HISTORY OF CORPORATE SOCIAL RESPONSIBILITY

HISTORY OF CORPORATE SOCIAL RESPONSIBILITY

Corporate social responsibility is a voluntary activity undertaken by firm for the sustainable development of the firm. It is conducted by firm for the welfare of the nearby community. CSR activities would be done on the basis of 2% of the Annual turnover. These days government made it compulsory that every firm has to undertake programmes for the welfare of the companies. But there are few companies which don’t contribute to welfare of the public. Some of the companies achieved their sales targets through the CSR activities by promoting their works. The history of CSR has four phases with developing India. In the first Phase charity and philanthropy were the main drivers of CSR. During the independence second phase had been emerged. This was the time when Mahatma Gandhi introduced a “notion of trusteeship”. At that time, there was stress industrialist they have do something to the welfare of the society. Gandhi’s influence put a pressure on the industrialist to act towards building a nation. The third phase of CSR is the mixed economy. During this phase there was a Emergence of public sector undertakings. Public sector became the prime mover of the development of the nation. And private sector had forced to take backseat. Subsequently, public sector ruled over private sector during third phase. This period is called as “era of command and control” where they imposed rigid rules and regulation surrounding the activities of the private sector. However public sector undertaken by providing necessary resources likes food, shelter etc to the community. This led to shift of expectation from the public to the private sector. The private sector’s active involvement made the development of socio economic conditions of the country. In spite of such attempts CSR failed. During fourth phase from 1980 to 2013, Indian companies started their mission to boost the economy of the country. Companies undertaken sustainable business strategy .The globalisation and liberalisation were undertaken. The policy of licensing system and controls on the companies made rapid growth in the Indian company. CSR is not new to the Indian companies, where Tata group and Adithya Birla had serving the community by charity events or by donating funds. The objective of the CSR is to maximize the overall impact on the stakeholders and share holders. So this was the history of CSR.

Introduction :Corporate social responsibility is a voluntary activity undertaken by firm for the sustainable development of the firm. It is conducted by firm for the welfare of the nearby community. CSR activities would be done on the basis of 2% of the Annual turnover. These days government made it compulsory that every firm has to undertake programmes for the welfare of the companies. But there are few companies which don’t contribute to welfare of the public. Some of the companies achieved their sales targets through the CSR activities by promoting their works. 

History of CSR : The history of CSR has four phases with developing India. In the first Phase charity and philanthropy were the main drivers of CSR. During the independence second phase had been emerged. This was the time when Mahatma Gandhi introduced a “notion of trusteeship”. At that time, there was stress industrialist they have do something to the welfare of the society. Gandhi’s influence put a pressure on the industrialist to act towards building a nation. The third phase of CSR is the mixed economy. During this phase there was a Emergence of public sector undertakings. Public sector became the prime mover of the development of the nation. And private sector had forced to take backseat. Subsequently, public sector ruled over private sector during third phase. This period is called as “era of command and control” where they imposed rigid rules and regulation surrounding the activities of the private sector. However public sector undertaken by providing necessary resources likes food, shelter etc to the community. This led to shift of expectation from the public to the private sector. The private sector’s active involvement made the development of socio economic conditions of the country. In spite of such attempts CSR failed. During fourth phase from 1980 to 2013, Indian companies started their mission to boost the economy of the country. Companies undertaken sustainable business strategy .The globalisation and liberalisation were undertaken. The policy of licensing system and controls on the companies made rapid growth in the Indian company. 

present CSR views :CSR is not new to the Indian companies, where Tata group and Adithya Birla had serving the community by charity events or by donating funds. The objective of the CSR is to maximize the overall impact on the stakeholders and share holders. So this was the long history of CSR.

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