4/15/12 KARMAYOG
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List of Topics:
Sources of Information for rating.
Time period for the study.
Rating Criteria: Necessary, Sufficient,Negative.
Comparison of Ratings.
Kansai Nerolac Paints Ltd.
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a) Information on the 500 companies has been taken from
the company’s website and Annual Report.b) Wherever either or both of the above sources was
unavailable or did not contain the required information,
other sources have been used. (e.g. website of the Ministry
of Corporate Affairs: www.mca.gov.in)
c) Consolidated sales and profits are listed for each
company.
d) For each company, a standard form has been filled with
details of the company and its CSR activities (The form is at
http://www.karmayog.org/csr2010/csrall/)
e) Companies could also fill and submit the CSR form on
their own.
f) A form, once filled, is sent by email to the respective
company (through the official email IDs provided by the
Sources of Information for the Study
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TIME PERIOD OF STUDY
a) The Financial accounting period for most
companies is from April 2009 – March 2010.
b) If the Financial accounting period of a company
is different (e.g. year ending September 2009,
December 2009, June 2010, etc.), this has been
mentioned accordingly in the individual CSRprofile of each company.
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a) Companies are rated from Level 0 to 5 (Level 5being the highest)
b) The CSR Rating is assigned based on the CSR
initiatives of the company for the time period of the
study, including a comparison with previous years’CSR initiatives.
c) Rating is based on “Sufficient, Necessary and
Negative Criteria” for different levels.
d) All companies are informed of the assigned rating
and requested to respond with further information
or feedback, as necessary.
e) The Karmayog CSR Rating of any company is open
to change whenever new information is provided by
RATING CRITERIA
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Necessary Criteria Explanation RatingLevel
If undertaking any CSR Activity CSR activities that cover any kind of social,
developmental or community work
Level 1
If CSR is also linked to reducing the
negative impacts of company’s own
products or processes
CSR activities that aim to accordingly improve
processes and products of the company.
Level 2
If CSR initiatives are also for the local
community
CSR activities that are focused on those who
are affected directly by the company
Level 3
If CSR is also embedded in the businessoperations
CSR activities that form a part of the dailybusiness activities of the company.
Level 4
If innovative ideas and practices are also
developed for CSR
CSR activities that enable sustainable and
replicable solutions to problems faced by
society.
Level 5
A) MINIMUM NECESSARY CRITERIA
Necessary parameters that make a company eligible for a particular rating level
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Sufficient Criteria What this means Rating
LevelCompany fulfilling basic needs of society
through its products or services e.g. providing
financial services
The products and services of the company
are useful and benefit society
Level 1
Unique CSR activity which would not otherwise
happen e.g. Developing a mapping and tracking
software for adoption in India
The CSR activity being undertaken by the
company is helpful to government, NGOs,
others, in tackling issues of society
Level 1
Company helps to reduce the negative impact of
other companies e.g. A company that makes
water purification & waste recycling systems
Company’s products or services provide
solutions to mitigate harm caused by
actions of companies, their products, etc.
Level 1
Company adopting the GRI Framework for
CSR reporting
Company is committed to measuring and
reporting its CSR initiatives as per a
voluntary globally accepted framework.
Level 1
Company’s annual expenditure on CSR= 0.2%
of sales, minimum
Company is committed to a minimum
expenditure on CSR annually, and thus
considers CSR as an integral part of its
business
Level 2
B) SUFFICIENT CRITERIA
If the company is doing this, they automatically get this rating at least
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Negative Criteria Reason RatingLevel
Companies that make liquor, tobacco,
genetically engineered / modified crops
These products are not needed by society, and cause
harm to people and the environment. The best CSR to
do is to stop making these products.
Level 0
Companies that violatelaws/rules/regulations
CSR is not limited just to how a company spends itsmoney, but also to how it makes that money in the first
place
Level 1
Companies engaged in high impact
processes
Processes that severely damage the environment
require extraordinary efforts by the company to reduce
and repair the damage, and require greater
contributions to benefit society
Level 1
Companies that report the same CSR
activities (even, verbatim) as for
previous years
This indicates that the company does not take CSR
seriously enough to be engaged in CSR initiatives
every year, building on these, and reporting progress.
One Level less
than the
previous year’s
rating
C) NEGATIVE CRITERIA THAT USUALLY DETERMINE THE MAXIMUMPOSSIBLE RATING
Companies in this category will not normally get a higher rating than the one shown
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Comparison of Ratings: 2007 - 2010
No. of companies 2007 2008 2009 2010
Level 0 221 173 128 113
Level 1 93 118 147 148
Level 2 144 161 146 161
Level 3 38 38 66 66
Level 4 4 10 13 12
Level 5 0 0 0 0
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C o m p a ris o n o f C S R R a tin g s 2
0
5 0
1 0 0
1 5 0
2 0 0
2 5 0
2 0 0 7 2 0 0 8 2 0 0 9 2 0 1 0
Ye a r o f C S R ra t
N o .
o f c o m p a
n i e s
L e v e l
L e v e l
L e v e lL e v e l
L e v e l
L e v e l
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Companies with a Level 4 ratingare:
Ballarpur IndustriesHDFCInfosys Technologies Jubilant Organosys
Kansai NerolacLarsen and Toubro
Mahindra and Mahindra
Moser Baer Tata Consultancy
Tata Steel Titan Industries
Wi ro
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Company's Vision CSR Vision
“To behave fairly & responsibly contributing tosustainable economic development and improvingthe quality of life in the neighborhood, in theprocess maximizing stakeholders’ value.”• Accountable for impact on stakeholders – work
force, their family, the local community and societyat large• Improving the quality of life of the neighborhoodin ways good for developmentCompany's Mission CSR Mission
"To contribute positively to the development of thesociety, by acting as a good neighbor, considerate of others, playing the role of a good corporate citizen withpassion and compassion.”
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Kansai Nerolac Paints Ltd
ØYear of Establishment – 1920
ØRegt. Office Location= Mumbai
ØNo. of Employees= 2148
ØIndustry Category= Paints
ØSales in Crore = 1845
ØProfit Before Tax = 239 Cr.
ØRecommended CSR 0.2%= 4 Cr.
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CSR Areas
LIVELIHOOD CREATION, EDUCATION, HEALTHCARE,RURAL DEVELOPMENT, SENIOR CITIZENS, WATER
CSR Rating 2010= 4CSR Rating 2009= 4CSR Rating 2008= 4
CSR Rating 2007= 3
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CommunityDevelopment
• Financial assistance was given to Mumbai
based Our Lady’s home, an orphanage for
boys
• Financial help was given to Jeevan
Sandhya Mangalya Sansthan Trust for
providing basic facilities to old age homeresidents
• Distribution of Blankets to
Underprivileged
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Education• Financial Assistance was provided to the
Bombay Community Public Trust for e-teaching aid projects for vernacular schools inMaharashtra• Donation was provided to Kherwadi SocialWelfare Association(KESWA)• Snehalay Trust• Distribution of School Bags at Jainpur• A water tank of 1000 litres was provided forthe school kitchen along with a water pipleline
with 4 water taps.• A 500 litres water tank has been fixed forproviding toilet facility for children.• Floor leveling of the main gate of the schoolhas been done, thus helping to lock the gate
properly and there by improving safety
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Healthcare• Free Medical Health Check Up Camp at Jaipur
• Eye Camp organized by Perungudi Factory• Participation in AIDS Awareness Camp byBawal• Support for Health Camp for Senior Citizens
by Lote Factory• Medical Camps at Depots• Thalassaemic Children Welfare Association• Udaipur based Narayan Seva Sansthan Trustreceived donations from the organization
towards surgery of handicapped childrenaffected by Polio. This has enabled theaffected patients to get treated and makethem physically capable to walk on their feet.•
Financial assistance was provided to ENTCharitable Trust towards treatment of
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• Vireshwar Mitra Mandal Seva Sanstha had
approached us for helping them in their social cause
of increasing awareness about environment by
displaying Environment related boards to make
people aware of environment aspects such as
hazards of using plastic, waste management.
• Chiplun’s Navkonkan Education Society had
requested for providing financial assistance for
creating awareness on environmental aspects by
displaying the board on Mumbai Goa Highway for
EnvironmentalPreservation