INDEX CHAPTER NO CHAPTER NAME PAGF NO 1 Executive summ ry 1 2 Introduction SL , 5 3 C ompany profile C , 1?. i Objective of scope of rcscai ch 2 Research methodology 5 Limitation of research 4 Data analysis and interpretation / r 1% 1* i Research finding T3 , jf| 5.a Recommendation ant! suggestion SO / g) -L Conclusion 9 2- ^4 A Appendix 3 Questioners 85/ 26 Webligraphy 5 Bibliography 8?
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INDEX
CHAPTERNO
CHAPTER NAME PAGF NO
1 Executive summ ry 1
2 Introduction SL , 5
3 C ompany profile C , 1?.
i Objective of scope of rcscai ch
2 Research methodology
5 Limitation of research
4 Data analysis and interpretation / r 1%
1* i Research finding T3 , jf|
5.a Recommendation ant! suggestion SO / g)
-L Conclusion 9 2- ^4
A Appendix
3 Questioners 85/ 26
Webligraphy
5 Bibliography 8?
11a
i«• >* % !? ? 3?
: ii * I£X
f 1
I I ^ I
i
p
-B1s 1
1s
C
12
CHAPTER 1
Introduction & Research
Design
1.1 Introduction:-
Corporate Social Responsibility
In our daily life, we perform a
number of activities. For example,
brushing your teeth, listening to our
parents, showing respect to elders
obeying traffic rules on road etc. Now
why do you perform all these
activities? It is because you live in a
family as well as in a society and the
members of you family as well as the
society want you to do all of them.
They do several things for us and
expect something from us which we
must do. The expectations of the
family or society become our
obligations, which you need to fullfil.
For example, taking care of our
parents or children, keeping the road
clean by not throwing garbage on it,
etc. There are also obligations towards
yourself, which you need to fullfil.
For example, taking food timely,
going to sleep early at night, etc. that
keep you fit and takes care of your
health. Now we fulfill all these
obligations by performing certain
activities which are called our
responsibilities. Any responsibility we
have, particularly towards members of
the society with whom we interact or
towards the society in general, are
called our social responsibility. This is
true in case of business also. As we
know, every business operates within
a society. It uses the resources of the
society and depends on the society for
its functioning. This creates an
obligation on the part of business to
look after the welfare of society. So
all the activities of the business should
be such that they will not harm, rather
they will protect and contribute to the
interests of the society. Social
responsibility of business refers to all
such duties and obligations of
business directed towards the welfare
of society. These duties can be a part
of the routine functions of carrying on
business activity or they may be an
additional function of carrying out
welfare activity. Let us take an
example. A drug-manufacturing firm
undertakes extensive research and
thus, produces
drugs which arc
qualitatively
superior. It also
provides
scholarships or
fellowships to
the family
members of its
employees for
studying abroad.
We find, in both
the cases, the
drug-
manufacturing
firm is carrying
out its social
responsibility.
In case of the
former, it is a
part of its
routine business
function while
in the latter case
it is a welfare
function.
1.2 Statement of problem
This research
is carried in
the rural area
as there
only
common
bank in 7 villages and it is to make
people aware about the social
activities
their
related to banking.
It is earned to make consumers
familiar with banking practices.
1.3 The objectives of projects are-
1. To study concept of CSR
2. To understand CSR practices in
Bank of Maharashtra
3. To evaluate CSR in Bank of
Maharashtra towards consumers
4. To make familiar rural
consumers with bank practices
5. To evaluate CSR practices of
bank of Maharashtra towards society
6. Fo suggest bank about social
practices in area which is under them
1. To suggest bank to carry out
more welfare activities in local areas.
1.4 Scope in Objective of Reaserch:-
In the day to day life we talk
about the social work or charity done
by MNCS and their effects on society.
In same way the society must be
aware of the social to study work is
for them.
The research is carried out to
study the CSR practices in bank of
Maharashtra. It encompasses all social
activities carried out by bank and it
will also make the people aware about
their rights and duties towards the
society.
1.5 Methodology
1) PRIMARY DATA:
Primary data is
collected through interviewing
customers of bank of
Maharashtra through questioners.
Sample size is of 25 customers.
2) SECONDARY DATA:
Secondary data is collected from various books and internet.
1.6 Limitations of study:-
11 The sun ey is done in rural
area.
2) The people
were not giving
complete
information
about their
transaction. > )
Time was
limiting factor
for the research
work.
4) The hank branch is common
in 7 villages all villages are not
surveyed .5
CHAPTER
2 Bank
profile
2.1 Mission & Vision
Vision 2012To be a vibrant, forward
looking, techno-savvy, customer
centric bank serving diverse
sections of the society, enhancing
shareholders’ and employees’
value while moving them in new
world.
Mission 2012
L To ensure quick and efficient
response to customer expectations.
2. To innovate products and
services to cater to diverse
sections of society.
3. To adopt latest technology on
a continuous basis.
4. To build proactive,
professional and involved
workforce.
5. To enhance the shareholders’
wealth through best practices and
corporate governance.6. To enter international arena through branch network.
Bank of Maharashtra
16-09 1935
Corporate Address
2.2 Bank profile
□ Name of company
Date of Establishment
Lokmangal, 1501 Shivaji N'agar, Pune-
www .bankofmah.incshtra in
□ Management Details □ Chairperson - A. S. Bhattacharya
MD - Allen C. A. Pereira
Directors - A. K. Pandit, A. S.
Bhattacharya, A. Y. Shed shale, Allen
C. A. Pereira, C. Patwan, C. R.
Patwari, ChittaranjanPatwari, D. R.
Tuljapurkar, D. S. Patel, Kamala
Revenue1056.34 ( USD in Millions)
27553.28 ( Rs. in Millions )n Market Cap
Rajan, M. G. Sanghvi, R. K.
Deshpande, S. H. Kocheta, S. K.
[.IBank- Public
□ Background
Gogia, S. U. Deshpande, Shirish
DattatrayaDhanak, T. Parameswara
Rao, V. P. Bhardwaj
□ Business Operation
.iBank Of Maharashtra (BOM) was
registered on September 16, 1935
with a capital ot'RslO I akh 'today it
has the largest network of 1,375
branches than any other public sector
Gogia, S. U. Deshpande, Shirish
banks in Maharashtra. It has a
network of 345 ATMs.
□It has a vision to reach a business
Gogia, S. U. Deshpande, Shirish
level of Rs 85,500 crore, to increase
ATMs up to 500, to introduce internet
banking, mobile banking and phone bank
Financials Total Income - tbk S32f* 071 M
( ywm cadmg Mar 20101 Vd Proftt«
Rs Milltni (
yttK ending Mat 2010)Company Secretary \ y shrdOuk
Auditors WahtA GufX* VC OnM (V Cft
liprfarll f«* Mu* tUf*t A Htt*t ^_ j
2.3 History of Bank
Bank of Maharashtra (litAI) mai irpucvid oa VcfUirakt I4>. 1^)5 »i4 a capital of RslO I
akh Today it has the largest network **! ! *75 than u> / %Ahct piMic Mfctur
banks in Maharashtra It has a network of »45 \l \l>
It has a vision to reach a business lev d of Rs H5,.vX» crore, to increase ATNU up id 500, to
introduce internet banking, mobile banking and phone bonking
It oilers depository services and denial facilities at 131 branches Jv • of its branches are located in
rural areas
BoM has tie up LIC of India and United India Insurance C ompany
Business
Personal Banking BoM offers several products and services in pctmm10
banking such as deposits, savings, personal loans, educational loans, RTGS, demat services, credit cards,etc.
NRI banking It also offers products and services to NRI clients such as FCNR accounts, remittance services, etc.
The PSU bank also offers services to agricultural and SME sectors.
Outlook
The banking sector in India is most dominant sector of the financial system. The regulatory system of Indian banks
are rated at par with Japan and Singapore .The public sector banks are key players in banking system; which account
for 69.9% of the aggregate assets. Detail history of Maha Bank
Maharashtra has a long history of commercial activity since ages because of its strategic location in Indian sub
continent and its large natural resources.
Maharashtra has been a progressive region and the Banking activity was also started in this region quite early.
Historically speaking, the Bank of Bombay established in 1840 was the first Commercial Bank in Maharashtra.
However, the first commercial bank set up in Maharashtra outside Mumbai was The Poona Bank established in 1889
at Pune followed by The Deccan Bank in 1890 and the Bombay Banking Company in 1898
Outbreak of the First World War leading to great depression took a heavy toll on banks in India.
Between 1914 and 1935 as many as 380 banks failed in the country out of which 54 were based in Bombay
province. The impact of these failures was felt more in Maharashtra region because certain banks known for a long
time were also closed down.
The effects of great depression started fading and new enterprises began emerging with new hopes in all spheres of
economy, including banking
Need felt for an Independent Bank for Maharashtra
The Mahratta Chamber of Commerce (MCC) was established in Poona in 1934 and its Founder Secretary
ShriA.R.Bhat was a great visionary.
ShriBhat initiated for a comprehensive review of banking services available in the region through the special issue
of Kesarinews paper released in memory of LokmanyaTilak within a few months of establishment of MCC. He
ensured that his friend, Shri V. P.Varde, considered as a doyen of co-operative movement, wrote an article on the
necessity of a separate bank for Maharashtra, thus launching a public discussion on the subject. While there was no
noticeable response to the article of ShriVarde, Shri A R Bhat kept on discussing the subject with leaders in Trade
and Industry.
ShriBhat ensured that Mahratta Chamber and its Directors took up the issue and held a Conference on Business and
Industry in Poona on behalf of the MCC in Februaryl935.
ShriBhat pushed the proposal for formation of a bank and succeeded in getting the following resolution adopted by
the conference:
"For providing capital to the trade and industry in Maharashtra, it is essential to establish a Joint Stock commercial
bank. The Mahratta Chamber is, therefore, requested to make all the necessary enquiries in that behalf and take
appropriate steps for floating such a bank. The business community in Maharashtra is urged to support such an
effort. "
The Swadeshi movement of the first decade of the 20th Century gave stimulus to the establishment of a number of
commercial banks under Indian Management in Maharashtra.
The MCC formed a sub-committee consisting of SarvashriV.G.Kale, D.K.Sathe, N.G.Pawar, G.D.Apte and
A.R.Bhat to work out the details.
The first meeting of the committee was held on 19 May 1935 in the conference room of the KesariMahratta office
and besides the committee members, prominent personalities from the City like ShriBabasahebKamat, the then
President of the MCCI, J S.Karandikar, RajabhauGodbole, GovindraoPandit, DamuannaPotdar, S.R.Sardesai,
BaburaoGokhale, and N.N. Kshirsagar among others participated in deliberations.
Another meeting of the subcommittee with wider public representation was followed on 27 May 1935 in the
meeting hall of KesariMahratta office and decisions on matters like the number of Directors on the Board of the
proposed bank (maximum to be 11 members), Amoun each share (to be Rs.50/-) and primary condition for
becoming a Director (to hold a minimum of 500 shares) were taken.2.4 Milestones
Milestones In The Journey For Nation Building:
Registered on 16-09-1935
Commitment stated in the prospectus issued on 21 -10-1935:
“Steadily to spread its business operations all over Maharashtra and as opportunity allows, outside that area
offering varied services to the general public while trying to be useful to trade , commerce and industry
consistently with high standards of safety and efficiency”
1936 : Commenced operations on 08-02-1936 in Pune
1938 : Second branch of the bank was opened in 1938 at Fort, Bombay.
1940 : Third branch came up at Deccan Gymkhana, Pune
1944 : Status as Scheduled Bank obtained
1946 : Deposits crossed Rs One crore mark
Formed fully owned subsidiary, The Maharashtra Executor & Trustee Company
First branch outside Maharashtra opened in Hubli (Mysore Starte, Now
Karnataka)1949 : Expansion to AP: Hyderabad branch opened 1963 : Expansion to
Goa: Panjim Branch opened
1 9 6 6 Expansion to Madhya Pradesh: Indore branch opened I ntend in Gujarat Baroda branch opened
1 9 6 9 Nationalised alongwith 13 other BanksEntry in Delhi by opening Karolbagh branch on I() 12-69
1978:- Deposit base crossed Rs. 100 Crore mark MarathwadaGrameena Bank, first
RRJB established on 26-08-1976
New Head Office building inaugurated by Hon'ble Prime Minister of India Shri.Moraiji Desai Deposits crossed
the figure of Rs.500 Crores
I
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1991 :
1995 :
1996 :
2000
:
2004:
2005 :
2006 :
2009 :
2010 :
1987 . j QOOth branch of the Bank was inaugurated at Indira vasahat, Bibwewadi, Pune at the
auspicious hands of Dr.ShankarDayal Sharma, the Honourable Vice President of India
"Mahabank Farmer Credit Card " was launched Entered in to Domestic Credit Card Business Main
Frame Computer installed
Became member of the SWIFT
Diamond Jubilee Celebrations - Dr C Rangarajan the RBI Governor was the Chief Guest Deposits
crossed Rs 5000 crore mark
Moved into “A” category from the earlier “C” category. Autonomy obtained Deposits crossed Rs
10000 croremark
Public Issue of Shares - 24% owned by Public Listed in BSE and NSE Bancassurance and Mutual
Fund distribution business started
Crossed total business level of Rs.50,000Crore Branch CBS Project started Entered in to 75th year of
dedicated service to the Nation
Adopted 75 underdeveloped villages for integrated overall development 100% CBS of branches
achieved
Total Business crossed Rs One lakh crore
Opened 76 branches in the Platinum Year taking the total to 1506
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The Pillar
institution- Symbolising strength.
The Diyas
Our Branches- Symbolising service.
The 3 M's symbol izing-
Mobilisation of Money
Modernisation of Methods and
Motivation of Staff.First Board of Directors of Maha Bank
The Bank was formally registered under the Indian Companies Act, on the auspicious day of 16
September 1935.
The Memorandum and Articles of the Bank were signed by following 19 promoters (Sarvashri)
Board of Directors 0thers
1. Prof.V G Kale | ARBhat
I DfCSathe S IBI
3. B S Kamat
4. N. G. Pawar
5. V T Ranade
6. TV Sane
7. M R Joshi
8. G S Marathe
3. B M Gupte
4. S R Rajguru
5. R N Abhyankar
6. V P Varde
7. D G Bapat
8. S G Marathe
9. RaghunathraoSohoni 9.D DChitale
10. D V Potdar
Witness Signatory: Shri G D Apte
Present scenario
20
Shri. IC. H. WazeShri. B. K. Piparaiya
Shri. R. H. KulkamiShri. V. Y. Chapekar
Shri.S. D. AryaShri. M. C. Goyal
Shri. Dilip. R. HamagleShri. P. S. Vengurlekar
Top Management-
Shri. A. S. Banerjee
Shri. V. E, Dalvi
Shri. M. V. Dhoble
Shri. V. R. Gupta
Kev Executives
Name
A S Bhattacharya
P P Bhardwaj
Kamala Raj an T
ParanieswaraRao
C R Patwari A K
Pandit D S Patel S
U Deshpande S H
Kocheta M G
Sanghvi
ShirishDattatrayaDhanak
Designation
Chairman
DirectorDirector
Director
Director
Director
Director
Director
Director
Executive Director
Workmen Director
Highlights of Maha Bank-
Autonomy secured in the year 1998 continues.
Total business more than Rs. 91000.00 crore of which
total deposits more than Rs. 54400 crore and Gross
advances more than Rs36600 crore as of 30.9.2009
Branch network comprises of 1433 branches spread over 22 states and 2 union territories.
CBS Branches-
Bank has migrated 831 branches under CBS as
against 773 branches as on 31.03.2009 and 798
branches as on 30.06.2009
ATM Network
Bank has 345 ATMs. Bank has installed 11 Biometric
ATMs. Card base crosses 10 lakh Mahabanklnsta
International Visa Debit Card
Mahabanklntenational Debit Card is issued in
collaboration with VISA
ATM Card along with PIN is given to the customer as
“Welcome Kit” at the time of opening of the current
and SB account in all CBS branches. The customer
can start using ATM Insta card after 36 hours from
date of issue. ( 36000 Insta Cards are issued since
July 09)
Utility Bill Payment through Internet Banking Facility.
The customers can do on line shopping / e-commerce
and utility bill payment transaction through Internet
Banking facility.( 37000 Customer are using Internet
Banking facility)
“Maha e-Statement”
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21. The Rural Development Centers at Bhigwan and Hadapsar in Pune District undertake various lab
to land programs on improved technologies. A full fledged soil-testing lab is
being set up for the benefit of the farmers to go in for high-tech agriculture.
22. To provide activity specific training to educated unemployed youth, Bank has set up five
Mahabank Self Employment Training Institutes (MSETI) at Pune, Aurangabad, Nagpur, Nasik &
Ajnravati for providing training to rural youth for enabling them to acquire skills for self-
employment.
23. Bank has formed a Trust by the name GraminMahilavaBalakVikasMandal (GMBVM), which is
primarily engaged in formation, nurturing, training and linkage of self-help groups to various
banks, GMBVM has its area of operation in nine districts and has been recognised by Government
of Maharashtra as Mother NGO. It also markets various products made by SHGs through its two
retail outlets by name “SAVITRI” in Pune district The GMBVM is now in the process of scaling
up viable SHGs to SMEs.
24. The Bank has floated a subsidiary company- The Maharashtra Executor & Trustee Company Ltd.
(METCO) which undertakes Trustee Business, Property Management and Tax Consultancy as
well.
25. Bank is the Convenor for Town Official Language Implementation Committee (TOLIC) at
Mumbai, Pune &Solapur. The Bank secured the First Prize for better implementation of Hindi in
both "A’ and ‘B’ Region and the Fourth Prize for implementation of Hindi in ‘C” Region under
Reserve Bank of India Rajbhasha Shield Scheme for the year 2007-2008. The Bank also secured
the Second Prize under R.B.I. Bi-lingual House Magazine Competition for the year 2 0
-6 . Other special pointsNo of employees 1)431
Other loetfmtt of !idone* offket J2 JUpoori «flke» 142! hNNkft FIMKIII nmli lot time
penal; Affll 2001»vurth p * Sales It * 4TW Cipi- Profit hrfuif Va% H* M'c n*f%
• Nd piofil aftet la* R* >7^( rt»p* ___________________ I
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4 NRI Aoouw*
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Current Deposit
Mahabank - P^ari & S#w*««
2. Ci*m* *&*»**
Term Deposits
1. Recurring Deposit
Scheme
2. Mahabank - Term
Deposit Scheme
3 Cumulative Deposit
Scheme
(CDR)
4. Mahabank — Sul abhJ
amaYoj ana
5. Quarterly Interest
Deposit Scheme
6. Monthly Interest
Deposit Scheme Loans
1. Agriculture loans
2. Education loans
3. For entrepreneurs
4. For Corporates
5. For individuals
6. For exporters
7. Housing finance scheme
8. For professionals
7. Mixie Deposit Scheme
8. Mahabank -
SheetalJama
Yojana
9. Mahasaraswati Scheme
10. Mahabank - Trust
Deposit Scheme
11. FCNR Account
9. Mahabank Gold Card
Scheme for Exporters
10. MahabankAdhar
Scheme
11. Mahabank Salary Gain
Scheme
12. Mahabank Renewable
Energy Equipments
13. Personal Loans
14. Mahabank Vehicle
Loan Scheme
1.5, Mahabank
Consumer Loan
Scheme
16. Mahadeep Solar Home
Systems
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CHAPTER 3
IHEORYTICAL HACK GR(H Nl):
40
3.1 WHAT DO WE MEAN BY CORPORATE SOCIAL RESPONSIBILITY?
I. What do we mean by corporate social responsibility?
There is an increasing focus by firms on examining their social responsibilities. For example, Business in the
Community published ‘Winning with Integrity’ in November 2000. This has as part of its objectives ‘to
produce materials and resources on how companies should measure and report their impact on society’
(Business Impact, 2000). It lists twenty such initiatives in various areas of furthering corporate social
responsibility, not including its own report. Similarly, the World Business Council for Sustainable
Development (WBCSD, 1999) seeks to develop a clear understanding of corporate social responsibility,
including a matrix of corporate social responsibility indicators.
But what is meant by Corporate Social Responsibility (‘CSR’)? Responsibility for what and to whom and who
is calling for firms to be socially responsible? This article examines the broad development of the ideas behind
CSR within the literature and some of the current attempts to define the social responsibilities of business. It
starts by examining the debate about the nature of corporate social responsibility and current attempts to
define CSR. It then looks at some theories to explain how and why business might undertake CSR -
stakeholder theory, social contracts theory and legitimacy theory. The article concludes by describing ways of
assessing corporate social performance - from industry and also from the academic literature.
The need for companies to undertake activity that might be regarded as socially responsible has been
discussed in the literature and has been a topic of academic study for decades (Heald, 1957, cited in Ullmann,
1985). Cannon (1992) discusses the development of corporate social responsibility via the historical
development of business involvement leading to a post-war reexamination of the nature of the relationship
between business, society and government. He identifies that the primary role of business is to produce goods
and services that society
1 Wants and needs, however there is an inter-dependence between business and society in the need for a stable
environment with an educated workforce. Cannon, (1992:33) quotes Lord Sieff, the former chairman of
Marks and Spencer PLC: ‘Business only contributes fully to a society if it is efficient, profitable and
socially responsible’.
Similarly, Wood (1991) states that ‘the basic idea of corporate social responsibility is that business and society
are interwoven rather than distinct entities’.
2. What are the social responsibilities of business?
The area defined by advocates of CSR increasingly covers a wide range of issues such as plant closures,
employee relations, human rights, corporate ethics, community relations and the environment. Indeed, CSR
Europe, a membership organisation of large companies across Europe, in their reporting guidelines look at the
following areas: workplace (employees), marketplace (customers, suppliers), environment, community, ethics
and human rights. Whether or not, business should undertake CSR and the forms that responsibility should
take depends upon the economic perspective of the firm that is adopted. Those who adopt the neoclassical view
of the firm would believe that the only social responsibilities to be adopted by business are the provision of
employment and payment of taxes. This view is most famously taken to the extremes of maximising
shareholder value and reflected in the views of Milton Friedman (1962: 133): ‘Few trends would so thoroughly
undermine the very foundations of our free society as the acceptance by corporate officials of a social
responsibility other than to make as much money for their shareholders as they possibly can.’
An alternative view of the firm following the behavioural theorists (Cyert and March, 1963; cited in Wartick
and Wood, 1998) might view corporate social activity from a standpoint that examines the political aspects and
non-economic influences on managerial behaviour. This36
The first is associated with some form of moral or ethical imperative that because business has
resources, it is part of the role of business to assist in solving social problems. Thus, Holmes (1076), in a
study of executive attitudes to social responsibility, finds that the strongest response was that ‘in
addition to making a profit, business should help to solve social problems whether or not business
helps to create those problems even if there is probably no short-run or long-run profit potential’. In
effect some view that because business has resources and skills there are a quasi-moral obligation to be
involved. However this may be the views of the executives rather than the owners of the business.
Proponents of CSR claim that it is in the enlightened self-interest of business to undertake various
forms of CSR. The forms of business benefit that might accrue would include enhanced reputation and
greater employee loyalty and retention. We can identify this approach in some of the current
approaches by business. So, the
Introductory section of the recent report by the World Business Council for Sustainable
Development on Corporate Social Responsibility (1999) used phrases such as ‘business benefits’, ‘could
destroy shareholder value’, ‘control risks’, ‘identify market opportunities’, ‘improving reputation’ and
‘maintaining public support’.
3 This analysis is supported by a recent study in Australia of motivations bybusiness for community
involvement (CCPA, 2000). The study finds that Australian business is ‘experiencing a transition in
expectations of its social role’, but part of the reason is that this social role ‘contributes to the
continuing health and growth’ of business. Three-quarters of the companies studied have ‘the goal of
long-term business sustainability. At the heart of the business case’ for community involvement.’ the
involvement ‘is a way to maintain trust, support and legitimacy with the community, governments and
employees.’ A further 10 per cent of the companies studied claim that community involvement is a way
to ‘put back’ without seeking a rerum and 10 per cent see their social obligations as ‘met exclusively by
returning \ alue to their shareholders.' Thus we can see three broad strands of enlightened self-
interest, a moral approach linked to social expectations and the neo-classical approach. It is interesting
to note, in particular, the reference to social legitimacy. This implies that there is iome form of social
expectation that a legitimate business would act in a particular manner - I effect some form of social
contract.
■
motivated by the profit motive advocated by Friedman and thus agree with him and regard greater CSR as
the manner in which to achieve maximisation of shareholder wealth or whether there is an underlying
moral or ethical imperative. This tension is evident in current attemptsto address the nature of CSR. CSR Europe’s approach is that business benefits from being
more socially responsible and can help to build sales, the workforce and trust in the company as a whole.
The objective is to build sustainable growth for business in a responsible manner.
39
Within the literature on CSR, we can identify developments in our understanding as well as in
business practice. This is well described by Frederick (1986, 1994) in his terminology and progression of
the development of CSR. Fredaerick (1994) identifies the development in the understanding of CSR up to
1970 as an examination of ‘corporations’ obligation to work for social betterment’ and refers to this as
CSRi. However, around 1970 he notes a move to ‘corporate social
4 Responsiveness’, which he calls CSR.2- He identifies corporate social responsiveness as ‘the
capacity of a corporation to respond to social pressures’. In effect the move from CSRi to CSR2 reflects a
move from a philosophical approach to one that focuses on managerial action - that is will the firm respond
and how. Latterly, Frederick (1986) has developed this analysis to include a more ethical base to
managerial decision taking in the form of corporate social rectitude and terms this CSR3. In this
development, Frederick claims that the study of business and society needs an ethical anchor to ‘permit a
systematic critique of business’s impact upon human consciousness, human community and human
continuity’. He asserts that whilst CSRi was normative, it was hesitant and that CSR2ted to non-normative
enquiry. Thus the requirement for a moral basis provides a nonnative foundation for managers to take
decisions in the area of CSR. As part of a normative manifesto, he proposes that the ‘claims of humanising
are equal to the claims of economizing’. This approach is thus fundamentally different to that proposed by
the neo-classical economists.
Brummer (1991) in a wide-ranging review anempts to provide clear definitions of responsibility as well
as looking at the different philosophical approaches. In a deep review of the meaning of responsibility,
in this context he proposes that responsibility means that executives are held accountable for their
actions. He summarises three types of corporate conduct normally thought as requiring a rendering
from executives:
1. Actions performed that go beyond the corporation’s domain of authority or permissibility
2. Non-performance of acts within the corporation’s domain of responsibility
3. Inferior performance of acts within the latter domain.
In addition to the neo-classical approach, he discusses three further theories to explain to whom
corporations might be accountable. These are stakeholder theories, w hich are discussed below,
5 social demandingness theory where firms respond to demands from society and social activist
theory. This last mentioned takes the position that although there should be concern for the welfare of
the public, it is a concern for their welfare as an expression of their ideal or rational interests rather
than merely their present or expressed interests. Few firms can be identified that adopt these last two
approaches - possibly firms such as Traidcraft and the Body Shop might adopt the approach. By far
the greater number of commentators that propose active CSR do this by means of stakeholder
analysis (e.g. Steiner and Steiner, 2000; Frederick, Post and Davis. 1992; Carroll, 1996). This is also
true of approaches within the corporate sector (e.g. Business Impact, 2000). But how does business
actually define CSR? The World Business Council for Sustainable De\elopment proposes a definition
for CSR as:
The ethical behaviour of a company towards society...........................management acting
responsiblN in its relationships with other stakeholders who have a legitimate interest in the
business.'
And ‘CSR 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.'
pies from individual companies in the area of CSR re-enforce stakeholder analysis:
mt tom*.
Ml h&mwrnjt JtfSlrifc
42
43
Volkswagen (2000) adopt a position which builds both shareholder value and work holder value in
order to deliver 'sustainable growth for the future’. They define CSR as ‘the ability of a company to
incorporate its responsibility to society to develop solutions for economic and social problems'.
Shell: ‘NVe all need to assess the impact our business makes on society and ensure that we balance the
economic, environmental and social aspects of everything we do.’(Responsible Business, 1999: 2).
These proponents of active CSR propose practices built around stakeholder analysis and
engagement, including understanding stakeholders’ aspirations and needs and then communicating
with and interacting with stakeholder groups. Business Impact (2000: 7.03) claims ‘interacting with its
stakeholders can help a company understand its capacities (and limitations) to behave in a way that
reflects the needs and aspirations of society’.
Thus a current analysis of CSR would involve meeting the needs of all stakeholders and not just
shareholders against some form of ethical basis. This basis is described by Business Impact (2000: 1.02)
in the following key principles:
. To treat employees fairly and equitably. To operate ethically and with integrity . To respect
basic human rights
7. To sustain the environment for future generations. To be a caring neighbour in their communities
This begins to accord with Frederick s corporate social rectitude, however the need for business
benefits is never far away.
In this discussion we are able to identify theories which might explain active CSR - those B
stakeholder theory to explain how and social contract theory, closely allied with legitimacy theory to
explain why. We now briefly explore these theories in the context of CSR.
Theories to analyse and explain corporate social responsibility Stakeholder theories
The Stakeholder Theory of the firm is used as a basis to analyse those groups to whom
the firm should be responsible. As described by Freeman (1984), the firm can be described as
a senes of connections of stakeholders that the managers of the firm attempt to manage.
Freeman’s classic definition of a stakeholder is “any group or individual who can affect or is
affected by the achievement of the organization’s objectives” (Freeman, 1984:46).
Stakeholders are typically analysed into primary and secondary stakeholders. Clarkson (1995:
106) defines a primary stakeholder group as “one without whose continuing participation the
corporation cannot survive as a going concern” - with the primary group including
“shareholders and investors, employees, customers and suppliers, together with what is
defined as the public stakeholder group: the governments and communities that provide
infrastructures and markets, whose laws and regulations must be obeyed, and to whom taxes
and obligations may be due” (p. 106). The secondary groups are defined as “those who
influence or affect, or are influenced or affected by
8 The corporation, but they are not engaged in transactions with the corporation and are not essential for its
survival”.
The major divide within stakeholder theory is whether it is a coherent theory or a set of theories (Trevino and
Weaver, 1999). Effectively, the divide is whether stakeholder theory is a normative theory based upon largely
ethical propositions or an empirical/instrumental/ descriptive theory (e.g. Donaldson and Preston, 1995; Jones
and Wicks, 1999). This remains a contentious area within the literature (Jones and Wicks, 1999; Freeman,
1999, Donaldson, 1999; Trevino and Weaver, 1999; Gioia, 1999). In terms of the issue of social
responsibility, the central issue is whether stakeholder analysis is part of the motivation for business to be
responsible and, if so, to which stakeholders. Hamil (1999). adopting Donaldson and Preston’s (1995)
typology, finds that corporate giving is nearly always instrumental.
In practice this might mean that firms with problems over employee retention would attend to
employee issues and those in consumer markets would have regard to matters that affect reputation.
Stakeholder groups may also become more or less urgent; so environmental groups and issues became
more urgent to oil firms following the Exxon Valdez oil spill (Patten, 1992). We note from the current
commercial approaches to CSR that stakeholder analysis is important, but that the rationale remains
largely instrumental (WBCSD, 1999; Business Impact, 2000). However, there are elements that are also
normative. For example, Business Impact begins by advocating that CSR should be based against set
purposes and values - nevertheless such purpose 9 And values are also linked to ‘contributing to [the
firm’s] reputation and success’ (Business Impact, 2000: 1.01).
Social Contracts Theory
Gray, Owen and Adams (1996) describe society as ‘ a series of social contracts between members
of society and society itself. In the context of CSR, an alternative possibility is not that business might act
in a responsible manner because it is in its commercial interest, but because it is part of how society
implicitly expects business to operate.
Donaldson and Dunfee (1999) develop Integrated Social Contracts Theory as a way for managers
to take decisions in an ethical context. They differentiate between macrosocial contracts and microsocial
contracts. Thus a macrosocial contract in the context of communities, for example, would be an
expectation that business provide some support to its local community and the specific form of
involvement would be the microsocial contract. Hence companies who adopt a view of social contracts
would describe their involvement as part of ‘societal expectation’ - however, whilst this could explain the
initial motivation, it might not explain the totality of their involvement. One of the commercial benefits
that was identified in the Australian study (CCPA, 2000) was described as ‘licence to operate’ -
particularly for natural resource firms. This might be regarded as part of the commercial benefit of
enhanced reputation, but also links to gaining and maintaining legitimacy (Suchman, 1995).Legitimacy Theory
\ 0 Suchman (1995) defines legitimacy as ‘a generalized
46
perception or assumption that the actions of an entity are desirable, proper, or appropriate within some socially
constructed system of norms, values, beliefs and definitions.’
Bringing together, prior literature on legitimacy management - including the strategic tradition of resource dependence
theory (Pfeffer and Salancik, 1978) and the institutional traditions (DiMaggio and Powell, 1983), he identifies three types
of organizational legitimacy:
Pragmatic Moral Cognitive
And he also identifies three key challenges of legitimacy management - gaining, maintaining and repairing legitimacy.
Suchman points out that “legitimacy management rests heavily on communication” - therefore in any attempt to involve
legitimacy theory, there is a need to examine some forms of corporate communications.
Lindblom (1994, cited in Gray, Owen and Adams, 1996) notes that legitimacy is not necessarily a benign process for
organizations to obtain legitimacy from society. She
argues that an organization may employ four broad legitimation strategies when faced with different legitimation threats:
1. Seek to educate its stakeholders about the organisation’s intentions to improve that performance
2. Seek to change the organisation’s perceptions of the event (but without changing the organisation’s
actual performance
3. Distract (i.e. manipulate) attention away from the issue of concern
4. Seek to change external expectations about its performance thus there
is a need to examine any particular corporate behaviour within its context and in particular to look
for alternative motivations.
Thus legitimacy might be seen as a key reason for undertaking corporate social behaviour and also then
using that activity as a form of publicity or influence (Ltndblom cited m Gray et al, 1996 and in Clarke, 1998),
A converse view to this, i e. not that business uses its power to legitimate its activity but. rather that society grants
power to business which it expects it to ujse I responsibly is set out by Davis (cited in Wood, 1991) ‘Society grants
legit nr. acv and powet to business. In the long run, those who do not use power in a manner which socicty considers
responsible will tend to lose it*. In effect, this is a fMtatcment of the concept of a social
contract between the firm and society.
We may begin, therefore, to examine the practice of CSR w.thm huMncs* as potentially
motivated by some form of principle a* described in **ul cnn.r*u mcon. analysed .n the
particular by some form of stakeholder analysis in order to pn».Jc cnhmnl reputation or. . . r m i l t h e o n l v wav t o review t h e practice of CSR,legitimacy to the firm. This is. of count. n<
, . ,. s itul outcomes m a way to a*«css performance however the separation into principles, pradic
in the area.1 2 Assessing Performance
The literature on Corporate Social Responsibility and Stakeholder Theory come together in an examination of Corporate Social Performance. The literature has attempted to describe an emerging model of the issues that lead to a coherent model of what would represent corporate social performance. As such, this body of research is normative. However, it is also designed to assist mangers in thinking through social issues (Carroll, 1979).
Following on from Carroll (1979) and Wartick and Cochran (1985), Wood (1991) develops a complete model of corporate social performance. This builds upon the issues of corporate social responsibility and corporate social responsiveness to include measurement. The model is presented in Figure 1:
The corporate social performance model Source: Wood (1991)Wood has thus introduced a need to measure corporate social performance. The model offers no guidance on how the
measurement should be derived, other than by a reference to the corporate social reporting literature. For those businesses
that undertake corporate social behaviour, the types of activities undertaken may be examined from an organisation-
centred stakeholderStakeholder management
Issues management
LegitimacyPublic
Responsibility Managerial discretion
PROCESSES OF SOCIAL responsiveness 1
PRINCIPLES of social responsibility erspective, with employees, the environment or the community as the typical
stakeholder. However, this assumption should not discount the possibility that social behaviour might be
undertaken for the benefit of shareholders or managers and presented as for the benefit of other stakeholders.
The Wood model is effectively a nonnative model of a framework in which to assess corporate social
performance - inherent in this model is an assumption that such behaviour is. in part, motivated by the interests of
the fimi and from the perspective of the firm.
48
It should be noted, also, that the model does seek to measure the social outcomes of the corporate activity —
but it does, nonetheless start from a firm perspective.
Adopting Wood’s framework, business might undertake corporate social behaviour, because:
The activity relates to the business primary or secondary activity and that there is a business return (Preston
and Post, 1975)
h forms part of corporate philanthropy
Business wishes to influence particular stakeholder groups
Environmental scanning
corporate crime which have been ‘developed for certain purposes’. They observe that • although the
measures that have been used so far have focused on particular areas of CSP ...
they have limited use in depicting how and why specific stakeholder relationships occur and develop.”
practitioners continue to struggle with ways to assess corporate social performance. Thus, CSR Europe
(2000: 46) states ‘in order to measure their overall performance as well as their performance on specific
CSR issues, companies use input, output, outcome and process indicators.’ (emphasis in the original).
They then cite, from a review of 45 companies, a number of detailed workplace climate, marketplace,
environment, community and local economic development, human rights and ethics performance
indicators. These indicators are then
1 4 compared to proposed indicators by ‘other initiatives’ and then the Business Impact Task Force
derives ‘suggested impact indicators for each CSR issue’ (p.58). Particular indicators are proposed for
companies at different stages of development from those ‘beginning to measure progress’ through to
‘further improvement of their performance’. It is interesting to note the range of areas covered in an
assessment of CSR.
The debate on what to measure in assessing corporate social performance and how objective measures
can be obtained -and verified is an issue of much current debate (e.g. Gray Owen and Adams, 1996;
Gonella, Pilling and Zadek, 1998), however it is clear that business is seeking a practical solution.
3.2What is CSR All About?
Although the concept of CSR has been developing since the early 1970s, there is no single, commonly accepted
definition of CSR. Below we provide some examples of CSR definitions.
"CSR is defined as operating a business in a manner that meets or exceeds the ethical,
legal, commercial and public expectations that society has of business. CSR is seen by
leadership companies as more than a collection of discrete practices or occasional gestures, or51
jarge. (The above definition was developed in ff®8. for the first WIU SI) CSR dialogue in The
Netherlands.)"
"CSR is a public movement, which has gained more
momentum as citizens demand corporations to be accountable for their impacts, Consumers
investors and employees alike are recognizing the power held by corporations and efforts are being
made on several levels to create global change with the hope that earth will become a better place."
Source: CSR Wire
“CSR is the concept that an enterprise is accountable for its impact on all relevant stakeholders.
It is the continuing commitment by business to behave fairly and responsibly and contribute to
economic development while improving the quality of life of the work force and their families as
well as of the local community and society at large.” Source: European Union
“CSR is a term describing a company's obligation to be accountable to all of its stakeholders in
all its operations and activities. Socially responsible companies consider the full scope of their
impact on communities and the environment when making decisions, balancing the needs of
stakeholders with their need to make a profit.” Source: Ethics in Action
“CSR is concerned with treating the stakeholders of the firm ethically or in asocially
responsible manner. Stakeholders exist both within a firm and outside. Consequently, behaving
socially responsibly will increase the human development of stakeholders both within and outside
the corporation." Source: Michael Hopkins: A Planetary Bargain: CSR Comes of Age (Macmillan,
UK. 1998) CSR generally refers to:
1- a collection of policies and practices linked to relationship with key stakeholders, values,
compliance with legal requirements, and respect for people, communities and the
environment: and
corporate philanthropy or simply compliance with law. Since mid-90’ the business sector has gradually
engaged into many actions, which have been traditionally assigned to the sphere of responsibility ot the
government^ yet due to its incapacity, business has taken the lead. Participation in such projects has
revealed business as a strategic partner in the process of development, in close cooperation w ith the
government and international institutions.
3.3CSR Main Components
The scope of CSR is conceptually quite unbound at the present time. The debate between the private
sector, civil society and governments focuses on a few key issues. As there is no single, commonly
accepted definition of CSR, there is also no commonly accepted classification of the main components of
CSR Often. CSR is related to:
Environmental protection - The focus is on finding sustainablesol ut tons for natural resources use to
reduce company's impact on the environment. Over the past several years, environmental responsibility
has expanded to invoke substantially more than compliance with all applicable government regulations
or even a tew initiatives such as recycling or energy efficiency. Many citizens, environmental
organizations and leadership companies now define environmental responsibility as unolout! a
comprehensive approach to a company’s[
operations, products and facilities that includes as>es>mg business product*, processes and services,
eliminating waste ami emissions, maximizing the efficiency and productivity of all asset* ami resources,
and minimizing pmcfices that might adversely affect the enjoyment ot*he plane*"* rtsourtes by Mure §cBa*H0»
impact of corporate social responsibility standards. For example, one has to be careful in
Human rights -Business practices can profoundly effect the rightsand dignity of employees and communities. The main focus is
on developing workplaces free from discrimination where creativity and learning can flourish decent codes of
professional conduct, and where a proper balance can be maintained between work and other aspects of our lives.
Behaving irresponsibly on the issue of human rights could be costly because theii reputation and bottom line is at
stake. This is also related to globalization and increasing international trade and the challenge of findings ways of
doing business world-wide that respect human rights and social justice and facilitate the appropriate development
of the emerging economies. Countries are expected to support and respect the protection of international human
rights within their sphere of influence; and sure their own corporations are not complicit in human rights abuses.
Paying workers a living wage and protecting them from harassment may cost a little more in the short run, but if
it improves morale and reduces turnover then it may still be good for profits after a few years. So socially
responsible management practices may contribute directly to profits.
Community involvement -It includes: community partnership,employee giving, global community involvement, philanthropy, product and
services donations, release time, volunteerism etc. Corporate community involvement refers to a wide range of
actions taken by companies to maximize the impact of their donated money, time, products, services, influence,
management knowledge and other resources on the communities in which they operate. When strategically
designed and executed, these initiatives not only bring value to recipients, but also enhance the reputation of
companies and their brands, products and values in local communities where they have significant commercial
interests — as well as around the world. To learn more about business involvement in poverty alleviation, please
see Module 5: CSR and the Poor.Business standards:-cover a broad area of corporateactivitics such as ethics. financial reterns cmiummcntai protection, human
rights and labor standards Thestandards arc usually accipu - 1 u corporate business association, industry
or country level The rise of international trade. gU'bali/atiofi, { and instant communication has led to
increasing pressure from various groups for the formation of global business conduct standardv In
response to (heir conu'»r»s ditlefeni standards have been proposed and created I his has led to many
different qvR-'ii.-ns which standard is the "best"?; arc there any real benefits to compliance with a global
>tandaid>\ .. an a global standard be universal?; can compliance with a global standard he audited* and \i
so, who, it anyone, should monitor compliance?
Source: UNC‘TAD. ‘‘Foreign Direct Investment and the (hallenttc of tVvctapnvcfil/ 4 World Investment
Report, 1999.
Fundamental MO ( on\ciitions, ( ati\ Principles ho_________________Bu*im sy (Jobal
Reporting lniliative
Marketplace (including distribution, ethical marketing. pnctng,bi!ling, cuftsumer . privacy, product
disclosure, product qualiis and safety, etc i Marketplace issues, as they relate lo corporate social
responsibility, extend across a w ide range of business activities th.it define a company’s relationship with
its customers. These activities may be grouped into six categories: (1) product manufacturing and
integrity; (2) disclosure, labeling and packaging; (3) marketing and advertising; (4) selling practices; (5)
pricing; and (6) distribution. In each of these areas, companies are retooling their business strategies to
address new issues >uch as privacy and technology, marketing to children, heightened expectations for
product safety and environmental impact, increased scrutiny by consumers and non-governmental
organizations, and the steady globalization of the consumer movement In a broader sense, CSR
also
includes:
Enterprise and economic development -
This broad conceptincludes: competitiveness, development of local SMEs, entrepreneurship, community
economic development, micro finance in emerging economies etc.) The drive of entrepreneurs in developing
countries can provide the catalyst to lift an economy onto an upward growth spiral. In many cases, however, the
lack of an enabling business framework and a scarcity of support structures for new businesses can work to
undermine and defeat entrepreneurial endeavor. Increasingly, multi-national companies (MNCs), with their
wealth of financial, technical and managerial expertise, are being called upon to provide a focal point of support
for local businesses. At the same time, MNCs can work to help governments understand the ways in which an
enabling business framework can be developed to fuel domestic entrepreneurial efforts. Business involvement in
community economic development (CED) is the application of a company's core business functions, as well as
foundation and contribution dollars, to business endeavors in low-income and underserved communities for the
mutual economic benefit of community and company.
The workplace is now recognized as an important setting for health promotion in industrialized countries, and
interest is growing in the wider role that business can play as a partner in health development. Private sector
business plays a dominant role as the driver of current global economic development, and globalization is
bringing new social and economic challenges. For those concerned with promoting well-being, it is essential that
policies and programs are adjusted to address this new reality and that the business community is, as far as
possible, engaged as a partner in the promotion of well-being.
WHO Director General to the 51st World Health Assembly in 1998, Gro Harlem Brundtland indicated a
significant shift in WHO policy towards engaging the private sector vhen she said: "We must reach out to the
private sector... the private sector has an important ,-ole to play both in technology development and the provision
of services. We need open and constructive relations with the private sector and industry, knowing where our
roles differ and where they may complement each other. I invite industry to join in a dialogue on the key issues
facing us".
Education and Leadership Development - As educations is oneof the key elements of sustainable
development and pro poor growth, businesses, working together with public sector and civil society, can make an
important contribution to providing an access to quality education for all. Companies can also make more critical
impact on the development process by raising standards in corporate education and leadership development, and
bringing best practices to their partners in developing and transitional economies.
Human Disaster Relief -Companies, in cooperation with publicsector, civil society, and international organizations, have played an
important role in supporting humanitarian relief operations. Due to the rising cost, threat and complexity of the
consequences of major disasters on society, the key challenge is to go beyond “proactive response” and to focus
on prevention where CSR framework can help the key players to utilize more development oriented approach.^ 4 Increased Importance of CSR
jS becoming one of the most challenging issues that both private and public sector, civil
• tv and opinion leaders, and other practitioners are faced with. The main reason for the sociWcreased importance of CSR can be classified into six broad and overlapping categories:
Globalization: New CSR Issues
More complex organizations which operate in diverscultures and jurisdictions;
Different CSR standards among countries;
Diverse cultures, norms and values, languages, laws and regulations, quality of life, and
I readiness to recognize the existence of these issues and willingness to confront them;
I Need to achieve consistent business conduct standards;
How to deal with local CSR standards (including health, safety, and environment), I which are
lower than ones back home?
Importance of local champions among community leaders, beyond company level initiatives.
New Technology
*mpact of information technology:
o Companies are first to be exposed to these issues
0 Questions of security - data protection and customer privacy
62
o Emerging industries, such as “dot.coms”, have different base of competitiveness - once mature, they
will pay more attention to
business ethics and corporate social responsibilities;
New technology, such as telecommuting reducefaceto-face communication between employees and
managers; Technological changes: new CSR dilemmas, includingengineering and privacy on the Internet:
o Real-time exchange and conversation on the Internet is available instantly and globally, thus
allowing citizens to express their opinions, make suggestions, and post their complaints online.
The Internet empowers customers to shape corporate reputation.
The Internet provides a very efficient way to check the company history, its economic, social, and
environmental attitudes.
Complexity and Risks
The complexity arises because of discontinuities in technology, demography, revolutions, societal and
cultural trends, and from the fact that the next rules of competition have yet to be written. Furthermore,
unpredictable and turbulent changes can come to any industry (even in those where the rules of
competition are clearly defined today) thus exposing countries and companies to unforeseen competitive
pressure. In addition to competitive Pressure, increased importance of societal expectations being placed
on businesses put the lssue of competitiveness on an unprecedented scale and level of complexity. This
includes Such issues as
Increased merger and acquisition
Increasing complexity, likelihood and significance^ risk from wrongdoing
More complex organizations and risks of “culturalclash” due to increased complexity of operations',
even a single act of wrongdoing can have tar reaching consequences
Rapidly changing world: leads to increased uncertainties and need for continuous “keeping up"
New laws and regulations: increase complexity andthc potential lor non-compliance Increasing
influences of stakeholders, particularly NCJOs
Increased vulnerability of big companies due to: o “Life in CNN world"
o responsible for their partners in other countries
o big scandals lead to more government interventions including regulations
Ptyorate downsizing and decentralization often adsle to: o Loss of
valuable experience o Loss of control mechanisms
greater Likelihood of Discovery due to:
New technology: high speed of information access nda dissemination
\ more powerful and aggressive media
24 hours global news services
Increased scrutiny by stakeholders, such as governments, NGOs, the public and customers
Greater Cost of Misconduct due to:
Increasing fines and penalties - still primarily rivend by “new legislation and regulations”
Increasing reputation damages in an era of expanding customer choice
Growing interests of the investment community, in“softer issues” such as CSR and impact on the
environment.
CHAPTER 4 DATA ANALYSIS AND INTERPRETATION
s is IHiM mi ' i MM S nmi l ) MW8 M1HI IHt tUO
As all
REASON:
Q2)ARE YOU FEELINGSECURE WITH BANK?
INTERPRETATION:
All the cons umers are feeling secure to transact with bank.
of them m saving <hey are feeling safe 10 deposit tteir savings in tank.
Yes
100%
Q4) IS BANK COMPLETING TRANSACTION PROMPTLY ?
03) DO VOI RKC JVH
REASON:
Yes No
93% 7%
NTERPRETATIOV-
93* • of consumers are saying that bank is completing transaction promptly and other 7*«are saving bank
docs not do so
7% of people may have face problems while working or transacting with
r>o
Seri-25 1
06) WHETHER BANK HEARS YOUR OPENION?
Yes No
96% 4%
Series 1
INTERPRETATION:
96%of consumers are saying that bank gives the m respectful treatment and 4% people are refusing above statement.
4% of people may having some clashes with bank employees.
Q 5 WHETHER BANK GIVES YOUR RESPECTFUL TREATMENT ?
REASON:
Yes No 1
96% 4%
INTERPRETATION:
96% of consumers are saying that bank hears their openion and 4% are opposing to above statement.
REASON:
4% of people are opposin g state meant as their opinion may not b e considered bybank.
REASON:
72
Q7) ARE BANK EMPLOYE ES CO-OPRATIVE WITH YOU?
Yes No
98% 2%
INTERPRETATION:
98% of consumers are saying that bank employees are Co-
Operative
2% of people are oppo sing the above saying as they are not satisfied with the bank.
73
Q8) WHETHER BANK PROVIDES CONSKSSiONAL 1NTREST LOAN IN SPECIAL* ASK?
Yes no Don't know
4% 93% 3% jj
INTERPRETATION:
4% of consumers are saying bank gives concessional interest
loans 95% are saying no to it und3% don’t know about it.
REASON:
95% of people are saying no as they may have not got loan in special case.
Q9)IS BANK CONDUCTIN G SOCIAL PROGRAMS LIKE BI.OOI) DONATION; TREE PLANTATION ETC?
Yes No
2% 98%
INTERPRET ATION
98^»Of consumers are saving bank do not conduct any social
programs and 2% are agreed v> ith above statement SEASON:9«%of people are sning no as bank is no. conducting social program*
01®) IS BANK ARRANGING consi \||.R Fair*
IM I K V K I I A I ION:
35*«of coRMim art iavti| iy fcunfc «iK»«n mmm h» Mi *9%mt mm
supporting the swemcni
KEASONI45SofCOOMMT ms* CM h e c o o w M T fef or M|0Ii>rMiafl
71 j ,*J|||h
Qll) IS BANK INFORMING YOU ABOUT WELLFAIR ACTIVITIES ?
Yes No
7% 93%
INTERPRETATION:
7% OF consumers are saying that bank informs them about their
welfare activities and other 93 % are saying no bank do not do so.
REASON:
93%of people sure saying no as they are not receiving information about
wellfairactivities.
Q12) IS BANK GIVING YOU FINANCIAL ADVICE?
Yes ----------------------------------------—--------------------------------No
16% 84%_____________________________________________
INTERPRETATION:
16% OF consumers are agreed that bank gives them financial advice and 84% of consumers are disagreed with above statement.
REASON:
84% of people are saying no as they might be not satisfied with the bank suggessition.
Q13) ARE YOU SATISFIED WITH BANK?
Yes No
85% 15%
INTERPRETATION:
85% of consumers are satisfied with the bank an d rest of the 15 ^ are not
satisfied with the bank.
Chapter 5 Findings &Suggestions
5.1 SUGGESTIONS
On the basis of information analyses and interpretation, following suggestions would like to give to Bank
In the case of consumers-
1. Maintain good relation with customer regularly and inform them all.facility at time to time
2. Open at least one self ATM center
3. Some consumer found check boor charges and DD commission are high as compare to
other banks hence Bank should try to reduce above charges
4. Develop payhouse system to en cash payment of employees.
5. Arrange consumer fair and inform them about facilities form bank
6. Make column of account number on withdrawal slips should be increased in length.
In the case of society-
1. Arrange any such type of social program as like- tree plantation, blood donation any other and tell
to society about the bank welfare activities
2. Prepare handy advertisement and give it to each customers
3. Prepare soft copies of welfare activities and send to all customers at their respective mails
4. Publish advertisement for in all branches and in the major newspaper while
conducting such social welfare activity80
10. More than 80% of customers have agreed that bank has advised theme in
financial matter at least one time.
11. Most of customer has known the facilities given by the Bank and very few
doesn’t know said thing.
12. All customers are satisfied with Bank
In the case society
1. Bank has been worked in educational, rural and development form more than 30
years
2. Bank of Maharashtra must perform social programee on large scale
3. very few people in society known the welfare services of the Bank
NAME OF CUSTOMER:
ADDRESS:
PROFESSION:
TYPES OF DEPOSIT:
DURATION IN TRANSITION WITH BANK:
TO STUDY CSR OF BANK OF MAI IARASM I RA
QUESTIONER FOR CUSTOMERS
1) Whether bank charges fair in (rest?
I>YES 2>NO
2) Areyou feelingsecure withe bank?
1> YES 2> NO
3) Do you recive all documents from bank?
1> YES 2> NO
4) Is bank completing transaction promptly?
1>YES 2> NO
5) Whether bank gives your respectful treatment?
1>YES 2>NO6) Whether bank hears your openiom?
1> YES 2> NO
7) Are bank employees cooprative with you ?-
1> YES 2> NO
8) Whether bank provides concessional interest loan in
special case?
1> YES 2>NO
9) Is bank conducting social program like BLOOD
DONATION, TREE PLANTATION etc?
1> YES 2> NO
10) Is bank arranging consumer fair?
1> YES 2> NO
11) Is bank informing you about its welfare activity?
1> YES 2>NO
12)Is bank giving you financial advice?
1> YES 2> NO
13)Are you satisfied with bank?
1> YES 2> NO
6. BIBLIOGRAPHIES
1. Books
1) A text book of CSR rishab publication
2)text book of TY BMS vipul publication
2. Web site- a. www.mahabank.or b. www.bankofniaharaslra .
3. Reports
a. Annual Report of Maha Bank
b. Periodical report of Bank of Maharashtra
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