Cg and Csr at Godrej

Corporate Governance and CSR at Godrej 2010

AND

AT

Bhavan’s College


A Project Report

On

CORPORATE GOVERNANCE AND CSR AT GODREJ

BY

VRINDA MENON – 31

ROHIT MOHITE – 32

SEENA SAJE – 33

ARUNDATHI NAIR – 34

SAMIKSHA NARSINGH – 35

DEEP NEVGI – 36

Submitted to Prof. Sameer Virani

Faculty of Business Ethics and CSR

In partial fulfillment for the award of the degree

Of

BACHELOR OF MANAGEMENT STUDIES – SEM 5

GROUP - 6

BHAVAN’S COLLGE, ANDHERI

MUMBAI

2010-2011

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CERTIFICATE

This is to certify that the students of TYBMS-A section of Bhavan’s college, Andheri have

successfully completed the project titled “CORPORATE GOVERNANCE AND CSR AT

GODREJ ” for the subject “BUSINESS ETHICS AND CSR” in the academic year 20010-

2011.

PROF. SAMEER VIRANI

(Faculty)

Bhavan’s College


DECLARATION

We hereby declare that the following documented Project titled “CORPORATE

GOVERNANCE AND CSR AT GODREJ ” for the subject “BUSINESS ETHICS AND

CSR” in the academic year 20010-2011 is an authentic work done by us. It is true and

original to the best of our knowledge.

The Study was undertaken as a part of the course curriculum of BMS, 5th semester of

TYBMS-A section of Bhavan’s College, Andheri by the below mentioned students.

VRINDA MENON – 31

ROHIT MOHITE – 32

SEENA SAJE – 33

ARUNDATHI NAIR – 34

SAMIKSHA NARSINGH – 35

DEEP NEVGI – 36

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ACKNOWLEDGEMENT

This project bears the imprint of many people and without their support it would not have

existed. This project has been made possible through the direct and indirect co-operation of

various persons, who have inspired us at every step of our work.

First of all we would like to express our gratitude towards PROF. SAMEER VIRANI,

“BUSINESS ETHICS AND CSR” faculty who always facilitates us in gaining practical

knowledge and also for giving us an opportunity to do this project.

We express our sincere indebtness and profound sense of gratitude to our parents whose

support in all manners had made us capable to complete this project.

Last but not the least, we would like to forward our gratitude to our friends & other faculty

members who always endured us and stood by us and without whom we could not have

envisaged the completion of our project.

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TABLE OF CONTENTS

NO. CHAPTER PAGE NO.

1 WHAT IS CORPORATE GOVERNANCE? 7

2 WHAT IS CORPORATE SOCIAL RESPONSIBILITY 8

3 ABOUT THE GODREJ GROUP 9

4 HIGHLIGHTS FROM THE STATEMENTS MADE BY CHAIRMAN ON CORPORATE GOVERNANCE

10 to 13

5 ABOUT GODREJ CONSUMER PRODUCTS LTD. 14 to 16

6 CODE OF CONDUCT 17

7 CORPORATE GOVERNANCEAT GCPL 18 to 20

8 CSR AT GODREJ 21 to 28

9 CONCLUSION 29

10 BIBLIOGRAPHY 30

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WHAT IS CORPORATE GOVERNANCE? “Citizens never support a weak company and birds do not build nests on a tree that does

not bear fruits.”

"Corporate governance is maximizing the shareholder value in a corporation while

ensuring fairness to all stakeholders, customers, employees, investors, vendors, the

government and the society-at-large. Corporate governance is about transparency and

raising the trust and confidence of stakeholders in the way the company is run. It is about

owners and the managers operating as the trustees on behalf of every shareholder - large

or small."

- Shri N.R. Narayana Murthy, Chief Mentor, Infosys Limited.

Good corporate governance practices are essential for sustainable business that aims at

generating long term value to all its shareholders and other stakeholders. A transparent,

ethical and responsible corporate governance framework essentially emanates from the

intrinsic will and passion for good governance ingrained in the business entity.

The global financial crisis during the recent past, along with some of the large format

corporate failures and frauds have convincingly revealed that while the corporate governance

super structure in India is fairly durable, there are certain weaknesses that may have their

roots in the ethos of individual business entities.

Good corporate governance is essential for the integrity of corporations, financial institutions

and markets. It ensures the health of our economies and their stability. India’s corporate

sector is diverse in nature. On one hand it consists of multinational corporations, whereas on

the other hand a large number of small and medium enterprises drive its growth and provide

dynamism to the sector. This interesting mosaic of Corporate India has contributed

immensely to the growth of India’s economy.

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WHAT IS CORPORATE SOCIAL

RESPONSIBITY?

According to Wikipedia, Corporate Social Responsibility (CSR) is a concept whereby

organizations consider the interests of society by taking responsibility for the impact of

their activities on customers, suppliers, employees, shareholders, communities and the

environment in all aspects of their operations. This obligation is seen to extend beyond the

statutory obligation to comply with legislation and sees organizations voluntarily taking

further steps to improve the quality of life for employees and their families as well as for

the local community and society at large.”

Corporate Social Responsibility (CSR) is the voluntary role and contribution of the business

community towards a better social and environmental development, apart from their

investment to organizational development.

Usually CSR concentrates on the activities that typically address the aspects of a firm's

behaviour (including its policies and practices) with respect to such key elements as; health

and safety, environmental protection, human rights, human resource management practices,

corporate governance, community development, consumer protection, labour protection,

supplier relations, business ethics, and stakeholder rights.

CSR is being implemented in the Indian organizations in one or more of the following ways

such as reactive strategy, an image building exercise, for improving operational efficiency,

and a source of competitive advantage, etc to ensure business development.

It all starts with a vision, an understanding and a willingness to change, to do better not just

for one’s own self, but for the employees and the future of humankind. A systematic

approach which involves open-ended research, detailed planning and careful implementation

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http://en.wikipedia.org/wiki/Corporate_social_responsibility

http://www.commlabindia.com/elearning-clients/change-management.php


of the plan can lead to the successful accomplishment of organizational goals in the CSR

sector.

THE GODREJ GROUP

Mission – “Enriching Quality of Life Everyday Everywhere”

Vision – “Godrej in every home and work place”

Established in 1897, the Godrej group has grown in India from the days of the charkha to

nights at the call centers. The founder, Ardeshir Godrej, lawyer-turned-locksmith, was a

persistent inventor and a strong visionary who could see the spark in the future. His

inventions, manufactured by his brother Pirojsha Godrej, were the foundation of today’s

Godrej empire.

With 7 major companies with interests in real estate, FMCG, industrial engineering,

appliances, furniture, security and agri care – to name a few – the turnover crosses 2.6 billion

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dollars. 20% of the business is done overseas. The company’s presence in more than 60

countries ensures that the customers are at home with Godrej no matter where they go.

HIGHLIGHTS FROM THE CHAIRMAN’S

STATEMENT ON CORPORATE

GOVERNANCE

Mr. Adi Godrej

“We have always believed strongly in ethics. In the medium to long-run, doing the right thing

yields strong dividends. Shortcuts and unethical behaviour may sometimes bring about short-

term results, but not long-term successes.”

"Our strong emphasis on corporate governance has helped us get high ratings on both

corporate governance and shareholder value creation," Godrej adds, citing ratings given by

the Investment Information and Credit Rating Agency of India. "I also feel that the markets

have recognized and rewarded our pioneering corporate governance initiatives."

“In my view good Corporate Governance should promote the long-term good of the

Company. It is well understood that neglecting or bypassing the interests of stakeholders like

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shareholders, employees, vendors, customers, consumers, the Government, or the society at

large is likely to adversely affect the long term interests of the company.

Corporate governance principles need to be simple to be easily and widely understood. In the

ideal scenario, every employee – from the Chairman to the shop-floor worker – becomes a

custodian of the Company’s interests.”

HIGHLIGHTS FROM THE CHAIRMAN’S

STATEMENT ON CORPORATE

GOVERNANCE“Good governance means high levels of accountability and responsiveness. The need of the

hour is not more rules, laws, and bye-laws but effective enforcement. Our Government and

market regulators need to enforce the existing legislations rather than create more

legislation. Legislation alone is no panacea – and – un-enforced legislation is worse than no

legislation!

Corporate Governance together with Open Competition and Independent Regulators are the

three pillars of a modern, successful, free enterprise system.

The benefits of having top-notch corporate governance are plenty:

1) Good governance provides a competitive advantage in the global marketplace.

2) Well governed companies raise capital widely, easily and cheaply.

3) Good governance leads to improved employee morale and higher productivity.

4) Well governed companies last longer.

Every business must therefore strive to create an environment where it can successfully

balance the often difficult trade-offs of generating returns for the contributors of capital in a

highly competitive market and satisfying the needs of customers, providing meaningful

employment opportunities and making a contribution to its community. This is especially

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relevant in a developing country like India, where there are few established institutions to

bring about social welfare.

While figuring out the right balance between the various constituents may vary by business

and is a matter of judgement, it is now becoming more and more apparent that unless a

company is able to create a workable relationship among its various stakeholders, it may

endanger its ability to generate profit on a sustainable basis.”

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How does Godrej ensure good

governance and CSR?

“I’ll take the example of Godrej Consumer Products, which is our highest market cap listed

company — we hold about 70 per cent of the shares. When we first set up the board, we

invited independent directors who had professional reputation, not industrialist friends. I

think industrial friends are not able to devote enough time to the company. Secondly, all our

board meetings last at least half a day — no perfunctory meetings. Every year, the January

board meeting is a two day offsite affair, which devotes a lot of time on strategy.

An executive board of 10 young managers who look at issues such as strategy, corporate

governance and human resource development will report their findings once a quarter to the

regular company board. This is one of the many initiatives to improve corporate governance

in India today; at least in the Godrej Group.

Training and incentivizing managers to review any situation through the economic, legal and

ethical lenses and make decisions that appropriately balance the various trade-offs.

There is no strategy more important for company secretaries than improving the corporate

governance in companies that they work for.

In our Group we divide our Corporate Social Responsibilities into two parts. Twenty five

percent of our family owned private holding company which also happens to be a major

manufacturing company, Godrej and Boyce is owned by the Pirojsha Godrej Foundation

which in turn receives substantial regular dividends which support our family’s considerable

philanthropic activities without impinging on the minority shareholders in our listed

companies.

In addition, all our companies have CSR programs directly connected with their businesses

such as adopting neighbouring villages, promoting malaria eradication programs in our

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household insecticides company, and encouraging our employees to donate their managerial

capabilities and time for socially beneficial activities.

Mr. Godrej emphasized that corporate governance is not just another management or social

fad, but is the ultimate management tool. "Good corporate governance is a very rewarding

journey for those who choose the right path," he said.

The year began in recovery from the global economic crisis and turned into a good

year for Godrej Industries.

During the economic downturn, Godrej industries focused on various initiatives to

improve operational efficiencies and de-risk their portfolio.

The diversified business model is unique with interests in the form of operating

businesses, subsidiaries, joint ventures and investments. This variety allows

shareholders to partake growth in the entire range of businesses, including oleo-

chemicals, agriculture, real estate, consumer products, and foods.

Godrej have always laid strong emphasis on green and environmentally friendly

business practices, which in turn have lead to strong advantages and dividends.

Godrej have maintained its position as market leaders in the Indian oleo-chemicals

and surfactants space.

Godrej’s chemical business had healthy profit margins this year due to consistently

strong demand and normalized raw material prices.

Results from the agri and palm oil business have been especially encouraging

There has been considerable growth in the consumer and healthcare business due to

high consumer demand for the products across the country.

The Godrej brand reaches over 470 million consumers daily.

Godrej’s property development business was successfully listed on the stock

exchanges this year and they have projects under construction in several cities across

India.

During the downturn, Godrej reinforced its commitment to innovation, adding

technology while improving efficiency to processes that uphold high quality standards

while sustaining product affordability.

Their management practices and code of conduct have ensured good governance

across businesses.

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Godrej Consumer Products Ltd.

G C P L C O M P A N Y D E T A I L S

G o d r e j C o n s u m e r P r o d u c t s L i m i t e d ( G C P L ) C o m p a n y P r o f i l e

Corporate headquarters Mumbai, India

Local office address Godrej & Boyce Mfg. Company Ltd., Pirojshanagar, Eastern Express Highway, Vikhroli, Mumbai - 400079

Number of employees 950

Revenue Rs. 6573.2 million (146 mn USD)

Manufacturing sub-segment Consumer Packaged Goods

Main business groupings The business groups are based on Product Lines

Key manufacturing locations/facilities Malanpur (M.P.), Guwahati (Assam), Silvassa (U.T.) and Baddi (H.P.)

Products Toiletries, Hair Care, Household Care, Fabric Care & Body Care

URL www.godrejcp.com

Godrej Consumer Products Limited, together with its subsidiaries, operates in fast

moving consumer goods market in India and internationally. The company manufactures and

markets toilet soaps, hair colors, liquid detergents, and other toiletries, such as shaving

creams, talcum powders, and deodorant sprays.

It also offers sanitary napkins and baby diapers. In addition, Godrej Consumer

Products Limited sells hair braids, human extensions, hair pieces, wigs, and wefted pieces, as

well as hair accessories, such as styling gels, hair sprays, and oil free shampoo. The company

offers its toilet soaps primarily under Cinthol, FairGlow, and Godrej No.1. brand names.

It provides hair color products under Godrej Renew, Godrej Kesh Kala Oil, Godrej

Permanent Liquid Hair Dye, Godrej ColourSoft Hair Colour, Godrej Nupur Mehendi, Godrej

Kali Mehendi, and Anoop brand names in India, as well as under ‘INECTO’ and ‘SOFLENE’

brands internationally; fabric care liquid detergent products under Ezee Bright and Soft brand

names; baby diapers under the brand ‘Snuggy’, Libero, and Up&Go; and feminine hygiene

products under Libresse, Nana, Bodyform, and Nuvenia brand names.

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BOARD OF DIRECTORS AT GODREJ CONSUMER

PRODUCTS LTD.

NAME TITLE

Adi B. Godrej Managing Director and Executive Chairman

A. Mahendran Managing Director and Non Executive Director

Nadir Godrej Non Executive & Non Independent Director and Chairman of

Shareholders Committee

Bala Balachandran Ph.D. Non Executive & Independent Director, Chairman of

Compensation Committee, Member of Audit Committee,

Member of Nomination Committee and Member of Human

Resources Committee

Bharat N. Doshi Non Executive & Independent Director, Chairman of Audit

Committee, Member of Human Resources Committee, Member

of Compensation Committee and Member of Nomination

Committee

Rama Bijapurkar Non Executive & Independent Director, Chairman of Nomination

Committee, Chairman of Human Resources Committee and

Member of Compensation Committee

Jamshyd N. Godrej Non Executive & Non Independent Director and Member of

Shareholders Committee

Aman Mehta Non-Executive Independent Director, Member of Audit

Committee, Member of Nomination Committee, Member of

Compensation Committee and Member of Human Resources

Committee

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Omkar Goswami Ph.D. Independent Director, Member of Audit Committee, Member of

Nomination Committee, Member of Compensation Committee

and Member of Human Resources Committee

D. Shiva Kumar B.E (IIT)

IIM Kolkata

Non Executive Director

Godrej Consumer Products gets A1+

rating for its NCDs programme from

ICRA

Credit rating agency ICRA has assigned A1+ rating to the proposed Rs

200 crore non-convertible debentures (NCDs) programme of Godrej

Consumer Products (GCPL).

Reaffirmation of Rating Corporate Governance.

ICRA has reaffirmed the CGR2+ (pronounced as CGR 2 plus) rating to Corporate

Governance Practices of the Company. This is on a rating scale of CGR1 to CGR6

where CGR1 denotes the highest rating. The + sign indicates a relatively higher

standing within the category indicated by the rating.

The CGR2+ rating implies that in ICRA's current opinion, the rated Company has

adopted and follows such practices, conventions and codes as would provide its

financial stakeholders a high level of assurance on the quality of corporate

governance.

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Reaffirmation of Rating for Stakeholder value and Governance Practices

ICRA has reaffirmed the SVG1 (pronounced as SVG1) rating for Stakeholders Value

Creation and Governance practices of the Company. This is on a rating scale of SVG1

to SVG6 where SVG1 denotes the highest rating.

The SVG1 rating implies that in ICRA's current opinion, the rated Company belongs

to the Highest Category on the composite parameters of stakeholder value creation

and management as also corporate governance practices.

Code of Conduct for the BOD & Senior

Management

Applicability of the Code of Conduct

This Code of Conduct (Code) applies to Directors of Godrej Consumer Products Ltd.

(GCPL). It also applies to the senior management of the company i.e. one level below the

executive directors, and all functional heads.

The Board of Directors and Senior Management of Godrej Consumer Products Ltd. (GCPL)

should:

Demonstrate the highest standards of integrity, business ethics, and corporate

governance.

Perform their roles with competence, diligence, in good faith and in the best interests

of the Company.

Provide expertise and experience in their areas of specialization and share learning’s

at Board meetings with the best interests of the Company and its stakeholders in

mind.

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They should point the company's management in the 'right' direction based on their

experience and judgment.

Give careful and independent consideration to the affairs of the company and all

documents placed before them to satisfy themselves with the soundness of key

decisions taken by the Management. They should call for additional information,

where necessary, for making such judgments.

Not engage in any business, relationship or activity which detrimentally conflicts with

the interest of the Company / Godrej Group or bring discredit to it. Any situation that

creates a conflict of interest between personal interests and the Company and its

stakeholders' interests must be avoided at all costs.

Follow all the guidelines put forth in the Insider Trading Code of Conduct.

Not disclose any confidential/privileged information of the Company and should

direct any media queries or approaches to the appropriate spokesperson within the

Company.

CORPORATE GOVERNANCE AT GODREJ

CONSUMER PRODUCT LTD

The company has been an early and enthusiastic adopter of governance reforms,

including independent directors.

6 of the eight members of its board of directors are independent of the management.

All four of its audit committee members are independent.

Both are better ratios of independent to "executive" members than required under the

new Clause 49.

Other requirements, including the creation of a risk-management regime and

certification of financial controls by top officers, are being put in place by a

consultant.

Board memberships at Godrej are not given out as sinecures for industrialist friends of

the CEO, bankers and retired generals. Board meetings at Godrej last for at least half

a day and the company also organizes a two-day strategic meeting once a year.

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"Independent directors are supposed to provide tremendous value to the company's

performance. Godrej compensate them well and expect them to spend quality time

with the company.

Godrej points out that most Indian public companies are working diligently toward

implementing the revised Clause 49 by January 1. They are being helped by the

Confederation of Indian Industry, a corporate association whose governance council

is headed by Godrej.

Corporate Governance at Godrej is principle - based and not rule - based.

BEST PRACTICES AT GODREJ

Reverse mentoring of seniors by youngsters.

360 degree appraisal of all including the chairman.

Chairman's tea to brainstorm with young managers: a weekly discussion with 10-12

managers on every and any subject.

Celebrations for achievements to make success self-feeding.

To evolve out-of-the-box thinking, various group businesses have formed two eight-

member teams called the red team and the blue team, made up of young employees.

Their mandate is to make recommendations for future growth prospects and

strategies.

Another initiative is the young executive's board (YEB). It has eleven youngsters on

board. They behave like any senior board, and give suggestions on strategy, human

resource policies, corporate governance and so on.

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Meanwhile a team of five business heads has been instituted, which has to come up

with a group wide strategic plan this year. It is this team's recommendations-which

businesses to exit, which new ones to enter, and growth horizons-that will decide

what the Godrej group will be in five years.

To ensure that all these initiatives evolve into more than just colourful exercises,

Godrej has linked its variable remuneration to economic value added (EVA) and

employees receive pay that's linked to their contribution to the business' EVA in the

last year.

HR PRACTICES AT GODREJ

“WE see our employees, and not our brands, as our greatest assets,” says Adi Godrej,

Chairman of the Rs 7,500 crore Godrej Group. It’s a healthy give and- take relationship, and

it is more pronounced in a slow market like this. Says Sumit Mitra, Executive Vice-President

(HR), Godrej Consumer, the Rs 1,200 crore group flagship: “The company’s philosophy is do

more for people, but also demand more from them.”

The company has always followed a policy to weed out non-performers. Now, it has made its

rewards structure sharper than ever before. Says Godrej: “We have a strong performance-

linked bonus system and have even extended employee stock options across all levels of

management.”

The group believes in empowering its employees and taking initiatives for their development.

So, Godrej Consumer offers multi-skilled training to its employees so that they can play

multiple roles, instead of hiring afresh and adding to costs.

More recently, it launched a consumer immersion programme. Employees, across functions,

are encouraged to interact with consumers on Godrej products and pass on feedback to the

product development team. One outcome of such engagement is greater emphasis on

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fragrance and packaging. Says Mitra: “The rough consumer interaction, they realised that,

besides core values, fragrances and packaging play a key role in buying decisions.”

In May 2008, the group unveiled a new brand identity that promised “brighter living”. It

wasn’t just a cosmetic change, says Mitra. “We took every employee through the attributes of

brighter living at a mindset level, and told them that we meant it.” The Godrej brass gives

two numbers to make their point. Attrition, says Mitra, is just 1%. Adds Godrej: “In 2008,

only 20 stocks gained, and Godrej Consumer was one of them.”

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CORPORATE SOCIAL RESPONSIBILITY

AT GODREJ

25% of the shares of the Godrej Group’s holding company Godrej & Boyce are held in a

trust that invests back in the environment, healthcare and education. Which means business is

not just about revenues and profits but keeping our land green, our communities healthy and

our kids smart.

In 1920, founder Ardeshir Godrej gave a donation of Rs. 3 lakhs to the Tilak Swaraj Fund –

then considered a princely sum – for upliftment of the downtrodden. His gesture of

philanthropy grew into Godrej corporate policy. Giving back turned into our way of saying

thank you to the 400 million Indians who are Godrej loyalists.

AIDS Awareness

Employees are urged to take preventive care to combat AIDS through posters, hand outs,

street plays and talks.

Blood Donation

A blood donation camp is organized by Godrej every year on the death anniversaries of its

founders Naval Godrej and Burjorji Godrej. Godrejites support this noble cause in big

numbers and save precious lives of fellow humans. The number of people donating blood in

consecutive years has always shown an encouraging trend.

Leading hospitals, the Red Cross Society and Indian Medical Association extend their help in

conducting these camps.

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Godrej Memorial Hospital

35,000 patients and 3,128 surgeries.

Quality healthcare services at an affordable cost in a rational and ethical manner.

100 free cleft surgeries in association with the Smile Train Project.

Free well-equipped cardiac ambulances to attend to medical emergencies in a 10 km

zone

Udayachal Schools: Providing Quality Care and Education

Udayachal schools (pre-primary, primary and secondary), managed by Godrej, have

been providing quality care and education since 1955. Education in the schools

focuses on total personality development of the child, which is further enhanced and

strengthened through joyful learning. This takes into account the physical, socio-

emotional, aesthetic, spiritual as well as mental growth.

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Pirojsha Godrej Foundation promotes a unique community development

Programme called Svayam.

Rural development

The search for suitable livelihood was driving the tribals of Jummapatti into city

limits. Parallely, to meet the increasing household needs of the resident villagers, the

depleting forest cover was also a cause of concern.

Svayam focussed on providing a sustainable livelihood for locals through

entrepreneurial development balanced with a sense of environmental consciousness.

Pirojsha Godrej Scout & Guide Pavilion

The Scout Hut, in existence since 1923 was restored by the Pirojsha Godrej

Foundation between 1983-85 and made available to organisations like WWF, Friends

of Trees and BNHS.

In 1997, the area outside the hut was developed into the Godrej Centenary Garden – a

heaven for tired pedestrians.

Godrej continues to maintain the hut and garden.

CII-Godrej Tsunami Rehabilitation Project

Godrej & CII supported 150 families in the Tsunami stricken Pallayar (in

Nagapattinam district) and Azhikal (in Kanyakumari district) by providing fishing

equipment, boats, engines etc., funding a community health center and providing skill

based training to 200 residents. A sum of over Rs. 56 L was handed over to CII.

Crematorium for animals

Shocked by the horrifying conditions of the dilapidated incinerator at Bombay

Veterinary College, where Naval Godrej’s pet labrador was cremated, he sponsored

the very first electric crematorium at the Bai Sakarbai Dinshaw Petit Hospital for

animals at Parel, the first non-polluting crematorium of its kind in Asia.

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Family Planning

Godrej has been connected with the Family Planning Foundation, which is a

voluntary organisation devoted to promote Family Planning as a basic human right, as

well as population Policies which can help bring about a balanced development of the

resources of the country-both human and material - as a means towards raising the

quality of life. ‘Pragati Kendra’ imparts not only information regarding Family

Planning but, through various social and cultural activities, provides for a better

quality of life for the inhabitants of the township.

Foundation for Medical Research

Godrej supports the Foundation for Medical Research (FMR), Mumbai, particularly

for the cure of leprosy. This Foundation is intended to develop an alternative model

the immunological concept regarding leprosy cure. Through a rural health and

research project, Godrej has striven to develop an alternative model for rural health

care based on community participation, with the emphasis on preventive rather than

curative aspects.

Mangroves

Soonabai Pirojsha Godrej Marine Ecology Centre (SPMEC) was formally inaugurated

under the leadership of the late ornithologist Dr. Salim Ali.This is the first privately

managed mangrove area in India to formally adopt ISO14001 standards for

Environment Management Systems.

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The CII – Sohrabji Green Business Centre

Was conceived by Godrej and CII in partnership with the Andhra Pradesh

Government.

The Green building is a symbol of Environmental sustainability.

Godrej takes lead to further the trend of such environment friendly buildings being

constructed across the nation.

All the businesses have implemented Environment Management Systems and are

ISO14001 certified.

World Wide Fund (WWF) for animals

WWF-India began as a modest, wild-life conservation organisation. Over the years,

the perspective has broadened to encompass conservation of habitats and ecosystems

and to lend support to the management of the country’s protected area network.

Godrej’s commitment to global conservation is reflected in our continued association

with WWF.

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Trees and Afforestation

Godrej Environment Policy

We shall thrive to:

Practice pollution prevention systems.

Conserve key resources like water, fuel, energy and raw materials such as wood

derivatives, steel etc. by optimizing its use.

Monitor and reduce the effect of fumes, dust and noise level in the ambient air.

Maximize recycling and reuse the waste and scrap generated.

Promote the usage of recyclable material.

Dispose off inevitable waste in an environment friendly manner.

Apart from these, the Godrej group also supports Vatsalaya Trust, Alert India and Teach

for India group.

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The late Mr. S. P. Godrej had been the Vice-

President of the National Society of the Friends of

Trees and Mrs. Pheroza Godrej is its current

President. For the past many years a well-stocked

Tree Bank is maintained at Pirojshanagar and

saplings are generously distributed, free of cost to

voluntary organisations engaged in afforestation

work.


Smile Train

Godrej Memorial Hospital (GMH) along with a US based NGO ‘Smile Train’ conducts a

program, for helping these very children from poor families. The program consists of primary

consultation and screening followed by expert plastic surgery. Several of the patients are

offered follow up speech therapy and other support services. Children operated at a younger

age seem to derive optimum benefit. Over 300 surgeries have been successfully conducted at

GMH till date. GMH offers surgery and hospitalization to the patient and one attendant

completely free of cost. Deserving cases are also reimbursed travel costs by the hospital.

Table for Two

Godrej instituted the Indian chapter of ‘Table For Two’ initiative at the World Economic

Forum’s India Economic Summit in December 2008. This initiative is targeted at addressing

hunger and malnutrition in the developing world by combining the organization’s tradition

of serving society and involvement of individuals.

The initiative has been a great success within the first few months of its inception – with a

sizeable fund that is geared to feeding close to 780 school children and providing for

1,56,000 meals annually.

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AWARDS

Godrej has won awards such as:

The BHNS Green Governance Award 2005: Godrej & Boyce Mfg Co. Ltd received

this award on November 10, 2005 for conservation and restoration of habitat.

WWF 25th Anniversary Benefactor “White Pelican” Award was received by S P

Godrej for the company’s contribution to conservation of nature and natural

resources.

Metrics and its Evaluation:

The Awareness program for Godrej and Boyce, Vikroli, Mumbai was given the ISO

14001 certification.

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CONCLUSION

The Godrej Group stands in a strong position today. With annual sales in excess of $1 billion,

a workforce of approximately 18,000, and a strong diversified portfolio, Godrej has proven

its ability to deliver strong financial performance.

The philanthropic activities by the chairman Mr.ADI GODREJ and other family members

even before the word CSR was known has made the Godrej group one of the most trusted

business house in India. Today the group holds an example of ethical and most transparent

group of business who is concerned not only to maximize shareholders value but at the same

time invests responsibly in social and environmental welfare.

The Godrej Group is today one of the most accomplished and diversified business houses

in India. Godrej’s success has been driven by the company’s commitment to delivering

innovation and excellence. Through the consistent application of this commitment and a

century of ethical business conduct, Godrej has earned an unparalleled reputation for trust

and reliability.

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BIBLIOGRAPHY

1. www.godrej.com

2. Business Ethics: An Indian Perspective - By A. C. Fernando

3. www.google.com

4. Corporate Governance: Principles, Policies and Practices

- By A. C. Fernando

5. Company website at Godrej - Vikroli

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http://www.godrej.com/

Cg and Csr at Godrej

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