What is the full form of CSR?
The full form of CSR is Corporate Social Responsibility. It is defined as a business structure that allows a business to be accountable to the public towards its public & stakeholders to make it aware of its effect on various facets of society, like social, economic & environmental facets.
CSR aims to incorporate economically valuable services and activities into an organisation’s business model and culture. It strictly implies that companies must lead to social, economic & environmental growth, which positively affects society. To support the weaker segment of society and protect the environment, the government keeps a close watch on the CSR component of firms as it requires private sector participation.
Demands of CSR
To create a positive effect on society, CSR allows businesses to control their operations. It states that a firm should also carry out its social obligations along with doing corporation, which may involve,
- Monetary gifts to different non-profit organizations
- Helping individuals with natural disasters such as hurricanes, earthquakes, & drought
- Talent promotion in the fields of sports, entrepreneurship, and cultural events.
- Take steps to decrease air & water pollution and so on.
- Corporations are expected to set up a CSR committee that approves the board’s CSR planning and policy practices.
- The act also includes penal provisions for companies that do not comply with CSR requirements.