Before Corporate Social Responsibility found a place in corporate lexicon, it was already textured into our Group's value systems. As early as the 1940s, our founding father Shri G.D Birla espoused the trusteeship concept of management. Simply stated, this entails that the wealth that one generates and holds is to be held as in a trust for our multiple stakeholders. With regard to CSR, this means investing part of our profits beyond business, for the larger good of society. While carrying forward this philosophy, our legendary leader, Mr. Aditya Birla, weaved in the concept of 'sustainable livelihood', which transcended cheque book philanthropy. In his view, it was unwise to keep on giving endlessly. Instead, he felt that channelising resources to ensure that people have the wherewithal to make both ends meet would be more productive. He would say, "Give a hungry man fish for a day, he will eat it and the next day, he would be hungry again. Instead if you taught him how to fish, he would be able to feed himself and his family for a lifetime." Taking these practices forward, our chairman Mr. Kumar Mangalam Birla institutionalised the concept of triple bottom line accountability represented by economic success, environmental responsibility and social commitment. In a holistic way thus, the interests of all the stakeholders have been textured into our Group's fabric. The footprint of our social work today spans 2,500 villages in India, reaching out to seven million people annually. Our community work is a way of telling the people among whom we operate that We Care. 25
CHAPTER-III REVIEW OF LITERATURE 26
Good risk management at a strategic level helps protect an organization’s reputation, safeguard against financial loss, minimize disruption to services and increase the likelihood of achieving business objectives successfully. This also gives assurance on how an organization’s business is managed and at the same time will satisfy any compliance requirements of the organization, where an internal control mechanism is established. Internal control includes: The establishment of clear business objectives, standards, processes and procedures Clear definition of responsibilities Measurement of inputs, outputs and performance outcomes in relation to objectives Performance Management Financial controls over expenditure and budget. What does it require? The establishment and understanding of a risk management policy and framework The identification, assessment and judgement of threats to the achievement of clear business objectives Effecting the right action to anticipate and mitigate against risk - this includes establishing effective internal controls to counter key risks Where necessary, to take reasonable and calculated risks based on well informed management decisions Balancing risks by design control to give reasonable assurance to contain risks and offer value for money Monitoring risks and reviewing progress 27
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- Summer '17
- Portland cement, Rajiv, Aditya Birla Group, Birla family, Ground granulated blast furnace slag, Ultratech Cement