Corporate Social Responsibility for India Inc

What does CSR mean for a developing economy? In other words, is the level and manner of CSR initiative by a Company influenced by the level of development in the economy. The recent survey by the ASSOCHAM Research Bureau substantiates the belief that yes, the level of development does influence the kind of CSR initiatives pursued. CSR or Corporate Social Responsibility connotes a more philanthrophic flavour. According to the survey, the major theme areas pursued by the India Inc., during the first quarter of 2010-11 are Community Welfare, Education, Environment, Health Care and Rural Development. Community welfare would mean being responsible and accountable for the development of the immediate community in which the Corporation is functioning through facilitating education, healthcare and projects that help in eradicating unemployment. It also often takes the form of Philanthropy that is providing monetary assistance to the NGO's active in the areas or co-ordinating with them to work towards development of the community.

The most actively engaged sectors are FMCG, Chemical and IT/ ITES. And amongst the 28 States and 7 union territories, Maharashtra followed by a distant Gujarat and Delhi/ National Capital Region received maximum attention for CSR initiatives.

The three interesting aspects clearly highlighted by the survey are that: 1. When it comes to the kind of CSR intiatives, Community Welfare is the most preferred form of Socially Responsible engagement with the society. 2. The most actively engaged sectors are the ones that are most influenced by the environment in which they operate such as FMCG, Chemicals and IT/ ITES. These sectors need constant interaction with their immediate environment for procurement, material and human resources. In the case of Chemicals sector particularly, the affluents and wastes discharged have received immense local criticism. In case of FMCG, such as Coca Cola, excessive use of locally available natural resouces such as ground water, led to the depletion of water table which pushed the giant Corporation to the footsteps of Court. And finally, Maharashtra, the most industrialized, receives the most prolific CSR intervention.

With these observations, one is left wondering if CSR is still in its nascent stages in resource scarce, energy hungry, burgeoning India. Is it a seed that will take its time to bloom or will the first mover who visualizes its strength, capture the heartshare of Philanthropic India to gain mindspace.