International Journal of Business Ethics in Developing Economies

Zakir H Molla ¹, Sarbani Mitra ²

Affiliations
1 Center for Environment and Development, Kolkata, West Bengal, IN
2 Professor, Department of Environment Management and Head, Department of Executive Management, Indian Institute of Social Welfare and Business Management, Kolkata, West Bengal, IN

Abstract

The aim of this paper is to review the status of corporate CSR practices in a large Maharatna company in India, by critically appraising the resource application in the spectrum of focus areas, Schedule VII of the CSR rules, and the consequent impacts. The study focuses on the geographic spread of social investments over a period of time. Finally, the study explores the extent of social implications due to CSR initiatives. For the purpose of the study, we selected IOCL, a major oil and gas company, and the largest corporate identity in India in terms of turnover. The findings showed that through its social development activities, besides major CSR projects, its CSR initiatives have touched millions of lives by providing various infrastructure and grassroots development activities in the focus areas identified in the CSR policy of the company. Provision of water facilities; infrastructure at hospitals, schools, colleges, and skill development institutes/industrial training institutes; and setting up sports facilities across the country were some of the projects undertaken by IOCL. Environment-related initiatives like providing LPG connection to the disadvantaged section of society, improving sanitation, health, and livelihood, and providing livelihood generation skills stand tall among various initiatives undertaken. However, the investments are concentrated in and around the operating area, as per policy, in synchronisation with the prevailing act, thereby creating spatial inequality.

Keywords

Corporate Social Responsibility, Social Issues, Companies Act, Sustainable Development, CSR Initiatives, CSR Investment

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Zakir H Molla ¹, Sarbani Mitra ²

Affiliations
1 Center for Environment and Development, Kolkata, West Bengal, IN
2 Professor & Head, Department of Fire Safety Management, Department of Exec. PG Programme in Management, Department of PG Diploma in Supply Chain & Logistics Management, Indian Institute of Social Welfare & Business Management, Management House, West Bengal, IN

Abstract

The aim of this paper is to review the status of corporate CSR practices in a large Navratna Company in India, by critically appraising the resource application in the spectrum of focus areas, schedule VII of the CSR rules, and the consequent impacts. Finally, the study explored the extent of upgradation of social value due to such CSR initiatives. For the purpose of the study, we selected Oil India Limited (OIL), being an upstream company under the sector of crude oil exploration. The findings showed that through its social development activities, OIL has invested immensely in long-term governmental schemes like Swachh Vidyalaya/Swachh Bharat Abhiyan and LPG connections for BPL families, which will address various problems related to education, women, and the environment. Efforts under Swachh Vidyalaya/Swachh Bharat Abhiyan will address twin problems of girl child education and sanitation. The impact of LPG connections for BPL families will be felt on environment as it will reduce the burning of wood and other pollution generating material and at the same time reduce deforestation by reducing the use of wood as domestic fuel in the rural areas.

Keywords

Corporate Social Responsibility, Social Value, Corporate CSR Practices, Focus Area, Companies Act, India

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