No Money Assignment

7/27/2019 No Money Assignment

http://slidepdf.com/reader/full/no-money-assignment 1/25

Distributed and Printed by

IBSCDC, India

www.ibscdc.org

All rights reserved

Phone : 91(40) 23435310 - 11

Fax : 91(40) 23430288

E-mail : [email protected]

Related Products Availability Reference No.

Case Study CSR0061

Teaching Note CSR0061-1

Who Says there is No Money in CSR?

Structured Assignment Reference No. CSR0061-2

This structured assignment was written by Raghava Krishna Neti under the direction of

Saradhi K. Gonela, Icfai Business School Case Development Centre.

Copyright © 2009, Icfai Business School Case Development Centre

No part of this publication may be copied, reproduced or distributed, stored in a retrieval

system, usedin a spreadsheet, or transmittedin anyform or medium– electronic,mechanical,

photocopying, recording, or otherwise – without the permission of Icfai Business School

Case Development Centre.



Who Says there is No Money in

CSR?

STRUCTURED ASSIGNMENT (SA)

SA has a set of logically sequenced questions based on a specific case study. These

questions are meant to enhance the logical and analytical skills of the students. Students

are advised to attempt a SA only after they have acquired a reasonable conceptual

understanding as indicated below.

Structure of the Structured Assignment

Section Title of the Section Number of Questions

I Circumstances that forced organisations to adopt CSR as a 4

business policy

II Initiatives by organisations to adhere to the demands of ethical 5

consumers

III Wal-Mart Initiatives 4

IV Hindustan Unilever Limited (HUL) Initiatives 3

V Nestle India Limited Initiatives 3

VI Business Sustainability and Social Marketing: Improving 3

bottom-line

PREREQUISITE CONCEPTUAL UNDERSTANDING

(a) To understand theexpectations of consumers andotherstakeholders from thebusiness organizations, BoniniSheila

M. J., “What Consumers expect from Companies”, The McKinsey Quarterly, 2007.

(b) To understand a companies’ role in the society, Ian Davis, “What is the business of business”, The McKinsey

Quarterly, 2005.

(c) To understand the responsibilities of multinational corporations, Oppenheim Jeremy, “Corporations as Global

Citizens”, The McKinsey Quarterly, 2004.

(d) To understand how the social issues become strategic for organisations’sustainability, Bonini Sheila M. J., “When social

issues become strategic”,The McKinsey Quarterly, 2006.

(e) To understand the calculation of returns from resources employed on corporate responsibility, Margin Roger L,

“The Virtue Matrix: Calculating the Return on Corporate Responsibility”, Harvard Business Review, March 2002,

(f) To understand how the companies achieve competitive advantage by incorporating corporate philanthropy in its business policy, Porter Michael E and Kramer Mark R, “The CompetitiveAdvantage of Corporate Philanthropy”,

Harvard Business Review, December 2002

(g) To understand why companiestend to incorporate CSR in business policy strategicallyand itsrelationship with the

society, Porter Michael E and Kramer Mark R, “Strategy and Society: The Link between Competitive Advantage

and Corporate Social Responsibility”, Harvard Business Review, December 2006

(h) To understand howcorporate philanthropyadds valueto theorganisational goalsespeciallyto thebottom-line, new

business model and competitive advantage, Porter Michael E and Kramer Mark R, “Philanthropy’s New Agenda:

Creating value”, Harvard Business Review, November–December 1999.



3


For Use by the Student

Name of the Student :

Enrolment Number :

Programme :

Course :

Name of the Instructor :

To be Submitted on :

Signature of the Student :

Date :

For Use by the Instructor

Grade Awarded/Marks Awarded :

Remarks :

Signature :

Date :

INSTRUCTIONS TO THE STUDENTS

This assignment should accompany the case on Who Says there is No Money in CSR? developed

by Icfai Business School Case Development Centre.

• The learning from this SA can be enriching if it is attempted after having a prerequisite

understanding of concepts outlined in the previous page

• Start working on this assignment after carefully going through the case and grasping the

significant aspects of the case, including the ‘central dilemma’

• Refer to the case as often as needed, when you are working on this assignment. This is an

“open book” assignment

• Write your answers in as much detail as possible. Do not write cryptic or too brief answers

in telegraphic language

• Attempt to answer all questions in all sections• For a few questions, there may neither be ‘one’ answer nor a ‘correct’ answer. Therefore,

give your analysis and logic wherever required. Develop your answers in an integrated

manner drawing from your complete understanding of the case

• Use extra sheets, if necessary

• The time limit for completing the assignment and the weightages assigned to each section

in this SA for the purpose of grading will be announced by the instructor.



4


Circumstances that forced organisations to adopt CSR as a business policy

1. Ethical consumers adopted the policy of ‘positive buying’ and ‘boycotting or avoiding’

(page 2, para 1 of the case study). Why did ethical consumerism evolve? Explain its

principles and substantiate its role in compelling the companies to adhere to businessethics.



5


2. In 1971, ethical consumer groups in California have targeted Adidas (page 2, para 3

of the case study). Why did they targeted Adidas? Do you feel ethical consumers’

role is authenticated in campaigning against a company’s policies and practices?



6


3. Governments of North East sea nations banned on future dumping of steel-built oil

installations (page 4, para 1 of the case study). Analyse the circumstances that lead

to this decision by the governments. Who has influenced the governments for this

decision?



7


4. Ethical consumerism forced organisations to rethink their business policies (page 5,

para 3 of the case study). Sketch the affects of ethical consumerism over the practices

of companies. How are companies reacting to the ethical consumers’ demands?



8


Initiatives by organisations to adhere to the demands of ethical consumers

5. Shell started eco-friendly program in 1997 (page 6, para 3 of the case study). What

has made Shell to initiate the eco-friendly policies? Do you think Shell could benefit

from the eco-friendly policies? If yes, how? If no, why not and what other policieswould you suggest for Shell?



9


6. Levi-Strauss started an ambitious project “Eureka” in 1999 (page 7, para 3 of the

case study). What is “Eureka”? Did Levi-Strauss initiate Eureka for the benefit of

the society? If yes, what kind of CSR activity is that? If not, what were the perceived

benefits of project Eureka?



10


7. Microsoft’s initiative has solved the problem of shortage of ITmanpower and created

a talented pool for recruiters (page 14, para 2 of the case study). Did Microsoft

initiate this only for society benefit? If the company has also got benefited, explain

how? If not, how would you justify the expenses of Microsoft on this initiative?



11


8. Bhopal incident has proved how a critical incident can change the destiny of a

company (page 6, para 1 of the case study). Briefly sketch the incident and its

consequences, both on the society and the company.



12


9. In all the above examples the companies involved have merely reciprocated to a

company’s problem and painted it with CSR or the initiatives were adopted as a part

of their brand building activities. Can you cite some companies that have taken CSR

initiatives as novel policies and tried to stand benefited by fulfilling responsibilities

towards the society?



13


Wal-Mart Initiatives

10. Lee Scott, president and CEO unveiled the vision and commitment in his 21st Century

Leadership Speech (page 8, para 4 of the case study). Explain in brief the vision and

commitment. What has made the company to take up that commitment?



14


11. Wal-Mart has formulated sustainability criteria for its suppliers on packaging (page

9, para 1 of the case study). What did this initiative mean for suppliers? Did this

initiative fetch any results for Wal-Mart? If yes, how? If no, why not?



15


12. Wal-Mart launched an action plan spending $500 million a year to improve the

efficiency of its fleet (page 9, para 2 of the case study). Has this initiative resulted in

savings for Wal-Mart?



16


13. Has Wal-Mart achieved the expected objectives by implementing such policies and

practices? Were these policies restricted to just fulfilling the initial objectives? Has

the company been able to extract other benefits also? If yes what were they? If no

what do you suggest the company to get better results with same financial

commitments?



17


Hindustan Unilever Limited (HUL) Initiatives

14. HUL has prioritized on the initiatives which are sustainable and have long-term

benefits for business and society (page 10, para 2 of the case study). What does

sustainable and long-term benefits mean in this context? Briefly explain the initiativeand analyse how the said initiatives could help the company achieve its goals.



18


15. Under project Shakti Rural women will be taking HUL stocks on Cash and Carry

model and the required finance will be provided by local self help groups and micro

finance institutions (page 10, para 2 of the case study). How will you categorise this

as a social initiative? Can you term Project Shakti as a social marketing? Analyse

how rural women would be benefited by this initiative.



19


16. Project Shakti reached a break-even point on operational expenses in 2004 (page 10,

para 3 of the case study). Did Project Shakti deliver any results for HUL apart from

financial yields?



20


Nestle India Limited Initiatives

17. Nestle understood the lack of basic infrastructure resulting in hindrances of

establishing local sources of milk and focuses on improving the infrastructure in

Moga (page 12, para 4 of the case study). How did Nestle start its operations inMoga in 1962? Analyse the factors that have contributed for Nestle’s success in

Moga.



21


18. Nestle’s initiative resulted in sustainable supply of high commodity sources (page

12, para 5 of the case study). How did Nestle’s success help local farmers? Also

analyse the indirect benefits that the company has enjoyed in Moga district.



22


19. How Moga experience would be beneficial to global company like Nestle? Do you

think the company could leverage these learning for higher revenue and better

margins?



23


Business Sustainability and Social Marketing: Improving bottom-line

20. How do you differentiate between Social Marketing and CSR?



24


21. Companies understood CSR can minimize negative effects of the ethical consumerism

and contribute in a positive manner to the development of its workforce and

community and ensures long-term sustainability (page 5, para 2 of the case study).

Analyse the relationship between CSR and sustainability. Explain how incorporation

of CSR in business policy helps the company in long-term sustainability.



25


22. What information do Exhibit I, Exhibit II and Exhibit III convey? Do they have any

relationship with the initiatives taken by the companies? Examine how

implementation of CSR improves the bottom-line, innovation process, creation of

new business models and ensuring competitive advantage for the companies.

Date post:	13-Apr-2018
Category:	Documents
Upload:	ezhil-vendhan-palanisamy
View:	226 times
Download:	0 times

No Money Assignment

Documents