How much do companies give to the society around them? A 1996 survey by an NGO, Partners in Change, showed that only 8 per cent of the companies had a written policy on their involvement in development, but 60 per cent of the companies surveyed revealed that they made monetary contributions to support community development work.The same survey found that of the 60 per cent, 42 per cent said they did community work when asked the question directly. Partner in Change feels one explanation for this is that many companies made monetary contributions to causes they did not themselves believe was part of their community development work.
Keeping this data in mind, the Confederation of Indian Industry held a two-day seminar on December 7 and 8 to gauge the mood in the industry and help companies professionalise their community development programmes. Post-summit, Abhay N Firodia, chairman of CII's community development cell and managing director of Bajaj Tempo, defines the line of action needed: ``Corporateinitiatives must augment government efforts and the industry must work in partnership with the government and NGOs with the common aim of a life of dignity, security and peace.''
Firodia feels that corporates could use the NGOs' expertise, motivation and commitment and government funds and reach out in a more purposeful and effective manner.
``Orgnaisations like the CII can make a difference if we can channel awareness building, provide basic facilities like housing, health, sanitation and education to not only the workforce, but to the community around the industry,'' Ranjit Roy Chowdhary, Professor Emeritus, National Institute of Immunology, said at the seminar.
CII has suggested that companies move away from the charity approach and instead take a more real approach with a longterm plan, vision, and a firm budget to tackle community development activities.
Participants at the seminar felt that giving need not be boring. Innovative ways in which managements could give was through pay roll giving,where employees voluntarily give a portion of their salary every month to a cause, like Bank of America's programme with the SOS Children's Village.
Casue-related marketing is another innovation wherein a company involves its customers by promising to make a donation every time he or she makes a purchase or uses a product like the Citibank's Women's Card. Citibank donates a small sum to Sparc every time the card is used.
Imparting management, marketing or technical skills to the community, like management training programmes for NGOs, could also be beneficial to the community, the participants felt. Using NGO-made products for supplies or apportioning out work to NGOs could help in community development.Firodia says CII will now prepare an action plan for structuring corporate initiatives.
The action plan will include the following:
The need to enhance the industry-NGO partnership to build up the institutional capacity of the NGOs. Increase the visibility of corporate action throughdocumentation and publicity so as to encourage industry-industry partnership in initiating social development programmes. Corporates should design and implement population management programmes initially targeting its workforce and then identify an area and commit to control population growth through effective family planning programmes. Corporates should ensure that not only is their workforce educated, but also their families. They should collaborate with the government in designing innovative and sustainable alternate models of education. Corporates should utilise corporate managerial skills to impart quality education. Industry-NGOs tie-ups for reproductive and child health programmes and delivery of health services. Industry-government partnerships for effective delivery of health services and control of pollution.Copyright © 1998 Indian Express Newspapers (Bombay) Ltd.