and Development (OECD) and the International Labour Organization (ILO) have developed various com- pacts, declarations, guidelines, principles and other instruments that outline norms for what they consider to be acceptable business conduct. CSR instruments often reflect internationally-agreed goals and laws regarding human rights, the environment and anti-corruption. Corporate sector impact: The sheer size and number of corporations, and their potential to impact political, social and environmental systems relative to governments and civil society, raise questions about influence and accountability. Even small and medium size enterprises (SMEs), which collectively represent the largest single employer, have a significant impact. Companies are global ambassadors of change and values. How they behave is becoming a matter of increasing interest and importance Communications: Advances in communications technology, such as the Internet and mobile phones, are making it easier to track and discuss corporate activities. Internally, this can facilitate management, reporting and change. Externally, NGOs, the media and others can quickly assess and profile business practices they view as either problematic or exemplary. In the CSR context, modern communications technology offers opportunities to improve dialogue and partnerships. Finance: Consumers and investors are showing increasing interest in supporting responsible business practices and are demanding more information on how companies are addressing risks and opportunities related to social and environmental issues. A sound CSR approach can help build share value, lower the cost of capital, and ensure better responsiveness
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to markets.

Ethics: A number of serious and high-profile breaches of corporate ethics resulting in damage to employees, shareholders, communities or the environmentas well as share pricehave contributed to elevated public mistrust of corporations. A CSR approach can help improve corporate governance, transparency, accountability and ethical standards Consistency and Community: Citizens in many countries are making it clear that corporations should meet the same high standards of social and environmental care, no matter where they operate. In the CSR context, firms can help build a sense of community and shared approach to common problems. Leadership: At the same time, there is increasing awareness of the limits of government legislative and regulatory initiatives to effectively capture all the issues that CSR address. CSR can offer the flexibility and incentive for firms to act in advance of regulations, or in areas where regulations seem unlikely. Business Tool: Businesses are recognizing that adopting an effective approach to CSR can reduce the risk of business disruptions, open up new opportunities, drive innovation, enhance brand and company reputation and even improve efficiency

CSR ISSUES

Issues within the economic sphere that contain a CSR component range from 'corporate governance' to 'patriotism;' from the issue of 'fair trade' to 'diversity in the workplace.' All contain, in some form or another, issues connected to the perception of the company, and therefore its brand, in the eyes of one or more of its stakeholder groups: Corporate governance

Transparency is the key to encouraging trust in the managers selected to run a company on behalf of the shareholders. It is also vital to maintaining confidence within other stakeholder groups and the general public. The issues of accurate financial statements, executive compensation, and independent oversight, have become particularly sensitive and important for companies to get right. Patriotism

An issue such as 'patriotism' is by definition subjective, but has risen in importance in the U.S. following the September 11, 2001 terrorist attacks. A good example of an issue that falls into this category is the trend today of companies attempting to avoid paying corporation tax, some even going to the lengths of incorporating off-shore (particularly Bermuda), even though company headquarters and the majority of workers are based in the U.S: According to a recent Harvard University study, U.S. companies avoided paying tax on nearly $300 billion in income in 1998. In 1940, companies and individuals each paid about half the federal income tax collected; now the companies pay 13.7% and individuals 86.3%.10

Fair trade

Companies in particular industries have felt pressured to pay a 'fair' price for the goods they purchase, over and above the market-driven price, directly to the producer. This is particularly the case in many food industries, where world market prices may well have decreased over time, while costs have either remained the same or increased: Today, with suppliers at small farmer cooperatives in Peru, Mexico, and Sumatra, Green Mountain pays Fair Trade prices for coffee beans -- not the market price of 24 to 50 cents per pound, but a minimum of $1.26 per pound for conventional coffee and $1.41 for organically grown. In 2002, these Fair Trade purchases represented 8 percent of sales. Green Mountain also has a "farm direct" program that cuts out middlemen to deliver higher prices to farmers. Roughly a quarter of its coffee purchases are farm direct.11

Diversity

The 2000 Census data has revealed that the ethnic make-up of the U.S. is changing rapidly. Organizations need to adapt their traditional structures and mind-sets, which prevent companies from marketing products effectively to significant segments within the market:
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Latinos are now the largest minority in the U.S., making up 13 percent of the overall U.S. populationa 58 percent increase from 1990. As black, Asian, and Pacific Islander populations also experience strong growth rates, whites are steadily heading toward minority status. Already in California, New Mexico, Hawaii and the District of Columbia, the majority of residents are non white. That's also true in 48 of the nation's 100 largest cities. Literally, CSR (the extent to which an organization's decisions reflect the values and needs of consumers and other stakeholders) can creep into every decision that a company makes. One subarea of the issue of 'diversity' involves the equal treatment of men and women. There are plenty of examples of both good and bad practice: Bad - The US Masters, women, and the Ku KluxKlan. In response to Augusta National Golf Club's failure to invite women to become members of the club, the National Council of Women's Organizations (NCWO) launched a campaign aimed at corporations supporting the 2003 U.S. Masters golf tournament and demanding they withdraw their support, with some success. As the club dug-in its heels, the situation got worse with the Ku Klux Klan announcing it would protest at the Masters tournament in support of the Golf Club's right to exclude female members. A PR nightmare!! Whatever the merits of the case, the Club could have avoided a lot of negative press coverage by adopting a more enlightened stance on this issue at an early stage. Good - Annika Srenstam, Bank of America, and The Colonial Golf Tournament The Bank of America, in its first year as the title sponsor of the PGA Tour event The Colonial (May 22-25, 2003) at Fort Worth Texas, invited Annika Srenstam, the best player on the LPGA Tour to compete. No female player had played in a PGA Tour event since 1945. The move significantly raised the level of interest in the golf tournament nationwide and stood in stark contrast to the controversy that had surrounded the U.S. Masters the month before. Many would call the Bank of America's move 'opportunistic,' whilst highlighting Augusta National's right, as a private club, to associate with whom it wants. From the corporate perspective, however, it would have been noted that the Bank of America was widely praised for its progressive approach and received acres of positive press coverage as a result, while Augusta National was widely denounced for its dogmatic stance and extremely conservative approach that does not reflect the feelings of the majority of U.S. citizens.

CSR AND BRANDS

Brands today are one of the key focal points of corporate success. Companies try to establish popular brands in consumer minds because it increases leverage, which is directly reflected in sales and revenue. All aspects of a company's operations today feed into helping build the corporate brand. Crucial is how a brand is perceived by all stakeholders. Three benefits in particular indicate the positive value for a company in striving to remain in tune with the community within which it is based by implementing a strong CSR policy:

Positive marketing/brand-building - BP BP, with a $200 million re-branding exercise, has effectively re-positioned itself as the most environmentally sound and socially responsible of the extraction companies. The company stands in stark contrast today with Exxon Mobil that faces on-going NGO (NonGovernmental Organization) attacks, consumer boycotts, and activist-led litigation because of its decision to fight the environmental movement, and its failure to recognize the wider importance of CSR as a corporate strategy. Brand insurance - NIKE NIKE has emerged as one of the most progressive global corporations in terms of CSR because it has learned from its past mistakes and attacks by NGOs. As one of the first corporations to have a Vice-President for Corporate Responsibility and to publish an annual CSR Report, the company has done a lot to mitigate public opinion, establish its brand as representative of a much more committed corporate citizen, and 'insure' itself against any repeat of the consumer boycotts it faced in the mid-1990s. Crisis management - Johnson & Johnson Johnson & Johnson's transparent handling of the crisis facing its Tylenol brand in 1982 is widely heralded as the model case in the area of crisis management. J&J went far and above what had previously been expected of corporations in such situations, instigating a $100 million re-call of 31 million bottles of the drug following a suspected poisoning/product tampering incident. In acting in the way it did , J&J saved the Tylenol brand, enabling it to remain a strong revenue earner for the company to this day

BENIFITS OF IMPLEMENTING CSR

Better anticipation and management of an ever-expanding spectrum of risk. Effectively managing governance, legal, social, environmental, economic and other risks in an increasingly complex market environment, with greater oversight and stakeholder scrutiny of corporate activities, can improve the security of supply and overall market stability. Considering the interests of parties concerned about a firm's impact is one way of better anticipating and managing risk Improved reputation management. Organizations that perform well with regard to CSR can build their reputation, while those that perform poorly can damage brand and company value when exposed. Reputation, or brand equity, is founded on values such as trust, credibility, reliability, quality and consistency. Even for firms that do not have direct retail exposure through brands, their reputation for addressing CSR issues as a supply chain partner both good and badcan be crucial commercially. Enhanced ability to recruit, develop and retain staff. This can be the direct result of pride in the company's products and practices, or of introducing improved human resources practices, such as "family-friendly" policies. It can also be the indirect result of programs and activities that improve employee morale and loyalty. Employees are not only front-line sources of ideas for improved performance, but are champions of a company for which they are proud to work. Improved innovation, competitiveness and market positioning. CSR is as much about seizing opportunity as avoiding risk. Drawing feedback from diverse stakeholders can be a rich source of ideas for new products, processes and markets, resulting in competitive advantages. For example, a firm may become certified to environmental and social standards so it can become a supplier to particular retailers. The history of good business has always been one of being alert to trends, innovation, and responding to mar- kets. Increasingly, mainstream advertising features the envronmental or social benefits of products (e.g., hybrid cars, unleaded petrol,14 ethically- produced coffee, wind turbines, etc.). Enhanced operational efficiencies and cost savings. These flow in particular from improved efficiencies identified through a systematic approach to management that includes continuous improvement. For example, assessing the environmental and energy aspects of an operation can reveal opportunities for turning waste streams into revenue streams (wood chips into particle board, for example) and for system-wide reductions in energy use, and costs. Improved ability to attract and build effective and efficient supply chain relationships. A firm is vulnerable to the weakest link in its supply chain. Like-minded companies can form profitable long-term business relationships by improving standards, and thereby reducing risks. Larger firms can stimu- late smaller firms with whom they do business to implement a CSR approach. For example, some large apparel retailers require their suppliers to comply with worker codes and standards.

 Enhanced ability to address change. A company with its "ear to the ground" through regular stakeholder dialogue is in a better position to anticipate and respond to regulatory, economic, social and environmental changes that may occur. Increasingly, firms use CSR as a "radar" to detect evolving trends in the market. More robust "social licence" to operate in the community. Improved citizen and stakeholder understanding of the firm and its objectives and activities translates into improved stakeholder relations. This, in turn, may evolve into more robust and enduring public, private and civil society alliances (all of which relate closely to CSR reputation, discussed above). CSR can helpbuild "social capital." Access to capital. Financial institutions are increasingly incorporating social and environmental criteria into their assessment of projects. When making decisions about where to place their money, investors are looking for indicators of effective CSR management. A business plan incorporating a good CSR approach is often seen as a proxy for good management. Improved relations with regulators. In a number of jurisdictions, governments have expedited approval processes for firms that have undertaken social and environmental activities beyond those required by regulation. In some countries, governments use (or are considering using) CSR indicators in deciding on procurement or export assistance contracts. This is being done because governments recognize that without an increase in business sector engagement, government sustainability goals cannot be reached (see box below). A catalyst for responsible consumption. Changing unsustainable patterns of consumption is widely seen as an important driver to achieving sustainable development. Companies have a key role to play in facilitating sustainable consumption patterns and lifestyles through the goods and services they provide and the way they provide them. "Responsible consumerism" is not exclusively about changing consumer preferences. It is also about what goods are supplied in the marketplace, their relationship to consumer rights and sustainability issues, and how regulatory authorities mediate the relationship between producers and consumers

Principles of Corporate Social Responsibilities:

Many companies are adapting to the CSR idea and are involved in some activities that they consider to be CSR. However there has been a lot of uncertainty the has surrounded this term and its necessary to have a clear idea to be able to measure it later on. According to David Crowther & Guler Aras, there are three main principles of CSR. They are Sustainability, Accounting and Transparency.

Sustainability

As the word sustainability suggests, sustainability is all about the decisions taken at present in a company and its impact on the future. Sustainable development is both possible and desirable by most of the companies. So, firms should make a conscious effort to invest in technology and in development towards the society. As per the study by Zwetsloot (2003) every company needs to continuously invest in technology and be actively involved in continuous improvements and innovations to be able to have sustainable development. A detailed study is done on sustainability and published in the Brundtland Report published in 1987. As per the Brundtland Report the sustainable development has been defined as"Development which meets the needs of the present without compromising the ability of the future generations to meet their own needs." As per the Brundtland Report there have been other report formats also that have been developed and the concept of Triple Bottom Line has evolved from this report. Most of the companies now consider that focusing on the economic, social and environmental aspects is sufficient for the companies to sustain themselves. However, in the present scenario these three parameters under Triple Bottom Line are considered to be insufficient and are not accepted to be the only aspects to sustainable development. The study by David Crowther & Guler Aras has redefined the components of sustainability. First parameter is societal influence, which is defined as the measure of societal impact on the companies, stakeholders influence and their future actions. Second, is the environmental impact, which considers the influence of the company's decisions and actions, taken at present on the surrounding environment. Third, is the Organizational culture, which is defined as the relationship of the company with its employees and other internal stakeholders. The fourth and final parameter that is used to ensure sustainability of the organization is the financial parameter. This is defined as the amount of return that the company generates for the investment that they have done and the risk taken by the company. All these parameters ensure a fine balance between sustainability and sustainable development of the company.

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Accounting & Transparency

There is a great emphasis on the ethical aspects of the company and this in turn demands the company to be accountable to its internal customers i.e. employees, its external employees and the stakeholders. Businesses attempts to maximize profits as their first and foremost goal, however now days companies cannot just stop at that. They have to focus on the ethical and the social factors also equally and ensure the they maintain transparency in their accounting systems and the policies that they follow in the companies. According to the study by Crowther, David (2005) ethics is a natural and structured process of acting in line with the moral judgments', standards and rules. As ethics is a very subjective topic is it difficult to define it accurately and its implication for each and every company could be different. Companies need to follow business ethics and need to maintain a certain standard, as the companies who don't follow ethics and don't maintain honesty would be far away from achieving their goal and keeping their stakeholders satisfied (Aras, 2006). Most of the consumers believe that the companies which maintain the ethical standards are having more open accounting standards and are transparent in their processes. Accountability of such companies is considered to be much higher than the other companies. There are four main imperatives that the companies need to pursue while practicing the CSR. They are maintaining the minimum legal, economic, ethical and philanthropic aspects that are expected by the customers and stakeholder.

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REASONS FOR COMPANIES INVESTING IN CSR

Donating to good causes Diversity/equality in the workplace Flexible working Waste management and energy efficiency Global Warming Animal adoption Children's Hospitals Children in Need Arthritis

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GOVERNMENTS ROLE IN CSR

CSR now-a-days is not only a topic for the business community, but the governments too are progressively getting involved in promoting and fostering CSR, like most notable UK government with its CSR Minister Nigel Griffiths, and the European Union with its White Papers and the recent European alliance for CSR. As already earlier stated that CSR is fundamentally about good business, to achieve this bottom line it is the government that comes into the picture. (Hancock, 2005)In the view of John Hancock, "the role of the government is essentially to provide the right conditions and policy frameworks so that the contribution of business is maximized. This regulatory framework devised by the government forms the baseline for corporate behavior, while CSR is what companies adopt voluntarily to raise their performance beyond minimum legal standards. Therefore governments are those entities that set decent standards or codes of conduct while stimulating companies to raise their performance beyond those levels". For example, in issuing the US Apparel Code of Conduct, the US government provided a regulatory basis for CSR in overseas supply chains. The other role of Governments or the public sector is itself being socially responsible in their undertakings. In most industrialized or developed countries, it is seen that governments are responsible for 40 to 50 per cent of the Gross Domestic Product (GDP) as governments in these countries still supply a large number of goods and services themselves. Furthermore, given the size of public bodies and their agencies, it is believed that the demands for CSR are more pronounced and are likely to have an impact on the society which is far greater than the impact of a large corporation. Thus accordingly governments are also expected to operate in a socially responsible manner as the corporations. More and more they're also facing similar environmental as well as social demands for more responsible, accountable and transparent behavior. And hence many of CSR ideas have been developed and implemented by governments across the world. Thus there has been a steady rise in social reporting and auditing, by these public bodies. An example is of a publicly funded UK media organization, the BBC that now publishes an annual CSR report. Another role that governments are playing is that of multipartite initiatives to expand and extend CSR, such as the UN Global Compact, which is a set of principles issued by the United Nations for voluntary adoption by corporations globally

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CSR initiatives of Some Indian Companies

Name Of the company CSR Principle Help build model villages that can stand on their own feet. Belief in green environment leads Godrej Industries to enhancement of productivity and quality To help enrich the quality of life of the community and preserve Indian Oil Corporation ecological balance and heritage through a strong environment conscience. 2/5 programmes, medical services, education, art and culture, social objective schemes Child welfare, Aids awareness, HLL Social welfare initiatives both through charity and social investment To build the capacities of the ICICI bank Poorest of the poor to participate in 3/5 education, micro financial services, 14 Women Upliftment, rural development, disaster relief 3/5 activities, environment Poor health and nutrition, child 3/5 Environment and agriculture, infrastructure CSR Rating Initiatives

Aditya Birla Group

Healthcare, education, rural 3/5 development

Community development

the large economy Healthcare, social rehabilitation and rural upliftment, learning and 4/5 education, art and culture

Infosys

Support the unprivileged in Society and enrich their lives

Procter & Gamble

Commitment to sustainable development as "ensuring a better quality of life for everyone, now and for generations to come. Principle of symbiotic relationship with the local communities, recognizing that business ultimately has a purpose - to serve Human needs

2/5

Child education, women education, health and environment

Reliance Industries

2/5

Scholarship schemes, healthcare initiaves, cancer and AIDS prevention, health, safety, environment, social responsibility and community development, rural development, women and youth empowerment, skill upgradation Education, Tribal welfare, healthcare, Health and AIDS awareness, environment Learning enhancement, infrastructure facilities, disaster relief activities

Tata Steel

Sharing Wealth to diminished disparities

4/5

Wipro

To contribute in the areas of education, community and social development

3/5

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History of Tata Motors

Started in 1945 in Mumbai, India. Original production was on locomotives. 1954 First car rolled off of the assembly line. Tatas are a family The family founded: Ironworks Steelworks cotton mills hydroelectric-power plants Are of their endeavors have been proved to be crucial to India's industrial development. of Indian industrialists and philanthropists. Tata Motors is Indias owns the largest independent company in India. Mercedes and Tata teamed up to create a truck line. First major business deal with another firm. Together both companies started their commercial vehicle operations in 1960. in 1986 the company created and sold the first LCV LCV = light commercial vehicle Was the Tata 407

Tata Motors decided to pursue joint ventures. Cummins Engine Co., Inc., was the first company to jointly venture with Tata in 1993. Manufactured a diesel engine that had high horsepower and emitted less harmful chemicals. Began creating new lines in the late 1990s and earl Compressed natural gas buses y 2000s 1109 vehicle, used for commercial purposes. Ex-series Newly designed LCV called the 207 DI :

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Tata Group

100 companies throughout 7 business sectors Engineering, materials, energy, chemicals, services, consumer products, information systems and communications Tata AutoComp Systems - Automotive Tata Steel - Materials Tata Power - Energy Rallis India - Chemicals Tata Realty and Infrastructure - Service Tata Tea - Consumer Products Tata Technologies - Information Systems and Communications

Corporate Social Responsibility of TATA

A Company that cares about the future Committed to corporate social responsibility Signed the United Nations Global Compact Plays role in community development Environmentally-friendly products and technology Two main concerns: Reduction of pollution Restoration of ecological balance Implemented soil and water conservation programs Cleaner Engines Advanced emission-testing labs Developing alternate fuel engines Sewage treatment facilities Encourages tree planting

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Community Development: The Company's Community Service Division works through various societies to improve the conditions of neighbouring villages - encouraging economic independence through self-initiated cottage industries and contributing to community and social forestry, road construction, rural health, education, water supply and family planning. Tata Motors has been making numerous well-planned efforts in the area of rural development, with specific focus on the following:

Health & Sanitation: Mobile health service staff provide preventive and curative health services under the "Health For All" programme. They train village health workers in conducting the same. Safe drinking water facilities are provided to ensure health of the villagers.

Employment Generation: Tata Motors encourages self-sufficiency with the aim to improving the confidence, morale and lives of its employees and their dependents. The Company has worked on some novel ideas around its townships. Employees' relatives at Pune have been encouraged to form various industrial cooperatives engaged in activities such as re-cycling of scrap wood into crates and furniture, welding, steel scrap baling, battery cable assembly etc. The Tata Motors Grihini Social Welfare Society caters to employees' women dependents'. The women folk make a variety of products, ranging from pickles and uniforms to electrical cable harnesses etc.

Community Centres: These centres are situated in various parts of Jamshedpur, Pune and some of their neighbouring towns. The centres regularly organise various programmes & neighbouring populations are encouraged to participate in these activities.

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Photo: Mr. Deepak M Deshpande, AGM, Corporate HR inaugurating the bus donated to ADHAR, an Association of Parents of Mentally Differently Abled Children

There is a strong business sense in investing in CSR, in so far as corporations benefit in

multiple ways by operating with a perspective broader than their own immediate business results. These benefits can range from brand differentiation, boost to recruitment and retention, risk management and licence to operate to more individual goals of personal satisfaction. Tata Motors CSR is carried on by CSR teams at all the manufacturing units. A structured process has facilitated co-ordination among team members, continuous experience sharing across locations, monitoring and evaluation of all CSR programmes and periodic reporting, giving CSR activities at Tata Motors a Company wide synergy. CSR through the lens of the CSR Team Leaders at these locations is presented in this section.

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DIWAD VILLAGE CASE

Since 2006, TATA has adopted our Diwad village and since then considerable progress has been made in the village. Some of the projects that have been completed include: 1. Tree plantation on the land owned by the village (2000 trees have been planted since the tree plantation drive began in 2006) 2. Construction of a 2kms road on the mountainous terrain 3. Distribution of toys and games to Angandwadi (2 pre-primary schools) 4. Seting up of computer laboratory and repair work in the secondary school 5. Infrastructural development of primary school 6. Distribution of teaching aid to secondary school 7. Support for providing clean drinking water in the village 8. Ensuring hygiene and sanitation through construction of 200 individual toilets, covering all families 9. Donation of Excavator machine for the development work of the village We hope your institution would continue to support the village through the coming years. Signed, Sarpanch, Gram Panchayat, Diwad village, Pune

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Conclusion: Corporations must communicate their CSR initiatives to promote a positive image about the company in peoples mind. With increasing and widespread commitment of corporate resources to CSR, attention is now shifting to the strategic formulation, implementation, and measurement of the market returns to CSR initiatives. Emphasize the need for better measurement models of CSR that capture and estimate clearly the effects of a companys CSR actions on its stakeholders as well as the nations in which they are operating It is important for corporations to take stakeholder CSR priorities seriously, bearing in mind the triple bottom-line of People, Planet & Profit. This will not only help in the overall betterment of the country, but will also help corporations gain valuable mind space in the stakeholder community.

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Bibliography:-

www.tatamotors.com http://economictimes.indiatimes.com www.iisd.org/pdf/2007/csr www.ask.com www.google.com

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