Tracking CSR Performance

As a CSR Head, before the Financial Year ends 2025, you must ensure that all CSR compliance, reporting, budgeting, and regulatory requirements are met. Sharing the checklist for reference. ·       100% Fund Utilization ·       For on-going projects transfer unspent CSR funds to a CSR Unspent Account within 30 days after FY-end. Utilize them within 3 years. ·       Non-on-going projects transfer unspent CSR funds to government funds (PM CARES, Clean Ganga Fund, etc.) within 6 months of FY-end. ·       Forecast Next Year’s CSR Budget – Estimate CSR obligations for FY 2025-26 based on projected net profits. ·       Board Approval of CSR Expenditure & ensure CSR spending and project modifications are reviewed and approved by the Board of Directors. ·       Submit CSR-2 with MCA (Ministry of Corporate Affairs) along with AOC-4 before 31st March 2025. ·       Board Report Disclosures – Include CSR details (projects, spending, impact, unspent funds, and reasons for shortfall) in the Board’s Annual Report. ·       Update company website with CSR Policy, CSR Project Details, Fund Utilization Reports, and Impact Assessments. ·       Ensure CSR expenditures comply with the 5% administrative cap and align with regulatory requirements. ·       Maintain Documents like CSR Agreements, NGO Docs, and Meeting Minutes & Board Approvals. ·       Verify eligibility for CSR-related tax deductions under the Income Tax Act. ·       Ensure all CSR-implementing partners are MCA-registered (CSR-1) ·       Confirm CSR compliance is reviewed in the Company’s Annual Audit. ·       Address any past non-compliance and take corrective measures to avoid penalties: ·       Conduct a CSR review meeting before the new financial year to evaluate performance and set the action plan for next year. ·       Share CSR impact reports with internal & external stakeholders (Board, investors, government bodies, employees). ·       Encourage employees to participate in CSR programs and plan engagement strategies for the next year. Meeting CSR compliance before 31st March 2025 is crucial to avoid penalties, maintain good corporate governance, and maximize social impact. Please add if I missed something. CSR #CSR CSR Projects | India #CS #CFO #CA #leaders CSR Nest Association #MCA #csrhead DELLOITTE PwC India EY

If you don’t know your customers’ goals by the end of January, that’s a you problem. When I was a CSM, January was my golden ticket for getting aligned with my customers. Everyone’s in “fresh start” mode, and there’s no better time to talk priorities, goals, and how to crush them together. But let me ask you something: If I opened your customer notes right now, would I see documented goals for every single customer? Would I see exactly how they define value? If not, don’t panic—yet. But it’s time to step up. For those of you managing a massive book of business (aka “How am I supposed to talk to everyone?!”), here’s your cheat code. This strategy is easy, scalable, and effective: 1️⃣ Record a video (Yes, even if you hate being on camera). Grab Loom (or your phone—no fancy tools required). Wish your customers a Happy New Year and let them know you’re here to help them with their business goals in 2025. No meeting request needed (because nobody wants another meeting). Instead, end with a CTA: “Take 2 minutes to share your 2025 goals using this quick form!” 2️⃣ Create a form (keep it simple). Build a survey with dropdowns, picklists, or examples relevant to your product's value. Help your customers think, “Oh yeah, THAT’S what we need to focus on.” 3️⃣ Distribute in bulk. Send the video + form link to your key contacts. Use your CSP, CRM, or even old-school email—it doesn’t matter how you send it, just send it. 4️⃣ Track it. Follow up. Repeat. Spreadsheet? CRM? Sticky notes on your desk? Whatever works for you, track responses and follow up with the stragglers. 5️⃣ Turn insights into action. Take those submitted goals and bake them into your next call. Ask deeper questions. Validate their objectives. Show them how your product becomes their superpower. If your book is smaller: Just make goal alignment a top agenda item for your next call. No excuses. Here’s the deal: January is prime time to do this. If you don’t have your customers’ goals locked in by February, that’s a you problem. Don’t leave this opportunity on the table. Lean in. Get it done. Your customers (and your metrics) will thank you.

Implementing CSR in Ops vs. Non-Ops Areas: Strategic Considerations Since the enactment of Section 135 of the Companies Act, 2013, companies often deliberate between implementing CSR programs within their operational areas or extending them to non-operational regions. This article delves into the strategic implications of both approaches. 🏭 CSR in Operational Areas: Strengthening Local Ties Advantages: 1. Enhanced Stakeholder Engagement: Implementing CSR initiatives in areas where a company operates can foster stronger relationships with local communities, employees, and suppliers. 2. Direct Impact on Business Environment: Addressing local issues such as infrastructure, education, and healthcare can lead to an improved operating environment. 3. Operational Efficiency: Local CSR initiatives can reduce logistical complexities and costs associated with project management and monitoring. The ease of access allows for more frequent oversight and quicker adjustments to programs as needed. Challenges: 1. Perceived Self-Interest: Communities might perceive CSR efforts in operational areas as primarily serving the company's interests, potentially leading to skepticism about the initiatives' true intent. 2. Resource Allocation Conflicts: Balancing CSR activities with operational demands may strain resources, especially in areas where the company is already investing heavily in infrastructure and services. 🌍 CSR in Non-Operational Areas: Expanding Social Footprint Advantages: 1. Broader Social Impact: Extending CSR initiatives to underserved or remote areas can address critical needs, such as education and healthcare, contributing to national development goals. 2. Brand Image and Reputation: Demonstrating a commitment to social responsibility beyond immediate business interests can enhance the company's public image and stakeholder trust. Challenges: 1. Logistical and Cultural Barriers: Operating in unfamiliar regions may present challenges related to infrastructure, language, and cultural norms, potentially hindering project implementation. 2. Monitoring and Evaluation Difficulties: Assessing the impact of CSR initiatives in distant locations can be challenging due to limited oversight and difficulties in data collection. 🧭 Strategic Considerations * Alignment with Core Competencies: Choose CSR initiatives that leverage the company's strengths and expertise. * Stakeholder Involvement: Engage local stakeholders in the planning and execution of CSR programs. * Partnerships: Collaborate with NGOs, government agencies, and other corporations to pool resources and knowledge, enhancing the effectiveness and reach of CSR efforts. In conclusion, both approaches to CSR have unique benefits and challenges. A balanced strategy that incorporates initiatives within operational areas and extends support to broader communities can maximize social impact while aligning with business objectives.

Beyond Reporting: How to Measure CSR Impact Effectively In today’s CSR landscape, impact measurement is no longer optional—it’s essential. Funders, regulators, and communities increasingly expect NGOs and CSR partners to go beyond activity-based reporting and demonstrate tangible social change. But measuring impact effectively isn’t just about tracking numbers; it’s about asking the right questions and using the right frameworks. Here’s how organizations can build stronger, more outcome-driven CSR measurement systems: 1️⃣ Define Impact, Not Just Activities CSR reports often highlight how many beneficiaries were reached, but the real question is: What changed for them? Start with clear Theory of Change models—mapping inputs (resources), outputs (activities), and outcomes (actual improvements in people’s lives). 2️⃣ Set SMART, Context-Specific Metrics Each project needs tailored success indicators. While common frameworks like the SDGs provide a global benchmark, local context matters. ✔ Instead of tracking the "number of students trained," measure the "percentage of students who improved learning outcomes." ✔ Instead of "loans disbursed to MSMEs," measure "increase in revenue or job creation from those loans." 3️⃣ Use a Mix of Quantitative & Qualitative Data Numbers tell one side of the story, but real impact comes to life through voices on the ground. Combine structured data (surveys, KPIs, monitoring dashboards) with beneficiary stories, case studies, and community feedback loops. 4️⃣ Leverage Technology for Real-Time Insights New tools like GIS mapping, AI-driven data analytics, and mobile-based surveys make tracking and decision-making faster and more adaptive. By integrating these, NGOs and CSR teams can course-correct in real-time rather than waiting for end-of-year reports. 5️⃣ Build a Learning Culture, Not Just Compliance The best CSR projects evolve through continuous learning. Rather than just focusing on reporting success, embed structured reviews and reflection sessions to improve implementation. What worked? What didn’t? What should we refine? How are you measuring success in your CSR initiatives? Let’s exchange insights!

Here’s what’s bleeding us silently. Day 30 I’d love a good ending to the 30 day series. Trust me, while it may sound negative, it’s for the good! Only facts here. India spends ₹25,000 crore in CSR. Philanthropic giving adds another ₹100,000+ crore. Government social sector spending included, the total be well over ₹5 lakh crore each year. Yet, the impact per rupee remains low. Development indicators remain lacklustre. 1. Duplication, Duplication! A 2023 report by Bridgespan and Dasra found that up to 40% of nonprofits in India work on similar problems in same geographies. No coordination. Results in redundancies in delivery, staff, and infrastructure. 2. Fra-gme-nted solutions! India has 1 NGO per 600 people, many with amazing intent. Most working in silos. Reinventing the wheel instead of building on what already works. 3. NON-collaborative funding Only 15% of CSR programs surveyed reported meaningful collaboration. Most are standalone projects Often with their own MIS, metrics, and models. 4. Stunted Innovation Every donor asks proof of past success. Few willing to take risk Less than 10% of NGO-led projects receive funding to pilot new or disruptive models. I have seen folks ‘making room for failure for young children’ in their programs, asking for evidence from the NGO! This is inefficiency. But also loss of time, money, ideas, and momentum. Here’s a few things to do differently: 1. Create shared infrastructure and knowledge 2. Pool resources around common outcomes 3. Set up innovation labs across organisations 4. Funders invest a small % in networks and collaboratives 5. Set up convergence platforms at state and district levels Here. Wanted it to be action oriented. So laid out actions!! Bang for your buck. With an echo! When we do this together, build on each other’s work, and align efforts toward systems-level goals, the same resources deliver better. We don’t lack funding. We lack collaboration. And that’s costing us change. Let’s fix the system that’s trying to fix the system. I am sure you have ideas. Pls share. #SystemsChange #SocialImpact #CSR #Efficiency #CollectiveAction #India #Philanthropy #People

For several years, 𝗖𝗼𝗿𝗽𝗼𝗿𝗮𝘁𝗲 𝗦𝗼𝗰𝗶𝗮𝗹 𝗥𝗲𝘀𝗽𝗼𝗻𝘀𝗶𝗯𝗶𝗹𝗶𝘁𝘆 (𝗖𝗦𝗥) and 𝗖𝗼𝗿𝗽𝗼𝗿𝗮𝘁𝗲 𝗦𝗼𝗰𝗶𝗮𝗹 𝗜𝗻𝘃𝗲𝘀𝘁𝗺𝗲𝗻𝘁 (𝗖𝗦𝗜) are words that I have been using interchangeably........ 🤫Understanding the difference can be a game-changer for creating meaningful, lasting impact. Breaking it down: 🔹𝗖𝗦𝗥: How a company integrates ethical, sustainable practices into its everyday operations (e.g., reducing carbon footprint, ethical sourcing, employee well-being). 🔹𝗖𝗦𝗜: The strategic funding of social or environmental initiatives beyond core operations (e.g., funding education programs, clean water projects). Many companies heavily focus on CSI - philanthropic donations, one-off projects or PR-driven initiatives - without embedding sustainability into their business model. But here’s the truth: 🔹CSR without CSI lacks community impact. 🔹CSI without CSR lacks business sustainability. A 2021 PwC ESG investor survey found that nearly 80% of investors consider ESG factors important in their investment decision-making, highlighting that a holistic CSR-CSI strategy is now a business imperative. Here’s what I’ve learned about moving from transactional to transformational impact: ✅ 𝘛𝘪𝘦 𝘊𝘚𝘙 𝘵𝘰 𝘵𝘩𝘦 𝘤𝘰𝘳𝘦 𝘣𝘶𝘴𝘪𝘯𝘦𝘴𝘴 𝘨𝘰𝘢𝘭𝘴. For instance, a financial services provider, could fund financial literacy programs for underserved communities (CSI) while also embedding responsible investment principles into its portfolio by prioritizing ESG-aligned investments (CSR). This ensures that while the company supports community development, it also integrates sustainability into its core operations, creating long-term value for both society and business. ✅ 𝘔𝘦𝘢𝘴𝘶𝘳𝘦 & 𝘴𝘤𝘢𝘭𝘦 𝘊𝘚𝘐 𝘪𝘯𝘪𝘵𝘪𝘢𝘵𝘪𝘷𝘦𝘴, for example if a company funds clean water projects, ask: Are we investing in long-term solutions like water infrastructure, or just providing short-term relief? ✅ 𝘌𝘯𝘨𝘢𝘨𝘦 𝘴𝘵𝘢𝘬𝘦𝘩𝘰𝘭𝘥𝘦𝘳𝘴 𝘧𝘰𝘳 𝘭𝘰𝘯𝘨-𝘵𝘦𝘳𝘮 𝘵𝘳𝘢𝘯𝘴𝘧𝘰𝘳𝘮𝘢𝘵𝘪𝘰𝘯; CSR and CSI should not be top-down approaches. Co-create solutions with communities for sustainable impact. The future belongs to businesses that don’t just give back - but build forward. As Paul Polman said, “Businesses cannot succeed in societies that fail.”🎯 #SustainabilityLeadership #CSRvsCSI #ESGStrategy #PurposeDrivenBusiness

🤯 Over 60% of #CSR and corporate #SocialImpact initiatives fail. Here are the 8 most common mistakes — and what to do instead. (Full post here: https://lnkd.in/gRSXUDn3) 1: Short-Term Thinking That Ignores Long-Term Sustainability  60% of CSR initiatives fail. Why? Short-term thinking. 👉 What to do instead: Build a long-term roadmap with 3–5 year goals. Invest in programs that grow—not just trend. 2: Saying Yes to Executive Pet Projects That Lack Strategy 77% of CSR efforts aren’t aligned with business goals. Why? CSR Leads comply with Executive pet projects that derail strategy. 👉 What to do instead: Channel leadership energy into initiatives that align with core priorities and employee energy. 3: Failing to Proactively Plan for Inevitable Crises 1 in 2 CSR leaders are unprepared for the next crisis. Why? Lack of proactive planning. 👉 What to do instead: Build your rapid response playbook now. Crises are coming—prepare to lead, not react. 4. Overemphasizing Days of Service and Giving Campaigns Employee volunteer rates are down to 19.8%. Why? Overreliance on days of service and giving campaigns. 👉 What to do instead: Shift to high-impact, high-engagement programs that actually resonate with your people. 5. Copying What Worked for Someone Else Only 13% of CSR strategies are purpose-driven. Why? In lieu of a strategy, we copy something that worked at a successful company (i.e. Patagonia) 👉 What to do instead: Design from the inside out. Align with your people, purpose, and competitive edge. 6. Designing Programs Without Understanding Employee Behavior ~60% of CSR programs fail due to lack of employee engagement. Why? Designing in isolation. 👉 What to do instead: Treat employees like co-creators. Ask. Test. Build with them—not just for them. 7. Underestimating the Power of Skills-Based Volunteering Skills-based volunteering boosts retention by 50%. Why? Most CSR teams still focus on feel-good, low-impact volunteering. 👉 What to do instead: Scale-up accessible skills-based programs lead to deeper engagement and real impact (https://lnkd.in/gBQATwH2) 8. Waiting for Executives to Give You a Strategy and Budget 50% of CSR leaders say they lack resources. Why? Waiting for strategy or budget from the top. 👉 What to do instead: Don’t wait. Start small. Build wins. Create the case for support by showing what’s possible. (More tips: https://lnkd.in/gPabJtGX) Learn more: https://lnkd.in/gRSXUDn3

To all the CSR & ESG professionals out there: Many corporate impact programs are struggling and FAILING. It’s easy to blame it on the little things (lack of budget, no leadership support etc.) but it’s often the big-picture themes that take a program down. These are the top 5 reasons why: 👉 Lack of alignment with business goals - CSR initiatives that are not aligned with a company's overall business goals are less likely to be successful. Leadership needs to be able to make the business case for the program investment. Focus your efforts! 👉 Poorly defined goals and objectives - CSR programs that are not clear about their goals and objectives are also less likely to be successful. Companies need to be specific about what they hope to achieve with their CSR initiatives, and they need to have a plan for how they will measure their progress. 👉 Lack of transparency and accountability - CSR programs that are not transparent about their activities and impact are less likely to be trusted by stakeholders. Companies need to be open about where their money is going and how it is being used. They also need to have a system in place to track their progress and report on their results. Show the people the impact data! 👉 Companies making short-term commitments and not thinking in 5 - 10 year increments - CSR programs that do not have the necessary resources, such as funding, staff, and time, are less likely to be successful. Companies need to make a long-term commitment to their CSR initiatives and allocate the necessary resources to ensure their success. Program success does not happen overnight. 👉 Lack of employee engagement - CSR programs that do not engage employees are less likely to be successful. Employees are more likely to support CSR initiatives that they feel are meaningful and that they can be a part of. Companies need to find ways to involve employees in their CSR initiatives, such as by allowing them to volunteer their time or donate to causes they care about. My message: the little things will slow your progress but the big things will kill your program. Look at the big-picture challenges. You got this social impact community!