Karmayog Corporate Social Responsibility Ratings of India’s 500 largest Companies
by Vinay Somani
“Every company harms the environment and people!”
Corporate Social Responsibility is thus just about two aspects:
1) The steps taken by a company to neutralise, minimise or offset the harmful effects caused by its processes and product-usage
2) The further steps that a company takes using its resources, core competence, skills, location and funds for the benefit of people and the environment
This is the basic premise for Karmayog to undertake a rating of the Corporate Social Responsibility activities of India’s 500 largest companies (by sales).
This is the first time that such an exercise has been done in any country.
The results of the Karmayog CSR Rating are extremely disappointing. They are as follows:
Karmayog CSR Rating |
No. of Companies |
% of Companies |
|
0 |
231* |
46 % |
|
1 |
92 |
18 % |
|
2 |
138 |
28 % |
|
3 |
35 |
7 % |
|
4 |
4 ** |
1 % |
|
5 (highest) |
0 |
0 % |
* Companies doing no CSR as per information from their websites and annual reports
** The 4 companies with a 4 out of 5 rating are HDFC, Infosys Technologies, Tata Steel, and Titan Industries
Enlightened businesses worldwide, small and large, have begun to realise that responsible practices enhance profitability & ensure long-term survival. For those which disrespect the environment or living beings, we, as responsible citizens, need to individually and collectively, reward or penalise them through our voices and our wallets.
Karmayog, on its part, has created a framework for comparing CSR across industries, & via the ratings has attempted to give a snapshot of the situation as it stands today. Karmayog has put together a comprehensive, one-of-its-kind, resource section on CSR on the internet to enable companies and all stakeholders to understand and enhance CSR, thus improving the quality of life for all people.
We welcome your suggestions and feedback and would be grateful if you could widely publicise the same. A presentation on the Karmayog CSR Rating of India’s top 500 Companies is available. We would be happy to make a presentation to institutions, associations & in public forums.