Exhorting corporate enterprises to focus on “ethics as efficiency”, Chief Justice of India, Ranjan Gogoi on Friday said that the industry should integrate Corporate Social Responsibility (CSR) into a modern strategy. Gogoi was speaking at an Associated Chambers of Commerce of India (ASSOCHAM) event.
He said that practice will ensure that the financial drivers and sustainable development metrics are embedded into the mainstream businesses.
”In order to achieve the goal of social justice in the best possible manner, it is necessary that CSR be integrated into our modern business strategy. ‘sustainable’. We can do that by making our businesses to adopt, demonstrate, and practice more holistic approaches to business, where financial drivers together with sustainable development performance (i.e. social equity, environmental protection, and economic growth) are incorporated into mainstream business strategy and embedded in organizational values,” said Gogoi.
Emphasizing that CSR is much more than charity, he said it requires the companies and businesses to act beyond their legal obligations to integrate social, environmental and ethical concerns into a company’s business process.
In India, corporates have been engaging themselves in philanthropy and charitable activities while embedding the same in law has given a new dimension to the CSR.
“India is still a developing country, and ”although our economy began to thrive post privatization and globalization, our situation is different from that of the developed west. Therefore, having entered the global marketplace without a particularly robust regulatory infrastructure and without fully functional state services like schools, highways, or hospitals, we have experienced and continue to experience great inequities’,” Gogoi said.
Corporate taxation provides an important instrument for ensuring that a reasonable proportion of wealth must benefit the fellow citizens. “Therefore, steps towards improving the transparency of resource transfers between business and the state is necessary. Moreover, one of the areas of greatest weakness in relation to social protection relates to the extremely limited attention within the CSR agenda to the vast majority of workers, producers and enterprises in our country that are associated with micro- and small enterprises, small-scale agriculture and the so-called informal sector,” Gogoi said.