Csr Issues

8/7/2019 Csr Issues

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8/7/2019 Csr Issues


Building Community…

… always a way of doing business

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J. N. TataThe example and the inspiration

““In a free enterprise, the community is not

just another stakeholder in business but is in

fact the very purpose of its existence”.

- Jamsetji Tata

Founder, Tata Group

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Markets work for all – when based on inclusion

Creating a ‘people-centered’ purpose – for sustained development

So that,

Institutions serve the good of all

What does this mean to us?

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Philanthropy / Social Investment

( Tata Trust )

Relief & Rehabilitation( TRCs )

Sports & Culture

( Sports Club & NCPA )

Group Social Responsibility

( TCCI )

Tatas building self-reliant communities

100 years of tradition

India’s most respected Brand

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Revisiting CSR & Learning from the

Winds of Change

• Globalisation

• Liberalisation

• Restructure

REFORMSREFORMS

• Economic

• Administrative

• Trade

• Legal

Social Reform is at the bottom of all Change process.

Finding a role for business in development.

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Social Reformsthrough participatory development

CommunityCommunity

N G O s

D e v . A

g e n c i e s /

A c a d

e m i a

Business /

Industry

M e d i a

G o v e r n m

e n t

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“The developing world has two options. The first is to sit back and react only when the

problems arise. The second is to act as

conscious citizens and rise above our vested interests for the sake of future generations,

so that history does not record that we

deprived them of their livelihood.”

“I think that the message we should leave with our CEOs is that

there is an integrated approach – that we want them to be profit-oriented, we want them to be cost effective, we want them to be

quality conscious, and we want them to be good corporate

citizens.” - Mr. R. N. Tata

Role for Tata businesses….

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Our Collective Stand

Tata Council for Community Initiatives

We will evolveevolve a common direction for community development

programmes from diverse activities of all Tata business units

through sharing and participatory networking.

We will strive together constantly to strengthen our professional

and organizational abilities to fulfill our commitments towards

society at large.

B. G. DeshmukhChairman

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PARTICIPATORY NETWORKING FOR

STRATEGY DEVELOPMENT & DEPLOYMENT

Council (Strategy Development)

B. G. Deshmukh-ChairmanR. Gopalakrishnan K. A. Chaukar J. J. Irani F. K. Kavarana S. Ramadorai

B. Muthuraman S. Ramakrishnan Ravi Kant S. K. Gupta F.A.Vandrevala

Prasad Menon Bhaskar Bhat Simone Tata H.R.Khusokhan Ashok Soni

Rajeev Dubey A. N. Singh H.S.Billimoria S.Deoras P.Siganporia

S.S.Ghosh Y.Nath D.S.Gupta K.A.Mahashur B.L.Raina

C.D.Kamath V.Deshpande Ranaveer Sinha Harsh Jha A.K.Vora

S.Chakravorty Partha Sengupta Ian Watts Ajay Pandey T.R.Doongaji

S.Pradhan M.A.Pathan B.Martyris J.Ardeshir

Anant G. NadkarniTCCI Secretariat

Group HR & TQMS

Company Level (Strategy Deployment)(Cross-Functional Teams)

Corporate Head-Social Responsibility

Community & Environment Facilitators

Corporate Heads - HR, Quality & Ethics

Tata Volunteers

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Tata Declarations on CSRTata Declarations on CSR

• Serving the Community is the purpose of business - The Community is central to the corevalues we adhere to in the Tata Group and it is not just another stakeholder in business, but is in fact the verypurpose of its existence

• Enhancing Human Excellence and Improving the Quality of Life - Tata Community programsaim at building trust, improving the quality of life, enhance human excellence and build Community

• Integrating Environmental Management with Social Development - A Tata enterprise isproactive in addressing environmental, ecological and biodiversity concerns arising out of its operations andthis is integrated with our social responsibilities

• Sharing Core Competence and Technology with the underprivileged - Tata Companiesevolve their programs out of their core competence and expertise

• Business as a Partner in Development - Tata Companies work together with other players engagedin the development of communities

• Culture of Volunteering - In the Tata Group there is a culture of volunteering and Tata Companies enablecommitted employees to spare their skills and talents in the service of the needy and the underprivileged

• Organizational and Personal Learning - Tata employees recognize the valuable opportunitiesCommunity provides for individual and group learning. So programs are designed to foster learning, creativity,and experimentation in order to build knowledge to share it with others

• Institutionalizing Social Responsibility in the Business Process - Commitment to socialresponsibility is explicit and visible in every Tata Company by way of management support and involvement;proactive methods in planning and deployment of resources; engagement of employees; and, sharing of knowledge.

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Where to make the difference

Influencing Policy & Impacting Attitudes

FRAMEWORKFRAMEWORK

Water Management,

Integrated Rural &

Urban Development

Health /

Woman & Child

Vocational Training

/ Education

/ Technologyfor the poor

Initiatives in

biodiversity

restoration &

conserve wildlife

Introduce EMS

proactively & beyond

compliance of

regulation

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What does it mean at the Company level ?

Making Social Responsibility happen at three levels

Company-level

TCCI Programme on

institutionalizing support

for CSR

Employee-level

Leadership / Capacity

Building / Performance

Management System

Programme-level

Procedure on process

documentation & learning

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Draft Guidelines capture common patterns – 1996-1997

Case study approach forges a common framework - 1998

Focus on 7 Regional Groups – 1998-99

Final Guidelines declare the Tata Way - 2000

Focus on 28 Tata Companies (Report on community initiatives) - 2001

Focus on 15 Tata Companies (Report on environmental initiatives) - 2002

First report on Corporate Sustainability by Tata Steel - 2002

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Tata Companies’ commitment to communitydevelopment

0

20

40

60

80100

120

140

160

180

1996 1998 2000 2001

R u p e e s C

r o r e s

Expenditure on Community Development

Group Corporate Sustainability

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Involvement of Group Companies

0

50

100

150

200

250

1996 1998 2000 2001

N u m b e r s

Community Champions Business Units Involved

Cases Documented

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• TCCI works closely with Tata Quality managers & HR heads

in 33 BEBP Companies

• 12 major Tata Companies are certified under ISO14001

• 20 major Companies have embarked on Sustainability programme.

Dr. J. J. Irani is the Tata representative on the Executive Board

of the UN-Global Reporting Initiatives (GRI)

• All 33 major Tata Companies have signed in for the CII-UNDP

Social Code and the UN-Global Compact. Mr. K. A. Chaukar is the

Tata representative for the UN-Global Compact

• TCCI & UNDP have developed the first ever Corporate Index on

Human Development.

How are we positioned…How are we positioned…

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• Key leaders assuming group level responsibilities on CSR

• Holding hands and growing together

• Emerging Group Resource on CSR

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Partnerships for benchmarking with

best practices and growing together

Tata

Guidelines

(Process and

Report at

Company

level)

Corporate

Sustainability

A

pp

l

i

c

at

i

o

n

1] Tata Values & Traditions

2] Tata Best Practices

3] Flexibility / Openness

4] A way of doing business

TCCI

TBEM

Business

Excellence

Others

Values

Tradition

Best

Practices

TATA

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Building new perspectives on

responsible behaviour….

• Focus on ‘Corporate’ Social Responsibility

• Integrate Environment, Biodiversity, Safety, Health with

social initiatives

• Build a sustainable Business Model based on multiple

‘bottom lines’.

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Transforming the Mindset

Managing identity

Society / Trusts Participatory Networking

Person centered Process / Brand driven

Company centered To become a group

Changing work culture

Social Work (Activity based) Development centred (facilitate)

Welfare ( Creating dependence) Building Community (Self-reliance)

Essential venture Cost

Single Goal - Profit Triple Bottom Line

From Management To Governance

Avoidable Expense

Scarcity Abundance

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Are we really building sustainable enterprises?

Process Management

Human Resource Focus

SocialImpact

EnvironmentalFactors

EconomicValue Added

Business Results

Measurement, Analysis &

Knowledge Management

Customer & Market Focus

Strategic Planning

Leadership

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??

??

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??

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Clause 8: HEALTH, SAFETY AND ENVIRONMENT

Tata Code of ConductTata Code of Conduct

Clause 10: CORPORATE CITIZENSHIP

Tata Group Purpose Statement

Our Purpose in Tata is to improve the communities we serve….Our heritage of

returning to society what we earn evokes Trust among consumers, employees,

shareholders and the community. This heritage will be continuously enriched by

formalizing the high standards of behaviour expected from employees and companies.

• Over 2,25,000 employees abide by the Code personally committed to their

social responsibility at an individual level

• A process for Self evaluation ensures that over 200 Community &

Environmental Facilitators conduct their self-appraisal for attunement .

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Leading Beyond the Walls….

• Corporate Governance with the “relating genius”

• Director with additional charge for CSR

• CEO’s Balanced Scorecard

• Corporate Head-Social Responsibility at level II

• Cross-Functional Team

• Community and Environment Facilitators.

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Strategy on CSR

• Taking technology to the poor

• Rooted in Core Competence – matrix driving the CSR

Vision and Mission

• Factoring CSR in all functional / operational levels

• CSR permeating through all locations and supplier chain.

T k k t k f

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C

B

A

The very underprivileged

segments that cannot access

markets on their own and in a

way are marginalized by

imbalanced wealth creation.

Present markets

absorbing our products

and services under

existing market and priceconditions.

Expanding markets accessible

for the best and most competitive

products and services highlysensitive to price elasticity.

To make markets work for

all, the underprivileged

must participate

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Corporate

giving out of

surplus

Profit

Other

costs

Traditional model

(First generating profits not

considering social cost)

Responsible

profit of Business

Other

costs

“Corporate giving”

built as a

‘development cost of

business’

Contemporary model

(Generating responsible profits)

Generating responsible profits: Assessing, Costing,

Accounting and Reporting for Development

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Responsible Profit

• Traditionally, we factored in costs of – Raw materials,

– Power,

– Consumables,

– Employees, – Borrowings, etc.

• We have learnt to include the cost of Quality - in

absence of which the total costs are even higher.

• Why do we not factor Environmental and Social

costs as part of normal business-expense?

Market economy works well whenprices tell the truth

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Learning, Listening & Thinking CSR

• Environmental Impact Assessment, Social Impact Surveys,

“Community Dialogue” to periodically impact strategy,

Process and Results

• CSR to become part of employee satisfaction feedback and

Brand perception-surveys

• Periodic CSR presentations to the Board, Senior

Management and strategy function.

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People Focus

• Building Community beyond developing

Organizations – within and outside

• CSR is performance driven by high performers

• Volunteering Scheme – an enabling culture for

self-management.

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It is not the mountain we conquer but ourselves

Tata Corps of Volunteers – transforming lives

• We recognize the learning it brings to us

• We are fired more by the spirit of service

• A large number of volunteers means a broader base for Brand assurance.

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“I think what we should try to do is to start off a movement that will

consciously institutionalize what many of our companies have beendoing for many years. And now what we are doing here, through the

TCCI, is to institutionalize this strength into a common entity. And we

should make sure that the CEOs of various companies feel that all

this is part of the Tata ethos.”

- Mr. R. N. Tata

• 2 Tata Companies have over 1000 registered volunteers.

• 6 major Tata Companies have 100 – 500 registered volunteers.

• 19 other Tata Companies have 50 – 100 registered volunteers.

10,417 TATA Volunteers

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Improving Quality of Life (Process)

• Facilitate development and a sense of belonging

• Enhance human achievement and development

• Encourage a sense of enterprise

• Improve attitudes / behaviour / procedure

• Enhance self and institutional learning.

Csr Issues

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