CORPORATE SOCIAL RESPONSIBILITY

PROJECT REPORT 2009 IN

SUBMITTED BY: SUBMITTED TO,

Sherin Khutliwala GIDC Rofel Business School.

Harendra Rajpurohit

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Declaration

We the students,

Ms Sherin Khutliwala

Mr. Harendra Rajpurohit

Of GIDC RAJJU SHROFF ROFEL BUSSINESS SCHOOL,VAPI approved by All India Council Of Technical Education, hereby declare that this project report is a result of culmination of our sincere efforts.

We declare that this submitted work is done solely by us and to the best of our knowledge; no such work has been submitted by any other person for the award of degree or diploma.

We also declare that all the information collected from various secondary sources has been duly acknowledged in this project report.

Ms. Sherin Khutliwala ______________________

Mr. Harndra Rajpurohit_____________________

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Acknowledgements

A project of this nature calls for intellectual and professional help of many people. Behind every single act, there are unforgettable memories, efforts, guidance and blessings of those, without whom, this study could have been gone even for a small distance.

Firstly, we deeply express our gratitude to GIDC RAJJU SHROFF ROFEL BUSSINESS SCHOOL, VAPI for giving us this valuable opportunity to practically learn about the happenings in the field.

We are very thankful to Dr. S. Ramchandran for granting us the permission to carry out our project. We are also thankful to all staff members for their support.

We can never forget to express our gratefulness to our parents and friends who have always been a great source of inspiration and encouragement to us. Finally we also pay our sincere thanks to all those who helped directly and indirectly in preparation of our project.

We students of GRBS deeply owe to MR. Sanjay Borse HUL- CSR head, who has helped us throughout the duration of our project and guided us thoroughly and patiently solving our queries which made our project see the light of the day.

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Index

Sr.No Particulars Pg No 1 Section 1 5 2 Section 2 10 3 Section 3 15 4 Section 4 24

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Section 1

Social Action Project

NAME OF THE ORGANIZATION

Hinduatan Unilver Ltd (Silvassa Plant)

TITLE OF THE PROJECT

Corporate Social Responsibility Project

NAME OF THE TEAM MEMBERS

Ms. Sherin Khutliwala

Mr. Harendra Rajpurohit

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BRIEF INTRODUCTION:

SOCIAL MAPPING

Purpose

1. To find out the standard of living2. To identify the problems faced and also the requirements needed by the villagers in

Dapada and Pati.3. To help HUL to work out as a CSR action plan in the village.

Scope and CoverageConducting a survey of individual households in the entire village of Dapada consisting of various padas.

Hadalpada Mahalpada Chaudripada Zattipada Missionpada Fararpada Chhotipati (Boba pada)

Method Conducted a survey with the help of pre-generated questionnaire prepared by Vanarai

Foundation,Pune Analyzing the data through questionnaire.

DurationOne month 1st June to 30th June’09

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LIFEBUOY SWASTYA CHETNA

Purpose:To create awareness amongst the people of the community about the basic hygine.

Scope and CoveragePeople from all over the chisda village had been involved plus the children from Mission school, Chisda.

MethodPictorial display of the story (visual aids) for the children.A deomostration is done with the help of ulta violet equipment to test the germ level.Pictorial display for the persons who drive motor cycle for their safety and maintence of their vehicle.

DurationOne month 1st June to 30th June’09

HORTICULTURE DEVELOPMENT PROGRAMME

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Purpose:To make the villagers aware about the effective growing techniques in terms of (mango plants, wheat seeds) in fields.

Scope and Coverage:Covered all most all the padas of Dapada

- Mahalpada- Chaudripada- Sadakpada- Dungripada- Hadalpada- Fararpada- Missionpada- Vadpada

Method:

A pregenerated data containing the number of plants given to each villager and then they analyse it.

SELF HELP GROUP8

Purpose:

To make the women self reliant in terms of living.

Scope and Coverage:

Covered entire village of Dapada.

Method:

Assembly of women at a pre decided location and interacting with them for the independency and action to be taken.

Section 2

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ABOUT THE COMPANY:

Hindustan Unilever Limited (abbreviated to HUL) (BSE: HUL) formerly Hindustan Lever Limited, is India’s largest consumer products company. It was formed in 1933 as Lever Brothers India Limited and came into being in 1956 as Hindustan Lever Limited through a merger of Lever Brothers, Hindustan Vanaspati Mfg. Co. Ltd. and United Traders Ltd.. It is headquartered in Mumbai, India and has an employee strength of over 15,000 employees and contributes for indirect employment of over 52,000 people. The company was renamed in late June 2007 to “Hindustan Unilever Limited”.

In 2007, Hindustan Unilever was rated as the most respected company in India for the past 25 years by Business World, one of India’s leading business magazines . The rating was based on a compilation of the magazines annual survey of India’s Most Reputed Companies over the past 25 years. HUL is the market leader in Indian consumer products with presence in over 20 consumer categories such as Soaps, Tea, Detergents and Shampoos amongst others with over 700 million Indian consumers using its products. It has over 35 brands.

Hindustan Unilever distribution covers over 1 million retails outlets across India directly and its products are available in over 6.3 million outlets in India, i.e. nearly 80% of the retail outlets in India. It has 39 factories in the country.

HISTORY:

In the summer of 1888, visitors to the Kolkata harbour noticed crates full of Sunlight soap bars, embossed with the words "Made in England by Lever Brothers". With it, began an era of marketing branded Fast Moving Consumer Goods (FMCG).

In 1931, Unilever set up its first Indian subsidiary, Hindustan Vanaspati Manufacturing Company, followed by Lever Brothers India Limited (1933) and United Traders Limited (1935). These three companies merged to form HUL in November 1956; HUL offered 10% of its equity to the Indian public, being the first among the foreign subsidiaries to do so.

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Unilever now holds 52.10% equity in the company. The rest of the shareholding is distributed among about 360,675 individual shareholders and financial institutions.

The erstwhile Brooke Bond's presence in India dates back to 1900. By 1903, the company had launched Red Label tea in the country. In 1912, Brooke Bond & Co. India Limited was formed. Brooke Bond joined the Unilever fold in 1984 through an international acquisition. Unilever acquired Lipton in 1972, and in 1977 Lipton Tea (India) Limited was incorporated.

Since the very early years, HUL has vigorously responded to the stimulus of economic growth. The growth process has been accompanied by judicious diversification, always in line with Indian opinions and aspirations.

The liberalisation of the Indian economy, started in 1991, clearly marked an inflexion in HUL's and the Group's growth curve. Removal of the regulatory framework allowed the company to explore every single product and opportunity segment, without any constraints on production capacity.

In 1995, HUL and yet another Tata company, Lakme Limited, formed a 50:50 joint venture, Lakme Unilever Limited, to market Lakme's market-leading cosmetics and other appropriate products of both the companies. Subsequently in 1998, Lakme Limited sold its brands to HUL and divested its 50% stake in the joint venture to the company

The 1990s also witnessed a string of crucial mergers, acquisitions and alliances on the Foods and Beverages front. In 1992, the erstwhile Brooke Bond acquired Kothari General Foods, with significant interests in Instant Coffee. In 1993, it acquired the Kissan business from the UB Group and the Dollops Icecream business from Cadbury India.

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In 2003, HUL acquired the Cooked Shrimp and Pasteurised Crabmeat business of the Amalgam Group of Companies, a leader in value added Marine Products exports.

Brands:

The company has a distribution channel of 6.3 million outlets and owns 35 major Indian brands.

Some of its brands include Kwality Wall's ice cream, Lifebuoy, Lux, Breeze, Liril, Rexona, Hamam, Moti soaps, Pureit Water Purifier, Lipton tea, Brooke Bond tea, Bru Coffee, Pepsodent and Close Up toothpaste and brushes, and Surf, Rin and Wheel laundry detergents, Kissan squashes and jams, Annapurna salt and atta, Pond's talcs and creams, Vaseline lotions, Fair & Lovely creams, Lakmé beauty products, Clinic Plus, Clinic All Clear, Sunsilk and Dove shampoos, Vim dishwash, Ala bleach and Domex disinfectant.Rexona,Modern Bread and Axe deosprays.

Mission:

Unilever's mission is to add Vitality to life. We meet everyday needs for nutrition, hygiene, and personal care with brands that help people feel good, look good and get more out of life.

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VANARAI FOUNDATION:

Vanarai organisation was formed by Dr. Mohan Dharia in the year 1982 and after securing success it was registered under the Charitable Trust Act in 1986. Since 2006 it has been converted into Vanarai Foundation.

During last 24 years Vanarai has reached all parts of Maharashtra and also outside.

Vanarai Foundation is now recognised as one of the major Voluntary Organisations both at the state and national level.

The Foundation has so far successfully made several strides including following major achievements.

Hinduataan unilever has been funding this Vanarai since last many years….

Objectives :-

Creation of self-reliant, clean and green villages and not only to prevent migration to cities but to initiate Reverse Migration from cities to villages. This is Vanarai's way for new direction of development.

Afforestation Environment Scientific Watershed Development to develop all lands, generate employment to millions

and create additional new assets for the country. Healthy Planned Urban areas with parks, gardens and other amenities Empowerment of women and youth Use of modem soft-wares for speedier development .

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ACTIVITIES.

DEVELOPMENT OF WASTE AND DEGRADED LANDSJOINT FORESTRY MANAGEMENTCOLLABORATION WITH CORPORATE SECTORINITIATING PROCESS OF REVERSE MIGRATIONINSTRUMENTAL FOR EMPLOYMENT GUARANTEE SCHEME AND OTHER PROGRAMMESTANKER FREE VILLAGES.

ECO CLUBS:-

PLANTS AND SEEDSSELF HELP GROUPSPUBLIC SANITATION MANAGEMENTPUBLICATIONS AND TRAINING CAMPSFORMATION OF CONFEDERATION OF VOLUNTARY ORGANISATIONSNOVEL SOFTWARE SOLUTIONS FOR FASTER RURAL DEVELOPMENT

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Part- 3Nature and Scope:

Background:

Corporate Social Responsibility has become an inevitable priority for business leaders across the globe. Governments, activists and media now hold the companies accountable for the social consequences of their actions and favourable publicity is often bestowed on companies with prominent CSR programmes. Yet for all hype of surrounding CSR efforts, they are frequently counterproductive.

The direct cost of CSR are loss of consumer surplus resulting from firms producing less output at higher cost and hence higher at prices. In addition, shareholders receive reduced financial returns. On the other hand, some shareholders may gain utility from that knowledge that their profits have been invested in socially responsible projects. There are number of reasons to believe that firms do not make socially optimal CSR Investments, in the sense of choosing activities that generate the greatest net social benefits, subjects to budgetary constraints. This is because firms CSR decisions are influenced by a number of factors that are unrelated to social benefits and costs.

(1) Firms CSR investment choices are influenced by managers personal preferences and by firms characterstics. For example some manage may favour on building some art museums, while others favour the provision of affordable housing. Firms choices about CSR activities are affected by:

- The nature of their industry- Firms size- Technical capabilities- Relevant expertise- Geographic loacation- And existing regulatory limits.

(2) Although the firm may be well informed about the private cost of CSR, they may have he little experience in evaluating its social benefits, leading then to choose inefficient levels of environment protection efforts.

(3) Firms may fail to consider alternativr mechanisim to their social goals.

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(4) Choice of CSR activity is affected by the firms ability to sacrifice profits. Firms that are most profitable are the most able to sacrifice the profits in the public interst. However the opportunity cost may also be the greatest for these firms, assuming that they could otherwise invest in the resources of business and earn similarly high returns.

Although there are reasons to doubt the optimality of the firms decisions about CSR, there are also reasons to believe that firms CSR investments decisions may increase the welfare.

Some critics of CSR have claimed that it is distraction from the essential activities of a business. Others struggle over what constitutes appropriate CSR activities, taking into consideration multiple and conflicting expectations of customers, employees, stockholders and community members. Still another concern is how extensive the investment in CSR should be while attempting to balance the legitimate interest of all the stakeholders. On the other hand some have argued that CSR is the moral obligation of the business, and some have been even suggested that appropriate CSR can improve the actual financial performance.

DETAILED DESCRIPTION OF CSR ACTIVITIES.

Social Mapping

Under the social mapping task, a social-economic survey is done so as to find out the standard of living of the villagers. The problems or requirements faced or needed in the villagers are traced through the various activities starting with a sarpanch in the meeting in their village. In addition to that a pre-generated questionnaire prepared by Vanarai Foundation, Pune. Hence the social mapping task helps the companies collaborated with Vanarai Foundation in making villages self reliant without depending on the Govt. funding by involving the local people.

The social mapping was executed at individual households in the entire village of Dapada and Bobbapada (chhoti pati) village. The Dapada village consists of several padas i.e Hadalpada, Missionpada, Zatipada, Mahalpada, Chaudripada, Sadakpada etc.

Health and Hygine Education

Lifebuoy Swastya Chetna is a rural health and hygine initiative which was started in 2002. LBSC was initiated in the media dark villages of U.P, M.P , Bihar, West Bengal, Maharastra, Orissa with the objective of spreading awareness about the importance of washing hands with soap.

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The need for a program of this nature arose from the fact that diarrhoel diseases are a major cause of death in the world today. It is estimated that diarrhea claims the life of a child every 10 seconds and one-third of deaths are in India. According to the study done by the London School of Hygine and Tropical Medicine, the simple practice of washing hands with soap and water can reduce diarrhea by as much as 47%. However, ignorance of such basic hygine practices leads to high mortality rates in rural India.

Being India’s leading personal wash health brand, lifebuoy saw a role for itself in propagating the message of hygine and health in villages. We launched our lifebuoy Swasthya Chetna initiative keeping this rationale in mind.

LBSC is a multi-phased activity which works towards effecting behavior change amongst the rural effecting behavior change amongst the rural population it touches. It demonstrates that “visible clean is not always clean” thereby improving the importance of washing hands with soap. It targets children as they are in the harbingers of change in the society and mothers. Since they are the custodians of health.

As stated above, the campaign has been divided into various phases. A number of tools such as a pictorial story in a flip chart format. A”Glo-germ demonstration” is a unique tool to make unseen germs visible and emphasize the need to use soap to wash hands and kill germs.

The programme has touched 27000 villages and 80mn people over the last four years. In 2006 alone LBSC contacted 10000 villages in U.P, M.P , Jharkhand and Bihar. This ongoing project is committed to spreading the message of health and hygine and touching more lives in rural india over 2007.

Women’s Welfare Group

The women’s residing in the village with common interest can come up and form the welfare group. Under this welfare group only the permanent resident women’s are allowed to the member of the group. Maximum ten members are required to form this welfare group. This welfare group opens a separate account in the name of the welfare group in any of the nationalized banks wherein they deposit the monthly contribution made by each members. In the welfare group each of the members contribute a fixes sum of money on the monthly basis. This group has 3 members as president, secretary and treasury to look after the functions of the group however the responsibility of all this members differs.

Main purpose of group:

- To generate saving within the group- To help the group members in ad-hoc situations by providing the funds- To grant loans to others and therby generate income for the group

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- To invest the fund for starting small business

The President Role :

The president is the main person and looks after all the activities conducted by the group members.

The Secretary Role:

She looks after the documentation of the group and is responsible for conducting and informing the members about the meeting at the regular intervals of time.

The Treasurer Role:

She maintains the fund collected and deposit the same in the group’s bank account.

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Karchond

KARCOND the largest village targeted so far and one of the most underdeveloped village in Silvassa.

Village Selection: In case of village selection the company, strongly follows this philosophy that “if u take it from the society, you need to return it with utmost gratitude” therefore HUL gives more priority to those villages, from which maximum of company’s resources are availed in terms of manpower and various other resources.

Village Development Plan: Once the village to be developed is chosen, there is an entire team that works upon the development plan of the concerned village. The planning takes place in various Phases.

In the initial phase, the team maintains anonymity and habitats in the village as villagers, in order to attain non-biased, true and actual scenario of the village. They interact with villagers and scrutinize the actual picture of the village, and based on the output of this analysis they initiate their development plan.

A questionnaire is formulated, keeping in mind the core facts which had to be attained like the location, the land use pattern, the economy, agriculture etc about the situation of the village via the questionnaire

The Location: The project village is located in Silvassa taluka of Silvassa district of Dadra Nagar Haveli. The project village is located at the fringe of rainfall zone. The figure of rainfall is 1990m.m

Total Geographical Area- (558.00) 100% area is under rainfall.

Reasons for depletion of land resources and erosion leading to lower yields:- Poor cultivation practices, lack of conversation measures, lack of proper drainage. Main crops- Paddy, Ragi, Nagli, Udid, Tuwar.

Based on the information from the survey done by Vanarai Foundation the cost for the action plan is estimated. And the entire project is financed HUL.

The Impact: At present, the annual value of agricultural output, biomass and dairy is about 5245868. After 4 .5 years of implementation of the watershed development programme, the output value is expected to Rs 12660360. Apart from the economical development, community oraganisation and good social atmosphere will be developed in the village and also water will be

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available through out the year due to rise in the ground water table and recharge the existing wells.

The development that has taken place in Karchond to increase the agricultural output and make the water available throughout the year and increase in water level table are:

a) Loose Boulder:

It is one of the semi permanent structures constructed to control the gully erosion and to reduce the speed of the runoff water. This structure is being constructed at the upper reaches of water shed on gullies having catchment area. Locally available stones are used for filling the foundation and stone from stone quarry is proposed to be used for construction of super structure. Round shape structure should not be used in the structure. Necessary excavations to be done for the foundation depending on site conditions.

b) Garbioan Structure:

It is one of the semi- permanent structures. It is more or less similar to loose boulder structure. Only difference is that the boulders are bound by galvanized wire mesh which is of 3mm diameter, which increased the life of the structure. It serves the purpose of both soil-moisture conversation and nalla bank protection. Total 8 structures were proposed.

c) Farm Pound:

This is small water harvesting structure constructed in farm at a natural depression point. It is to be constructed in partially cutting and filing manner.

As a constructed within agriculture land seepage through this pond will be more useful to increase the soil moisture capacity of agricultural land. Distribution of water to the fields is possible. As this pond is actually within cultivable land only evaporation loss affect to the total storage. Remaining every drop of the water will be useable for the crops.

Five farm ponds are proposed in the project area. Size 30 mtr*30 mtr*30 mtr. The cost of the farm pond is worked out to be Rs: 96365.

d) Mansory Check Dam:

This is a small store mansory homogenous structure built in cement mortar. Normally this type of structure across the nalla/river course where the nalla/ river section is narrow and the hard strata is available in the nalla/ river coarse at lesser depth. The proposed structures are like broad crested weir. It means that certain quantity of water is to be stored in the nalla/ river basin itself and excess quantity run off is to be passed over the structure. Under present project one structure of this type is proposed at suitable site.

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e) Ban Plant:

This process gives rise to afforestation. Normally , small and the marginal farmers have there farm attached to the house so in order to protect the wild animals to come inside, boundaries are made using small trees and these trees are then used by the famers for cooking purposes hence, Afforestation takes place as they don’t have to go to jungle to cut the trees.

f) C.C.T (Continous Counter Trenches):

One row of continuous trenches will be dug below the first boundary. Cross section of CCT will be 0.6m x 0.6 m. After every thirty meter the CCT will be broken by small mount of soil. Care will be taken to align the CCT properly along the contour as there is always the danger of the CCT turning into water drainage nalla.

The CCT will help in reducing the speed of the run off the water. It will reduce soil erosion and conserve water. Water is stored in trenches, whenever it rains. The stored water is slowly percolates into the soil.

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Problem Statement:

This research deals with identifying the problems like sanitation, education, health, etc which are faced by the people residing in the village and the facilities required by them in the villages so that HUL can help them in providing with some facilities

Research objectives:

- To find the deficiencies in village like sanitation, education, health etc- To involve the people for finding the deficiencies in the village- To discuss the requirement as per the needs- To bring the people together for the development of the village.

Research Methodology

- Survey:

A highly structured pre generated questionnaire was used for collecting the detailed information from the two villages named as Dapada and Pati.

- Survey Method:

Census survey methodology was used for the socio- economic survey. The target population was the head of the each and every house of Dapada and Pati village.

- Sample Size:

The sample size includes each and every house of the village and the questions are asked to the head of the family as they represent their family.

Limitations:

- Few respondents were non- cooperative- The data provided by few respondents were falsified.- Language was not the problem.

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Findings:

From the survey conducted by us we discovered few common problems faced by the villagers of Dapada and Pati they are as follows:

- Adequate sanitation facilities are required by the villagers- Sufficient irrigation facilities for farming- Shortage of Electricity in the villages.

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Section 4

Overall Experience And Learning:

- The overall experience was excellent- The exposure brought us out of our comfortable cocoons and threw us into the harsh

realities of life.- We understood that the world is not exactly the way we think it is. The reality hits hard.- This responsibility if converted into action with support of corporate can change a million

villages in India wallowing in ignorance, stigmas and taboos.

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