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Philanthropy and CSR

Philanthropy and Corporate Philanthropy have many faces. They are often linked with salespromotion, advertising, sponsorships, and event marketing. There is a correlation between theseactivities, as all tend to better position a business in the minds of its stakeholders and customers.

But they are also different from each other.

A major difference is the source of funds. Donations, corporate contributions and budgets forCorporate Social Responsibility (CSR) projects and programmes are allocated from a companysprofits. Funds for sales promotion, advertising, sponsorships, and event marketing are taken aspart of operating expenses.

The rapid growth of sponsorships and event marketing in recent years around the world hasblurred the sources of funds for these activities. Tax collection and regulation authorities,businesses, charities, as well as philanthropy organisations could all benefit from ensuringtransparency.

Philanthropy contributions ought to be made with no expected direct monetary return to thecontributor. It is the impact of a companys CSR programme that indirectly brings manybenefits, including more customers and profits.

It is unethical and illegal to make contributions from philanthropy organisations and CSRbudgets to political candidates running for office or to political parties and organisations. Tryingto cut corners and do favours when being charitable could turn philanthropy into profanity.

MOBILINK

Mobilink, a subsidiary of the Orascom Telecom Holding, is Pakistans leading cellular and Blackberry

service provider.

CSR at Mobilink:

y Support local communities in which customers, employees, investors and suppliers live.y Programs to increase accessibility and use of mobile technology in education, communityhealth and employability.y Protect the environment and promote sustainable practices in business value chain.y Promote diversity and remove barriers that prevent people from participating fully in

society.y Support personal development of employees and their involvement in local communities.y Share benefits of developments in mobile communications technology as widely as

possible.

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PHILANTHROPY ACTIVITIES BY MOBILINK

y Ongoing: (Community) Charity and community involvement initiatives with The Citizens Foundation, Roshni

Homes Trust, Zindagi Trust, Shaukat Khanum Memorial Trust, Layton RahmatullahBenevolent Trust (LRBT), Lahore Businessmen Association for the Rehabilitation ofDisabled (LABARD), and Al-Shifa Eye Trust.

y October 2005: (Disaster relief)Mobilink Earthquake Relief: Rs 5 million was raised through SMS donation with the

company donating an extra Rs 5 million. Chairman Orascom Telecom, Naquib Sawarisalso donated $ 1 million for this cause.

y June 2006: (Health) Mobilink helped establish the Plasmapheresis ward in collaboration with the PakistanMyasthenia Welfare Organisation (PMWO) in Pakistan Institute of ManagementSciences (PIMS) hospital. It is completely funded by Mobilink.

y November 2006: (Education)Mobilink donated Rs 20 million to The Citizens Foundation (TCF) to set up two schools;a primary school in Nathoki, Lahore and a secondary school in Taiser town, Karachi.

y December 2006: CSR function introduced to the Marketing department within the organization.

y December 2007: First CSR Report and launch of new CSR website.

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Code of Conduct Animation Series - MobilinkMobilink, a subsidiary of the Orascom Telecom Holding, is Pakistans leadingcellular and Blackberry service provider with more than 31.6 millionsubscribers.

White Rice was commissioned to develop an animated series on "EmployeeCode of Conduct" to increase subject awareness. The animation aimed atemphasizing various aspects and issues related to positive and negativeapproaches towards work, its effects on corporate environment, employeemorale and work relationships with colleagues. The animation was based ontheir Code of Conduct manual and was presented in an interactive and engagingmanner.

These animations were accessible by employees over the company intranet.