The Positive Effects of Corporate Social Responsibility on the Societyby Kanan James NGO INDIA
There are various ways in which a company becomes a brand, and one of the most important cogs in the wheel is CSR or Corporate Social Responsibility. Companies are combining sponsorship with CSR via NGOs. It's a total win-win case as both the different types of organisations profit from this scheme. Since CSR donations are bigger in comparison to individual donations, it's a nice way for a non-profit organisation to sustain projects. For companies getting involved in community development is a grand thing for the development of society. Donations by businesses can greatly affect the conditions that are impeding the impoverished and victims to lead a quality lifestyle. These contributions also benefit the company itself in various ways like operational costs are lowered, there's an increase in sales and workforce, customer loyalty grows and retained, the attention of investors are caught, to name a few. Let us have a look at how society benefits via CSR.
Improvement in Quality of Life
Over 800 million people in India dwell in poverty that accounts for two-thirds of the country's population. Most of them struggle to make their ends meet. While some do odd jobs earning less than ₹140 per day, the rest isn’t even employed. This leads to a lot of health issues in an individual's family as well. CSR helps in bringing such stories to light and stripping them off from their impoverished state completely or to an extent. When they tie-up with any NGO or charitable institution, the latter ensures that the money or donation received is judiciously used to make a peaceful existence of many poor people. The funds/goods allocated can be reached out to the farthest corners of the country.
Helping NGOs in Capacity Building
NGOs need to achieve organisational objective so that they can grow eventually. Capacity building will ensure the sustainability of the non-profit in the years to come. Whether it’s financial or operational maturity, even programmatic maturity, capacity building affects all aspects. For all this, a non-profit should acquire big investments that help the organisation to flourish itself and keep growing. Capacity building or capacity development can be achieved if the organisation is earning steadily. Since it’s a continuous process, it helps to strategize and strengthen communication, hone leadership qualities and ensure succession, expand recruitment, move ahead with technological advancements and measure outcomes.
A Suitable Environment for all
Environmental responsibility is of absolute importance. Like poverty, environmental threats are looming over our heads as the conditions are worsening day by day. The objectives include lower consumption of energy, waste management, judicial use of water, the 3Rs and implantation of eco-friendly policies. The Green CSR method is a great way for corporates to set examples of how others can equally be aware of the conservation of Mother Nature and follow similar techniques. This earns a good reputation and an increase in sales in the markets as consumers will find the brand responsible and reasonable as protectors of the ecosystem.
A Worthy Alliance
The corporate partnerships among non-profits and companies are extremely beneficial for both sides. If a company yearns to work for the upliftment of the local communities, partnering with an NGO makes the process more fluid. The NGO has the idea and the process to carry on the upliftment work in the communities but lacks the resources which are required to carry on the process. Here the company must step in to help the organisation for the causes. As mentioned earlier, it's a win-win situation for both the parties and every marketing strategy increases awareness and disseminates the importance of the harmonious work across the country. In that way, other brands/NGOs get inspired.
This gives a brief idea of how CSR can create brilliant opportunities for companies as well as non-profit organisations for a better, safer environment.
As individuals one can also give monetary benefits to NGOs in the form of donations. He/she can even receive tax benefits too. Like, one can earn tax deductions and exemptions from donation under 80G of the IT ACT, 1961. This was earlier possible from donation under sec 35 AC but since FY 2017-18, it has been discontinued.
Created on Apr 29th 2019 04:26. Viewed 204 times.
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