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CSR Strategy Consulting

CSR Strategy Consulting Approach

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Page 1: CSR Strategy Consulting Approach

CSR Strategy Consulting

Page 2: CSR Strategy Consulting Approach

Executive Summary

Bangalore based CSR consulting and implementation start up, leveragingtechnology to resolve the pain points of the CSR life cycle and ecosystem bydesigning a collaborative platform for effective strategy formulation and efficientimplementation

End to end cloud based digital marketplace platform to enable and empowercorporate CSR players to “Discover, Fulfil and Engage” with NGOs

Page 3: CSR Strategy Consulting Approach

CSR Government mandate

Governed by clause 135 of the Companies Act, 2013

Applicable to companies with

1. An annual turnover of Rs 1,000 crore and more, or

2. A net worth of Rs 500 crore and more, or

3. A net profit of Rs 5 crore and more

CSR committee consisting of their board members, including at least oneindependent director

Spend at least 2% of their average net profit in the previous three years on CSRactivities

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Penalty

Though the current policy is “comply or explain”, it is expected to become an enforcement with penalty within 2-3 years, similar to other MCA rules and SEBI mandates like BRR,etc due to the Central Government aligning itself with UNSDG ( United Nation Sustainable Development Goals) and setting high standards of adherence and commitment to the 17 goals outlined in SDG.

Penalise firms not spending 2% of profits on CSR: Parliamentary Panel Report ,2015

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Compliance Vs Opportunity

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Rationale: Triple bottom line

Present ScenarioBusiness increasingly has been viewed as a major cause of social, environmental,and economic problems

Prospering at the expense of the broader community

Social and economic goals are not inherently conflicting, but integrallyconnected

Competitiveness depends on how productively companies use labour, capitaland natural resources

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Rationale: Triple bottom line

SolutionPrinciple of shared value, involving creating economic value in a way that alsocreates value for society

Do not treat corporate success and social welfare as a zero-sum game.

A win-win situation for both

Identify both positive and negative effects a company can have on society,determine which ones to address, and suggest effective ways to do so

Strategically, CSR can become a source of competitive advantage, as thebusiness applies its considerable resources, expertise, and insights to activitiesthat benefit society

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Challenges Encountered

Time consuming selection of NGO

Inability to find proper NGOs to execute CSR activities

Possibility of misuse of funds

Tactless CSR consulting

Inability to track performance status of the project

Working simultaneously with more than two NGOs

Impracticality in conducting CSR activities despite meeting criteria

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Our offerings CSR Consulting

NGO evaluation / Selection

Proposal Preparation

Project Monitoring

Impact assessment

Statutory Compliance

Training

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Benefits/Value

Proper formulation of policies and guidelines

Tracking of recent activities and emerging trends in CSR peripherals

Depicts the uses of funds, track suppliers’ performance and quality

Blueprint for future course of activities

Assurance of proper utilization of CSR funds

Better reputation, visibility, branding in society, SCA

Agility and flexibility

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Strategy Framework-Approaches

Inside-Out approach to design of CSR strategy

Outside-In approach to design of CSR strategy

Sphere 1: Company Sphere 2: Stakeholder Sphere 3: Community

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Competitive Context2. Context for firm strategy and Rivalry

1. Related and Supporting Industries

3. Local Demand

Conditions

4. Factor Conditions

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Wireframe

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Thank You!!