From Great to Greater to Greatest value

“Leave the Rest; I feed myself, as I AM THE POOREST.”

The above adage is a reflection of how business used to happen in India till a few years back. Organization, institutions were happy feeding their right hand with their left hand. The Wealth which was created inside was used for paying salaries, dividends, and bonuses to keep various stakeholders merry and chirpy. Like always it was on the government to redefine how the society looked, the standard of living and creating a better eco systems. If asked to contribute and add value to the poor they used the above adage “I AM THE POOREST “though not literally but was a comfortable excuse to shrug off the philanthropically influenced wish of society. After quite a few years passed and industries made merry, government opened different sectors and the business became consumer dominated, these behemoths realized the importance of the so called PHILANTHROPIC DREAM.

                                                Coming back to the present, we see things have changed, transformed and business has been migrated to the world of IRS. IRS stands for Indispensable Responsibility of Society, yes THE WORLD CALLS IT CSR. In India, it has not been an overnight change, its one of most gradual realizations which the industry seems to have gone through. This time its not about making hospital and schools and letting them run , its really about handholding the society , the environment , the ecosystem , just like you handhold your customer .

                                                            The idea of Corporate Social responsibility has taken magnanimous dimensions today. There aren’t any organizations that have not extended their arm to add that incremental value to the society. Whether it is eco friendly air conditioners, energy saving lighting solution, e-CHOUPAL, recycled paper or the EARTH HOUR.  Every corner of our lives, directly and indirectly have been touched by solutions which are a value to the society. The economic aspect has been handheld in form of rural banking and GRAMEEN FINANCE schemes. The Social aspect is taken care by the vocational education initiatives to make India employable. And finally enviornement is being touched by green fuel, green engines and green offices. So far so that now it’s the turn of ecoprenuers rather than entrepreneurs.

                                                            However, what is more interesting is the why?  Why has the industry taken charge of society or their social responsibilities? Why is it that, every organization is willing to invest and divert their funds towards society. What makes them ecoprenuers and humane organizations? To answer these questions, we need to divulge into the dynamics of business and society. The major reason which triggered CSR is the failure on government’s part to deliver on their commitments. (Though it’s not new for the largest democracy on this earth). But when there is unskilled manpower backed by highest drop out rates in primary education and the youth comprising of 65 percent of population, the industry just couldn’t afford to let go of this strength. Hence the educational initiatives to have a better working class thereby increase in disposal incomes. On the other hand when the world talks about global warming and depleting ozone layer, just at that moment the prescription is green fuel, appliances, automobiles and offices. The point here is simple, create a better education system so that the it affects the GDP of the country which in turn means that more people buy the goods and services these players produced. Secondly, making the society a better place is the best and the most cost effective way to position yourself as the HUMANE ORGANISATION. From refrigerators, bulbs to air conditioners, everything has a touch of green to it. All this and much more to express to the society that apart from the government there is some one else who CARES. Today synchronizing your business processes with social objectives is the best way to create a warm and responsive customer base for yourself. So, without an iota of doubt there is also a business case in CSR. That’s exactly my last point is. The business of business is to do business .They should be left to do that. Reforming the society and providing basic amenities or uplifting has never been the blue eyed areas of any investor. Inspite of this when they take charge and add value they create a platform where they stand proudly to do their business and multiply their wealth AND THEN no one complaints.

To summarize, India has traveled a journey of value creation, from great to greater and finally greatest value is being added, through, by and for the society. I not as businessman or any industry expert but as a common man proudly admit that our industry has finally learnt to take the society, economy and the nation along with their pursuit of maximizing wealth.