Corporate Social Responsibility (CSR) is becoming an increasingly important activity to businesses nationally and internationally. As globalisation accelerates and large corporations serve as global providers, these corporations have progressively recognised the benefits of providing CSR programs in their various locations. CSR activities are now being undertaken throughout the globe.
The term is often used interchangeably for other terms such as Corporate Citizenship and is also linked to the concept of Triple Bottom Line Reporting (TBL), which is used as a framework for measuring an organisation’s performance against economic, social and environmental parameters.
The rationale for CSR has been articulated in a number of ways. In essence it is about building sustainable businesses, which need healthy economies, markets and communities.
The key drivers for CSR are:
�� Enlightened self-interest - creating a synergy of ethics, a cohesive society and a sustainable global economy where markets, labour and communities are able to function well together.
�� Social investment - contributing to physical infrastructure and social capital is increasingly seen as a necessary part of doing business.
�� Transparency and trust - business has low ratings of trust in public perception. There is increasing expectation that companies will be more open, more accountable and be prepared to report publicly on their performance in social and environmental arenas
�� Increased public expectations of business - globally companies are expected to do more than merely provide jobs and contribute to the economy through taxes and employment.
CSR Activities of Tata Steel:
The Tata trusts are the unsung heroes of an extraordinary saga of philanthropy that has enriched India and its citizens in myriad ways. The Tata group has been credited for aggressively pursuing several corporate social responsibility (CSR) initiatives in India. Considered as pioneers in the area of CSR, the Tata group has played an active role in nation building and socio-economic development since the early 1900s.
Tata group has long accepted the idea that CSR makes business sense. This was realized by JN Tata way back in 1895, when he stated, "We do not claim to be more unselfish, more generous or more philanthropic than others, but we think we started on sound and straightforward business principles considering the interests of the shareholders, our own and the health and welfare of our employees... the sure foundation of prosperity.”
The CSR programme is managed by three organisations — Tata Steel Rural Development Society (TSRDS), Tata Steel Family Initiatives Foundation (TSFIF) and the Tribal Culture Society (TCS).
➢ Sharing Wealth to Diminish Disparities.
For Jamsetji Tata, the progress of enterprise, welfare of people and the health of the enterprise were inextricably linked. Successive generations of Tata Group leaders have always held the belief that no succession material terms is worthwhile unless it serves the interest of the nation and is achieved by fair and honest means .
Guided by this mandate, Tata Steel has for decades used its skills and resources, to the extent it can reasonably afford, to give back to the community a fair share of the product of its efforts. It was the first to establish labour welfare practices, even before these were made statutory laws across the world. In 1912 it invited Sidney and Beatrice Webb, the Founders of the London School of Economics, to prepare a Memorandum of Health for the Steel City.
The Company also instituted an eight-hour workday in 1912, free medical aid in 1915, a Welfare Department in 1917, leave with pay, Workers Provident Fund and Workmen’s Compensation in 1920 and Maternity Benefit for ladies in 1928.With the understanding that the hunger for employment can never be satisfied despite its best...