Corporate Social Responsibility

Corporate Social Responsibility: An effective business strategy
Corporate Social Responsibility is usually defined as the ethical behaviour of the company towards the society. Having CSR as part of the agenda means that the business promises to adhere to legal, and most importantly, ethical standards. It is quite surprising that the for –profit organisations are now including CSR as a major part of their agenda. It is inextricably linked to profits as there can be no social responsibility without profits. Though this concept has gained importance worldwide in the recent years, it is not new to our country which has seen corporate like Aditya Group, Tata Group and the Indian Oil Corporation which have been contributing to the society right from their inception. Today CSR is more than philanthropy; it has achieved the status of a corporate strategy. Organizations have dedicated teams working on CSR with specific plans, budget and targets. Organizations like Bharat Petroleum Corporation of India, Hindustan Unilever Limited etc adopt villages and focus on holistic development of them.
Usually organizations prefer to work with the local Non-Profit Organizations which are well aware of the problems of the natives. SAP India works with an NGO called Hope Foundation on rebuilding initiatives for the victims of Tsunami. The corporate, with their expertise, strategic thinking, money and manpower have displayed their ability to make a significant difference in the society. Now the question is – Are all of them committed to the cause they are working for?
Many people say that it is the organization’s personal motive which drives these initiatives rather than its interest in doing good to the society. People argue that it is all part of an effective business strategy that has potential benefits. Even though a few organizations launch the CSR initiatives with a non profit motive, due to the tough economic times, these initiatives often take a back seat.
For a product based...