Professional Documents
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WHAT IS CSR
Corporate social responsibility, or CSR is a management concern where a company
combines and includes its social and environmental concerns with their business
operations and interaction with stakeholders. It is a company’s mutual relationship
with the society, communities and environment. It is generally understood as the way
in which a company achieves a balance of economic, social and environmental
essentials.
Triple bottom Line approach is a diversion from the Pyramid of CSR that prioritizes
the responsibilities associated with CSR into four groups:
1. Philanthropic Responsibility
2. Economical Responsibility
3. Ethical Responsibility
4. Legal Responsibility
Philanthropic: Done for the genuine interest in the wellbeing of the society. This
responsibility requires the business person to do some things which stem from
generosity towards the community that they exist in.
Economical: Keeps in mind the interests of the stakeholders (employee, community,
government), upliftment of the immediate society (external publics)
Ethical: Obedience and Respect towards the interpersonal norms, practises and
principles adhered to by the society, and for mutually peaceful coexistence.
Legal: Fulfilling the need to be a socially responsible, humane organisation in order to
gain recognition in the eyes of the government, submission to the law and order.
These are ordered from the most pressing to the least. It means a company can be
expected to behave philanthropically only when it has satisfied the other three.
The Triple bottom line approach on the other hand, works on the assumption that the
corporation is morally obligated, and thus has social responsibilities. It focuses on
sustainable activities and, and advocates that any organization should weigh its
activities on three scales- economic sustainability, social sustainability, and
environmental sustainability.
Economic activities must be more persistent in nature, and must be long term in
nature. A company that gives a short term economic boon, but long term disaster, does
not last for long in the market or the eyes of the publics.
Social activities are those that give priority to precedence on the balance of economic
power in the society. In the phase of a competitive atmosphere, companies should not
fail to provide a congenial atmosphere for the masses, where all can succeed. It is
better for a whole society to thrive than a single society to thrive alone.
To quote Mukesh Ambani “A company that makes billions (of people) happy is better
than a company that makes billions (of dollars)”
Environmental sustainability stems from the factor that resources are infinite and need
to be spent judiciously. Too much of degradation of resources will replenish resources
for the future generation.
The need for CSR in today’s times
3 April 2004 – Irate villagers blocked tanker lorry taking water, police curfew
April 2005 – A High Court Division Bench allows appeal by Coca Cola,
permits the company to draw 500,000 litres of water per day, license renewal
granted.
1 June 2005 – Company approaches the High Court again as the Village
Council did not renew the licence.
6 June 2005 – Village Council informs the company about renewal for three
months after which they have to remit the fee.
17 August 2005 – Protest by A group of activists from Yuvajana Vedi youth
following police curfew.
19 August 2005 –order f stoppage of production at the Plachimada factory The
Kerala State Pollution Control Board for not complying with pollution control.
15 September 2005 – Kerala State Government lends its support for the people
against the company
November 2005 – Village Council files against the latest High Court order in
the Supreme Court
4 Jan 2006 – Village Council reissued a licence to the company for three
months but laid out thirteen conditions, the first that the company shall not use
groundwater from Perumatty Panchayat for industrial purposes, or for
producing soft drinks, carbonated beverages or fruit juice
June 2006 –pro-active action against Coca Cola, led by Kerala state officials.
10 August and 11 August 2006: The Government of Kerala, State Food
(Health) Authority, respectively, banned the manufacture and sale of Coca-
Cola in the State
September 2006 – High Court of Kerala set aside the orders of the
Government of Kerala and the State Food (Health) Authority
CONTROVERSY IN OTHER COUNTRIES:
United states of America:
Since 2012, the U.S. Department of State and The Coca-Cola Company have
collaborated to give hundreds of these up-and-coming entrepreneurs an
intensive curriculum, expertise and vast network with which to develop their
ideas and share knowledge. Up to 100 applicants are selected for the program
yearly based on both public voting forums and selections by the program team.
This year, out of 4,500 applicants, 94 more have just made their way to
Indiana. The goal for them, after an intensive month of teaching and teamwork
is to leave with new perspectives and valuable insights they can take back to
Algeria, Egypt, Jordan, Morocco, the Palestinian territories, Saudi Arabia and
Tunisia.
Turkey: There are two major projects in Turkey that of solar energy panela
and that of building a stronger community for refugee youth.
The Green Economy Village Project in Turkey was part of a New World
Program implemented by the local Clean Energy Foundation (TEMEV) as part
of a partnership between UNDP and The Coca-Cola Foundation. The
partnership contributes to the UN Sustainable Development Goals (SDGs) on
water, sanitation and empowerment of youth and women. The New World
Program began as an expansion of Every Drop Matters, a partnership between
the UNDP and Coca-Cola that lasted from 2007-2013.
The school was renovated to create a space for community activities. The
program aims to contribute to lives of disadvantaged students by supporting
schools in these regions with sports equipment and materials for physical
education. It has so far reached more than 90,000 children in 130-plus public
schools in 16 Turkish cities.
Coca cola’s initiative here was to provide training in business skills so that
even the women would be financially sound and sufficient and would mainly
be able to fund their children’s education.
The Coca-Cola Company and its foundations, together with The Global Fund
to Fight AIDS, Tuberculosis and Malaria, the U.S. Agency for International
Development (USAID) and the Bill & Melinda Gates Foundation, announced
the expansion today at the European Development Days summit.
The unique initiative sees Coca-Cola Belgium working with the other drinks
companies to share outdoor media space for a joint anti-litter advertising
campaign. Between May 30 and June 5, the three companies advertised side by
side in a combined call to throw empty bottles and cans in the bin.
SUSTAINABLE PCKAGING
Coca-Cola India Foundation: CCIPL had set up a `not for profit Company’
wholly owned subsidiary namely; Coca-Cola India Foundation (“the
Foundation”) in 2008. The Foundation’s focus areas include:
1. Watershed management protection and development
2. Purification of riverine systems
3. Creation of integrated water bodies
4. Restoration of old water bodies
5. Rural electrification through solar energy
Donations to the Foundation from Coca-Cola began from the financial year
2009-10.
The Foundation has been working on a systematic plan under four Mission
Objectives:
1. Mitigating water stress and promoting water sustainability;
2. Propagating the use of new and renewable sources of energy as a means
of global climate control;
3. Promoting active and healthy lifestyles AND
4. Subscribing to general social advance.
VEER CAMPAIGN: With CNN IBN, BEING HUMAN FOUNDATION,
AIF (American India Foundation): Programme aimed at reaching out to the
differently abled people across India, empowering them, giving them a voice to
express and an opportunity to fulfil their own ambition and for enhancement of
their livelihood the main aim of the veer campaign is to achieve the following:
1. Work with NGOs to provide training to people with disabilities to make
them employable.
2. Sensitize corporate to hire differently abled people and this is being
accomplished through hosting of workshops across different cities.
3. Through mass media, celebrate extraordinary stories of successful
people with disabilities and inspire others like them to unleash their true
potential.
CCIPL’s contribution in ensuring Environmental Sustainability: Coca-
Cola India Foundation: Water Sustainability and Solar Energy Projects to be
undertaken by the wholly owned subsidiary, Coca-Cola India Foundation (“the
Foundation”); CCIPL’s contribution in ensuring
Environmental Sustainability: CCIPL and Coca-Cola India Foundation:
Water Sustainability and Solar Energy Projects to be undertaken by the wholly
owned subsidiary, Coca-Cola India Foundation (“the Foundation”).
Employment enhancing vocation skills: ‘Parivartan’ training program for
retailers: ‘Parivartan’ training program conducted by CCIPL for retailers
(including women retailers), aimed at and focused on enhancing vocation
skills.
Apart from classrooms, training is also delivered through CCIPL’s learning
buses in rural and semi-urban areas, which enables CCIPL to reach out to the
retailers in far flung areas where classroom facilities may not be available. The
mission of this program is to equip traditional retailers with skills, tools and
techniques to meet consumer expectations and demands.
Promotion of Education: ‘Support My School’ (“SMS”) campaign, aimed at
revitalizing schools by providing them with adequate sanitation and basic
amenities like toilets and other facilities, especially for the girl child.
Absenteeism, drop outs are accelerated because of lack of a healthy and active
environment, especially amongst girl child, especially when puberty and social
consciousness have set in.
The Prime Minister of India, Mr. Narendra Modi, is leading a drive to build
separate toilets for boys and girls in schools and has called out everyone to join
the mission. Prime Minister’s vision is now visible as a mass campaign on air
with actress Ms. Vidya Balan encouraging the whole community to build
toilets, especially for women and also the ‘Swacch Bharat, Swacch Vidyalaya’
initiative on ground.
The campaign has showcased issues and impact of healthy and active schools
(which is the concern of every third world nation) which have sanitation and
access to water across the country.
Donation under Employee Volunteering Programme and PET re-cycling:
The Employee Volunteering Programme is aimed at facilitating engagement of
the employees with CSR and social initiatives both within and outside CCIPL.
The PET recycling initiative is aimed at creating awareness about recycling of
PET amongst the employees and CCIPL’s customers and their employees.
Protection of Flora and Fauna: CCIPL’s initiative in supporting the
conversion of a dumping ground for waste into a dedicated repository for the
original flora and fauna of the Aravalis- the “Aravali Biodiversity Park” in
Gurgaon;
Better Waste Management System: “Doh Bin” (2 different bins) - aimed at
sensitizing residents and increasing their involvement to bring about a better
waste management system through the simple act of segregating wet and dry
waste in homes, offices, etc.
Lake Rejuvenation Project- Gurgaon: Along with CCIPL’s aim to
strengthen community engagement and development in Gurgaon, a six-month
project is being implemented from June 2016 onwards towards water
rejuvenation in the Sukhrali Lake in Gurgaon.
Pilot Project to test Reverse Vending Machines: To achieve long term
environmental sustainability, through education and encouragement of people
to be environmentally responsible in the handling of post consumption PET
products by rewarding and incentivizing positive behaviour.
Multi Stakeholder Project on Water: CCIPL proposes to take a leadership
position in the water sector at the national level and contribute to the problems
the country is facing on addressing water availability, access, quality and
affordability of water.
Multi Stakeholder Programme on Livelihood Enhancement: In line with
the emerging importance of PET recycling in the light of the “Swacch Bharat
Abhiyan” and “Clean India campaign” launched by the Tourism Ministry,
Government of India, CCIPL has decided to design a scalable program on
waste management and collection of recyclable waste
CSR initiative of CCIPL in the community around its concentrate plant in
Pune: CCIPL proposes to initiate an extensive CSR initiative in the immediate
community of its concentrate plant at Pune, (also its Registered Office).
“We make a living by what we get, but we make a life by what we give.”
CITATIONS:
http://www.coca-colaindia.com/stories/csr-activity
http://www.righttowater.info/rights-in-practice/legal-approach-case-
studies/case-against-coca-cola-kerala-state-india/
https://en.wikipedia.org/wiki/Criticism_of_Coca-Cola
https://en.wikipedia.org/wiki/Criticism_of_Coca-Cola