What is the full form of CSR?
The CSR full form is Corporate Social Responsibility. It is defined as a business structure that allows a company to be accountable to the public and its stakeholders in order to make the company aware of its impact on social, economic, and environmental factors.
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CSR seeks to integrate economically beneficial services and activities into the business model and culture of an organization. It indicates that businesses must contribute to social, economic, and environmental growth that has a positive impact on society. As CSR needs private sector participation, the government closely monitors the corporate social responsibility (CSR) component of businesses in order to aid disadvantaged members of society and safeguard the environment.
Needs of CSR
In order to have a beneficial impact on society, CSR enables enterprises to exercise control over their operations. It asserts that in addition to conducting business, a company must also fulfill its social responsibilities, which may include,
- Donations of money to various non-profit organizations.
- Aiding victims of natural catastrophes including hurricanes, earthquakes, and drought.
- Promotion of talent in sports, entrepreneurship, and cultural activities.
- Take measures to reduce air and water pollution, etc.
- Companies are required to establish a CSR committee that reviews and approves the board’s CSR planning and policy procedures.
- The statute also contains penalties for businesses that fail to comply with CSR rules.
