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(Students are advised to use the following paras written in italics to use while answering CSR)

ROLES/FUNC !ONS OF "R #$N$%ER


The Analyst-It is the primary responsibility of a PR Manager to analyze the situation and the environment of an organization which includes the attitudes, opinions of the people and their problems In a way, it is a process of !pulse reading" of the public The Adviser-#ased on the situation analysis and problems identified, the PR Manager has to formulate a policy of action or program for solving the problems confronting the organization and improving the relations with the people The policy and program as designed by the PR Manager as an adviser are placed before the management for approval This is the second tier in the $ob profile of a PR Manager The Advocate-The advocate is one who spea%s in favor of or supports a cause The PR Manager is considered an advocate who not only spea%s for the organization but also implements PR policy through various tools of public relations This becomes the most important aspect of organization"s PR activity As an advocate, the PR Manager has to implement PR programs through the various communication channels The Antenna-The dictionary meaning of an antenna is &a long thin sensitive hair-li%e organ e'isting in pairs on the heads of some insects and animals that live in shells, and used for feeling It is also an aerial used in sending and receiving electromagnetic waves( The T) has an antenna The role of an antenna though very important to an organization is much neglected PR Manager, as an antenna, must evolve a system of collecting and conveying correct feedbac% information to the management periodically to enable it to fine tune its policies and programs in tune with the wishes of the people Image #uilding *unctions +ommunication with employees

Co&&unication with co&&unit'


+ommunication with ,ovt +ommunication with Media, media relations and -rganizing media related events such as -rganizing Press conference -rganizing Press tour. Press visit.*acility tour for media -rganizing Press #riefing -rganizing -pen house tour to plants -rganizing special events li%e e'hibition +ommunication with /ta%eholders-Primary /ta%eholders /hareholders 0-wners1 2mployees +ustomers #usiness Partners +ommunities *uture ,enerations The 3atural 2nvironment 4ocal, /tate, and *ederal ,overnment Regulatory #odies +ivic Institutions and ,roups /pecial Interest ,roups Trade and Industry ,roups Media +ompetitors

/econdary /ta%eholders

COMMUNITY RELATIONS
Jam shed ji Tata is considered the pioneer of Corporate Social Responsibility.
Wealth that co es !ro His principle was the people as !or as "st #o $ac% to tHe people&'

The concept of Corporate Social Responsibility began in India at Jamshedpur, Bihar where Tata built a township for the workers of Tata Iron and steel Company. Co "nit( Social Relations )CSR* is one of the newest management strategies where companies try to create a positi e impact on society while doing business. There is no clear!cut definition of what CSR comprises. " ery company has different CSR ob#ecti es though the main moti e is the same. $ll companies ha e a two point agenda! to impro e %ualitati ely &the management of people and processes' and %uantitati ely &the impact on society'. The second is as important as the first and stake holders of e ery company are increasingly taking an interest in (the outer circle)!the acti ities of the company and how these are impacting the en ironment and society.

The i portance o! CSR is increasin# +a( $( +a( $eca"se o! chan#in# corporate worl+ !or,

*ith the technological re olution, +roliferation of source of Information, "mergence of large companies with international business, Increasing en ironmental damages, +roduction of goods through low wages , their e-port where labour charges are high s. a. Chinese products are imported by countries like .S, India and a number of "uropean countries.

Corporate social responsi$ilit( )CSR* is now seen as a ital tool in promoting and impro ing the public image of some of the world/s largest companies and corporations.0 Corporate social responsi$ilit( is a comple- topic. There is no %uestion that the legal, ethical, and discretionary e-pectations placed on businesses are greater than e er before. 1ew companies totally disregard social issues and problems. 2ost purport to pursue not only the goal of increased re enues and profits, but also the goal of community and societal betterment. Research s"##ests that those corporations that de elop a reputation as being socially responsi e and ethical en#oy higher le els of performance. 3owe er, the ultimate moti ation for corporations to practice social responsibility should not be a financial moti ation, but a moral and ethical one. The owners of a firm are among the primary stakeholders of the firm. $n organi4ation has legal and moral obligations to its owners. These obligations include, but are not limited to, attempting to ensure that owners recei e an ade%uate return on their in estment. "mployees are also primary stakeholders who ha e both legal and moral claims on the organi4ation. 5rgani4ations also ha e specific responsibilities to their customers in terms of producing and marketing goods and ser ices that offer functionality, safety, and alue6 to local communities, which can be greatly affected by the actions of resident organi4ations and thus ha e a direct stake in their operations6 and to the other companies with whom they do business. 2any social commentators also suggest that companies ha e a direct responsibility to future generations and to the natural en ironment. $n organi4ation/s responsibilities are not limited to primary stakeholders. $lthough go ernmental bodies and regulatory agencies do not usually ha e ownership stakes in companies in free!market economies, they do play an acti e role in trying to ensure that organi4ations accept and meet their responsibilities to primary stakeholder groups. 5rgani4ations are accountable to these secondary stakeholders. 5rgani4ations must also contend with ci ic and special interest groups that purport to act on behalf of a wide ariety of constituencies. Trade associations and industry groups are also affected by an organi4ation/s actions and its reputation. The media reports on and in estigates the actions of many companies, particularly large organi4ations, and most companies accept that they must contend with and effecti ely 0manage0 their relationship with the media. 1inally, e en an organi4ation/s competitors can be considered secondary stakeholders, as they are ob iously affected by organi4ational actions. 1or e-ample, one might argue that organi4ations ha e a social responsibility to compete in the marketplace in a manner that is consistent with the law and with the best practices of their industry, so that all competitors will ha e a fair chance to succeed. CONTEM-ORARY SOCIAL ISSUES,Corporations deal with a wide ariety of social issues and problems, some directly related to their operations, some not. It would not be possible to ade%uately describe all of the social issues faced by business. This section will briefly discuss three contemporary issues that are of ma#or concern7 the en ironment, global issues, and technology issues. There are many others. EN.IRONMENTAL ISSUES,Corporations ha e long been critici4ed for their negati e effect on the natural en ironment in terms of wasting natural resources and contributing to en ironmental problems

such as pollution and global warming. The use of fossil fuels is thought to contribute to global warming, and there is both go ernmental and societal pressure on corporations to adhere to stricter en ironmental standards and to oluntarily change production processes in order to do less harm to the en ironment. 5ther issues related to the natural en ironment include waste disposal, deforestation, acid rain, and land degradation. It is likely that corporate responsibilities in this area will increase in the coming years. /LO0AL ISSUES,Corporations increasingly operate in a global en ironment. The globali4ation of business appears to be an irre ersible trend, but there are many opponents to it. Critics suggest that globali4ation leads to the e-ploitation of de eloping nations and workers, destruction of the en ironment, and increased human rights abuses. They also argue that globali4ation primarily benefits the wealthy and widens the gap between the rich and the poor. +roponents of globali4ation argue that open markets lead to increased standards of li ing for e eryone, higher wages for workers worldwide, and economic de elopment in impo erished nations. 2any large corporations are multinational in scope and will continue to face legal, social, and ethical issues brought on by the increasing globali4ation of business. *hether one is an opponent or proponent of globali4ation, howe er, does not change the fact that corporations operating globally face daunting social issues. +erhaps the most pressing issue is that of labor standards in different countries around the world. 2any corporations ha e been stung by re elations that their plants around the world were 0sweatshops0 and8or employed ery young children. This problem is comple- because societal standards and e-pectations regarding working conditions and the employment of children ary significantly around the world. Corporations must decide which the responsible option is7 adopting the standards of the countries in which they are operating or imposing a common standard world!wide. $ related issue is that of safety conditions in plants around the world. $nother issue in global business is the issue of marketing goods and ser ices in the international marketplace. Some ..S. companies, for e-ample, ha e marketed products in other countries after the products were banned in the .nited States. TECHNOLO/Y ISSUES,$nother contemporary social issue relates to technology and its effect on society. 1or e-ample, the Internet has opened up many new a enues for marketing goods and ser ices, but has also opened up the possibility of abuse by corporations. Issues of pri acy and the security of confidential information must be addressed. Biotechnology companies face %uestions related to the use of embryonic stem cells, genetic engineering, and cloning. $ll of these issues ha e far!reaching societal and ethical implications. $s our technological capabilities continue to ad ance, it is likely that the responsibilities of corporations in this area will increase dramatically.

1e!initions o! CSR
2& Corporate Social responsi$ilit( )CSR* can be defined as the 0economic, legal, ethical, and discretionary e-pectations that society has of organi4ations at a gi en point in time0. 3& The concept o! corporate social responsi$ilit( means that organi4ations ha e moral, ethical, and philanthropic responsibilities in addition to their responsibilities to earn a fair return for in estors and comply with the law 4& Corporate Social Responsi$ilit( or CSR has been defined by 9ord 3olme and Richard *atts in The *orld Business Council commitment by business to beha e ethically and contribute to economic de elopment while impro ing the %uality of life of the workforce and their families as well as the local community and society at large0. 5& CSR is an o erall term for how Companies oluntary incorporate concerns for human rights, labour and social conditions, en ironmental and anti!corruption issues in their business strategy and acti ities.

6& The *orld Business Council for Sustainable :e elopment in its publication 2aking ;ood Business Sense by 9ord 3olme and Richard *atts used the following definition! <Corporate Social Responsi$ilit( is the continuing commitment by business to beha e ethically and contribute to economic de elopment while impro ing the %uality of life of the workforce and their families as well as of the local community and society at large=. 7& CSR is defined as the process by which a corporation participates in the welfare of both internal and e-ternal community enhancing its en ironment and wellbeing to the ad antages of the organi4ation and community concerned. It also aims at building relationships with all types of public and increasing the reputation of the company. 0ENE8ITS O8 COMMUNITY, COR-ORATE SOCIAL RELATIONS CSR can $rin# $ene!its in the three !ollowin# areas, Enhance+ !eat"res o! Corporate $ran+9 /reater c"sto er #oo+will an+ lo(alt( an+ I pro:e+ wor%!orce co it ent an+ orale. Community relations refers to the arious methods companies use to establish and maintain a mutually beneficial relationship with the communities in which they operate. The underlying principal of community relations is that when a company accepts its ci ic responsibility and takes an acti e interest in the well!being of its community, then it gains a number of long!term benefits in terms of community support, loyalty, and good will. 0Community in ol ement builds public image and employee morale, and fosters a sense of teamwork that is essential in long!term success,0 9isa :esatnik noted in Cincinnati Business 5ournal $ comprehensi e, ongoing community relations program can help irtually any organi4ation achie e isibility as a good community citi4en. 5rgani4ations are recogni4ed as good community citi4ens when they support programs that impro e the %uality of life in their community, including crime pre ention, employment, en ironmental programs, clean!up and beautification, recycling, and restoration. Some other e-amples of ongoing programs might include scholarship programs, urban renewal pro#ects, performing arts programs, social and educational programs, children/s acti ities, community organi4ations, and construction pro#ects. 5n a more limited scale, small businesses might achie e community isibility and engender good will by sponsoring local sports teams or other e ents. Support may be financial or take the form of employee participation. ;ood community relations programs offer small businesses a wide ariety of benefits. 1or instance, they gi e employees a reason to be proud of the company, which increases loyalty and may help to reduce labor and production costs. 1urthermore, a company with happy employees and a good reputation in the community is likely to attract highly %ualified new employees. $ small company also might generate new business through the contacts and leads it generates in its community relations acti ities. Such contacts might also make it easier for the company to obtain financing for e-pansion, find promising new locations, or gain fa orable treatment in terms of ta-es, ordinances, or utilities. ;ood community relations can also be beneficial in times of crisis, such as a fire or a plant closing, by rallying the community around the affected business. 0Some companies don/t achie e success despite their small!town locale,0 :a id Stamps wrote in Training 0They succeed because of it.0

Co

"nit( Relations

e+ia

Corporate communicators and public relations specialists must understand their audiences/ interests and needs. They must be persuasi e in winning audience trust and support. $nd they must be artful planners and problem!sol ers. Their biggest challenge is managing crises. $ defecti e product could

bring on consumer lawsuits. Striking workers could cause a shutdown in operations. $ senior officer/s indiscretions could harm a company/s reputation. $n earth%uake or tornado could cost workers/ li es. Communicators and public relations professionals often de elop crisis communication plans to help internal audiences and the public understand the crisis and what organi4ations are doing to counteract the damage. 5rgani4ations use public relations to shape and maintain a positi e public image. +ublic relations professionals ad ise senior managers on crafting messages and distributing information. They gauge public opinions and attitudes toward their organi4ations. They de ise plans to counteract public backlash. $nd they continuously research and assess the effecti eness of e ents, campaigns and promotional materials. +ublic relations officers often work with go ernment officials and regulators to influence or change public policies they belie e harm their organi4ations. +ublic relations can be a standalone organi4ational function that/s sometimes paired with a marketing department or it/s an independent agency. Thus to run a business that in ol es people and a public image, one needs a community relations manager to deal with community support, in ol ement and efforts. This person holds a significant role, as he will represent the business or organi4ation to the local community. This position is intended for a person who can operate in arious roles such as public relations, e ent organi4ing and communication consulting such as! The Corporate Communication Team ,Corporate communication is a blanket term for arious functions that organi4ations use to inform, educate and engage internal and e-ternal audiences. Company heads use communication strategies to raise producti ity or e-pand the market share of goods or ser ices. Communication plans also help companies heighten brand recognition and meet social responsibility obligations to the community. To fulfill these and other strategic goals, organi4ations rely on writers, graphic designers, marketers, photographers, e ent planners, media specialists and crises handlers. +ublic relations are a corporate communication function, along with employee messaging, marketing and in estor, go ernment and media relations. Internal audiences are employees, directors and stockholders. "-ternal audiences include customers, print and electronic media, industry regulators, state, federal and local go ernments, business and ci ic associations, academic institutions and other organi4ations. (Students are advised to ela(orate the &edia application in detail while answering the )uestions)

Corporate Social Responsi$ilit( in In+ia an+ e;a ples o! CSR in In+ia


In+ia is the world*s first countr' to &a+e Corporate Social responsi(ilit' &andator', !t was cleared !or in+"ction in the onsoon session o! 3<22& It a+:ocates that those co panies with net worth a$o:e Rs& 6<< Crore9 or an ann"al t"rno:er o! o:er Rs& 29<<< Crore9 shall ear ar% 3 percent o! a:era#e net pro!its o! three (ears towar+s CSR& In the +ra!t Co panies 0ill9 3<<=9 the CSR cla"se was :ol"ntar(9 tho"#h it was an+ator( !or co panies to +isclose their CSR spen+in# to sharehol+ers& It also s"##este+ that co pan( $oar+s sho"l+ ha:e at least one !e ale e $er& ata %roup-Tata ;roup in India has a range of CSR pro#ects, most of which are community impro ement programs. 1or e-ample, it is a leading pro ider of maternal and child health ser ices, family planning, and has pro ided >? percent immuni4ation in Jamshedpur. The company also endorses sports as a way of life. It has established a football academy, archery academy, and promotes sports among employees. It offers healthcare ser ices all o er the country with programs like rural health de elopment. Tata ;roup also has an organi4ed relief program in case of natural disasters, including long!term treatment and rebuilding efforts. It did laudable work during the ;u#arat

earth%uakes and 5rissa floods. It also supports education, with o er @AA schools, and also is a benefactor of the arts and culture. It has done abundant work in impro ing the en ironment and local populations around its industries. $ptech-$ptech a leading education player with a global presence that has played a broad and continued role in encouraging and nurturing education throughout the country since its inception. $s a global player with complete solutions!pro iding capabilities, $ptech has a long history of participating in community acti ities. It has, in association with leading B;5s, pro ided computers at schools, education to the depri ed, and training and awareness!camps. !nfos's-Infosys is aggressi ely in ol ed in a ariety of community growth programs. In C>>D, the company created the Infosys 1oundation as a not!for!profit trust to which it contributes up to C percent of profits after ta- e ery year. 2oreo er, the "ducation and Research :epartment at Infosys also works with employee olunteers on community de elopment pro#ects. The management team at Infosys continues to set e-amples in the area of corporate citi4enship and has in ol ed itself igorously in key national bodies. They ha e taken initiati es to work in the areas of research and education, community ser ice, rural outreach programs, employment, health care for the poor, education, arts and culture, and welfare acti ities undertaken by the Infosys 1oundation. #ahindra . #ahindra-$t 2ahindra , 2ahindra, The E. C. 2ahindra "ducation Trust was established in C>@F with the purpose of promoting education. Its ision is to reno ate the li es of people in India through education and financial assistance across age groups and across income strata. The E. C. 2ahindra "ducation Trust undertakes a number of education plans, which make a difference to the li es of worthy students. The Trust has pro ided more than Rs. G.@ Crore in the form of grants, scholarships and loans. It promotes education mostly by the way of scholarships. The Banhi Eali &children' pro#ect has o er F,FAA children under it and the company aims to increase the number to CA,AAA in the ne-t two years by reaching out to the underpri ileged children, especially in rural areas.

Metho+olo#( o! Corporate Social Responsi$ilit(


CSR is the procedure of assessing an organi4ation=s impact on society and e aluating their responsibilities. It begins with an assessment of the following aspects of each business7 Customers, Suppliers, "n ironment, Communities, "mployees, Triumphant CSR plans take organi4ations ahead of compliance with legislation and lead them to respect moral alues and respect people, communities and the natural en ironment. Corporate social responsibility is sustainable H in ol ing acti ities that an organi4ation can uphold without negati ely affecting the business goals CSR is not only about ecological accountability or ha ing a recycling policy. It is about considering the whole representation of the company, from internal processes to your clients, taking in e ery step that a business takes during day!to!day operations. Rising economies such as India ha e also obser ed a number of companies enthusiastically engaged in CSR acti ities. 5rgani4ations in India ha e been %uite sensible in taking up CSR initiati es and integrating them in their business processes. It has become progressi ely pro#ected in the Indian corporate setting because organi4ations ha e recogni4ed that besides growing their businesses, it is also important to shape responsible and supportable relationships with the community at large. Companies now ha e specific departments and teams that de elop specific policies, strategies and goals for their CSR programs and set separate budgets to support them. 2ost of the time, these programs are based on well!defined social beliefs or are carefully aligned with the companies= business domain. IIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIIII