Corporate Social Responsibility(CSR) through Non-Governmental Organizations (NGOs )
CSR by Law
Recent changes in the Indian Companies Act make CSR spend mandatory at 2% of average of net profits of last 3 years.It is now mandatory for the profitable companies to spend at least 2% on CSR activities in the areas like literacy, women empowerment, environment, water, sanitation etc. Many companies have not even thought of doing anything in this area as yet. Whatever projects a company may take up under CSR but its sustainability must be ensure to see that a permanent solution is found to the issue under the CSR intervention. Some progressive companies are inviting their employees to participate in the company CSR activities to bring a concept of individual social responsibility to make CSR
an effective tool for change.
NGOs in India
India has possibly the largest number of active non-governmental, not-for-profit organizations in the world. A recent study commissioned by the government put the number of such entities, accounted for till 2009, at 3.3 million. That is one NGO for less than 400 Indians, and many times the number of primary schools and primary health centres in India. It is estimated that the number of NGOs will spur upto 4 millions with the opportunities coming up by way of CSR spend by over 8500 public and private sector companies worth Rs.15,000 to 18,000 crores annually. This amount is expected to grow every year at least by 10 to 12%.Even this staggering number may be less than the actual number of NGOs active in the country. According to the government study, the largest number of NGOs are registered in Maharashtra (4.8 lakh), followed by Andhra Pradesh (4.6 lakh), UP (4.3 lakh), Kerala (3.3 lakh), Karnataka (1.9 lakh), Gujarat (1.7 lakh), West Bengal (1.7 lakh), Tamil Nadu (1.4 lakh), Orissa (1.3 lakh) and Rajasthan (1 lakh). More than 80 per cent of registrations come from these 10 states.
How does a company identify the right NGO for CSR intervention?
With this veritable ocean of NGOs, it isn’t easy to pick the right one for a company to engage in CSR intervention. Companies not only must allocate funds, but also work with the NGO on CSR interventions. This requires the need for effective monitoring and evaluation mechanisms in place.
It is critical for a company to rate an NGO on parameters while shortlisting one for CSR implementation.
i. Years in operation – It is important for a corporate to work with an NGO that has demonstrated years of experience and reliability. During this time, it must have mobilised resources, infrastructure and people for a social cause.
ii. Geography – Companies should preferably look for an NGO near the project area. This not only ensures easier logistics, but also an intimate understanding of the local needs, geography, language, culture etc.
iii. Reputation – Transparency, accountability and measurable change in a social welfare context are how an NGO’s reputation can be measured. This gives an NGO credibility, making it trustworthy of using corporate assets and funding for CSR goals.
iv. Certification (e.g. filing for donation tax return) – Certification allows corporates to assess if an NGO complies with legal norms, as legal issues can compromise CSR implementation. Certification includes Income Tax exemption, FCRA, service tax, and also proper internal documentation in case an audit is requested.
v. Relevant experience – An NGO must have shown work in projects relevant to the corporation’s CSR goals.
vi. Leadership – The NGO’s leadership must be well-known promoters, with no legal proceedings or controversies to their name.
vii. Credentials – An NGOs credentials can also be ascertained via certificates, awards, news coverage, and membership of NGO and corporate bodies like CII, Chamber of Commerce etc.
Why choose IFI as your CSR partner ?
Work accomplished by Infinity Foundation:
1. IFI has researched and published 14 volumes on the History of Indian Science & Technology . These seminal volumes, however, need more good channels of distribution.
2. IFI has sponsored and organized numerous conferences on Indian models and practices in psychology and cognitive sciences. This impact can be multiplied if the research already compiled from these seminars and conferences can be provided more platforms in universities and colleges via
special courses as part of the curriculum. So Indian Mind Sciences is another area in which we have produced huge amount of work.
3. Shri Rajiv Malhotra, founder and president of IF, has published five path breaking books, each of which has opened fresh and provocative lines of research in India related studies through the Swadeshi Indology Conference Series. We are in the process of compiling the proceedings
of these conferences into printed volumes. So far we have done two conferences which will be producing 8 volumes of books.
4. Through numerous lectures and the use of social media, we have championed the cause of the Grand Narrative of Bharat (India) in multiple domains.
5. Our impact can be broadened if these ideas find space in education materials prepared for schools and universities.
6. Proven track record of converting ideas into concrete projects with specific outcomes.
You can partner with IFI and help change India for the better. You can help shape the Grand Narrative of India in the coming years and help her take her rightful place as the knowledge hub of the world as is evident from the work that we at IFI are striving to showcase and foster.
IFI is CSR compliant. As an organisation whose primary focus is on intellectually powering the future of India and the related global discourse – primarily via original research and its global dissemination – its impact and influence is on the thought leaders and the influencers.
IFI has more far reaching impact than many other organizations in this area.
Choose IFI as your high impact CSR partner.
IFI is registered under section 12AA of the Income Tax Act, 1961 bearing the registration number AABTI3519D/05/16-17/T-2081
IFI also has 80G exemption vide this order: URNo.AABTI3519D/05/16-17/T-2081/80G