bpcl project.docx

CSR OF BPCL

PROJECT REPORT ON

“CSR ACTIVITIES OF BPCL”

MASTERS OF COMMERCE DEGREE

SEMESTER- II

ACADEMIC YEAR:2015-16

SUBMITTED BY

MISS. AARTI YADAV

ROLL NO: 43

N.E.S. RATNAM COLLEGE OF ARTS, SCIENCE AND COMMERCE,N.E.S. MARG, BHANDUP (WEST), MUMBAI-400078

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CSR OF BPCL

PROJECT REPORT ON

“CSR ACTIVITIES OF BPCL”

MASTERS OF COMMERCE DEGREE

SEMESTER- II

ACADEMIC YEAR:2015-16

SUBMITTED BYIN PARTIAL FULFILLMENT OF THE REQUIREMENT FOR THE AWARD OF MASTER

DEGREE OF COMMERCE

MISS. AARTI YADAV

ROLL NO: 43

N.E.S. RATNAM COLLEGE OF ARTS, SCIENCE AND COMMERCE,N.E.S. MARG, BHANDUP (WEST), MUMBAI-400078

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N.E.S. RATNAM COLLEGE OF ARTS, SCIENCE AND COMMERCE,

N.E.S. MARG, BHANDUP (WEST), MUMBAI- 400078

CERTIFICATE

This is to certify that the project report on “CSR ACTIVITIES OF BPCL” is bonafide record of project worked done by MISS. AARTI YADAV submitted in partual fulfillment of the requirement of the award of the Master of Commerce Degree University of Mumbai during the period of his/her study in the academic year 2015-16

INTERNAL EXAMINER:

EXTERNAL EXAMINER:

Principal Mrs. Rina Saha

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DECLARATION

I hereby declare that this Project Report entitled “CSR ACTIVITIES OF BPCL” submitted by me for the the award of Masters Of Commerce Degree; University of Mumbai is a record of Project work done by me during the year 2015-16. this is entirely my own work.

NAME: AARTI YADAV ROLL NO : 43 Signature

Place: Mumbai, Bhandup (W)

Date:

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ACKNOWLEDGEMENT

I owe a great many thanks to great many people who helped and supported me doing the writing of this book.

My deepest thanks to lecturer, Prof. JANHAVI RAO of the project for guiding and correcting various documents of mine with attention and care. She/ he has taken pains to go through my project and make necessary corrections as and when needed.

I extend my thanks to the principal of NES Ratnam College of Arts Science and Commerce, Bhandup (w), for extending her support.

My deep sense of gratitude to Principal Mrs. Rina Saha of NES Ratnam College of Art, Science and Commerce for support and guidance. Thanks and appreciation to the helpful people at NES Ratnam College of Arts, Science and Commerce , for their support.

I would also thank my institution and faculty members without whom this project would have been a distant reality. I also extend my heartfelt thanks to my family and well-wishers.

Candidate Name: AARTI YADAV

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INDEXChapters Topics Page NoChapter 1 Introduction 8-14Chapter 2 Corporate Social Responsibility-What

does it mean?-How CSR help the companies-Objectives of BPCL towards CSR-Methodology

15-20

Chapter 3 Sharing Wider Responsibility At BPCL 21-25Chapter 4 BPCL-CSR IN Business Process

Environment26-28

Chapter 5 Internal CSR 29-31Chapter 6 Other CSR Activities 32Chapter 7 Conclusion &Suggestions 33Chapter 8 Bibliography 34

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E x e c u t i v e S u m m a r y

The project enables me to know various aspects of Corporate Social Responsibilities and its importance and steps taken by Bharat Petroleum towards social activities. BPCL is a Model Corporate Entity with Social Responsibility and also builds a powerful partnership with society for ‘Sustainable Development’.

As a corporate responsibility, today 37 villages across India have been adopted by BPCL. This includes making substantial investments for nearly a decade and a half in them to make them fully self reliant, providing them fresh drinking water, sanitation facilities, medical facilities, enhancing their income standards by imparting vocational training and agricultural innovations. However, BPCL also firmly believes that the only vehicle for raising the villagers from their present state is by educating the young and the old, a focus on providing grants for opening schools and opening adult literacy camps as well. A Herculean task indeed, which BPCL recognized and thus even sought assistance from NGO's working around these centers in fulfilling its dream, which to many of BPCL employee's still remains incomplete, on account of the large magnitude of work necessary in completion.

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1. INTRODUCTION

Over the years, Bharat Petroleum continues to meet the challenges of the rapidly changing environment, leading to changes in the marketing of products and services. In all these changes, only one factor has remained constant and has been the source of Bharat Petroleum's strength and inspiration for any future innovations - Bharat Petroleum's People. The feeling of ownership has facilitated all employees to understand the complexity of the market and needs of the customers, and respond to these needs with innovative initiatives and offerings.For Bharat Petroleum, commitment of its employees is a critical resource. Fully realising that only a happy employee will put his best foot forward with the customers, Bharat Petroleum has taken many steps to make the organisation a great place to work. In a survey conducted by Hewitt Associates for the January 2001 issue of Business Today magazine to identify the best employers, Bharat Petroleum was ranked among the top ten employers in India. The objective of the study was to find out which companies had really charged the emotional and intellectual energy of their employees. The other companies who were selected were Infosys, Hewlett-Packard, P and G, ICICI, Hughes, LG, HLL, Compaq and Asian Paints.Bharat Petroleum fosters effective value-based HR processes for development of people and their organisational capabilities with a view to provide them with a competitive edge and also to realise their personal vision in tandem with the corporate vision. The thrust areas include:

Performance Management which links business goals with individual performance goals

Recognising competencies and capabilities of the staff through Competency Modelling to help identify and place the right person in the right job

Identifying competency gaps and bridging such gaps through appropriate training and developmental programmes

Multi-skilling to encourage employees to take up new initiatives in the areas of Enhanced Fuel Proposition, Add-on Stores, One Stop Truck Shops, Grocery and Fast Food Stores.Bharat Petroleum has been conferred the National HRD Award - 2000 by National HRD Network for making Outstanding Contribution to HRD.At the National Petroleum Management Programme (NPMP) on Excellence in Creativity and Innovation (1999-2000), Bharat Petroleum employees bagged all the three awards in the individual category, along with four certificates of recognition in the team category.

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Technological EdgeBharat Petroleum has always been on the forefront of harnessing technology initiatives for BPCL has been on forefront in harnessing technology. maximising efficiency and achieving greater customer satisfaction.Bharat Petroleum is the first Public Sector Oil Company to implement Enterprisewide Resource Planning (ERP) solutions - SAP. The implementation project known as ENTRANS (Enterprisewide Transformation) has been awarded the 'SAP Star Implementation Award', with Bharat Petroleum having the distinction of executing the largest and the most ambitious SAP project in India. The challenge of SAP implementation was to ensure that all the integrated elements (of the complex multi-modular integrated solutions that impact the entire workflow of the organisation) work seamlessly across the length and breadth of the country, including the remote locations. Providing online connectivity in these remote locations, given the full-fledged IT network infrastructure, was in itself a daunting task.Bharat Petroleum is reaping the benefits of the integrated system in many areas of its operations. The early gains of implementation are in the areas of tracking customer-receivables, monitoring credit-management, inventory management, besides easing the operations in a large number of areas.Furthermore, Bharat Petroleum has also set up one of the biggest 'Centres of Excellence' in Asia to provide online support to the end users and also work towards continuous improvement in business processes and handle product upgrades and new generation products.With SAP as the IT backbone, Bharat Petroleum plans to take advantage of the Internet based capabilities along the entire value chain with a Customer Relationship Management solution. A large data warehouse project has also been implemented, which facilitates access to real-time accurate information on key performance indicators at all Bharat Petroleum locations. This enables the management to take strategic and business decisions, thus ensuring value-added services, better customer satisfaction and enhanced shareholder value.

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The Planned ApproachIncreasing globalisation, new products and services, and innovative marketing have resulted in a very market savvy consumer. The production-based success philosophy of marketers has now been replaced by a customer-oriented philosophy. Bharat Petroleum has taken cognisance of this situation well in time and has been taking radical steps to keep itself attuned to the changing times, realising that the future belongs to those who listen and adapt to their customers.

Strategy DevelopmentBharat Petroleum recognises that all strategic initiatives must conform to the overall vision ofthe Corporation and improvethe economic value. The Strategy Development effort at the corporate level achieves better focus in the new organisational structure, besides facilitating the SBUs in developing their respective strategies that lead to an integrated Corporate Strategy. A Business Planning process has been put in place that not only provides opportunities for the SBUs to pursue their visionary goals in consonance with the Corporate Vision, but also continuously monitors trends and identifies strategic opportunities for the Corporation.

Brand ManagementIn the highly competitive scenario, it has become imperative to own dominant brands. The Brand Management team at Bharat Petroleum endeavours to build and manage a strong brand image reflecting Bharat Petroleum's core values of being 'INCARE', viz. INnovative, CAring and REliable. Emphasis is laid on continuously understanding customer behaviour, tracking their changing needs and expectations, and meeting these needs in the most cost-effective manner.

Research and DevelopmentResearch and development CentreAlways on the forefront to innovate, Bharat Petroleum is making distinct efforts towards Research and Development (R and D). Besides the R and D facilities at the Refinery and the Product Application Development Centre in Sewree in Mumbai, a new state-of-the-art RandD Centre is being set up near Delhi. The R and D Centre is being organised around three core groups - Process and Technology Development, Product Application Development

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and Environmental Engineering. A total outlay of Rs.3,000 million has been planned to be spent in three phases up to the year 2003-04 on this project.Shaping the FutureThe core strength of Bharat Petroleum Corporation Limited has always been the ardent pursuit of qualitative excellence for maximisation of customer satisfaction. Thus Bharat Petroleum, the erstwhile Burmah Shell, has today become one of the most formidable names in the petroleum industry.Bharat Petroleum produces a diverse range of products, from petrochemicals and solvents to aircraft fuel and speciality lubricants and markets them through its wide network of Petrol Stations, Kerosene Dealers, LPG Distributors, Lube Shoppes, besides supplying fuel directly to hundreds of industries, and several international and domestic airlines.

Dynamic Growth Post NationalisationFollowing Nationalisation in 1976, Bharat Petroleum changed gears and embarked upon a rapid growth path. Turnover, profitability and financial reserves grew by leaps and bounds. Massive expansion and modernisation provided a tremendous boost to the company's performance. Large-scale recruitment and training became critically important to meet the demands of expansion.

The Winds of Change - A Transformed Organisation EmergesOpening up of the Indian economy in the nineties brought with it more competition and challenges, kindled by the phased dismantling of the Administered Pricing Mechanism (APM) and emergence of additional capacities in the region in refining and marketing.In 1996, Bharat Petroleum went through a process of visioning, involving people at all levels, which evolved a shared vision and a set of shared values. Based on this, the company restructured itself, in a proactive move to adapt to the emerging competitive scenario. The function-based structure was carefully dismantled and replaced with a process-based one. This made the company more responsive to its customer needs.Bharat Petroleum realises that, in the long run, success can only come with a total reorientation and change in approach with the customer as the focal point. Today, Bharat Petroleum is restructured into a Corporate Centre, Strategic Business Units (SBUs) and Shared Services and Entities. The organisational design comprising of five customers facing SBUs, viz. Aviation, Industrial and Commercial, LPG, Lubricants and Retail and one asset based SBU, viz. Refinery, is based on the philosophy of greater customer focus.

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Glorious Heritage Early History - Dawn of a New Era

Do take some time off for a brief interlude with the past, as we take you back in time to the evolution of Bharat Petroleum Corporation Limited. A new chapter in the history of Indian industry.Petroleum (derived from Latin Petra - rock and oleum - oil) first came up in wells drilled for salt. People found it useful as illuminating oil and the demand for it steadily increased.Samuel Kier, a Pittsburgh druggist, bottled and marketed Petroleum as medicinal cure. To market a deodorised variant, he designed the first primitive refinery in 1852, which was a huge improvised kettle, connected to a metal tank.'Colonel' Edwin Drake and 'Uncle' Billy Smith drilled a well with the specific objective of finding oil, and on 27th August 1859, they 'struck oil' at Titusvale, in North Western Pennsylvania, USA, at a depth of 69.5 ft.

From Nothing to GoldThe 1860s saw vast industrial development. A lot of petroleum refineries also came up.An important player in the South Asian market then was the Burmah Oil Company. Though incorporated in Scotland in 1886, the company grew out of the enterprises of the Rangoon Oil Company, which had been formed in 1871 to refine crude oil produced from primitive hand dug wells in Upper Burma.The search for oil in India began in 1886, when Mr. Goodenough of McKillop Stewart Company drilled a well near Jaypore in upper Assam and struck oil. In 1889, the Assam Railway and Trading Company (ARTC) struck oil at Digboi marking the beginning of oil production in India.While discoveries were made and industries expanded, John D Rockefeller together with his business associates acquired control over numerous refineries and pipelines to later form the giant Standard Oil Trust. The largest rivals of Standard Oil - Royal Dutch, Shell, Rothschilds - came together to form a single organisation: Asiatic Petroleum to market petroleum products in South Asia.In 1928, Asiatic Petroleum (India) joined hands with Burmah Oil Company - an active producer, refiner and distributor of petroleum products, particularly in

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Indian and Burmese markets. This alliance led to the formation of Burmah-Shell Oil Storage and Distributing Company of India Limited.

The Pioneering Spirit - Burmah Shell MarketingA pioneer in more ways than one, Burmah Shell began its operations with import and marketing of Kerosene. This was imported in bulk and transported in 4 gallon and 1 gallon tins through rail, road and country craft all over India.The company took up the challenge of reaching out to the people even in the remote villages to ensure every home had its supply of kerosene. The development and promotion of efficient kerosene-burning appliances for lighting and cooking was an important part of kerosene selling activity.With motor cars, came canned Petrol, followed by service stations. In the 1930s, retail sales points were built with driveways set back from the road; service stations began to appear and became accepted as a part of road development. After the war Burmah Shell established efficient and up-to-date service and filling stations to give the customers the highest possible standard of service facilities.On 15th October 1932, when civil aviation arrived in India, the company had the honour of fuelling J.R.D. Tata's historic solo flight in a single engined de Havillian Puss Moth from Karachi to Bombay (Juhu) via Ahmedabad. Thirty years later, i.e. in 1962, Burmah Shell again had the privilege to fuel JRD Tata's re-enactment of the original flight. Burmah Shell also fuelled flying boats, which carried airmail at slightly higher rates than sea transport, at several locations.As a true pioneer would, the company introduced LPG as a cooking fuel to the Indian home in the mid-1950s. And all along, it went beyond selling petroleum, to educate the customer. Besides selling Bitumen, the company pioneered desert road construction, training road engineers. It provided free technical services to industrial customers - big and small - and it became a part of the company's culture.

On Stream - The Burmah Shell RefineryAn agreement to build a modern refinery at Trombay, Bombay was signed between the Burmah Shell group of companies and the Government of India on 15th December 1951.Burmah Shell Refineries Limited was incorporated as a private limited company under the Indian Companies Act on 3rd November 1952, and work began on the marshland of Trombay at Bombay. Man and machine worked relentlessly, and soon the swamps gave way to towers and tanks of steel, and miles of pipeline.The refinery on 454 acres of land at village Mahul went on-stream on 30th January 1955, one year ahead of schedule. Dr. S. Radakrishnan, Vice President of India, declared the 2.2 MMTPA (Million Metric Tonnes Per Annum) Refinery open on 17th March 1955. It was then the largest refinery in India then.With this infrastructure, free India moved one step closer to self-reliance.

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From Burmah Shell to Bharat PetroleumOn 24th January 1976, the Burmah Shell Group of Companies was taken over by the Government of India to form Bharat Refineries Limited. On 1st August 1977, it was renamed Bharat Petroleum Corporation Limited. It was also the first refinery to process newly found indigenous crude (Bombay High), in the country.

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1.1 Corporate Social Responsibility: What does it mean?

"More and more companies are accepting corporate citizenship as a new strategic and managerial purpose requiring their attention. Once seen as a purely charitable activity--a source of general goodwill, with no bottom-line consequence--citizenship is moving from the margins of concern to the center at leading companies."

Today, there are many references to corporate social responsibility (CSR), sometimes referred to as corporate citizenship, in our workplaces, in the media, in the government, in our communities. While there is no agreed-upon definition, the World Business Council for Sustainable Development defines CSR as the business commitment and contribution to the quality of life of employees, their families and the local community and society overall to support sustainable economic development. Simply put, the business case for CSR--establishing a positive company reputation and brand in the public eye through good work that yields a competitive edge while at the same time contributing to others--demands that organizations shift from solely focusing on making a profit to including financial, environmental and social responsibility in their core business strategies. Despite what the phrase corporate social responsibility suggests, the concept is not restricted to corporations but rather is intended for most types of organizations, such as associations, labor unions, organizations that serve the community for scientific, educational, artistic, public health or charitable purposes, and governmental agencies.

1.2 How CSR help the companies?

Globalization, the explosion of information technology, advances in the biological sciences, and the growth of democracy and diversity can be considered among the positive developments in our world today. On the other hand, poverty, environmental crises such as global warming, epidemics such as AIDS, and terrorism are also part of today's world. What do these positive and negative aspects have in common? They reflect the breathtaking increase in global interdependence, to the extent that borders don't count for much anymore and local communities are increasingly affected by things that happen a long way from home. Corporate social responsibility (CSR) has been proposed as a way to respond to some of these issues, both locally and globally. According to "Integrating Responsibility," most companies that have initiated CSR programs have done so in response to one problem or another; for example, in the thermal

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power station, it was environmental issues. CSR programs have also surfaced in the sourcing departments of companies facing supply chain issues.

2. Objective of BPCL towards CSR

Building Sustainable Communities - to have a positive impact on the communities in which we operate

Health and Safety - to ensure the health and safety of our workforce and communities

Environment - to minimize adverse impacts while taking steps to protect and enhance the natural environment

Employees – train tomorrows leaders in teamwork skills and running socially responsible business

3. Methodology

Integrated with Business Strategy and Context

Leverage our Core competency – People and Technology

Three way Execution model for Community Projects

Develop deserving Communities through ‘Focused’ & ‘Need based’ interventions – No ‘Giveaways’

Create ‘Sustainable Models’ which are Replicable & Scalable

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4 . S h a r i n g w i d e r r e s p o n s i b i l i t y a t B P C L

“We believe that it’s equally important to return back to society” which is why, BPCL believes that some of their finest achievements aren’t those found in their balance sheets but those, in small towns and villages spread across India. Their involvement in sharing this wider responsibility dates way back to 1984, when in pursuance with our philosophy “to give back to the society/community our best”, they aimed to help the people enrich their lives, be it our employees or their families also extending the scope of definition of families to those that they saw beyond our glass cabins in these rustic surroundings, and thus started our the social work. Today, BPCL terms them as their extended family i.e. the villagers from rural areas.

Bharat Petroleum has been the pioneer in the oil sector to hire the services of professional social workers. Areas of work in the initial years were primarily to cater to the softer areas of employee related issues, to mention a few are:-

Counseling for personal as well as emotional problems affecting work. Assistance to quit substance abuse (like alcohol and other drugs) Marital Conflicts, Divorce Reconciliation, Money Management, etc.

With years our focus changed from restorative to preventive as well as primitive, holistic health. Talks on various issues at plant level like addiction, HIV/AIDS, parental issues, time and finance management, and family relationships were initiated, which still continues and gives considerable positive returns. For the above mentioned activities they have collaborated with various Non Government Organizations, to deliver best humane services for our employees and their family members. Eventually, their involvement in the whole process of employee related issues were taken, there by channelising their energy positively as well as encouraging prosocial behavior.

India, has a social contrast, while one strata of the society comprising of approximately 30% live in the cities, a great percentage of nearly double -700 million Indians reside in villages, which we term as rural India. Now rural India too has its own disparity, some are what we call the islands of prosperity and the rest that have the other extremes, riddled by droughts and some difficult conditions of weather and climate and sometimes these villages are so remote and far flung from cities that many a times makes others go past unnoticed

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BPCL initially started working in Mahul, the village located in our neighborhood of its Mumbai refinery since 1986, for the sole reason of their upliftment. The habitants of Mahul, essentially from the fishing community, were rich because they possessed marine wealth but as far as education, health, etc was concerned, they needed help.

Some of Bharat Petroleum's assistance to these inhabitants so far has been

Infrastructural development, like construction of jetty, Balwadi, Homeopathic Dispensary

Vocational guidance through aptitude testing, scientific vocational need based study through   Jan Shikshan Sansthan (NGO under ministry of HRD)

Exhibition for the Fishermen to equip them with latest avenues in fishing through Central   Institute Of Fisheries Education(CIFE)

BPCL volunteered and the initial success brought such gratification that immediately it adopted another village (this time an interior one) called Karjat, developments with selfless intentions helped introspect about the future role BPCL should adopt in its aim to contribute to this effort, then there after there was no looking back

The rationale behind selecting Karjat for community development initiatives was that the company wanted to work for vulnerable groups. The Karjat endeavor began with construction of a community hall, which was like a meeting place for villagers and way of reaching out to village women. Later many programs like medical assistance, grain bank, marketing artifacts, conducting certified vocational training courses, etc were carried out. From last 10 years farmers in 21 villages of karjat are helped through our interventions. There are eight villages, which are covered through BPCL’s projects in and around Washala. Washala is situated in Shahpur taluka in Thane district. It is made up of tribal population. The various on-going activities are:

Farm facts For agricultural upliftment, BPCL arrange training through Pune Agricultural University, distribute seeds and fertilizers every year. There are lectures arranged on technical guidance, use of less water for farming, teaching newer methods of agriculture, etc. They also educate the farmers about fish farming and provide them all necessary information. Guidance is also given as regards buying of seeds. The methods of multiple cropping are taught. Every year

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farmers are given free fertilizers. Bamboo cultivation is also promoted. 5000 Bamboo saplings are planted every year, by giving it to villagers who will take care of it. Along with it, even mango, chikku and guava saplings are provided.

Cattle care: At Karjat, BPCL conduct exhibitions of cattle of various breeds, training sessions are arranged for improving the health of available cattle, there is vaccine program conducted on regular basis for all pet animals. Competitions are also held among cattle and prizes are given to the best cattle. Once a year there is a camp organized in which doctors from veterinary inspect all the cattle.

Education: For motivating intelligent students coaching is provided to students. Balwadis is available for small children as pre-school intervention. Tree plantation programs are held at Adivasi ashram schools.

Health: A dispensary with a doctor is available and regular health camps are conducted. General health camps are organized twice a year. To cater to the needs of all villagers, may it be men, women, senior citizens, children and so on. To ensure proper eyesight, eye camps are conducted periodically. their sight back through this endeavor. There are camps held for pregnant women regarding guidance in pregnancy, stress on nutrition, etc.

Grain Bank: In the villages of Karjat, Rural Farmers were dependent on money lenders for money as well as seeds and grains and thus in turn fell in the debt trap. The money lenders would harass them and exploit them. For e.g. for every one quintal of grain borrowed, the farmer would have to return it three quintals. To avoid such exploitation, IRCED came out with the grain bank scheme. The concept of grain bank was to make grains easily accessible to the farmers and to keep them away from the clutches of the moneylenders. Grains are made available to the farmers without any advance and they also do not have to return anything extra than what they had taken. Through BPCL, there is also a small room allocated for the purpose of maintaining the grain bank in every village so that the grains do not get spoilt.

Community centre: We have provided a multipurpose Samaj Mandir at Pinglas Karjat for the Villagers to have a meeting point. There is a community centre which encompasses classes for villagers on tailoring, mehendi, beautician course,

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bamboo article making, multi-skill training, etc. Cane Weaving and Bamboo making classes are conducted regularly. Tailoring is helping the girls in income generation. Later there is also an exhibition held in Mumbai for sale of the bamboo articles made in these villages.

Rain water harvestin To make available water in case of scarcity, there was a need felt to start a project on rain water harvesting. The work has just begun. As this is a hilly area the problem of ground water and land water still remains. For provision of water, tube wells and small dams are made for the villagers.

Infrastructure development: We have constructed shed for schools. For e.g. repairing the fans, replacing broken furniture, etc jetty for fishermen so that they can rest in the night when they are not fishing. We have also constructed a public toilet. We are vigilant in keeping the surroundings clean. Timely garbage disposal is also taken care of. Tree plantation programs are carried out on a regular basis. .

Every village: Sakhi Shejarn A group of women came together in Karjat who felt the need of being together and saving some amount of money. They started meeting regularly and since then they collect savings and deposit in the bank this is a scheme whereby every village will have one woman leader. This leader is trained in such a way that she is able to manage the whole group of other women, take training sessions for them, conducts awareness programs and also provides counseling help. Such women leaders are termed as SAKHI, which means a friend in Marathi.Thus the groups serve a double purpose, that of starting a small-scale business and that of learning through various sessions. These meetings help them to improve their quality of life.

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5. BPCL: CSR in Business Process Environment

As energy corporate, BPCL feel that we may have a larger say in the course of many events in the coming decades. The consequence of our actions, in the short term, may be totally inadequate but in the long term very valid. It is thus that BPCL finds it necessary and proceeds with utmost caution, when it comes to issues related with the environment.

The magnitude of the problem concerning this sensitive eco-balance is so massive that the best way forward for BPCL, as it sees ahead, for the above being achieved is using a two pronged approach of “executing environmental protection activities and sharing knowledge, with a view to educate the common man on this front”.

The four reasons, believed to be the cause for treading cautiously in matters related to the environment are as follows.

1. Moral responsibility towards the environment.2. Understanding of the need for an ecological balance.3. The understanding of the inter-linkages of the web of life. Inadequacy of

Human4. Understanding of Environmental Process.

The above four cover the entire canvas of concerns for the subject and BPCL’s contribution towards the same has also been oriented around its objective.

Like mentioned, BPCL’s corporate philosophy towards environment is also directed towards life and mankind. Thus, it is a tacit responsibility that it proposes to undertake without any solemn promises made. In other words, it would try and ensure that at least in its conscious actions, BPCL would not become party to any decisions which will have damaging consequences to this earth & the life on it.

BPCL, on the other hand would give its best in educating mankind, on the necessity of understanding the dynamics of the fragile eco-diversity and hope to seek contributions from each individual in maintaining the balance.

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5.1. Community Initiatives: Disability

What remains unchanged since 1999 is that BPCL continues to fulfill its corporate responsibilities. What has changed, however, is the fact that the percentage of disabled persons employed by BPCL has risen from 1.11% to 1.37% despite the total employee strength reducing from 12411 to 12082.

“Providing equal opportunity to people with disabilities” has always been a part of the corporate philosophy of Bharat Petroleum Corporation Limited (BPCL). BPCL's practice of this philosophy is what made it a winner of the 1st NCPEDP-Shell Helen Keller Awards, way back in 1999.

“We shall continue to recruit disabled people in the organization as per the laid down guidelines”, says Mr. S. Mohan, Executive Director, HRD. And that is exactly what they have been doing. Currently, 166 disabled persons are employed with BPCL. The recruitment process is duly monitored to ensure that vacancies for physically handicapped persons do not remain vacant. Special relaxation is given to these candidates up to 10 years of the required age profile for the post. And whenever required, special recruitment drives are undertaken.

It’s not just recruiting candidates with disability – BPCL ensures that they are assigned suitable work and a good working environment in the organization. For e.g., visually impaired employees are provided with customized computers equipped with optical character recognizers, enabling them to work independently

Disabled employees are also encouraged in activities outside the organization – a visually impaired employee was sent on Rock Climbing Mountaineering Course, and successfully scaled a peak of over 13,000 feet in West Sikkim!

BPCL even follows carefully laid down reservation policies for allotment of dealerships and distributorships to physically disabled candidates. What's more, special concessions and financial assistance is given to deserving candidates initiating the business

Other areas of Corporate Social Responsibility that BPCL is active in: it has adopted 37 villages in 13 states, directly impacting 120,000 people; it has initiated the ‘Bharat Petroleum Scholarship' to promote excellence in higher education; it has contributed towards community facilities and infrastructure; and donated generously in times of calamity and disaster.

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5.2. Community Initiatives: Disaster Relief

In times of natural calamities you will always find Bharat Petroleum in the forefront, rendering aid and emergency provisions. Bharat Petroleum relief teams have worked tirelessly to provide the Gujarat Earthquake and the Orissa Flood victims with food and essential survival materials.

5.3. Community Initiatives: Rural Development

Bharat Petroleum continues its endeavours in meeting social obligations to the under privileged sections of the society through development of roads, schools, clinics and vocational training centres in rural areas. Cataract camps for villagers, vocational classes to make the rural women self-reliant, development of rural women and children, providing sanitation and drinking water in the villages, are just a few of the many contributions made by Bharat Petroleum to meet its social responsibilities.

In recognition of the outstanding work done in the area of Rural Development, FICCI awarded the 'Rural Development Award 1999-2000' to Bharat Petroleum.

List of 20 villages adopted

* Bhogalpura (Agra) * Srinivasapura & Muneshwara (Bangalore) * Neelgarh (Bhopal) * Ramathenga (Bhubaneshwar) * Brindabanpur & Farakidanga (Calcutta) * Jahazpur (Calcutta) * Mankara (Calcutta) * Kadambankulam (Coimbatore) * Basantgarh (Delhi) * Jyotinagar (Goa) * Nangalgovind (Jaipur)

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* Babukhera (Lucknow) * Pedawada/Manjripal (Nagpur) * Laakarhawar (Patna) * Kasabkhede / Pohey (Pune) * Khara Bairaja (Rajkot) * Mangadih / Jaradih / Dimra / Obar (Ranchi) * Bhaktachiwadi / Mogrej (Karjat) * Tembre (Karjat) * Mahul (Chembur)

We feel happy when we see 'Smiles on the faces of villagers and children'.

It helps us to get closer to our Corporate Philosophy.

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5.4. Community Initiatives: Tribals .

As a part of Society, Bharat Petroleum believes that they owe as a corporate body to give back to society their best. With this social obligation Bharat Petroleum started community work way back in 1987 by adopting Karjat (tribal area in Raigarh District) and Mahul (our neighborhood) for ameliorating lives of the deprived.

Karjat is located in Raigarh District and comprises of mainly tribal population. Some of the activities undertaken to help the tribal population are-

* Constructing a community hall/ Samaj Mandir * Health assistance, through regular health camps, pediatric camps and cataract Camps * Educational assistance through distribution of books, holding competitions * Vocational assistance by imparting training in bamboo and tailoring * Encouraging environment friendly attitude through distribution of smokeless chulhas, solar cookers as well as educating them through folk music.

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6. Internal CSR

Social Welfare in Bharat Petroleum was initiated as a non-statutory body in the year 1984. Bharat Petroleum has been the pioneer in the oil sector to hire the services of professional social workers. Areas of work in the initial years were primarily to cater to the softer areas of employee related issues, to mention a few are: -

C o u n s e l l i n g

Initially counseling began in BPCL to overcome the different problems of employees at work. But now, BPCL has come closer to their lives. Thus now counseling does not only aim at solving disputes at work but involves a whole gamut of issues ranging from employee’s overall development to the development of their families. Thus there is a shift from what used to exist earlier as our orientation is towards prevention. Over the time, recoveries and success stories started flowing in resulting in values of counseling being upheld as an important contribution for employee’s well being. Thus at the refinery counseling is seen as a mission which aims at making people live lives fruitfully. The help received through counseling is what is valued by most of our employees

1] Addiction-The Slow Poison Alcohol and drug use is extremely common in today’s world. In spite of the awareness of the ill effects of these substances, people continue to get addicted to it. The abuse and addictions result in malfunctioning of an individual in major spheres of life. Addictions lead to poor work performances, disrupted relationships and adjustment problems. The rising awareness about employee welfare and raising the quality of work, various companies’ today make efforts to reduce addictions.

We have been one of the first companies to engage in continuous endeavours to help our addicted employees to overcome their problems. We have successfully partnered with Kripa Foundations De-addiction Center for sustainable efforts in this direction. Kripa foundation is one of the largest Non- Governmental organizations in India helping people suffering from Chemical Dependency and HIV Infection. Kripa offers a non-discriminating, supportive community living, helping people to introspect and bring about change in lifestyle.

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Our Success- Strength Of Sobriety Although difficult to believe, the success ratio is 60% at the refinery level, whereas the addiction improvement rate worldwide is 45.50%. Through counseling employees who recovered from alcohol addiction and the other personal problems became our biggest strength for extending our chain of human help. These peer educators are very efficient at work and they aid our CSR activity by being of help to the other addict employees and the community too.

The Pune Centre

A de-addiction center has been set up at Pune for both men and women addicts for all over Maharashtra. The Kripa Foundation runs it. We are supporting them and helping them in their efforts

2] Family WellbeingThrough all the Employee assistance programs, prominence is given to family as a system. It is a known fact that family is one of the most closely knit system which needs to be enriched to cope with the stresses and strain of life. Thus when an employee comes with a problem, joint counseling sessions are also conducted including his family members to ensure resolving of problems amicably.

3] Grooming Children As Caretakers Of Next Generation Children are tomorrow’s future, and when it comes to our own employee’s children, we ensure their development through various activities like Career guidance, aptitude tests, etc

4] ParentingDuring training or workshops, one of the main topics covered is parenting. This is important because in today’s competitive world it is very difficult to manage both work and house Thus to ensure care of children, parenting sessions are conducted about emotional problems and problems encountered by children at different stages, puberty issues, etc.

5] Women EmpowermentIn women lie nature’s best qualities of motherhood, compassion, humanity and love. Because they have been blessed with the capacity for giving and nurturing life, women also have the capacity for a deep commitment for preserving and nourishing not only their own offspring, but of the entire planet as well. BPCL is

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also blessed with efficient women staff who are enthusiastic and who come forward to help others. Women power in the true sense is seen when women meet regularly and discuss on varied issues and the stands they take. LIKE WOMAN IS WOMAN’S BEST FRIEND. It is normally said that a woman is a woman’s worst enemy. But at the refinery, the bond within the women is exceptionally charged with making a difference to their personal as well as work life.

6] Safety AmbassadorsThis is a new activity being started at the refinery. Some of women employees are made safety ambassadors to ensure safety in the plant. These women would co-ordinate with the safety observers at the plant level and ensure that their co-employees take adequate safety measures. It is process to help the employees help themselves for their own safety and that of the others

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7 . O t h e r C S R A c t i v i t i e s

1 . H I V / A I D S C a r e a n d P r e v e n t i o n

AIDS is a major concern worldwide. It is forth killer of human beings. It has spread far and wide across nations, caste, creed, sea and racial boundaries. The UN AIDS estimates 5.3 million sero positive people housed in India alone in 2004. The growing number of sero positive people in the productive age group affects the economy in the long run... BPCL too encountered presence of sero positive employees. However the comprehensive health policy of the company protects the employees and their family. Considering the significance of interventions in this area, the Social Welfare dept. initiated plant talks on ‘Family Life Education’ and ‘Health and well being’. Various awareness programs were conducted in the refinery on HIV/AIDS.

Avert Society, a triplicate body of USAID, NACO and Government of Maharashtra, noticed the efforts of BPCL. The Avert Society invited BPCL for long-term partnership for an AIDS Intervention Project in the refinery, and the adjacent community. The project identifies three major areas of intervention, viz. workplace intervention (including around 30000 workers), Mahul and 25 villages from Karjat. The activities under this project include one to one intervention at village level, counseling at workplace, behaviour change communication, street plays and folk media to spread awareness about the same.

2. 'Generation Next'

BPCL is passionate about the ‘Generation Next’, and thus also supports various education initiatives at all levels. This involves granting aid to schools, acknowledging and rewarding meritorious students and an initiative called BPCL scholars.

BPCL scholars are a group of approximately 100 Indian students, who yearly, seek full study-assistance from BPCL in doing their post graduation, both in India and abroad. We support these students, the future of tomorrow, the fuel of tomorrow’s growth, with all humility and passion.

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As a corporate responsibility, today 37 villages across India have been adopted. This includes making substantial investments for nearly a decade and a half in them to make them fully self reliant, providing them fresh drinking water, sanitation facilities, medical facilities, enhancing their income standards by imparting vocational training and agricultural innovations. However, BPCL also firmly believes that the only vehicle for raising the villagers from their present state is by educating the young and the old, a focus on providing grants for opening schools and opening adult literacy camps as well.

BPCL thus believes in giving the rural people vocational guidance and give them a platform for market-linkages and become self-sufficient.

BPCL self-sufficient projects include the Water project in the rural area which has been initiated by Oil Development Board (ODB) with the Ngo Bridge Trust which trains the rural people to build water projects for which they receive minimum waged.

BPCL is also planning to do some work for the Trucker’s of BPCL as they play a major role in laying down the foundation stone to what BPCL is today.

3. Project Boond

If there is magic on this planet, it is contained in water. -Loran Eisley

BPCL understand the value of water in the lives of people who strive for it. Whose lives are dependent on its availability alone? These sentiments gave birth to the project Boond. Because when BPCL being a company of fuel, how can they miss out on the ‘fuel of life?’

Boond is a Rain Water Harvesting Project undertaken by BPCL with financial support from (Oil Industries Development Board) and executed in collaboration with NGO, Bridge Public Charitable Trust.

Villages suffering from acute shortage of water were identified for this activity. Women from these villages had to walk long distances in the blazing sun on mountainous paths, at times exceeding four kilometers to fetch water. Runoffs triggered by topographical conditions, impervious bedrock, poor water holding capacity of the soil, soil erosion and unrestrained grazing had made the situation critical.

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The objective was to turn these villages from Water scarce to water positive. The work mainly comprised of repairs/Deepening of wells, building bunds to capture and store rain water, repairs and leak proofing of existing bunds, building water tanks etc.

All the activities undertaken to draught free the villages were performed with complete participation from the villagers. This imparted a sense of belonging and responsibility towards their own village. Not just that, while working they learnt additional skills like masonry, welding etc. which they later used as an additional source of income for themselves. This helped check the rampant levels of migration as well.

Another unique aspect of the whole project was the concept of Shram Dan. The villagers performed Shram Daan once a week and for the balance days they were paid minimum wages. Seeing the enthusiasm of the villagers, BPCL also initiated an Employee Volunteering Initiative where in approximately 100 BPCL employees gathered collectively for Shram Daan.

8. What BPCL Achieved?

Bringing people together for a common cause:We were able to bring people together for a common cause, the cause being wellbeing of all. We were blessed with committed staff who also took the initiative to work for their own good. Employees also sustained their enthusiasm and motivation throughout which added to our strength.

Non-biased attitude:May it be a worker or an engineer or a driver or any administration staff, we give equal treatment to all. Never do employees feel that some are favoured and others are not.

Trust: Employees do have the trust in whatever the department does. The department has helped them help themselves in such a way that it has left a long lasting effect on their minds. This trust made it obvious for them to keep participating actively in all the activities.

Transparency: The department has been totally transparent regarding all its activities. Employees

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were made equal partners in conducting any activity. Because of this there was no point where employees felt left out.

Need based activities:We at BPCL have never arranged activities for the sake of doing it. We have conducted activities as and when people demanded, may it be our own employees or people from the communities. Thus we have indirectly given onus to the people to decide when, why and which activity they need.

Involvement of all:We have been successful in involving people of all cadres at the refinery level, right from the managers to the workers, and from the various departments to the different unions. This helped us to get the opinions and contributions of all. At the community level, all the people are involved right from the planning level. People take decisions along with us.

Human stories of revival helped:We had many success stories of our employees which constantly motivated us to work consistently. The recovered addicts are our strength. They help us to help the others who are in similar problem.

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9. CONCLUSIONS AND SUGGESTIONS

EACH AND EVERY COMPANY SHOULD UNDERTAKE THE ELEMENT OF CORPORATE SOCIAL RESPONSIBILITY INTO CONSIDERATION.

IT IS FOR THE BENEFIT OF THE COMPANY’S LONG LIFE AND CONSISTENT GROWTH.

AS WE HAVE SEEN IN THIS PROJECT, BPCL HAS CONDUCTED A NUMBER OF SOCIAL RESPONSIBILITY ACTIVITIES; IT HAS GAINED A GOOD REPUTATION IN THE GLOBALLY COMPETITIVE MARKET.

IN THESE DAYS MORE SOCIAL RESPONSIBILITY U UNDERTAKE, MORE YOU WILL GET CONSUMER’S SATISFACTION AND EARN OUR CUSTOMER’S LOYALTY

AS THE BUSSINESS IS OPERATED WITHIN THE SOCIETY, IT BECOMES COMPULSORY TO CONDUCT CSR ACTIVITIES TO WIN CONSUMERS CONFIDENCE AND REPRESENT A GLOBAL BRAND IMAGE

ATLAST TO SAY “WE SHOULD GIVE BACK TO THE WORLD, WHAT WE TAKE FROM IT.”

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Bibliographyhttp://en.wikipedia.org/wiki/Bharat_Petroleum

http://www.bharatpetroleum.com/energisingbusiness/TenderList.aspx?id=1

http://www.bharatpetroleum.co.in/Footer/TU_Contactus.html

http://www.bharatpetroleum.co.in/General/CR_Career.aspx?id=4

http://www.bharatpetroleum.co.in/EnergisingBusiness/Tenderlist.aspx?id=1

http://www.bpclcareers.in/careers.aspx

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