Government-set rules in India, for example, now include a goal for businesses to spend 2% of after-tax profit on CSR in the country. Deciding how, when and where to invest money, time and management resources is a matter of strategy.
At Toyota Kirloskar Motor, for example, the CSR mission statement is: Be a socially committed corporate through building vibrant communities in harmony with nature, aiming to become the most admired company in India and meet customer expectation and be rewarded with a smile.
The automaker's CSR focus is on health/hygiene, civic amenities, stakeholder engagement, art and culture, skill development, road safety, education and environment (see graphic above). The firm recently distributed notebooks and book bags to school children in Ramanagara as part of its $50 million CSR strategy.
Hindustan Unilever, which makes personal care products (under brands such as Lifebuoy and Lever), manages its CSR strategy in India according to this vision: To grow our business whilst reducing the environmental impact of our operations and increasing our positive social impact.
The company's managing director said in a recent interview: 'We as a company do not believe in donations or cheque-signing philanthropy. Something that can make a meaningful impact on the environment, the community, and the society at large is something that our sustainable living plan endeavours'.
Two of Hindustan Lever's CSR goals (also CSR goals of its parent, Unilever)are to further sustainability and empower entrepreneurship. Its Shakti program accomplished this by recruiting women from small villagers as distributors of the company's products. The long-term value of this ongoing program not only improves local economies, it benefits the company's market reach.
