A Study on Impact of the Compaines aCT 2013 On Corporate Social Responsibility in India

Abstract

ABSTRACT newlineCorporate Social Responsibility newlineThis Ph.D. thesis is the outcome of 5-year doctoral study on A Study on Impact of newlineThe Companies Act, 2013 on Corporate Social Responsibility in India . This study newlinecontributes to new dimension about CSR in India. This Ph.D. thesis proposes new model, newlineprinciples, Corporate Social Responsibility and stakeholder engagement on CSR including newlinehealthcare and education through the dialectical interaction. newlineDefinition of CSR newlineCSR is process by which an organization thinks about and evolves its relationships with newlinestakeholders for the common good and demonstrates its commitment. In this regard by newlineadoption of appropriate business processes and strategies. Thus CSR is not a charity or newlinedonation. newlineNowadays CSR has undergone metamorphosis to include and accepting of moral newlineresponsibilities towards the stakeholders i.e., the consumers, employees, labour, suppliers, newlinegovernment and the society and community. In short, CSR is a process for the care of people. newlineAfter the amendment of The Indian Companies Act, 1956, by virtue of The Companies Act, newline2013, it has been made compulsory by government that companies having net worth of Rs. newline500 crores or more, or turnover Rs. 1000 crores or more, or net profit of Rs. 5 crores or more newlinein a financial year have to spend at least 2% of average of their annual profit of previous 3 newlineyears for CSR. So now, it is compulsory for them to spend their money on developing society, newlinebut the major task is how they should spend and where they should spend. Hence, this newlineresearch focuses on various socio economic developmental activities towards strategic CSR newlineprocess to balance business and social goals. The proposed CSR process can be applied newlinecomprehensively to any CSR project. After CSR was made compulsory by The Indian newlineCompanies Act, 2013, a huge pool of resources was made available. Well defined projects newlineand effective collaborations will lead India to being on the top of the list of socially developed newlinenations. newlineResearch reports say that the overall CSR expenditure is concentrated in select states only newlineand towards select causes like education, healthcare and environment. This study addresses newlinea few critical issues. Many corporations today have recognized that being socially responsible newlineis more than just donating money for a cause. Companies are gradually recognizing the newlinebenefits of meaningful Corporate Social Responsibility (CSR). From board meeting to a CEO newlineinterview, CSR is a critical topic of discussion. While a few companies have proved to be newlineexceptional in social performance, most are still finding it difficult to choose the right actions newlinein this regard. newlineThis research shows how dynamic companies are bringing CSR issues to the center stage on newlinethe corporate radar by merging leads to greater impact through achieving societal objectives, newlineand in turn contribute to the achievement of business objectives. Against this backdrop the newlinepresent study focuses on the following: newline1. To explore the practices of Corporate Social Responsibility (CSR) in India. newline2. To examine the changing trends in the performance of Corporate Social Responsibility newline(CSR) on socio economic developmental activities in India, due to the impact of The newlineCompanies Act, 2013. newline3. To examine CSR spending of major 20 companies on Education sector and major 10 newlinecompanies on healthcare sector with relation to societal quality of life in India through newlinetheir CSR policy, programmes and strategies. newline4. To ascertain the spread of CSR benefits across geographical territories of states and newlineunion territories of India. newline5. To determine the relationship between total number of companies under CSR and total newlineamount spent in India. newline6. To compare the CSR benefits across various development activities by Public and Non- newlinePublic Sector Organizations and to offer suitable suggestions. newlineCSR is a way of conducting business by which corporate entities visibly contribute to newlinethe social good and socially responsible companies use CSR to integrate economic, newlineenvironmental and social objectives with the company s operations and growth. newlineKeywords: Corporate Social Responsibility, Stake Holders, The Companies Act, 2013, newlineCharity, Philanthropy, Education, Healthcare, Environment, Sustainability. newline