A CORPORATE

SOCIAL
RESPONSIBILITY
OF
MAHINDRA&MAHI
NDRA
1.1 CORPORATE SOCIAL RESPONSIBILITY
Corporate social responsibility (CSR) is a self-regulating business model that helps a
company be socially accountable — to itself, its stakeholders, and the public. By practicing
corporate social responsibility, also called corporate citizenship, companies can be conscious
of the kind of impact they are having on all aspects of society including economic, social, and
environmental. To engage in CSR means that, in the normal course of business, a company is
operating in ways that enhance society and the environment, instead of contributing
negatively to them.

Corporate social responsibility is a broad concept that can take many forms depending on the
company and industry. Through CSR programs, philanthropy, and volunteer efforts,
businesses can benefit society while boosting their own brands. As important as CSR is for
the community, it is equally valuable for a company. CSR activities can help forge a stronger
bond between employee and corporation; they can boost morale and can help both employees
and employers feel more connected with the world around them.

In order for a company to be socially responsible, it first needs to be responsible to itself and
its shareholders. Often, companies that adopt CSR programs have grown their business to the
point where they can give back to society. Thus, CSR is primarily a strategy of large
corporations. Also, the more visible and successful a corporation is, the more responsibility it
has to set standards of ethical behavior for its peers, competition, and industry.

THE COMPANIES ACT, 2013

As per as Corporate Social Responsibility is concerned, the Companies Act, 2013 is a
landmark legislation that made India the first country to mandate and quantify CSR
expenditure. The inclusion of CSR is an attempt by the government to engage the businesses
with the national development agenda. The details of on corporate social responsibility is
mentioned in the Section 135 of the Companies Act, 2013. The Act came into force from
April 1, 2014, every company, private limited or public limited, which either has a net worth
of Rs 500 crore or a turnover of Rs 1,000 crore or net profit of Rs 5 crore, needs to spend at
least 2% of its average net profit for the immediately preceding three financial years on
Corporate social responsibility activities. The CSR activities in India should not be
undertaken in the normal course of business and must be with respect to any of the activities
mentioned in Schedule VII of the act.
The corporations are required to setup a CSR committee which designs a CSR policy which
is approved by the board and encompasses the CSR activities the corporations is willing to
undertake. The act also has penal provisions for corporations and individuals for failure to
abide by the norms. The details of the same are highlighted in the act.

SECTION 135
(1) Every company having net worth of rupees five hundred crore or more, or turnover of
rupees one thousand crore or more or a net profit of rupees five crore or more during any
financial year shall constitute a Corporate Social Responsibility Committee of the Board
consisting of three or more directors, out of which at least one director shall be an
independent director.
(2) The Board’s report under sub-section (3) of section 134 shall disclose the composition of
the Corporate Social Responsibility Committee.
(3) The Corporate Social Responsibility Committee shall,—
(a) formulate and recommend to the Board, a Corporate Social Responsibility Policy which
shall indicate the activities to be undertaken by the company as specified in Schedule VII;
(b) recommend the amount of expenditure to be incurred on the activities referred to in clause
(a); and
(c) monitor the Corporate Social Responsibility(CSR) Policy of the company from time to
time.
(4) The Board of every company referred to in sub-section (1) shall,—
(a) after taking into account the recommendations made by the Corporate Social
Responsibility Committee, approve the Corporate Social Responsibility(CSR) Policy for the
company and disclose contents of such Policy in its report and also place it on the company’s
website, if any, in such manner as may be prescribed; and
(b) ensure that the activities as are included in Corporate Social Responsibility Policy of the
company are undertaken by the company.
(5) The Board of every company referred to in sub-section (1), shall ensure that the company
spends, in every financial year, at least two per cent. of the average net profits of the
company made during the three immediately preceding financial years, in pursuance of its
Corporate Social Responsibility Policy:
Provided that the company shall give preference to the local area and areas around it where it
operates, for spending the amount earmarked for csr activities:
Provided further that if the company fails to spend such amount, the Board shall, in its report
made under clause (o) of sub-section (3) of section 134, specify the reasons for not spending
the amount.

Corporate social initiatives

Corporate social responsibility includes six types of corporate social initiatives:[47]

 Corporate philanthropy: company donations to charity, including cash, goods, and

services, sometimes via a corporate foundation
 Community volunteering: company-organized volunteer activities, sometimes while an
employee receives pay for pro-bono work on behalf of a non-profit organization
 Socially-responsible business practices: ethically produced products which appeal to a
customer segment
 Cause promotions and activism: company-funded advocacy campaigns
 Cause-related marketing: donations to charity based on product sales
 Corporate social marketing: company-funded behavior-change campaigns
All six of the corporate initiatives are forms of corporate citizenship. However, only some of
these CSR activities rise to the level of cause marketing, defined as "a type of corporate
social responsibility (CSR) in which a company's promotional campaign has the dual purpose
of increasing profitability while bettering society."[48]
Companies generally do not have a profit motive when participating in corporate
philanthropy and community volunteering. On the other hand, the remaining corporate social
initiatives can be examples of cause marketing, in which there is both a societal interest and
profit motive.

Consumer perspectives
Most consumers agree that while achieving business targets, companies should engage in
CSR efforts at the same time.[24] Most consumers believe companies doing charity work will
receive a positive response.[25] Somerville also found that consumers are loyal and willing to
spend more on retailers that support charity. Consumers also believe that retailers selling
local products will gain loyalty.[26] Smith (2013)[27] shares the belief that marketing local
products will gain consumer trust. However, environmental efforts are receiving negative
views given the belief that this would affect customer service.[26] Oppewal et al. (2006) found
that not all CSR activities are attractive to consumers.[28] They recommended that retailers
focus on one activity.[29] Becker-Olsen (2006)[30] found that if the social initiative done by the
company is not aligned with other company goals it will have a negative impact. Mohr et al.
(2001)[31] and Groza et al. (2011)[32] also emphasise the importance of reaching the consumer.

CORPORATE SOCIAL RESPONSIBILITY OF

MAHINDRA&MAHINDRA
The social initiatives of the group have been very well streamlined where each group
company donates 0.5% of their PAT to the K C Mahindra Education Trust and adopts
projects under the Trust. The remaining 0.5% is used by the company to run community
development programs on their own. 1. K. C. Mahindra Education Trust: Established by the
late Mr. K. C. Mahindra in 1953, the K. C. Mahindra Education Trust aims to 'Transform the
lives of people in India through education, by providing financial assistance and recognition
to them, across age groups and across income strata'. It was registered as a Public Charitable
Trust under the Bombay Public Trusts Act, 1950. The K.C. Mahindra Education Trust has
undertaken a number of education initiatives to make a difference to the lives of deserving
students. The Trust promotes education mainly by way of scholarships. It has provided more
than Rs. 13.80 crores (approximately US $ 3.0 million) in the form of grants, scholarships
and loans. Some of these scholarships were instituted as far back as the 1950's, while others
were founded recently. These are funded through an investment portfolio, the main donors of
which are the Mahindra Group of companies.

2. Mahindra Academy: As part of its Corporate Social Responsibility activities, the Mahindra
Group has established schools near its factories primarily for children of its employees. At
present, the Group has three schools that impart high standards of education - Mahindra
Academy at Malad in Mumbai, Mahindra Academy in Zaheerabad and a school in Khopoli.
The establishment of these schools has not just benefited their employees but also the
community around these schools. Teachers at these schools are qualified and undergo regular
training as well as attend relevant workshops. Their teaching methodologies are constantly
evaluated and modified when necessary.
 3. Disaster Relief: The Mahindra Foundation has been set up with a specific objective: to
provide medical relief to the poor and needy sections of society. The foundation has helped
patients suffering from cancer, heart ailments as well as burn victims. It has also been very
active during national calamities and disasters and has helped contribute and mobilize
resources. The foundation also extends its support to academia and other professionals and
sportsmen by helping them attend workshops and conferences overseas. The Mahindra Group
has always been very responsive to any major disaster in India. Whether it's been the tsunami
or the Gujarat earthquake, the Mahindra family has got together and always provided support
either by way of financial help or by way of sending vehicles, supplying material or
manpower.

4. The Group has Transformed 3 municipal Gardens: The Shivaji Garden (near Gateway of
India) is admired for its beautiful architecture and flourishing plants and flowers. Completely
renovated by the Mahindra Group at a cost of Rs. 6 Lakhs, it now has pathways for
pedestrians as well as new stretches of lawns and flowers. An area formerly frequented by
anti-social elements has been merged with the garden, to prevent further misuse. Every effort
has been taken to keep the garden in an immaculate condition and visiting hours are in place,
facilitating maintenance work. The Traffic Island Garden (opposite Regal Cinema) has been
completely renovated by the Mahindra Group at the cost of Rs. 1 Lakh. New lamp posts and
a variety of plants were put into place and the fountain was restored to its former glory. The
garden provides visual relief in this crowded and traffic congested circle. The third garden is
located at the junction of Madame Cama Road, to the south of Oval Maidan. This is a brand
new garden, developed by the group from scratch, at a cost of Rs. 1.5 Lakhs.

5. Mahindra Pride schools: It has decided to start two schools called Mahindra Pride schools
for the SC/ST youth. From the first Pride school, over 2000 students have been placed with a
starting salary Schools adopted by M&M: With an aim to improve the learning level of
children in government schools, the Mahindra Group has entrusted K. C. Mahindra Education
Trust to support 6 government schools in the city of Mumbai, which have drop out rates as
high as 15% by Std V and 22% by Std VII. A survey conducted in 60 schools in Mumbai
revealed that 60% of students studying in Std III would not read even simple paragraphs,
40% in Std IV could not write and 32% were not able to do simple arithmetic. K. C.
Mahindra Education Trust has identified Naandi Foundation as our implementation partner to
help us support these schools through their Ensuring Children Learn programme. The schools
identified are needy government schools and 5 of them located close to the factories and
offices were selected to allow the employees an opportunity to easily volunteer at these field
sites. of Rs. 9000.
1.2COMPANY PROFILE
Mahindra & Mahindra Limited is an Indian multinational car manufacturing corporation
headquartered in Mumbai, Maharashtra, India. It was established in 1945 as Mohammad &
Mahindra and later renamed as Mahindra and Mahindra. It is one of the largest vehicle
manufacturers by production in India and the largest manufacturer of tractors in the
world.[3] It is a part of the Mahindra Group, an Indian conglomerate.
It was ranked 21st on a list of top companies in India by Fortune India 500 in 2011.

HISTORY
Mahindra & Mahindra was set up as a steel trading company in 1945 in Ludhiana as
Mahindra & Mohmmad by brothers Kailash Chandra Mahindra and J.C. Mahindra and Malik
Ghulam Mohammed.[6] After India gained independence and Pakistan was formed,
Mohammed emigrated to Pakistan where he became that country's first finance minister. The
company changed its name to Mahindra & Mahindra in 1948.[7] It eventually saw a business
opportunity in expanding into manufacturing and selling larger MUVs, starting with the
assembly under licence of the Willys Jeep in India. Soon established as the Jeep
manufacturers of India, the company later commenced manufacturing light commercial
vehicles (LCVs) and agricultural tractors
Over the past few years, the company has taken interest in new industries and in foreign
markets. They entered the two-wheeler industry by taking over Kinetic Motors in
India.[8] M&M also has a controlling stake in the REVA Electric Car Company[9] and
acquired South Korea's SsangYong Motor Company in 2011.[10] In 2010–11 M&M entered in
micro drip irrigation with the takeover of EPC Industries Ltd in Nashik.
In October 2014, Mahindra and Mahindra acquired a 51% controlling stake in Peugeot
Motocycles.[11]
In December 2015, Mahindra and Mahindra Ltd and affiliate Tech Mahindra Ltd, through a
special purpose vehicle (SPV), have agreed to buy a 76.06% stake in Italian car designer
Pininfarina SpA, for €25.3 million (around Rs.186.7 crore).
In January 2017, Mahindra and Mahindra Ltd (M&M) acquired a 75.1 equity stake in
Hisarlar Makina Sanayi ve Ticaret Anonim Şirketi (Hisarlar), a farm equipment company,
marking its entry into Turkey.
In September 2017 Mahindra and Mahindra Ltd acquired Erkunt Traktor Sanayii AS, a
Turkish tractor maker and its foundry business for ₹800 crore.

AUTOMOBILES
. Mahindra & Mahindra, brands its products as "Mahindra", produces SUVs, saloon cars,
pickups, lightweight commercial vehicles, heavyweight commercial vehicles, two wheeled
motorcycles and tractors. Mahindra maintains business relations with foreign companies
like Renault SA, France.[12]
M&M has a global presence[13] and its products are exported to several countries.[14] Its
global subsidiaries include Mahindra Europe S.r.l. based in Italy,[15] Mahindra USA Inc.,
Mahindra South Africa[16] and Mahindra (China) Tractor Co. Ltd.[17][18] In 2015, Mahindra
reentered the Philippine market after a brief presence in 1990s[19]
Mahindra began assembling the Jeep CJ3 in 1954, and light commercial vehicles in 1965. In
1979 the licensed assembly of Peugeot diesel four-cylinder engines and transmissions began,
and in 1982 a tie-up with Kia Motors to build their four-speed KMT90 transmission and
transfer case was announced.[20] Mahindra's MM range was a mainstay of the lineup and was
eventually also offered with a 1.8-liter Isuzu petrol engine in addition to International and
Peugeot diesels.[21] Mahindra started making passenger vehicles firstly with the Logan in
April 2007 under the Mahindra Renault joint venture.[22] M&M made its maiden entry into
the heavy trucks segment with the Mahindra Truck and Bus Division, the joint venture
with International Truck, USA.[23]
Mahindra produces a wide range of vehicles, including MUVs, LCVs and three-wheelers. It
manufactures over 20 models of cars, including larger, multi-utility vehicles like
the Scorpio and the Bolero. It formerly had a joint venture with Ford called Ford India
Private Limited to build passenger cars.
At the 2008 Delhi Auto Show, Mahindra executives said the company was pursuing an
aggressive product expansion program that would see the launch of several new platforms
and vehicles over the next three years, including an entry-level SUV designed to seat five
passengers and powered by a small, turbocharged Diesel engine.[24] True to their word,
Mahindra & Mahindra launched the Mahindra Xylo in January 2009, selling over 15,000
units in its first six months.[25]
Also in early 2008, Mahindra commenced its first overseas CKD operations with the launch
of the Mahindra Scorpio in Egypt,[26] in partnership with the Bavarian Auto Group. This was
soon followed by assembly facilities in Brazil. Vehicles assembled at the plant in Bramont,
Manaus, include Scorpio Pik Ups in single and double cab pick-up body styles as well
as SUVs
Mahindra planned to sell the diesel SUVs and pickup trucks starting in late 2010 in North
America[28] through an independent distributor, Global Vehicles USA, based in Alpharetta,
Georgia.[29] Mahindra announced it would import pickup trucks from India in knockdown kit
(CKD) form to circumvent the Chicken tax.[30] CKDs are complete vehicles that were
assembled in the United States from kits of parts shipped in crates.[30] On 18 October 2010,
however, it was reported that Mahindra had indefinitely delayed the launch of vehicles into
the North American market, citing legal issues between it and Global Vehicles after
Mahindra retracted its contract with Global Vehicles earlier in 2010, due to a decision to sell
the vehicles directly to consumers instead of through Global Vehicles.[31] However, a
November 2010 report quoted John Perez, the CEO of Global Vehicles USA, as estimating
that he expected Mahindra's small Diesel pickups to go on sale in the United States by spring
2011, although legal complications remained, and Perez, while hopeful, admitted that
arbitration could take more than a year.[32] Later reports suggested that the delays may be due
to Mahindra scrapping the original model of the truck and replacing it with an upgraded one
before selling them to Americans.[33] In June 2012, a mass tort lawsuit was filed against
Mahindra by its American dealers, alleging the company of conspiracy and fraud.[34]
Mahindra & Mahindra has a controlling stake in Mahindra REVA Electric Vehicles. In 2011,
it also gained a controlling stake in South Korea's SsangYong Motor Company.
Mahindra launched its relatively heavily publicised SUV, XUV500, code named as W201 in
September 2011. The new SUV by Mahindra was designed in-house and it was developed on
the first global SUV platform that could be used for developing more SUVs. In India, the new
Mahindra XUV 500 came in a price range between ₹1,140,000–1,500,000. The company was
expected to launch three products in 2015 (two SUVs and pme CV) and an XUV 500 hybrid.
Mahindra's two wheeler segment launched a new scooter in the first quarter of
2015.[35] Besides India, the company also targeted Europe, Africa, Australia and Latin
America for this model.[36] Mahindra President Mr. Pawan Goenka stated that the company
planned to launch six new models in the year.[37] The company launched the CNG version of
its mini truck Maxximo on 29 June 2012.[38] A new version of the Verito in Diesel and petrol
options was launched by the company on 26 July 2012 to compete with Maruti's Dzire and
Toyota Kirloskar Motor's Etios.

FARM EQUIPMENT
Mahindra began manufacturing tractors for the Indian market during the early '60s. It is the
top tractor company in the world (by volume) with annual sales totaling more than 200,000
tractors. Since its inception, the company has sold over 2.1 million tractors.[50] Mahindra &
Mahindra's farm equipment division (Mahindra Tractors) has over 1,000 dealers servicing
approx. 1.45 million customers.[51]
Mahindra tractors are available in 40 countries, including India, the United States, China,
Australia, New Zealand, Africa (Nigeria, Mali, Chad, Gambia, Angola, Sudan, Ghana, and
Morocco), Latin America (Chile, Argentina, Brazil, Venezuela, Central America, and the
Caribbean), South Asia (Sri Lanka, Bangladesh, and Nepal), the Middle East (Iran and Syria)
and Eastern Europe (Serbia, Turkey, and Macedonia.[51] Mahindra Tractors manufactures its
products at four plants in India, two in Mainland China, three in the United States, and one in
Australia. It has three major subsidiaries: Mahindra USA, Mahindra (China) Tractor
Company, and Mahindra Yueda (Yancheng) Tractor Company (a joint venture with the
Jiangsu Yueda Group).
In 2003, the Farm Equipment Sector of Mahindra & Mahindra won the Deming Application
Prize[52][53] and in 2007 it received the Japan Quality Medal for implementing Total Quality
Management in its entire business operations.[54] The company has garnered the highest
customer satisfaction index (CSI) in the industry at 88 percent.[51] It earned a 2008 Golden
Peacock Award in the Innovative Product/Services category for its in-house development of a
load car.[51] In its 2009 survey of Asia's 200 most admired and innovative companies, the
Wall Street Journal named Mahindra & Mahindra one of the 10 most innovative Indian
companies.[51]
In addition to tractors, Mahindra sells other farm equipment. It has expanded its product-line
to include farm-support services via Mahindra AppliTrac (farm mechanisation products),
Mahindra ShubhLabh (seeds, crop protection, and market linkages and distribution), and the
Samriddhi Initiative (farm counselling and information services).
The Mahindra Automotive and Farm Equipment Sectors (AFS), is one of the largest
contributors to the Mahindra Group revenue and includes 27 businesses, 18 subsidiaries and 9
companies.
The Automotive business accounts for about 48% of India's utility vehicle market share and
is the number two CV player in India. The business has a presence in almost every segment
of the automobile industry with a portfolio ranging from SUVs, luxury UVs, sedans, pick-
ups, light, medium and heavy commercial vehicles to three-wheelers. Their customer base
spans rural and urban India.
The Farm Equipment department also has its presence in end-to-end agriculture value chain
providing irrigation, fertilization, seeds through varied agriculture and allied is businesses

AWARDS AND RECOGNITIONS

 Bombay Chamber Good Corporate Citizen Award for 2006–07.[59]
 Businessworld FICCI-SEDF Corporate Social Responsibility Award 2007.[60][61]
 The Brand Trust Report ranked M&M as India's 10th Most Trusted Brand in its India
Study 2014 survey (from 20,000 brands analyzed).[62][63]
 Its Farm Equipment division received the Deming Prize in 2003.[52]
 Its Farm Equipment division received the Japan Quality Medal in 2007.[64]
 The US based Reputation Institute ranked M&M amongst the top Ten Indian companies
in its 'Global 200: The World's Best Corporate Reputations' list for 2008.[65]
 Bluebytes News rated M&M as India's second Most Reputed Car Company (reported in
their study titled Reputation Benchmark Study) conducted for the Auto (Cars) Sector in
2012.
 CH-2
LITERATURE
REVIEW
2.1 CORPORATE SOCIAL RESPONSIBIITY
Harish Kumar (2012) stated that Corporate Social Responsibility means putting something
back into the society. CSR can be viewed as responsibility on the part of the business &
industrial organizations to be accountable to their stakeholders including society. Business
organizations have an active interplay with the society. They are independent on each other.
If we create wealth from society, we will have to plough it back for the welfare of the society.
It is general principle requires to be followed. It is advocated that the companies should make
CSR not only their strategy but also a way of life. In his research paper, the researcher has
given the expert‟s opinion that is Mr. K.A Chaukar who is Managing Director of Tata
Industries Ltd. Quotes, “CSR today is building a perspective on responsible behavior in the
companies to innovative ways in which businesses reach to the lower segment of markets &
include the poor of the poorest in the main stream of development.” Researcher has given the
opinion of Prime Minister Dr. Manmohan Singh, “Corporate Social Responsibility must not
be defined by tax planning strategies alone. Rather than it should be defined within the
framework of a corporate philosophy, which factors the needs of the community & the
regions in which a corporate entity functions.” Lastly he concluded that the Government &
legal pressures through rule & regulations cannot motivate business organizations to feel
responsible towards society rather than the voluntary measures evolving out of intrinsic
motivation & sense of social service can inspire them to be sharing their profits with society
in the name of welfare. According to the researcher the following lines of poetry can better
represent the CSR.

“Jo Baithen Hai Andhere Main Tavazzo Unpe Dijiye, Ujale Apne Diyon Se Gharon
Main Unke Kijiye”

Pulidindi Venugopal (May, 2012) focused the importance of corporate social responsibility
and the way it is being addressed in the current market driven Economy. She has given the
example of STRIVE which means Skills, Training and research in Vocational Education
Services Pvt. Ltd., which focused on providing Skills and training in Vocational Education to
youth from under served and unreached segments of population both geographically and
economically. STRIVE aims to bridge the gap between available human resources to the
needs of corporate India by embarking on customized training interventions. According to
her the rural India is fascinating as ever and has tremendous growth potential. But the
Flowers needs to bloom to their full potential then their fr As Dr. Manmohan Singh said, the
weaknesses are the PROCESS BLOCKS in the supply and if removed they become our great
strength and inspiration. In June 2008, a survey was carried out by TNS India (a research
organization) and the Times Foundation with the aim of providing an understanding of the
role of corporations in CSR. The findings revealed that over 90% of all major Indian
organizations surveyed were involved in CSR initiatives. In fact, the private sector was more
involved in CSR activities than the public and government sectors. The leading areas that
corporations were involved in were livelihood promotion, education, health, environment,
and women's empowerment. Most of CSR ventures were done as internal projects while a
small proportion were as direct financial support to voluntary organizations or
communities.agrance can be smelt

Caroll (1991) 12 CSR consists of four elements represented in the form of a pyramid, whose
top is a philanthropic, followed by legal, economic and social responsibility to the bottom.
Economic responsibility is the basic responsibility of the company in terms of

 company profits through the satisfaction of the needs and expectations of consumers. Legal
responsibility is reflected in the fact that the corporation has

 responsibility to comply with the law. A company that behaves in accordance with the
requirements of social responsibility, we can say that it works considering the business
ethical standards. Philanthropic responsibility assumes that the company is a "good citizen"

 contributes to community resources.CSR encompasses two main aspects accountability and

transparency. In addition to the default responsibility for its financial performance and
profitability, companies are accountable to stakeholders, for their performance in relation to
human rights, environmental policies, business moral principles, corporate governance,
society development, and diversity and job creation problems.

Cannon (1992) 13 discussed the development of corporate social responsibility via the
historical development of business involvement leading to a post-war re-examination of the
nature of the relationship between business, society and government. This traditional contract
between business and society has changed over the years because of the addition of new
social value responsibilities placed upon business. Social value responsibilities include:
stricter fulfillment with local, state, and international laws; social problems; human values;
health care; pollution; quality of life; equal employment opportunities; sexual harassment;
elimination of poverty; child care and elderly care; support of the arts and universities; and
many others

Fredrick (1986, 1994) identified corporate social responsibility as an examination of

corporations’ responsibility to work for social betterment and refers this to as CSR1.
According to Frederick (199414), the move to ‘‘corporate social responsiveness’’ started
from 1970, that he refers to as CSR2. According to him, corporate social responsiveness as
the ability of a corporation to respond to social pressures. He argues that the effect of the
move from CSR1 to CSR2 is reflected from a philosophical approach.

Porter and Kramer (2006) there is a lack of success with the company's efforts related to
CSR in improving business results. Better link of CSR with key business source allows
employers to recognize that it can be a source of: opportunities, innovation and competitive
advantage. CSR is related to the incorporation of reason able policies in corporate strategy,
culture and daily decision making, consecutively to meet the needs of stakeholders. This is
related to the creation of company strategy and successful brands (Wether and Chandler
2004).
 CH-3
RESEARCH
METHODOLOGY
3.1CORPORATE SOCIAL RESPONSIBILITY OF
MAHINDRA&MAHINDRA
The social initiatives of the group have been very well streamlined where each group
company donates 0.5% of their PAT to the K C Mahindra Education Trust and adopts
projects under the Trust. The remaining 0.5% is used by the company to run community
development programs on their own. 1. K. C. Mahindra Education Trust: Established by the
late Mr. K. C. Mahindra in 1953, the K. C. Mahindra Education Trust aims to 'Transform the
lives of people in India through education, by providing financial assistance and recognition
to them, across age groups and across income strata'. It was registered as a Public Charitable
Trust under the Bombay Public Trusts Act, 1950. The K.C. Mahindra Education Trust has
undertaken a number of education initiatives to make a difference to the lives of deserving
students. The Trust promotes education mainly by way of scholarships. It has provided more
than Rs. 13.80 crores (approximately US $ 3.0 million) in the form of grants, scholarships
and loans. Some of these scholarships were instituted as far back as the 1950's, while others
were founded recently. These are funded through an investment portfolio, the main donors of
which are the Mahindra Group of companies.

2. Mahindra Academy: As part of its Corporate Social Responsibility activities, the Mahindra
Group has established schools near its factories primarily for children of its employees. At
present, the Group has three schools that impart high standards of education - Mahindra
Academy at Malad in Mumbai, Mahindra Academy in Zaheerabad and a school in Khopoli.
The establishment of these schools has not just benefited their employees but also the
community around these schools. Teachers at these schools are qualified and undergo regular
training as well as attend relevant workshops. Their teaching methodologies are constantly
evaluated and modified when necessary.

3. Disaster Relief: The Mahindra Foundation has been set up with a specific objective: to
provide medical relief to the poor and needy sections of society. The foundation has helped
patients suffering from cancer, heart ailments as well as burn victims. It has also been very
active during national calamities and disasters and has helped contribute and mobilize
resources. The foundation also extends its support to academia and other professionals and
sportsmen by helping them attend workshops and conferences overseas. The Mahindra Group
has always been very responsive to any major disaster in India. Whether it's been the tsunami
or the Gujarat earthquake, the Mahindra family has got together and always provided support
either by way of financial help or by way of sending vehicles, supplying material or
manpower.

4. The Group has Transformed 3 municipal Gardens: The Shivaji Garden (near Gateway of
India) is admired for its beautiful architecture and flourishing plants and flowers. Completely
renovated by the Mahindra Group at a cost of Rs. 6 Lakhs, it now has pathways for
pedestrians as well as new stretches of lawns and flowers. An area formerly frequented by
anti-social elements has been merged with the garden, to prevent further misuse. Every effort
has been taken to keep the garden in an immaculate condition and visiting hours are in place,
facilitating maintenance work. The Traffic Island Garden (opposite Regal Cinema) has been
completely renovated by the Mahindra Group at the cost of Rs. 1 Lakh. New lamp posts and
a variety of plants were put into place and the fountain was restored to its former glory. The
garden provides visual relief in this crowded and traffic congested circle. The third garden is
located at the junction of Madame Cama Road, to the south of Oval Maidan. This is a brand
new garden, developed by the group from scratch, at a cost of Rs. 1.5 Lakhs.

5. Mahindra Pride schools: It has decided to start two schools called Mahindra Pride schools
for the SC/ST youth. From the first Pride school, over 2000 students have been placed with a
starting salary Schools adopted by M&M: With an aim to improve the learning level of
children in government schools, the Mahindra Group has entrusted K. C. Mahindra Education
Trust to support 6 government schools in the city of Mumbai, which have drop out rates as
high as 15% by Std V and 22% by Std VII. A survey conducted in 60 schools in Mumbai
revealed that 60% of students studying in Std III would not read even simple paragraphs,
40% in Std IV could not write and 32% were not able to do simple arithmetic. K. C.
Mahindra Education Trust has identified Naandi Foundation as our implementation partner to
help us support these schools through their Ensuring Children Learn programme. The schools
identified are needy government schools and 5 of them located close to the factories and
offices were selected to allow the employees an opportunity to easily volunteer at these field
sites. of Rs. 9000.

3.2 Objective of study

3.3 RESEARCH METHODOLOGY