Corporate Social Responsibility And Business Sustainability

Dr. Rita Bansal, Assistant Professor, D.T.S.S. College of Law, University of Mumbai, Malad, Mumbai

ABSTRACT

Numerous companies have taken steps to progress the natural maintainability of their operations, through measures such as introduction of renewable vitality sources or acquiring carbon offsets through Corporate Social Responsibility (CSR)1. Corporates since take benefit from the society and utilize the resources from the society either in manufacturing or marketing their products, so it becomes the responsibility of the corporates to take care of the society in the form of contributing 2% of their average net profits of the preceding three financial years on CSR activities for the betterment of the society and to keep the environment clean2. CSR is focused towards societal issues and thereby ensures that the companies act ethically and work towards upliftment of the society. CSR is responsible towards environment by ensuring to reduce group’s environmental footprint and innovate towards circular economy. CSR is also responsible towards users by providing sustainable solutions and by playing a driving role in various sectors. Various activities can be undertaken by corporates towards CSR as stipulated under Schedule VII of the Companies Act, 2013. In short, corporates can contribute towards those activities which fall under the ambit of government or where government has not been successful in carrying out those activities. The Corporates as well as the State both are directly related with the Gross Domestic Product (GDP) of the Country. More flexible the norms of the State or availability of resources, higher would be the profits of the Corporates which in turn will also increase CSR activities and every State will be in a position to uplift people in their area through CSR activities. CSR is the ultimate marketing tool. CSR covers areas such as environmental commitments, corporate management, community programs etc. Business sustainability on the other hand means a comprehensive approach to business management aimed at maximizing long-term social, economic, and environmental values. The goal of sustainability is to leave systems that can continue to exist.

Keywords: CSR, business ethics, values, sustainability, human resource management