Abstract—In a global economy, increasingly organizations have

a responsibility to facilitate, demonstrate and promote Corporate Social Responsibility (CSR). Long-term sustainability demands that organizations rethink their business goals and objectives from solely focusing on making a profit to corporate citizenship. Sustainability is balancing social, environmental, and economic factors for short and long-term performance and it also argues that organizations have a responsibility to multiple stakeholders in the conduct of their business and not just to the shareholders. It is an organization’s way of integrating economic, social and environmental imperatives of their business. CSR does not change as much as broaden the HR agenda, and focuses on effective implementation. Corporate Social Responsibility will not solve all of society’s ills, but it will go a long way to making the world a better place. In corporate terms, CSR makes good business sense. It gives everyone a reason to smile.

Keywords— Corporate Social Responsibility, long-term performance, ethical behavior.

I. INTRODUCTION N a global economy, increasingly organizations have a responsibility to facilitate, demonstrate and promote

Corporate Social Responsibility (CSR). Long-term sustainability demands that organizations rethink their business goals and objectives from solely focusing on making a profit to corporate citizenship. Corporate Social Responsibility9[1], or CSR, is a business strategy with a growing currency in the US and around the world. Closely linked to the principles of “Sustainable Development”. Sustainability is balancing social, environmental, and economic factors for short and long-term performance and it also argues that organizations have a responsibility to multiple stakeholders in the conduct of their business and not just to the shareholders. It is an organization’s way of integrating economic, social and environmental imperatives of their business. Corporate Social Responsibility (CSR) is an issue that is working its way into many policy debates and corporate agendas. CSR is an evolution in the approach towards sustainable development. CSR emphasizes the need for companies to adopt a coherent

Dr.N.Rajendhiran is Prof-Cum-Director, PRIMS, Periyar University Salem-636011, Tamilnadu, India. Email: drrajanprims@gmail.com Mobile: 91-09360717788 C. Silambarasan is PhD- Research Scholar, Periyar Institute of

Management Studies, PERIYAR UNIVERSITY, Salem-11, MOBILE NO: +91 99943 94969, Email: csilambarasanphd@gmail.com

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approach to a range of stakeholders, including investors, employees, suppliers and customers.

II. CORPORATE SOCIAL RESPONSIBILITY Most ideal definition of Corporate Social Responsibility

(CSR) has been given by World Business Council for Sustained Development which says, “Corporate Social Responsibility is the continuing commitment by business to behave ethically and contribute to economic development while improving the quality of life of the workforce and their families as well as of the local community and society at large”.

Thus, the meaning of CSR is two fold. On one hand, it exhibits the ethical behavior that an organization exhibits towards its internal and external stakeholders (customers as well as employees). On the other hand, it denotes the responsibility of an organization towards the environment and society in which it operates.

Organizations generally believe that acting in a socially responsible manner will create value for them. The fact that an organization is committed to social causes, also gives employees a sense that the company would also be committed to the welfare of its employees as well.

III. CORPORATE SOCIAL RESPONSIBILITY AND INDIA India Inc has joined hands to fine-tune all its activities

falling under CSR. For this, it has set up a global platform to showcase all the work done by Indian firms. CII and the TVS Group have collaborated to form the CII-TVS Centre of Excellence for Responsive Corporate Citizenship. The outfit, based in Chennai, will provide consultancy services and technical assistance on social development and CSR.

[2]CSR is more than philanthropy and does not necessarily refer to 'giving and receiving'. To quote Venu Srinivasan, chairman, The Confederation of Indian Industry (CII) National Summit on CSR 2007, and managing director, TVS Motors and Sundaram Clayton, 'an effective CSR initiative must engage the less privileged on a partnership basis.'

Over 80 per cent companies in India are engaged in CSR-oriented activities, marking a 17 per cent jump since 2004. Significantly, a recent study by the Nottingham University Business School has ranked India number one, in terms of CSR penetration among the seven Asian countries surveyed, even though India had the lowest per capita GNP (gross national product).

Changing Role of Human Resource managers for Promoting Corporate Social Responsibility

Dr.N.Rajendhiran and C. Silambarasan

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IV. INITIATIVES OF CSR IN INDIAN COMPANIES In India, CSR has evolved to encompass employees,

customers, stakeholders and sustainable development or corporate citizenship. The spectrum of CSR includes a number of areas as human rights, safety at work, consumer protection, climate protection and caring for the environment, and sustainable management of natural resources. From the perspective of employees, CSR activities include providing health and safety measures, preserving employee rights and discouraging discrimination at workplace. [3]This helps in fostering a healthy environment within the company. For example, after 1945, TATA implemented social welfare provisions for its employees that have since become the legislative norm. From the perspectives of customers, CRS activities may include commitment to product quality, fair pricing policies, and so on.

CSR taken up by various genres of companies primarily focuses on poverty alleviation, environmental protection and sustained development. Companies are taking initiatives for developing infrastructure in rural areas, e.g., TATA Motors provides desks, benches, chairs, tables cupboards, electrical fittings and educational and sports material to various primary schools in rural areas such as Singur. Similarly, TVS Electronics was involved in CSR during the Tsunami to provide relief measures to the victims. They have also participated with the government to improve sanitation in a village called Tiruvidenthai. Such initiatives will help in improving the conditions of rural people. Satyam Foundation of Satyam Computer Services Ltd., Infosys Foundation of Infosys Technologies Ltd., GE Foundation of the General Electric Company are exemplary instances of the philanthropic commitment of the corporate sector in India. Irrespective of the profits they make, these foundations are aiming at uplifting of the poor and enhancing the standard of life in the rural sector.

V. ROLE OF HUMAN RESOURCE MANAGERS During the last twenty years human resource management

(HRM) has become a common way of managing people. Such an approach involves Human Resource professionals partnering with other managers so that people are used in the most effective way. More recently there have been calls for HRM to demonstrate that it adds value to the business.

[4] Corporate social responsibility and responsible capitalism pose a number of challenges for HRM and for leadership in organisations. The HRM paradigm is based on a rational strategic management framework which is consistent with traditional economic analysis. This paradigm is limited in circumstances where organisations seek to behave responsibly with regard to a range of internal and external stakeholders and seek to take a longer term perspective.

Human Resources shares the lead in advancing and articulating the company's approach to CSR. In the quest for top notch employees, recruiters at colleges are routinely being asked about their company's commitment to and examples of

CSR. Generation X'ers and Generation Y'ers are aggressive in their desire to work for companies that are socially responsive in addition to their financial and business acumen.

Today, the impact of CSR is beginning to be seen in communities throughout the world from human rights and labor practices to health care and the environment. At home and abroad, HR plays a critical role that of leading and educating their firms regarding the importance of CSR while at the same time strategically implementing sound HR management practices that support the company's business and CSR goals. Successful CSR programmes depend on enlightened people management practices. The HR department is responsible for many of the key systems and processes (eg recruitment, training, and communications) on which effective delivery depends. Getting the employment relationship right is a precondition for establishing effective relationships with external stakeholders. CSR does not change as much as broaden the HR agenda, and focuses on effective implementation. Corporate Social Responsibility will not solve all of society’s ills, but it will go along way to making the world a better place. In corporate terms, CSR makes good business sense. It gives everyone a reason to smile. It is what the future of business is all about.

VI. CORPORATE SOCIAL RESPONSIBILITY AND HRD Who can play better role in linking industry with

community? The answer here is Human Resource Management Department of the industry.

Corporate social responsibility provides HRD[4] with an opportunity to play an even more influential role in Organizations. The HR managers should take lead in its effort to make a linkage between community and the industry. To develop better rapport with the people, HR managers have to make use of their Strategic Relationship Management Skills. They should interact with the community by establishing better linkage with the Non Governmental Organisations Working there in the locality. [6]The HR managers can initially conduct Focus Group Discussion (FGD) with the community and community leaders with the help of Non Governmental Organisations and need evaluation and need prioritization is to be conducted. Human Resource Departments play a critical role in ensuring that the company adopts Corporate Social Responsibility programs. Furthermore, HR can manage the CSR plan implementation and monitor its adoption proactively, while documenting (and celebrating) its success throughout the company.

VII. CORPORATE SOCIAL RESPONSIBILITY & SUSTAINABLE DEVELOPMENT

Corporate social responsibility (CSR) and sustainable development is gaining increasing prominence in the global business culture, as many businesses attempt to accommodate the CSR agenda. [7]The concept of corporate sustainable development is still the subject of controversy and therefore the indicators used to measure CSR continue to be the topic of

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debate. However, no matter what indicators are used, the notion of responsibility includes responsibility for people in the collective sense (such as communities) and also for individuals.

An Australian measurement process, the Reputex Social Responsibility Ratings provides a system to measure social responsibility performance and attempts to integrate the expectations of a variety of stakeholders. Two of its four criteria reflect the impact on people and have direct relevance to HR. Four categories of measurement are used: environmental impact; corporate governance; social impact and workplace practices.

The criteria used to measure workplace practices relate specifically to HR practices. The criteria include: employee involvement; fair and reasonable rewards and conditions; a positive commitment to diversity and work-life balance; industrial relations arrangements based on mutual respect; occupational health and safety arrangements; executive remuneration that is fair and reflect the concerns of internal stakeholders; independently verifiable performance measurement and evaluation systems and training and development policies. These criteria indicate that an organisation that is seen as socially responsible creates a culture that is perceived as open, fair and attractive to potential and existing employees.

But is CSR nothing more than “a religion with too many priests[8], in which there is no need for evidence or theory driven by top management’s personal beliefs”, as management guru Michael Porter said at the 2004 European Business Forum.

CSR initiatives have a positive impact on employee morale, motivation, commitment, loyalty, training, recruitment and turnover. Benefits in these areas have been found to improve the bottom line of companies. Three surveys across Europe, the USA and a survey involving 25 countries found employees felt greater loyalty, satisfaction and motivation when their companies were socially responsible.

Therefore, corporate initiatives can contribute to the branding of organisations in the labour market. CSR provides HR with opportunities.[9] It provides a further opportunity to contribute to business success and employee satisfaction and performance. It also provides additional opportunities to contribute to community wellbeing.

Here are some suggestions for Human Resources leaders to promote corporate social responsibility within their organization. 1) Define corporate social responsibility for your company

or industry. 2) Conduct extensive and continual research on the concepts

of Corporate Social Responsibility. 3) Establish metrics for measuring the impact of the

company's CSR practices. 4) Involve employees in defining and advancing CSR. 5) Keep track of all measurable costs. 6) Communicate to everyone 7) Establish positive and pro-active relationships with other

socially responsible companies.

VIII. CONCLUSION Corporate social responsibility is most frequently used to

describe a company's relations with its wider community. CSR is on the boundary of HR and PR. There are dangers for companies and for the HR function if it is allowed to slide too far towards PR. More than excessive use of relationship management techniques they should make use of strategic relationship management approaches. This strategic relationship management approaches includes the relationship development, maintenance and separation factors. Successful CSR programmes depend on enlightened people management practices. The HR department is responsible for many of the key systems and processes (eg recruitment, training, and communications) on which effective delivery depends.. HR has to integrate CSR initiatives through its roles as business partner, employee champion, administrative expert and change agent. It also requires HR to be an organisational advocate in the community and with other external stakeholders. HR has a role in demonstrating the benefits of workplace practices that both reflect CSR and at the same time, contribute to organizational efficiency and success.

REFERENCES [1] International Journal of Training and Development, Vol. 12, Issue 1, pp.

24-35, March 2008. [2] Business for Social Responsibility: www.bsr.org [3] World Business Council for Sustainable Development: www.wbcsd.org [4] World Economic Forum: www.weforum.org [5] Strategic Human Resource Management; Jeffry A.Mellow- Thomson

South-western Publihsers. [6] Human Resource Management; Gary Dessler- Prentice Hall -7th Edition. [7] Organisational Behaviour ; Fred Luthans –Mc Graw Hill-9th Edition. [8] Organisational Behaviour ; Stephen P Robins –Prentice Hall-10th

Edition [9] World Business Council for Sustainable Development. (2000, January).

Corporate social responsibility: Making good business sense. Conches-Geneva, Switzerland: Author.

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