WINTER PROJECT REPORT

Social Relevance Project on

A STUDY ON CSR ACTIVITIES DONE BY AMUL CO.

Prepared for the partial fulfillment of the requirement for the award of

POST GRADUATE DIPLOMA IN MANAGEMENT (AICTE Approved)

Submitted By:
Na m e : Vaijayanti K a m l a k a r Sa wa nt
Roll No. : 27

Under the guidance of

Prof. Vaibhav Kulkarni

SFIMAR

St Francis Institute of Management and Research, Mt. Poinsur,

S.V.P Road, Borivali (W) Mumbai.

Batch- 2016-2018

1|Page
 DECLARATION

I, Vaijayanti Kamlakar Sawant hereby declare that the project report on “A STUDY ON
CSR ACTIVITIES DONE BY AMUL CO ” for the fulfilment of my requirement of my
course from St. Francis Institute of Management & Research is an original work of mine
and the data provided in the study is authentic, to the best of my knowledge.

This study has not been submitted to any other Institution or university for award of any other
degree.

However, I accept the sole responsibility of any possible Error or Omission.

Signature of the Student

Name Vaijayanti K Sawant

Class PGDM (2016-18)

Roll Number 27

Specialization Finance

Counter signed by Faculty Guide

Name of the faculty Guide Vaibhav Kulkarni

2| P a g e
 Certificate

This is to certify that project titled is successfully completed by Ms. Vaijayanti Kamlakar
Sawant during trimester VI, in partial fulfillment of Post Graduate Diploma in
Management at St. Francis Institute of Management and Research for the academic year
2017-2018.

This project is original and not submitted earlier for the award of any Degree/ Diploma or
Associate ship of any other University or Institution.

Name:

Date: (Signature of Guide)

3|Page
 ACKNOWLEDGEMENT

I would take the opportunity to express my gratitude towards everyone who have supported
me throughout the winter project.

I am sincerely grateful to my project guide Prof Vaibhav Kulkarni and who guided, supported
and encourage me throughout the project work.

Thank you,

Vaijayanti Sawant

4|Page
 EXECUTIVE SUMMARY

A-Anand M-Milk U-Union L-Limited. Amul means ―priceless‘ in Sanskrit. Amul was
founded in 1946, a dairy co-operative movement in India with 250 litres of milk per day with
name KAIRA DISTRICT CO-OPERATIVE MILK PRODUCERS UNION. A Brand name
AMUL is managed by Gujarat Co-operative Milk Marketing Federation Ltd (GCMMF). The
brand name Amul means ―Amulya‖ suggested by a quality control expert in Anand.

The main objective of the study is to maintain the good relationship with local community
eases business activities. This type of engagement with stakeholders creates buyer awareness
and loyalty. Gets the company, positive press coverage. Business innovation: Development of
new technologies, materials or processes that reduce water, energy usage or harmful
materials. Builds goodwill of the company. Various CSR activities conducted with the help
of employees helps in building their morale and creates a positive environment. To give back
to the society.

5 | P a ge
Sr. No Particular Page No.

1. Introduction of the project 7-20

2. AMUL-CSR 21-23

3. Review of Literature 24

4. Objective of the Study 25

5. Need for study 26

6. Research Methodology 27

7. Findings 28

8. Conclusion 29

9. Bibliography and Reference 30

TABLE OF CONTENT

6|Page
What is 'Corporate Social Responsibility'

Corporate social responsibility, often abbreviated "CSR," is a corporation's initiatives to

assess and take responsibility for the company's effects on environmental and social
wellbeing. The term generally applies to efforts that go beyond what may be required by
regulators or environmental protection groups.

CSR may also be referred to as "corporate citizenship" and can involve incurring short-term
costs that do not provide an immediate financial benefit to the company, but instead promote
positive social and environmental change.

Large companies are immensely powerful entities, to the point that they have frequently
trumped the interests of sovereign nations. American businessmen deposed the queen of
Hawai'i in 1893 because they were incensed with her tariff policies. The formerly
independent country became an American territory a few years later. Corporate interests
frequently harm local communities, as in 1928 when the Colombian army massacred an
unknown number of striking United Fruit Company workers. The U.S. had threatened a
military invasion of Colombia to protect the company's interests.

Corporations can have enormously detrimental effects on the environment. Oil spills are
some of the most conspicuous examples, but industries as varied as chemical manufacturing,
mining, agriculture and fishing can do permanent damage to local ecosystems. Climate
change can also be attributed in large part to corporations. While their responsibility is hard
to untangle from that of the consumers who demand electricity and transportation, it is
difficult to deny that many corporations have profited from the deterioration of the global
environment.

In many cases, harm to the environment and harm to vulnerable communities go hand-in-
hand: indigenous groups in the Amazon rainforest, for example, have been decimated and
even wiped out, both intentionally and unintentionally, in order to make room for logging,
cattle ranching, gold mining, oil and gas drilling and hydroelectric power generation.

In light of this often dark legacy, some areas of corporate culture have begun to embrace a
philosophy that balances the pursuit of profit with a commitment to ethical conduct. Google
Inc's (GOOG) slogan sums up the idea of corporate social responsibility nicely: "Don't be
evil."

7|Page
The same money and influence that enable large companies to inflict damage on people and
the environment allows them to effect positive change. At its simplest, a corporation can give
money to charity. Companies can also use their influence to pressure governments and other
companies to treat people and resources more ethically. When Martin Luther King, Jr. won
the Nobel Peace Prize in 1964, Atlanta's business leaders initially refused to attend a dinner
celebrating the Atlanta native's achievement. Coca Cola Co.'s (KO) CEO, recognizing the
damage such a display of segregationist attitudes could do to the firm's international brand,
threatened to move Coke out of the city, causing an immediate change of heart in the local
business elite.

Companies can invest in local communities in order to offset the negative impact their
operations might have. A natural resources firm that begins to operate in a poor community
might build a school, offer medical services or improve irrigation and sanitation equipment.
Similarly, a company might invest in research and development in sustainable technologies,
even though the project might not immediately lead to increased profitability.

In order to account for the importance of social and ecological considerations in doing
business, some organizations advocate the concept of the "triple bottom line": social,
environmental and economic – or "people, planet, profit."

In recent years, supply chains have emerged as a central focus of corporate social
responsibility. Company X's management might make extraordinary efforts to hire, foster and
empower a diverse workforce. They might offer generous paid maternity and paternity leave.
They might sponsor after-school programs in crime-affected neighborhoods, fund the clean-
up of local river systems and put pressure on elected officials to consider the needs of all
citizens rather than simply seeking political expediency. None of that would change the fact
that they source their raw materials, albeit indirectly, from outfits that use slave labor.

The diamond industry, for example, has come under fire for benefiting from injustices along
its supply chain. "Blood diamonds" or "conflict diamonds" are diamonds which have been
sourced from war zones, where rebel groups will often fund their campaigns through mining,
frequently using forced—often child—labor. Such situations have arisen in Angola, Liberia,
Ivory Coast, Mozambique, Zimbabwe, the Democratic Republic of the Congo and Congo-
Brazzaville. International consumer and NGO pressure has caused diamond companies to

8|Page
scrutinize their supply chain, and has reduced the number of diamonds reaching the market
from conflict zones.

Today, a shift has occurred in the way people conceptualize corporate social responsibility.
For decades, corporate business models have been assumed to be necessarily harmful to
certain communities and resources. The intention was therefore to mitigate or reverse the
damage inherent in doing business. Now many entrepreneurs consider profit and social-
environmental benefit to be inextricable. Few tech startups pitch their ideas without
describing how they will change the world for the better. Social media platforms believe they
will facilitate democracy and the free exchange of information; renewable energy companies
believe they will make money by selling sustainable solutions; sharing economy apps believe
they will cut down on the waste and inefficiency of a post-war economy myopically geared
toward the individual consumer.

To be sure, some companies may engage in greenwashing, or feigning interest in corporate

responsibility. Companies may tout window-dressing contributions to "the greater good"
while engaging in morally questionable or inherently unsustainable conduct in the
background. Google's "don't be evil" slogan can seem hypocritical when viewed in terms of
the company's collaboration with repressive regimes, not to mention the questionable practice
of compiling reams of personal data on every customer.

Some think corporate social responsibility is an oxymoron. Others see corporate social
responsibility as a distraction of a different sort, that is, from the lawful pursuit of profits. To
them, a corporation's sole responsibility is to generate returns for its shareholders, not to try
to save the world or to fret over its own impact. Laws and regulations must be followed in all
jurisdictions in which the company operates, but management should not go beyond that, as
that could hurt its bottom line and violate its duties to the owners. Some counter that this
concerned is misplaced, since responsible initiatives can increase brand loyalty and therefore
profits. This may become increasingly true as ethical consumer culture gains wider
acceptance.

A few cynical executives will inevitably try to portray themselves as responsible when they
are decidedly not. And for some critics, nothing short of a massive overhaul of the world
system will suffice. The truth is that many large corporations are devoting real time and

9|Page
money to environmental sustainability programs and various social welfare initiatives. These
activities should be encouraged, but at the same time, continually questioned and reassessed.

In 2010, the International Organization for Standardization released ISO 26000, a set of
voluntary standards meant to help companies implement corporate social responsibility.

The concept of Corporate Social Responsibility can be explained quite simply; it is doing the
right thing. Corporate Social Responsibility, or CSR for short, is about how your
organisation‘s existence affects stakeholders beyond your own insular interests, recognising
the impact your operations have on the community at large.

Adopting CSR considers how you can use this impact in a positive way, leading to
sustainable growth and financial gains. Over the years, CSR has become more and more
popular; back in 2007 more than 80% of the FTSE 100 index reported on Corporate Social
Responsibility within their Annual Report.

10 | P a g e
 Top 5 Benefits of Corporate Social Responsibility

During the 1950s and 1960s, the concept of Corporate Social Responsibility has emerged as
an alternative priority for all the organisations.

CSR is about an organisation taking responsibility for the impacts of its decisions and
activities on all the aspects of society, community and on environment. CSR is not only just
donating money but also to saving the t ress, it‘s all about contributing the health and welfare
of society, operating transparently and ethically.

At Cube, we work closely with public value organisations, particularly those in the public and
community sectors, for whom social responsibility and public value are at the core of their
vision and social mission . As a private sector company, we‘re driven by public value and a
desire to do good things in the community. Accordingly, corporate social responsibility is
something that we take to heart.

Benefit 1: The ability to have positive impact in the community

Keeping social responsibility front of mind encourages businesses to act ethically and to
consider the social and environmental impacts of their business. In doing so, organisations
can avoid or mitigate detrimental impacts of their business on the community. In some cases,
organisations will find ways to make changes in their services or value chain that actually
delivers benefits for the community, where they once didn‘t.

Benefit 2: It supports public value outcomes

Put simply, public value is about the value that an organisation contributes to society. A
sound, robust corporate social responsibility framework and organisational mindset can
genuinely help organisations deliver public value outcomes by focussing on how their
services can make a difference in the community. This might happen indirectly, where an
organisation‘s services enable others to contribute to the community, or directly through the
organisation‘s own activities, such as volunteerism and philanthropy.

Benefit 3: It supports being an employer of choice

Being an employer of choice typically translates into the company‘s ability to attract and
retain high calibre staff. There are ways to approach being an employer of choice, including

11 | P a g e
offering work life balance, positive working conditions and work place flexibility. Studies
have shown that a robust corporate social responsibility framework can also help a company
become more attractive to potential future employees who are looking for workplaces with
socially responsible practices, community mindedness and sound ethics.

Benefit 4: It encourages both professional and personal development

Providing employees with the opportunity to be involved in a company‘s socially responsible

activities can have the benefit of teaching new skills to staff, which can in turn be applied in
the workplace. By undertaking activities outside of their usual work responsibilities,
employees have the chance to contribute to work and causes that they might feel passionate
about, or learn something entirely new which can help enrich their own perspectives. By
supporting these activities, organisations encourage growth and support for employees.

Benefit 5: It enhances relationships with clients

A strong corporate social responsibility framework is essential to building and maintaining

trust between the company and clients. It can strengthen ties, build alliances and foster strong
working relationships with both existing and new clients. One way this can be achieved is by
offering pro-bono or similar services where a company can partner with not-for-profit
organisations to support their public value outcomes, where funds or resources may be
limited. In turn, this helps deliver public value outcomes that may not have been delivered
otherwise.

12 | P a g e
 COMPANY: AMUL

INTRODUCTION

Anand Milk Federation Union Limited. Company formed in 1946. Amul Brand managed by
Gujarat Co-operative Milk Marketing Federation Ltd. (GCMMF). Key people: Tribhuvandas
K. Patel, Dr. Verghese Kurien, H.M. Dalaya. GCMMF today is jointly owned by 3.6 million
milk producers in Gujarat. Amul spurred ‗India's White Revolution‘, which made the country
the world's largest producer of milk and milk products.

Every morning 24 lac women across 12,000 villages bringing in milk worth Rs.800 lacs are
now celebrating their economic independence. Thanks to the co- operative movement called
AMUL.

Over seven decades ago the life of a farmer in Kaira was very much like that of farmers
anywhere else in India. His income was derived almost entirely from seasonal crops. Many
poor farmers faced starvation during off-seasons. Their income from milch buffaloes was
undependable. The milk marketing system was controlled by contractors and middlemen. As
milk is perishable, farmers were compelled to sell their milk for whatever they were offered.
Often they had to sell cream and ghee at a throwaway price.

They were in general illiterate. But they could see that the system under which contractors
could buy their produce at a low price and arrange to sell it at huge profits was just not fair.
This became more noticeable when the Government of Bombay started the Bombay Milk
Scheme in 1945. Milk had to be transported 427 kilometers, from Anand to Bombay. This
could be done only if milk was pasteurized in Anand.

After preliminary trials, the Government of Bombay entered into an agreement with Polsons
Limited to supply milk from Anand to Bombay on a regular basis. The arrangement was

13 | P a g e
highly satisfactory to all concerned – except the farmers. The Government found it profitable;
Polsons kept a good margin. Milk contractors took the biggest cut. No one had taken the
trouble to fix the price of milk to be paid to the producers. Thus under the Bombay Milk
Scheme the farmers of Kaira District were no better off ever before. They were still at the
mercy of milk contractors. They had to sell their milk at a price the contractors fixed. The
discontent of the farmers grew. They went in deputation to Sardar Patel, who had advocated
farmers‘ co-operatives as early as 1942

Sardar Patel reiterated his advice that they should market their milk through a co-operative
society of their own. This co-operative should have its own pasteurization plant. His advice
was that the farmers should demand permission to set up such a co-operative. If their demand
was rejected, they should refuse to sell their milk to middlemen.

Sardar Patel pointed out that in undertaking such a strike there should be some losses to the
farmers as they would not be able to sell their milk for some time. If they were prepared to
put up with the loss, he was prepared to lead them. The farmers‘ deputation readily accepted
his proposal.

Sardar then sent his trusted deputy, Mr. Morarjibhai Desai, to Kaira District to organize milk
co-operative – and a milk strike if necessary. Mr. Desai held a meeting in Samarkha village
on January 4, 1946. It was resolved that milk producers‘ co -operative societies should be
organized in each village of Kaira District to collect milk from their member-farmers. All the
milk societies would federate into a Union which would own milk processing facilities. The
Government should undertake to buy milk from the Union. If this wasn‘t done, the farmers
would refuse to sell milk to any milk contractor in Kaira District.

The Government turned down the demand. The farmers called a ‗milk strike‘. It lasted 15
days. Not a drop of milk was sold to the milk merchants. No milk reached Bombay from
Anand, and the Bombay Milk Scheme almost collapsed. After 15 days the milk
commissioner of Bombay, an Englishman, and his deputy visited Anand, assessed the
situation and accepted the farmers‘ demand.

This marked the beginning of the Kaira District Co-operative Milk Producers‘ Union
Limited, Anand. It was formally registered on December 14, 1946. Its objective was to
provide proper marketing facilities for the milk producers of the district. The Union began

14 | P a g e
pasteurizing milk in June 1948, for the Bombay Milk Scheme – just a handful of farmers in
two village co-operative societies producing about 250 liters a day.

An assured market proved a great incentive to the milk producers in the district. By the end of
1948, 432 farmers had joined village societies, and the quantity of milk handled by the Union
had increased to 5000 liters a day. In the early stages, rapid growth brought in its wake
serious problems. Their solution provided the stimulus for further growth. For example, as
the co-operative movement spread in the district, it was found that the Bombay Milk Scheme
could not absorb the extra milk collected by the Union in winter, when buffaloes yielded an
average of 2.5 times their summer yield. Thus by 1953, the farmer-members had no regular
market for the extra milk produced in winter. They were again forced to sell a large surplus at
low rate to middlemen.

The only remedy was to set up a plant to process the extra milk into products like butter and
milk powder. The logic of this step was readily accepted by the Government of Bombay and
the Government of India, except for a few doubting Thomases. The government of India
helped the Union to get financial help from UNICEF and assistance from the Government of
New Zealand under the Colombo Plan. Technical aid was provided by F.A.O. A Rs.50 – lakh
factory to process milk powder and butter was blueprinted. Its foundation stone was laid by
the then President of India the late Dr. Rajendra Prasad on November 15, 1954. The project
was completed by October 31, 1955, on which day the late Pandit Jawaharlal Nehru, the then
Prime Minister of India, declared it open. The new dairy provided a further fillip to the co-
operative movement among milk producers. The union was thus enabled to organize more
village co-operative societies and to handle more and more milk each year. This event also
brought a breakthrough in dairy technology as the products were made processing buffalo
milk for the first time in the world. Kaira Union introduced the brand ―Amul‖ for marketing
its product range. The word ―Amul‖ is derived from Sanskrit word ‗Amulya‘ which means
‗priceless ‘ or precious‘. In the subsequent years Amul made cheese and baby food on a large
commercial scale again processing buffalo milk creating a history in the world.

1964 was the turning point in the history of dairy development programme in India. Late Shri
Lal Bahadur Shastri, the then Prime Minister of India who visited Anand on 31s October for
inauguration of Amul‘s Cattle Feed Plant, having spent a night with farmers of Kaira and
experiencing the success wished and expressed to Mr Kurien, then the General Manager of
Amul that replicating Amul model throughout our country will bring a great change in the

15 | P a g e
socio-economic conditions of the people. In order to bring this dream into reality, 1965 The
National Dairy Development Board (NDDB) was established at Anand and by 1969-70
NDDB came out with the dairy development programme for India popularly known as
―Operation Flood‖ or ―White Revolution‖. The Operation Flood programme, even today,
stands to be the largest dairy development programme ever drawn in the world. This saw
Amul as model and this model is often referred in the history of White Revolution as ―Anand
Pattern‖. Replication of ―Anand Pattern‖ has helped India to emerge as the largest milk
producing nation in the world.

What are the benefits of adopting CSR?

With the world of business being as competitive as ever, it‘s important to stand out from the
crowd. Suppliers have to work harder to win contracts, so developing a CSR policy is a way
of demonstrating your integrity, which can only reflect well on your customers. In fact, some
customers don‘t just prefer working with responsible companies, they demand it! This is
particularly prevalent in the public sector, who are expected to set the standard. No surprises
then to find that Government has set out its ambitions for Corporate Social Responsibility
already.

16 | P a g e
 The -Birth of Amul
"It all began when milk became a symbol of protest in the freedom movement. Amul was
founded in 1946' to stop the exploitation by middlemen. The seeds of this unusual saga were
sown more than 5 years back in Anand a small town in the state of Gujarat in western India.
The exploitative trade practices followed by the local trade cartel triggered off the
cooperative movement. Angered by unfair and manipulative practices followed by the trade
the farmers of the district approached the great Indian patriot Sardar Vallabhbhai Patel for a
solution. They advised them to get rid of middlemen and form their own co-operative which
would have procurement processing and marketing under their control.
In 1946 the farmers of this area went on a milk strike refusing to be cowed down by the
cartel. Under the inspiration of Sardar Patel, and the guidance of leaders like Morarji Desai
and Tribhuvandas Patel, they formed their own cooperative in 1946.

This co/operative, the Kaira District Co-operative milk producers 0nion Ltd. began with just
two village dairy co/operative societies and 4&5 litres of milk and is today better known as
Amul Diairy. Amul grew from strength to strength thanks to the inspired leadership of
Tribhuvandas Patel, the founder Chairman and the committed professionalism of Dr
Verghese Kurien, who was entrusted the task of running the dairy from 1950.

The then Prime Minister of India Lal Bahadur Shastri decided that the same approach should
become the basis of a National Diairy development policy. He understood that the success of
Amul could be attributed to four important factors. The farmers owned the dairy their elected
representatives managed the village societies and the district union, they employed
professionals to operate the dairy and manage its business. Most importantly, the
co- operatives were sensitive to the needs of farmers and responsive to their demands.

At his instance in 1946 the National Dairy Development board was set up with the basic
objective of replicating the Amul model Dr. Kurien was chosen to head the institution as its
Chairman and asked to replicate this model throughout the country

17 | P a g e
 CSR policy

Corporate social responsibility (CSR) has been defined as the ―commitment of business to
contribute to sustainable economic working with employees, their families, the local
community and society at large to improve their quality of life in ways that are both good for
business and good for development.

To meet with the CSR is expected that a business in its in its entire procurement production
processing marketing chain should focus on human development involving the producer, the
worker, the supplier, the consumer, the civil society and the environment.

Indeed, a very tough task. Most business world certainly flounder in not being able to achieve
at least one or many of those expectations. But AMUL has shown the way

The different CSR initiatives

1) CSR-sensitive Organisational Structure

Amul is a three tier co-operative organisation. The first tier is the co-operative society at
the village, of which; milk producers are voluntary members, managing the co-operative
through a democratically elected 9- member managing committee, and doing business by
purchasing milk from members and selling it to the district level co-operative. There are more
than 11,000 co-operatives in villages of Gujarat.

The second tier is the district co-operative that process milk into milk products, markets
locally and sells surplus to the state co-operative for national and international marketing.
There are 12 district co- operatives each being managed by a 15 member board elected by the
college comprising the nominated representative or chairmen of the village co-operatives.

Third tier is the state level co-operative the Gujarat Co-operative milk marketing federation
(GCMMF) responsible for national and international marketing of milk and milk products
produced and sold to it. The GCMMF is managed by the Board democratically elected by and
from amongst the chairmen of the district co-operatives.

The entire three-tier structure with the GCMMF at its apex, is a unique institution because it
encompasses the entire chain from production of raw material to reaching the consumer with
the end product.

18 | P a g e
 2) CSR-Sensitive Business Philosophy

The first step towards discharging the CSR is the philosophy of the GCMMF. It is two-fold:
one, to serve the interests of milk producers and second, to provide quality products to
consumers as value for money. Evolution of an organisational system has ensured that the
corporate social responsibility towards the primary milk producers, village and the ecological
balance is fulfilled. The milk producers are paid for their milk in accordance with market
forces and realisation of value for their produce. Invariably the price paid to the member-
producers in Gujarat is higher by 15 percent than the national average.

3) CSR-Orientation to staff

The GCMMF hires and trains people to take advantage over its competitors. It has developed
in/house modules for training and competence building to improve and upgrade of their
knowledge; communication skills to understand the customer, be responsive to customer
requirements and communicate clearly for trouble shooting of problems. They are expected
to be courteous, friendly, respectful and considerate to the customer. To improve the
credibility and trustworthiness of the managers it is important they perform consistently and
accurately every time and at all times. The structure of salary and perquisites is altogether
different# The first and foremost the staff must get satisfaction from the job they. They are
recognised for their contribution (Climate Survey) CSR-AMUL WAY

4) Green Gujarat Tree Plantation Campaign

Amul Coops plant more than 311.98 lakh trees Milk producer members of Gujarat Diary Co-
operatives better known as AMUL have been celebrating the Nation‘s Independence Day in
a novel manner by planting lakhs of saplings across Gujarat and have taken up an ambitious
plan to save the environment by planting trees, making India green and thereby reducing the
effects of global warming. The milk producers of Gujarat Diary Cooperatives are conducing
mass tree. In last five years (2007 to 2011) the milk producers have planted around 311.98
lakh trees.

The unique fact about the programme was that the milk producer members took up the oath
to protect tree saplings till it survives and grows into tree.

19 | P a g e
Over the years, due to intensive agriculture and dairying various natural resources are getting
consumed at faster pace in gujarat state of India. The state level apex body of dairy farmers
in gujarat gave a serious thought in this direction and discovered a novel idea for giving back
th
to the nature. The idea was ―one member one tree‖ plantation on our 60 'Independence day –
15August 2007. To put this idea into practice a design team constituting of representatives of
member unions were formed. The team accepted the idea by heart and immediately decided
to spread it among farmer members of village dairy cooperative societies. The idea was
communicated to farmer members and they all welcomed it and enthusiastically agreed to
implement the idea.

For smooth implementation of the idea, the design team chalked out the road map for various
activities. Execution teams were formed at district union level to give final shape and put the
plan in action. Village level coordinators were identified and they were trained to streamline
activity of tree plantation. Various awareness materials were proposed. Through various
communication media farmer members were made aware of benefits of tree plantation and
tree plantation activity schedule.

Why CSR?

A good relationship with local communities eases the business activities. The engagement
with stakeholders creates buyer awareness and royalty. It also helps in getting positive
coverage to company various CSR activities conducted with the help of employees helps in
building their morale and creates a positive environment. It also builds goodwill to the
company.

20 | P a g e
 AMUL CSR ACTIVITIES

1. Tree plantation :
Tree Plantation AMUL took an oath on 15th August, 2007, after the flag hoisting
ceremony, to plant a sapling and ensure that it grew into a tree. Farmers have also
created nurseries to produce saplings and almost 152 such nurseries have been created
as of date. Whole dairy cooperative farmers of Gujarat under GCMMF have so far
planted 592.1lakh saplings. Considering 47% survivability (based on post plantation
survey data, when the saplings fully grow up, would provide additional 3of green
cover which is additional 6.42% forest cover for Gujarat.

―It has been estimated that when one tree is cut, in monetary terms there is loss or
Rs.33 lakhs (Oxygen worth of Rs.5.3 lakhs, Land Fertility of Rs.6.4 lakhs, Rs.10.5
lakh for reduction of pollution of atmosphere and Rs.5.3 lakh towards Flowers/Fruits
and habitation to birds - animals). But the benefits that accrue to mankind when a tree
is planted cannot be measured in money and is priceless.‘
―A SAPLING, OFTEN, RESULTS IN A TREE. A CRORE SAPLINGS,
HOWEVER, RESULT IN GLOBAL RECOGNITION‘. "Amul Green" movement
wins the International Dairy Federation's award for the best environment initiative in
the "sustainability category" during the 4th Global Dairy Conference held at Salzburg
Congress Centre, Austria on 28th April, 2010.

2. Tribhovandas Foundation

The main aim of these foundation is to provide basic healthcare facilities to villagers.
MODE OF ACTION: • Foundation is run by villagers themselves

• Foundation has dedicated team of medical officers and necessary staff.

• Continuous training to village health workers.

• Large scale implementation of the concept of ‗Safe Delivery Kit‘ for pregnant women.

• Organized camps for detection and improvement of vision of the rural people.

21 | P a g e
 3. SGSY (Swarna jayanthi Gram Swarozgar Yojana)

The main aim of these yojana is to bring people in BPL to APL by providing them
resources to become self-employed.

MODE OF ACTION: • Distributed MILCH animals to 8755 beneficiaries

•Trained 12,647 men and women in dairy husbandry,

56 Bore wells were dug.

• A mobile diagnostic laboratory has been put into operation.

4. Daily Demonstration form

Main aim of the form is to encourage the farmers to use high yielding scientific
methods by providing a demonstration.
MODE OF ACTION: Amul Darshan: Aims at exposing producer members to various
facets of dairy operations to keep them informed and aware of the development and
adopt to good management practices in production of milk.

5. Amul Scholar
The main aim is to promote education and nurture talent.

MODE OF ACTION: Amul Scholarships: Encourage outstanding children of farmers.

Amul Scholar Felicitation Program: To encourage outstanding children of employees.
Amul Vidya Shree & Vidya Bhushan: To recognize the brilliance of the students
across India.

6. Blood donation
Aim of the donation camp is to inspire, encourage and initiate humanitarian services
to minimize, alleviate and prevent human suffering at all times to contribute for
―Humanity to Peace‖.
MODE OF ACTION: • Amul initiated blood donation cam paign in 1987, in
association with Indian Red Cross Society
• Blood donation camps are organized regularly in rural areas through Village Dairy
Co-operative Societies.

22 | P a g e
 • Similarly camps are organized in Amul Dairy Campus wherein employees and their
family members join in donating blood.

7. Rural sanitation Campaign

Aim of these campaign is that no single milk producer shall attend to nature‘s call in
the open, in order to ensure hygiene and help women milk producers avoid
embarrassment.
MODE OF ACTION: Started total sanitation campaign scheme in 2011-2012 14000
toilets constructed in 300 villages around Anand and Kheda by 2013-14. Plan on
constructing 40-50 thousand toilets in the coming 5 years

23 | P a g e
 REVIEW OF LITERATURE

Vrajlal K.Sapovadia (2008) this research is composed of studying & analysing primary and
secondary data. Apart from identifying specific trend in CSR among Indian cooperatives, a
detailed study will be carried out for three prominent comparatives, namely: AMUL, IFFCO
and MARKFED. It will review to critically analyse how far these co-operatives are sensitive
to CSR issues. CSR practices for over all benefits and sustainable development of
cooperatives, members and society at large.

Guido Palazzo (2008) Globalisation and Corporate Social Responsibility. This research
discuss the consequences of the post-national constellation with the help of two recent
observations of business firms behaviour which call for a new concept called ―CSR‖. It
describes the necessary paradigm shifts toward a new politically enlarged concept of CSR in
globalized world.

Andrew Cane, Dirk Matten, Laura Spence (2013) Corporate social responsibility in a Global
Context. This research study describes about Six core characteristics of CSR in order to
provide clarity to a much contested and controversial subject.

Geoffrey Heal (2004) Corporate social responsibility-an Economic and Financial Framework.
This analysis suggests that there is a resource-allocation role for CSR programs in case of
market failure through private–social cost differentials. CSR can play a valuable role in
ensuring that the invisible hand acts, as intended, to produce the social good. It can also act to
improve corporate profits and guard against reputational risks.

Donald Siegal (2006) Corporate social responsibility-an Economic Performance. This

research study describe about some perspective on Corporate social responsibility (CSR), in
order to provide a context for considering the strategic motivations and implications of CSR.
Based on this framework, which is based on characterizing optimal firm decision making and
underlies most existing work on CSR, we propose an agenda for further theoretical and
empirical research on CSR. We then summarize and relate the articles in this special issue to
the proposed agenda.

24 | P a g e
 OBJECTIVE
 To develop an understanding the concept of CSR.
 To analyse the development of CSR in AMUL and its challenging trends.
 To study the challenges faced by CSR in AMUL.

25 | P a g e
 NEED FOR STUDY

Corporate social responsibility (CSR) has become one of the standard business
practices of our time. For companies committed to CSR it means kudos and an
enhanced overall reputation – a powerful statement of what they stand for in an often
cynical business world.

The establishment of a CSR strategy (sometimes referred to as a sustainability

strategy) is a crucial component of a company‘s competiveness and something that
should be led by the firm itself. This means having policies and procedures in place
which integrate social, environmental, ethical, human rights or consumer concerns into
business operations and core strategy – all in close collaboration with stakeholders.

For companies, the overall aim is to achieve a positive impact on society as a whole
while maximising the creation of shared value for the owners of the business, its
employees, shareholders and stakeholders.

Despite the positivity and optimism that CSR brings to the corporate table, companies do not
always accept their responsibilities in this area in good heart, with a fair number admitting to
having adopted CSR mainly as a marketing gimmick. In some cases, firms may have been
coerced into adopting CSR and did so with insufficient enthusiasm and vigour, leaving many
of them to ponder what they could and should have done differently.

This study is carried out to project the CSR activities followed by AMUL. It will highlight
the benefits of the CSR activities carried out by the company. There will be an analysis
carried out on the CSR activities carried out by AMUL.

26 | P a g e
 RESEARCH METHODOLOGY

The research paper is an attempt of exploratory research, based on secondary data sourced
from journals, magazines, articles, newspapers and media reports.

27 | P a g e
 FINDINGS

After analysing the AMUL CSR activities we comes to know that CSR activities produce
highly effective results. Nowadays, Business are entering into various social responsibilities
like Amul started it CORPORATE SOCIAL RESPONSIBILTIES like Tree plantation in
which to plant a sapling and ensure that it grew into a tree.

 In Tribhuvandas foundation activity they mainly work for common villagers to

provide them with basic healthcare facilities.
 In SGSY (Swarna jayanthi Gram Swarozgar Yojana). Here they provide them basic
resources to become self-employed.
 In this activity, named AMUL Scholar here they promoted education and nurtured the
talent in rural areas of Gujarat.
 Amul also carried out Blood Donation camps to inspire, encourage people and to
provide humanitarian services for villagers.
 Amul also used to carry Rural Sanitization camps for villagers to make them aware
that personal hygiene is also an important aspect in our life.

28 | P a g e
 CONCLUSION

From the above study, it is very clear that Corporate Social Responsibility should be in DNA
of every organization. Our process should be aligned so as to benefit the society.

The term corporate social responsibility gives a chance to all the employees of an
organisation to contribute towards society, environment, and country.

Corporate social responsibility goes a long way in creating a positive word of mouth for the
organisation on a whole. Corporate social responsibility also gives employees a feeling of
unparalleled happiness. Corporate social responsibility in a way also plays a crucial role in
the progress of the society, which would at the end of the day benefit us only.

29 | P a g e
 BIBLIOGRAPHY AND REFERENCE
1. http://www.amul.com/m/about-us
2. http://www.indiacsr.in/en/?p=8497
3. http://www.amul.com/m/tree-plantation
4. http://www.scribd.com/doc/23916112/amul-csr-ppt
5. http://seminarprojects.net/c/corporate-social-resbonsibility-of-
amul-ppt

30 | P a g e