Final Qt Feb 2015

Volume XX No. 02/2015 `45/- A Journal of the INSTITUTETimes OF DIRECTORS February 2015 • INDIA COMPANIES NEED TO ALIGN THEIR GROWTH ASPIRATIONS with COMMUNITY DEVELOPMENT, in order to create an Inclusive Society. The Rt. Hon. Baroness Verma, Minister for Energy & Climate Change, Govt. of UK inaugurating the CSR Convention in Mumbai . Also seen Dr. Jaco Cilliers, Country Director, UNDP India, Ranjan Dhawan, Executive Director, Bank of Baroda and Namita Vikas, Sr. President and Country Head-Responsible A Report...P. 22 Banking, YES Bank Ltd Experience of is growing and CSR practice is evolving and developing. CSR should be integrated into the Corporate Governance framework. In particular, there CSR should be a CSR committee with Mrs. Rajashree Birla Three Corporate Directors, Chairperson at least one of whom should be an Aditya Birla Centre for Community Initiatives Independent Director to ensure and Rural Development, Aditya Birla Group CSR policy of the organisation. ....Recommendations at the CSR Convention in Mumbai. Dr. S. S. Kshatriya, IAS, Chief Secretary, Govt. of Maharashtra State receiving Distinguished Fellowship of IOD from Mr. Subhash Desai, next event Hon’ble Minister of Industries, Govt. of Maharashtra DUBAI GLOBAL CONVENTION 2015 25th World Congress on Leading 21st Century Organisation through LEADERSHIP FOR ICE (Innovation, Creativity & Excellence) BUSINESS EXCELLENCE & INNOVATION 19– 21 April 2015, Dubai (UAE) This month's Articles tailored for you th Speech at the 9 International Conference CSR Strategy: India's CSR Law- An Innovative Solution on Corporate Social Responsibility & Focus and Opportunity Dr. Mahesh Chandra & Presentation of Golden Peacock Awards Scan with Mrs. Rajashree Birla Prof. Colin Coulson-Thomas Dr. James P. Neelankavil Smart Phone Pg:Pg: 5 5 Pg: 9 Pg: 15 QR Reader App: R m o r e i n s i d e . Building IOD Tomorrow’s www.iodonline.com Institute Of Directors Boards FROM THE EDITOR CSR and Revenue Model IOD organised CSR Convention on the theme 'CSR – An Actionable Business Agenda', in Mumbai during January 19 - 20, 2015, it attracted a large number of CSR stakeholders, who highlighted how the developmental activities can be supported and funded by the industry, both in public and private sector, and thereby help in socio-economic transformation of the country. Government is realising that there are certain activities that need to be undertaken mainly for social impact, and will also have long term economic impact. These activities should be kept out of government's red tape. EDITORIAL BOARD Cleaning of the rivers has been a challenge and governments in the past have not been able to implement the Lt Gen JS Ahluwalia, PVSM (Retd.) Pradeep Chaturvedi programme effectively, inspite of political commitment. The Cabinet discussed the possibility of involvement of Manoj K. Raut private players in cleaning the Ganga through CSR route, under the Ganga Rejuvenation Programme. In Ashok Kapur, IAS (Retd.) addition to activities mentioned in Schedule -VII of the Companies Act 2013, the government is seriously EDITOR considering to allow corporates to spend their CSR funds, without any interference of municipal bodies in 118 Pradeep Chaturvedi cities and towns along the river. Corporates would be allowed to undertake projects that contribute to this SUB EDITOR mission after getting easy approvals from the municipal bodies. Subsequently, the Minister for Urban Reji Mathew Development, while addressing the commissioners of 130 municipal bodies, on January 16, 2015, MANAGER DESIGN emphasised that corporates may be allowed to take up projects, implement them and then hand over to local Teena Lejo bodies. They may be allowed to put banners and sign boards, and claim their role in such projects. This will avoid delays of traditional route of inviting tenders by municipal bodies. IOD (HEAD OFFICE) New Delhi The government is planning to involve private sector in a big way by introducing “Revenue Model” for sewage M-56 A, Greater Kailash - II, (Market) New Delhi - 110048 treatment by bringing this sector, under industry category. This suggestion is part of an interim report of the Tel: +91-11-41636294, 41636717, seven IITs. The group is likely to submit its final report by the end of January, 2015. 41008704 • Fax: +91-11-41008705 E-mail: [email protected] Website: www.iodonline.com This suggested approach will help in creating a 'Revenue Model' based on CSR activities and can possibly ultimately substitute the CSR for 'Public Relations Model' of the corporates. Although, it is too early to discuss REGIONAL OFFICES the success or otherwise of the proposed approach but all the same it is an important step in the right Mumbai direction. 1092-C Wing Oberoi Garden Estate, Chandivali Andheri – East, Mumbai - 400072 IOD is now planning the next Conference on 19 - 21 April in Dubai on Leadership for creativity, innovation and Tel : +91- 22-40238141 / 42 / 43 Business Excellence. The effort will be to highlight global business models and identify those that can be E-mail: [email protected] applied in India for faster growth and thereby support the Prime Minister's thrust on “Make in India” Bengaluru # 201, Oakland Apts, Ulsoor Road, programme. Next to Vidyadeep College, Bengaluru - 560042 Board Nos: +91- 80-25092234. Fax: +91- 80-25583490 Email: [email protected] Pradeep Chaturvedi Vice President, IOD STATE CHAPTERS Kerala: (M) 09446488181 CONTENTS Tamil Nadu: (M) 09840295802 SUBSCRIPTION RATES FOR QT Speech at the 9th International Conference on 5 India Corporate Social Responsibility & Presentation of Golden Peacock Awards Life Subscription Rs 6000 Mrs. Rajashree Birla Annual Subscription Rs 500 Each Issue Rs 45 CSR Strategy: Focus and Opportunity 9 Overseas Prof. Colin Coulson-Thomas Life Subscription $ 400 Annual Subscription $ 80 India's CSR Law- An Innovative Solution 15 Published by : Institute of Directors Dr. Mahesh Chandra and Dr. James P. Neelankavil Printed at Maximum Packers Corporate Social Responsibility - UNDP Initiatives 19 Okhla Phase-1, New Delhi Dr. Jaco Cilliers Total Pages - 56 9th International Conference on Corporate Social Responsibility 22 & Presentation of Golden Peacock Awards Disclaimer: The opinions expressed in articles/ stories A Report are the personal opinions of the author. IOD / Editor is not responsible for the accuracy, completeness, suitability, or validity of any information on those articles. IOD Distinguished Fellows 2014 31 The information, facts or opinions expressed in the articles do not reflect the views of IOD/ Editor and IOD/Editor does not assume any responsibility or liability for the same. Winners Highlights of Achievements 2014 33 Speech at the 9th International Conference on Corporate Social Responsibility & Presentation of Golden Peacock Awards on the 19th of January, 2015 at Hotel Taj Lands End, Bandra - Mumbai Theme: “CSR – An Actionable Business Agenda”. * Mrs. Rajashree Birla am indeed delighted to be, with all of you this evening, given that philanthropy. In his view, it was unwise to keep on giving endlessly. Instead, Corporate Social Responsibility is the theme. I will concentrate on he felt that, channeling resources to ensure, that people had the IIndia, as the nation faces daunting challenges. In the developed world wherewithal to make ends meet, would be more productive. So we set up while there are problems, they are not of the magnitude that we witness vocational and other training centres for the underprivileged. here. I have not seen the kind of issues we have in the 36 countries, that Taking these practices forward, my son Kumar Mangalam, has we in the Aditya Birla Group, have our operations. Regardless, the institutionalized the concept of triple bottom-line accountability. This is problems and the solutions are country agnostic. There should be some represented by economic success, environmental responsibility and social takes for you. commitment. Thus the interests of all our stakeholders, have been woven I would like to divide my address into two parts. Firstly, to set the context, into the Group's fabric. It is now crystallized into3-Ps. As Kumar Mangalam my focus will be, on the evolutionary path of CSR in our country, and how avers, our thrust is on the three critical dimensions of People, Planet and important it is for corporates, to be genuinely engaged in working towards Profit. So the universe where we operate is more expansive. a more equitable society. Closing the chasm between the 'haves' and Kumar Mangalam, has raised the bar very high. In his view, we must give 'haves not', is the need of the hour. Secondly and most importantly, I will our Social Projects, the same kind of importance, as we give to our dwell on how the very concept of development, is being refined and business projects. So just as for companies, we have a business vision, for reaffirmed by our Prime Minister, Shri Narendra Modiji. And within it, I will our social projects we have evolved a Social Vision. In a nutshell, it thread what is the way forward. epitomizes inclusive growth, and dignifying the lives of the underprivileged. Let me begin by saying that, throughout India's history, Social Let me share our vision. It is “to actively contribute to the social and Responsibility, the philosophy of giving and caring, has been an economic development of the communities in which we operate. In so undercurrent. CSR was not a part of the lexicon. Still for nearly 100 years, doing, build a better, sustainable way of life for the weaker sections of leading business family patriarchs, have played a critical role in the society, and raise the country's Human Development Index”. development, and strengthening of the underprivileged. All of you must Today, the engagement of more and more corporate in the CSR domain, have heard of visionaries, like my grandfather-in-law, Shri Ghanshyam Das with the new Companies Law, is a fait accompli. So it should come as no Birla, like Shri Jamsetji Nusserwanji Tata, like Shri Ramkrishna Bajaj, to surprise, that most of the corporates present here, would have a social name a few.

Load more