DISSERTATION

PROJECT

Trishla Sharma
S183F0044
 CSR OF ITC
(WITH SPECIAL FOCUS ON E-CHOUPAL SYSTEM)
Introduction

 The research highlights the CSR activities of ITC, especially e-Choupal system.
 In depth secondary data has been collected to support the research.
 Data analysis has been done thoroughly.
About the CSR

 Enables organization to focus on issues important to their business

 Adds both tangible and intangible value
 Branding
 Can offer competitive advantage
 Literature Review
Research paper
CSR OF ITC AND TATA COMPANY
CSR of ITC
Author Description
Dr. K. Basavaraji & O.N. Enock, KU The paper talks about the activities
(2013 which are done by the two respective
companies and also gives out various
methods and the initiatives, the
programs, funding by the two
companies.
Paul H It talks about how ITC is performing
the CSR activities.
Objectives of the study

 To analyse the CSR practices of the company, ITC.

 To figure out how such practices are acting as an epitome of their success.
Methodology and data collection

 The research starts by looking for the articles already published, various
research papers and websites associated to the topic CSR
 Efforts of ITC in the field of CSR has been taken into consideration and they
have been analyzed. After analyzing them, there is study of the results in
which it is shown how it has impacted their business. Also what are the
positive results which came out after this whole process?
 Then there is an explanation on how it has led to the rise and increase of the
profits and is among one of the reason of their corporate success. The special
emphasis on ITC is done so as to explain and understand the topic more
effectively and also to achieve the desired objectives.
ITC e-Choupal: 2000

 Virtual market place

 Bottom- pyramid model
 Vertical integration
 Serves more than 4 million farmers
 E- commerce and E- education program
Stakeholder Analysis

Primary stakeholders Interest

Farmers • Access to information

• Economic benefits
• Hope for a brighter future
ITC • Lower procurement costs
• Direct interaction
• Low cost distribution channel
Commission Agents • Gain access to global markets
Building block of e-Choupal
Operating Model

 Computer with internet connection

 It costs US $3-6000 to set up + US $100 per year maintenance charges
 System support- 15 engineers, 25 motorcycles
 SWOT analysis
• Delivery of real-time information • Lack of power supply
• Preference over mandis • Poor telecom
• Easy access • Lack of infrastructure
• Low transaction cost
• Sanchalak is educated and trained

Strength Weakness

• Unnecessary demand
• Access to underserved rural markets
• New business opportunities
Opportunity Threat of the sanchalaks
• Farmers willingness • Political influence
• Competitors attempt
to deviate farmers
Recent CSR initiatives of ITC
Current scenario of CSR in India

 In the year 2018, it is seen that there is a rise of about forty- seven percent in
the spending on the CSR based activities, while comparing it to the sum of
seven thousand five hundred and thirty six crores which was there in the year
2014. It is a huge jump which clearly shares how organizations are considering
it an important spend.
 In our country, there is almost a spend of more than ten thousand crores in
various programs, initiatives and the welfare schemes in the favour of CSR.
 In the government’s schemes as well, there is a hike of one hundred and
thirty nine percent which is commendable.
 Also there is an expected rise of about ninety seven to ninety eight percent in
the field of CSR by the end of decade.
Results and findings

 Through the in depth study of the ITC’s E- Choupal system, it is found that
they select high quality farm products and do business fairly with the farmers.
 It is found that they have a strong brand image due to their E- Choupal
initiative, mainly in the rural sector.
 They have relatively low revenue from their Tobacco products, and they earn
majorly from their diverse business portfolio.
 It is growing at a high pace due to the social recognitions
 Their stock rates are increasing due to their CSR activities
Conclusion and Recommendations

 They can enter into more undeserved rural markets.

 They can partner with the banks
 Non- cash loans for farm inputs
 Insurance and Risk management services
 Loans to sanchalak, create entrepreneurs
 Direct loans to farmers
References

 ITC's Corporate Social Responsibility - Generating Livelihoods and Environmental Capital. (2020). Retrieved 11 February 2020, from
https://www.itcportal.com/sustainability/corporate-social-responsibility.aspx
 ITC's Corporate Social Responsibility - Generating Livelihoods and Environmental Capital. (2020). Retrieved 11 February 2020, from
https://www.itcportal.com/sustainability/corporate-social-responsibility.aspx
 Mukherjee, W. (2020). India's Best Companies for CSR 2014: Here's how ITC's social outreach programme works. Retrieved 4 January 2020, from
https://economictimes.indiatimes.com/indias-best-companies-for-csr-2014-heres-how-itcs-social-outreach-programme-works/articleshow/45372
587.cms?from=mdr
 National CSR Portal. (2020). Retrieved 11 February 2020, from https://www.csr.gov.in/
 National CSR Portal. (2020). Retrieved 11 February 2020, from https://www.csr.gov.in/
 National CSR Portal. (2020). Retrieved 11 February 2020, from https://www.csr.gov.in/
 List of Indian Companies and CSR Projects. (2020). Retrieved 11 April 2020, from https://csrbox.org/list-companies-india
 ITC Limited spends Rs. 291 Cr on Corporate Social Responsibility (CSR) programs. (2020). Retrieved 11 April 2020, from
https://indiacsr.in/itc-limited-spends-rs-291-cr-on-corporate-social-responsibility-csr-programs/
 Corporate Social Responsibility (CSR) – Prioritizing Positive Societal Impact | Green New Deal. (2020). Retrieved 11 April 2020, from
https://en.reset.org/knowledge/corporate-social-responsibility-csr-%e2%80%93-societal-responsibility-companies?gclid=EAIaIQobChMIy62lorDh6AI
V2HwrCh0tMw70EAAYASAAEgJ6b_D_BwE
 S. Ranganadhan, S. (2012). Corporate Social Responsibility in Rural India. International Journal Of Scientific Research, 3(8), 200-201. doi:
10.15373/22778179/august2014/57
 Das Gupta, A., & Das Gupta, A. (2008). Corporate social responsibility in India: towards a sane society?. Social Responsibility Journal, 4(1/2),
209-216. doi: 10.1108/17471110810856965
 (2020). Retrieved 11 April 2020, from http://granthaalayah.com/Articles/Vol4Iss5/06_IJRG16_B05_81.pdf