The Management of

Corporate Philanthropy

NED University of Engineering & Technology

Corporate Social Responsibility and
Applications in Development
NED UNIVERSITY OF ENGINEERING
& TECHNOLOGY (NEDUET)
DEPARTMENT OF ARCHITECTURE &
PLANNING
DEVELOPMENT STUDIES PROGRAM

REPORT & PRESENTATION

ON
THE MANAGEMENT OF
CORPORATE PHILANTHROPY IN
SSGC
SUBMITTED
TO:
Professor Syed Qamar Abbas Zaidi
SUBMITTED
BY:
Ali Mohib (DS-013)
Talha Salahuddin (DS-015)
Sajjad Mehdi (DS-024)
Dated January 11, 2019
Letter of Authorization
January 1, 2019
The Deputy General Manager
Corporate Communications
Sui Southern Gas Company Limited
SSGC House
Sir Shah Suleman Road, Block-14
Gulshan-e-Iqbal, Karachi
Fax# +92-21-9923-1622

The Management of Corporate Philanthropy in SSGC

Dear Sir,
This is to inform you that following students of Development Studies:
• Ali Mohib (DS-013)
• Talha Salahuddin (DS-015)
• Sajjad Mehdi (DS-024)
Under the supervision of Syed Qamar Abbas Zaidi the instructor/professor of the course
of “Corporate Social Responsibility & Applications in Development” are expected
to prepare Term Report.
As a part of their degree completion requirement, these students have to conduct/ carry
out the research work on the management of the corporate philanthropy and suggest
some solutions.
In this connection you are requested to please cooperate with our students and provide
necessary materials and information required by them to complete their research work.
We assure you that all the materials and information will strictly be used for
educational purpose only.
Thanking you for your kind cooperation.

Yours Truly
For
NED University of Engineering & Technology
City Campus
Letter of Acceptance
January 4, 2019
The Development Studies Program Coordinator
NED University of Engineering & Technology
City Campus, Karachi
Fax : (92-21)32620793

Letter of Acceptance
Dear Sir,
This is with reference to your letter dated January 1, 2019, regarding arranging the information/
documents for research purpose of your university students.
We are pleased to confirm our fully cooperation with the students and we will try to provide
available information/ documents to them. Meeting timing and date will be decided mutually as
per availability. With best regards,

Yours Truly,

Human Resource Department

Sui Southern Gas Company Limited
Letter of Transmittal
January 10, 2019

Prof Syed Qamar Abbas Zaidi

Course Teacher
NED University of Engineering & Technology
Development Studies Program
City Campus-Karachi

Letter of Transmittal
Dear Sir,
The report on the topic of “The Management of Corporate Philanthropy in SSGC”. The
report has been prepared after the discussion with Mr. Salman A. Siddiqui, Deputy General
Manager, Corporate Communications, Sui Southern Gas Company Limited.
The SSGC is the State owned natural gas distribution Company formed in 1955.

If you need any further assistance please feel free to contact us.
Best regards,
Yours Sincerely,

Team Members
Table of Contents

Contents
NED UNIVERSITY OF ENGINEERING ............................................................................................. 2
DEVELOPMENT STUDIES PROGRAM ............................................................................................. 2
Letter of Authorization ........................................................................................................................... 3
Letter of Acceptance ............................................................................................................................... 4
Letter of Acceptance ........................................................................................................................... 4
Letter of Transmittal ............................................................................................................................... 5
Letter of Transmittal ........................................................................................................................... 5
Table of Contents .................................................................................................................................... 6
1. Preface................................................................................................................................................. 9
2 Abstract: ............................................................................................................................................. 10
Corporate Social Responsibility (CSR) ................................................................................................ 11
Chapter No.1: Primary Research .......................................................................................................... 12
1. Introduction:.................................................................................................................................. 12
1.1 Background: .................................................................................................................................... 12
1.2 Team .............................................................................................................................................. 13
1.3 Methodology: ................................................................................................................................. 13
1.4 Objectives: ...................................................................................................................................... 14
1.5 Limitations of the Research Study: ................................................................................................. 14
1.6. Core Areas of CSR: ....................................................................................................................... 14
1) Education .......................................................................................................................................... 14
2) Health ............................................................................................................................................... 15
3) Environment ..................................................................................................................................... 15
4) Community Development................................................................................................................. 15
1.6 Yearly Activities ............................................................................................................................. 16
1.7 Voluntary Services .......................................................................................................................... 16
1.8 Selection Process ............................................................................................................................ 16
1.9 Partnerships ..................................................................................................................................... 16
2. Process .............................................................................................................................................. 17
2.1 Domestic Bulk Gas Supply ............................................................................................................. 17
2.2 Commitment to the Corporate Social Responsibility...................................................................... 17
2.3 Future of CSR in SSGC .................................................................................................................. 18
Chapter No 2: Secondary Literature Review ........................................................................................ 19
1. Philanthropy: ................................................................................................................................. 19
2. Patterns of Corporate Giving: ....................................................................................................... 19
3. Strategic Philanthropy:.................................................................................................................. 20
4. Cause Marketing: .......................................................................................................................... 21
5. New Forms of Philanthropy: ......................................................................................................... 21
6. Concluding Remarks:.................................................................................................................... 22
7. Case study “NIKE”: ...................................................................................................................... 22
8. Corporate Giving by subsectors in Pakistan: ................................................................................ 23
CHAPTER 3: Conclusion and .............................................................................................................. 25
Recommendations ................................................................................................................................. 25
Conclusion: ........................................................................................................................................... 25
Recommendations: ................................................................................................................................ 25
Appendix: SSGC Organizational Structure .......................................................................................... 26
Questionnaire:................................................................................................................................................ 27

Bibliography: ........................................................................................................................................ 29
Acronyms
PLC- Public Listed Companies

SSG- Sui Southern Gas

CSR- Corporate Social Responsibility

CP-Corporate Philanthropy

Ltd- Limited
1. Preface
The main objective of writing this report on “The Management of Corporate Philanthropy in

SSGC” as per term project requirement of the course “Corporate Social Responsibility &
Applications in Development” is to study and understand how in the real world the theories and
classroom studies can be applied.
The course which we took at the NED University of Engineering & Technology under the
supervision of Professor Syed Qamar Abbas Zaidi give us a clear picture that how the big
corporations and organizations manage and organize their philanthropic programs and CSR
activities. Our final research report is the actual of what we have learned in the university.
We have chosen the well-known natural gas distribution company named Sui Southern Gas
Company Limited, as our reference organization.

Team Members
Development Studies program
NED University of Engineering & Technology
Karachi
Pakistan
2 Abstract:
In this study, an in-depth qualitative and explanatory approach is undertaken to
understand the patterns of corporate giving in Karachi. The objective of the report is to
comprehend the dynamics of managing corporate giving in Karachi, its connectivity
with vital informant stakeholders, to improve public awareness regarding philanthropic
attitudes and behaviours. It also comes to highlight the motivations and opinions behind
corporate philanthropy which have observed some dramatic changes throughout the last
two decades. Corporations, which were now contributing a large sum as a prolongation
of charitable interests of their corporate leadership, are now making it an inherent
component of their business strategic goals.
With multi-national corporations around the world are contributing away a major part
of their earnings deducted before tax in socio-economic development of the
communities. In the context of CSR in Pakistan, many of the public and private limited
companies which are national and international are conducting direct philanthropic
giving away activities. 1According to the seminal paper titled, “Corporate
philanthropy in Pakistan”, carried out by Pakistan Centre for philanthropy, corporate
philanthropy has perceived a phenomenal rise since 2005 and it has articulated that the
total contributions by PLCs have been regularly escalating through the passing years,
from Rs.228 million in the 2000 to Rs.4.8 million in 2013.
One of them is Sui Southern Gas Company who is deeply involved in collaborating with
other esteemed Not- for profit organizations such as TCF and SIUT and international bodies
likewise World-Wide Life Fund. It plays a pivotal role in the four core areas such as
education, health, environment and community development. In accordance with the
preference areas, SSG emphasizes giving away major portion of its budget under the
directives of OGRA towards education in which endowment fund has been conducive to
finance the scholarships for the diligent students coming from the low-income segment.

1
http://www.pcp.org.pk/uploads/CPS-2013.pdf
Corporate Social Responsibility
(CSR)
Chapter No.1: Primary Research
1.Introduction:
The Sui Southern Gas Company (SSGC) (Formerly Sui Gas Transmission Company Limited)
was formed in 1955. The company in its present shape was formed on March 30, 1989,
following a series of mergers of three pioneering companies, namely Sui Gas Transmission
Company Limited, Karachi Gas Company Limited and Indus Gas Company Limited.
Sui Southern Gas Company is Pakistan's leading integrated gas company. The company is
engaged in the business of transmission and distribution of natural gas in southern part of
Pakistan- mainly
in Sindh and Baluchistan. Sui Southern Gas Company transmission system
extends from Sui, Balochistan to Karachi, Sindh.

Type Public
Traded as PSX: SSGC
Industry Oil & Gas
Founded 1955, 1989 (present shape)
Headquarters Karachi, Pakistan
Products Natural Gas Transmission and Distribution
Revenue PKR 69, 084.41 million (2007)
Net income PKR 290.38 million (2007)
Number of employees Over 7,000
CSR Department Corporate Communications

1.1 Background:
The SSGC realizes its corporate social responsibility and believes in the betterment and welfare
for the society. The corporate social responsibility department of the SSGC started in the year
2003-2004 and comes under the “Corporate Communications” section and since then
working actively for the society.
This Corporate Communication department of the SSGC covers different spheres:
• Marketing
• Corporate Social Responsibility (CSR)
• Advertisement
• Event Management
CSR is one of the important area which this section covers.

The philosophy of the Corporate Social Responsibility unit of SSGC is;

“Bring a positive change in the lives of the people of underprivileged through projects in Sindh and
Balochistan region”
It is the policy of the company to not invest CSR money onto the employees or property. The
Company has carved out an enviable reputation of being a corporate citizen driven towards a
sustainable development in the areas of education, health, environment and community
development in its franchise areas of Sindh and Balochistan. These initiatives are taken by the
CSR Unit of the Corporate Communication Department.

1.2 Team

In charge (1)

Deputy Manager (3)

Executive (1)

Staff (1)

The team comprises of people from 4-5 different sections such as sales and billing
department with just one motivation which is to work for the welfare and betterment of
the people and society.
The CSR department of the SSGC covers four areas which are following:
1) Education
2) Health
3) Environment
4) Community development
Here, it is important thing to notice that the SSGC comes under the Oil & Gas Regulatory
Authority (OGRA) which is a agency of Government of Pakistan which gives directives to the
oil and gas authorities working in the Pakistan.
So according to the OGRA standards and rules, the SSGC is liable to spend its 80 percent of the
CSR budget into the education sector only, as it is the policy of the agency. The rest 20 percent
of the budget is spend on the other three areas such as health, environment and community
development. SSGC can only perform its CSR activities in the above mentioned four areas only
and can not cover other areas such as water and sanitation and other critical issues due to policy
and budget constraints.

1.3 Methodology:
An open-ended exploratory strategy has been used to accumulate information on corporate
giving. For qualitative analysis, the focus is on PLC in the study to have an in-depth
comprehension of the procedures, management and diffusion of giving away practices of this
state owned company. Information collected through in-person interviews from SSG to evaluate
its giving patterns.
1.4 Objectives:
The overall objective of this study is to understand the patterns of corporate giving and their
contributions in social development by one of the public reputed enterprise. Another one is to
explore the corporate business strategy of SSG and how they aligned it with their CSR
activities.

1.5 Limitations of the Research Study:

1) The availability of the Sui Southern Gas Company Limited officials of the CSR unit was
limited due to their professional duties.
2) The financial details and reports of the CSR activities were not shared due to the company
policy.
3) The website does not contain the details of the CSR activities and also the latest annual report
of 2017 and 2018.
4) The duration of the research study was time bound that’s why other stakeholder were not
consulted to construct a holistic point of view.
The students faced difficulty in visiting the organization due to the lengthy class timings in the
universities
Now, let’s discuss the four areas of CSR in detail:

1.6. Core Areas of CSR:

1) Education
The main focus area of the SSGC CSR activities is education where major chunk of the budget
is spent. In this area, the organization work for the welfare of people through different methods
such as providing scholarships to the genuine students who have strong academic scores and are
unable to afford the university fees so this schemes is for those underprivileged students who
comes under need basis. The universities approach SSGC and send credentials of such students
to them so that they can verify and process the applications and grant them full scholarship for
whole academic degree. Secondly, the CSR budget is spent on the rehabilitation of the
Government schools in the Sindh and Balochistan region. In this case, the local Member of
National Assemblies (MNA’s) and Member of Provincial Assemblies (MPAs’) approach SSGC
CSR department and request them to work in their area schools. The SSGC individually
evaluates the request on the basis of the merit and need. It is important to know, that they SSGC
only work on the renovation such as repair works, new color of the building or rooms and
constructing additional classes and washroom facility and giving furniture but does not
constructs the whole school due to budget limitations.
SSGC also works with the Not for profit organizations working in the education sector such as
The Citizens Foundation (TCF) who have a good credibility in the market. In this respect,
SSGC provides salaries of the teachers, payment of the utility bills and bears other operational
expenses in running the branches. The most important aspect is that SSGC only provides help
to those organizations who does not work on the commercial basis.
The organization goes through regular internal and governmental associates external audits to
make sure that the transparency and accountability is kept in the transfer of the funds.
During 2015-16, SSGC continued to support the deserving pursuing their academic goals at
some of the most reputable educational institutions in the country. Some notable partnerships
included providing scholarships to the deserving students of IBA (Karachi), NEDUET
(Karachi), FCC (Lahore), MUET (Jamshoro), QUEST (Nawabshah), IoBM (Karachi), Sukkur
IBA and Al-Hijrah Schools Trust (Ziarat). Other worthy associations included providing
educational assistance to school students of Pakistan Army’s Chamalang Balochistan Education
Program (Quetta), supporting TCF students of TCF schools in Quetta and Larkana, providing
monetary support to students of Indus Resource Centre, FESF and The Hunar Foundation.
Monetary support was provided to Rimsha Khan, a determined position holder to help her
pursue her MBBS program in DUHS. The Company also sponsored TCF Golf Tournament,
with the proceeds to be utilized by TCF for educating nine of its students.

2) Health
During the year under review, the CSR unit provided monetary support to Marie Adelaide
Leprosy Centre’s Triple Merger Centre in Mirpurkhas and Eye Clinic in Gwadar. The Company
also gave financial support to Fatimid Kidney Centre, Quetta for sponsoring treatment of 94
thalassemia patients of Balochistan region as well as to AMTF, Karachi for bearing the annual
expense of blood transfusion of chronic patients. The Company also provided dialyzer re-
processor for Kidney Dialysis Clinic in Karachi and provided 600 units of anti-snake injections
to Jhal Magsi Rural Health Centre.
The CSR Unit also helped set up a Free Medical Camp in Machar Colony in collaboration with
Imkaan Welfare Organization and also supported Saylani Welfare Trust through provision of
dialysis machines. HASWA was also supported for providing artificial limbs to 30 people.

3) Environment
In the area of environment, the Company collaborated with IUCN in its drive to save mangroves
in the vicinity of the SSGC-LPG Terminal in Port Qasim area. The Company also collaborated
with WWF Pakistan in the NGO’s Beach Cleaning Activity in Clifton beach that involved about
500 students from the government schools of Karachi. The CSR Unit also continued with its
collaboration with Thal Limited for the production of 140,000 bio-degradable environmental
friendly paper bags. The Company provided monetary support to Alamgir Welfare Trust for
establishing five heat stroke camps in different localities of Karachi.

4) Community Development
Under this broad heading, SSGC covers vast range of areas coming under community welfare
and development. With this respect, SSGC identifies far flung areas with no gas supply and
infrastructure so they fund bio-gas plants working from cow dung and the operation and
maintenance responsibility is given to the local’s organizations and Community based
organizations (CBOs) to sustain the projects. As SSGC have limited fund so it can only invest
one time. Similarly, the installation of the solar lights in Tharparkar where there is no electricity
and also the installation of solar operated water wells. Under this area, SSGC also works for the
relief activities in case of disasters and natural hazards. Recently, the SSGC employees have
donated 1 day salary into the Diamer and Mohmand Dam Fund.
1.6 Yearly Activities
SSGC is organizing blood donation drives in its office building each year since 4 years. The
employees are encourage to give blood donations and are informed about the advantages of the
blood donation activities. however, this whole process is voluntary and any one can volunteer.

1.7 Voluntary Services

SSGC program named “Hum Qadam” is the CSR department initiative and is taking place
since 3 years. In this program, the SSGC employees are registered to volunteer for a day at the
Jinnah hospital children ward and SIUT where they give gifts to the patients, dance and sing
with them and spent quality time with them, all for the spirit of welfare of the humanity.
Similarly, seminars named “Safeer e Hayat” are held in the main auditorium of the SSGC
buildings for the employees to mentor them about their social responsibility to the society.

1.8 Selection Process

There are four parameters on the basis of which the organizations are selected for the corporate
social responsibility activity by the SSGC.
1) Audit reports
2) Well-maintained website
3) Credibility in the market
4) Organization life of minimum 5 years
It is not compulsory that only organizations approach SSGC in terms of help, SSGC also
researches and goes to different organizations and locality for CSR programs.

1.9 Partnerships
The Sui Southern Gas Company have established partnership with different not for profit
organizations working in diverse areas such as Sindh Institute of Urology and
Transplantation (SIUT), World Wildlife Fund (WWF) and The Citizens Foundation
(TCF). All these organizations are non-commercial and work for humanitarian and
philanthropic causes.
2. Process
Request for
Project

Check/Evaluate/
Money Transfer
Verify

Team Surveys/
Technical details
evaluation

As SSGC is a Stated owned enterprise so it has to follow the process of tenders in case of construction
and open bidding is perform under PEPRA rules and contractor is hired for the project. However,
SSGC supervises and checks the progress. Also, strict quality control and checks are conducted and
reported to the management according to the budget allocated.

2.1 Domestic Bulk Gas Supply

The billing department of the SSGC also empathize with the difficulties of the welfare
organizations, schools, religious schools and religious places in order to meet their expenses
meet so SSGC provides them low cost gas supply under its domestic bulk program which helps
these people of the society to afford their gas needs.

2.2 Commitment to the Corporate Social

Responsibility
According to the Sui Southern Gas Company Limited (SSGC), the corporate social
responsibility is the positive face of the organization in front of the people. That’s why, the
company is committed to its CSR program and activities and since its inception the budget of
the department has increased up to 100 times although the organization has faced severe
financial cuts and difficulties but along with these the company realizes its social responsibility
owned to the people. This has also became possible due to the high performance delivery of the
team via following Statement of Purposes (SOPs) and strict monitoring mechanisms leading to
non-violations.
2.3 Future of CSR in SSGC
The CSR is the soft face of the Sui Southern Gas Company Limited which is benefitting many
people belong to the Sindh and Baluchistan region. However, the department has limited
manpower but the dedication of this small team is enormous to work for the benefit of the
people living in the society. There is a positive aspect that there is no budget cut policy of
SSGC and the CSR budget is increasing each year and our beneficiaries are growing with each
passing year.
 Chapter No 2: Secondary Literature
Review

1.Philanthropy:
Corporate philanthropy refers to the act of entities or business endorsing the welfare of others,
generally through benefactions of funds. Up-until in regards to 60 years ago, courts believed
that corporate funds ascribed to stockholders, hence, supervisors had no right to give away
money, even for upright objectives. This confined canon makes sense in the past when the
businesses were trivial and charity came mainly from the owners. Nevertheless, as businesses
grew bigger and proficient managers took control from their bosses, the public began to
anticipate contributions from the companies towards social well-being.

The initial major interruption from legal curtailment on corporate philanthropy was the
Revenue act of 1935, which permit charitable contributions to withhold from income taxable
earnings up to 5 percent of gross profit before taxes hiked up to 10 percent in 1981.Of course,
the legitimacy of corporate giving remained a subject of skeptical and managers kept in tight
with charitable funds and they were afraid due to stakeholder lawsuits.

Box -1, AP.J Smith Manufacturing Company

AP J Smith Company was a New Jersey Company, established in 1896. It manufactures valves and
hydrants. In 1951, the company provide $1,500 to Princeton’s University crowd -funding campaign.
However, it was not its first charitable giving. It has donated to local community pool and also give to
other nearby colleges. In 1950s, corporations was bound by a legal restrictions that they don’t
contribute a significant amount to the charity and businesses only responsibility were to maximize
profits. So, according to the law the manager cannot divert funds in the noble cause without asking the
shareholders. So, the shareholders have sued the manager in a lawsuit case, the local court have taken
the decision in favour of the stockholders. Nevertheless, this verdict was challenged in the Supreme
Court and the court have considered all the overarching possibilities and have overturned the decision.

2.Patterns of Corporate Giving:

Conventionally, charitable donations is a component of social responsibility. The doctrine of
religion also emphasizes two kinds of philanthropy. One of them is voluntary and the other is
obligatory. It has been observed that firms that have experienced massive scale of economies do
not contribute a significant amount towards the social projects, as compared with their
potential. After the financial crisis in 2008, for instance, companies donate $14.5 billion, a
colossal sum, but only 0.12 percent of global sales, and 1 percent of pretax income. Since, the
WW2, it has been resonated that the patterns of corporate contributions in most of the Western
economies were fairly large and it is hovering around 1% of pretax income. An estimated has
been made that the donations are much smaller than
the 10 percent that is tax withhold. Corporations that give so in many ways, likewise, cash,
products, services, volunteered workers time and utilization of facilities.

Figure 1 the trend in corporate philanthropy 1999-2000

Source: US Census Bureau, 1999-2009.

3.Strategic Philanthropy:
The act of philanthropy posits a benevolent purpose of giving out of moral obligation to assist
the underprivileged sections of the society. Conventionally, the corporate philanthropy comply
all rules and regulation to such standards of selfless and nobility. As companies comprehend the
needs of social responsibility, they have reached at the premises of distributing funds to many
worthy causes, were noble but imperfect. Over a period of time, number of causes increases,
and as charity recipients multiplied, the downsizing sums diffuse to each had less and less affect
than the former one. Such a spontaneous methodology leads to philanthropy, known as “Check
book philanthropy”, moreover, several number of people turned their philosophy from one form
of donation to one simplest form, in which the widespread and not planned benevolence to one
that line up with commercial motives.
 Box 3-The Mysterious Billionaire

George F Feeney, 79, one of the benevolent philanthropist. He has been donating billions of
dollars, much of it namelessly, in an elegance indicative of the old T.V program, where the
secretive facilitator dramatically transformed the lives with cashier checks. Feeney belongs to
low-income group. With compatriots, he discovers the Duty Free S hoppers stores, situated in
airports around the World. He became wealthy, selling cigarettes and precious goods to movers
and packers, and he founded an institution in Bermuda, he permanently transferred his Duty Free
shoppers to it. At the time, it was worth around $ 500 million, and the institute has given away
more than $ 5 billion. He believed in the teachings of the philosopher, Maimonides, who
presumes that highest form of donating is namelessness and altruism.

4.Cause Marketing:
Throughout the literature of corporate philanthropy, cause marketing is a type of strategic
philanthropy in which corporate giving out are founded on procurement of product. It connects
a brand to a societal cause, so both were beneficiaries. Dealers utilize branding to distinguish
products, particularly, mass produced products that patrons might perceive as substitutable
goods, if they have a scarce of brand attributes.

It has noticed that branding generates two characteristics in two-ways, to affect purchasing
verdicts. One of them is the feature of the goods positive qualities subject to the reasonable
mind. Another one is emotive link with the good that permits clients to satisfy emotional
requirements by utilizing it. Merchants have analyzed that the brand is interconnected to a
giving away cause, a third facet is created, one that pleas to the consumer’s morality.

On the flipside, there is a criticism about the cause-associated marketing that it intensifies large
sums for worthy causes, but other forms of strategic philanthropy, it’s an amalgam of altruism
and selfinterest attracts criticism. Critiques diagnoses this as “Consumption Philanthropy”
that elevates squander materialism and advocate that people simply give to charitable causes. It
is observed that companies select the causes based on research into what consumers care about
regardless of most acute needs of customers

5.New Forms of Philanthropy:

In the neo-gilded period (20th century) foundations and the conglomerates award aids/grants to
community development organization or Non-government organizations that then invest a
money to meet the quantified social objectives, for instance, increasing literacy rate in the
geographical region through funding in books for providing education or enhance the health by
purchasing medicines and equipment in far flung areas. The donor anticipates no investment
return, instead of losing 100 percent of capital spent, and may later followed up at the end of the
intervals or over a period of time to perceive if the objectives of the project were met and all the
timeframe were followed.
A great example of this prototype is green revolution, led by the Rockefeller foundation for
exploration in intensive agriculture, that in turns to new diversities of wheat, maize and rice,
escalating crop yield and saving an estimated 1 bn people from starvation since 1960.

Another development in the prototype of philanthropy has been arrived. It can be perceived
through the case of techno- entrepreneurs and philanthropies, such as Bill Gates, and Jeff
Bezos, exclusively of Microsoft and Amazon. They either themselves or through their
companies put on the business procedures that made them rich to the discipline of philanthropy,
obscuring the line between business and corporate, endeavouring to control market forces
known as ‘Philanthro-capitalism”. This new surfacing form of philanthropy covers a vast
number of actors and results- engaged and resource oriented.

6.Concluding Remarks:
Corporate philanthropy is a fundamental, extensively embraced dimension of social
responsibility. Prior to 1950’s, it was experienced as type of charity but today, this is
modifying. In fact, most companies make parallel their giving away with profit objectives,
and both richest and wealthy people on planet Earth with corporate fortunes are utilizing
business applications to solve societal problems. Better intentions are required to be
reflected in the actions. If the corporation must be socially responsible, it must conduct the
diligent work of constructing aspirations into businesses.

7.Case study “NIKE”:

Over the years, Nike, a global producer of athletic shoes and sports attire. Nike Company
developed by the handclasp of Bill Bower man and Phil Oregon. Kasky, an athlete criticizes
Nike for contracting work in developing countries due to cheap labor and lawsuit the
corporation because of globalization, the American company tend to locate its production unit
in the third world countries in order to cut the cost of production and to have the workers paid
bare minimum wage.

Nike Company has been ineffective in dealing sweat shop problems. In 1992, the company
stated codes of conduct intended at boosting its accountability. The charter needed its contractor
to certify compliance with local minimum wage, child health, safety workers, compensation,
forced labour, environmental laws and discrimination laws. Then in 1994, it recruited the
accounting firm Ernest and young to audit code compliance by making spot checks at factories.
The code and spot checks were still being ineffectual because Vietnam Labour laws violated. It
has been observed that the Nike Company has been penetrating on its efforts that ensures
employees operating in foreign markets were not subject to violence and sexual abuse.

The company commenced a public relations program for this purpose. The company halt
utilizing polyvinyl chloride in their shoes with the goal to eradicate the exposure of this
hazardous compounds on its internal employees. The corporation have assigned its member to
go to Asian markets and to train the local employees and managers there. Another keen
initiative of Nike is the corporate social responsibility that assist in enforcing codes of conduct.

8.Corporate Giving by subsectors in

Pakistan:
It is valuable to observe that not all PLCs are involved in corporate philanthropy, nor all
subsectors are engaged in diffusing away. So, it is useful to evaluate sector wise contribution by
PLCs to draw the line which primary actors are vital, which are slightly participating, and
which are completely indifferent from one another. The distinguishable subsectors are
mentioned below contrasted with the number of companies and average giving away in each of
the subsector. The Pakistan stock exchange group companies in 34 subsectors catering all the
PCs. The aforementioned table indicates that due to much large scale operations and profit
margins, the oil and gas exploration companies contribute hefty amounts in corporate giving.
However, Sui gas being one of the state owned company is not making profits since the last 4
years but it is injecting lucrative amount towards their preferred CSR activities.

No. of Avg.

Sector Ranking

Companies Donation

Oil & Gas 4 607.50 1

Exploration
Companies
Fertilizer 7 150.71 3

Commercial Banks 21 54.29 2

Cement 20 20.70 4

Miscellaneous 19 20.37 5

Power Generation & 16 17.00 6

Distribution
Oil & Gas 8 15.63 11
Marketing
Companies
Automobile Parts & 7 14.29 14
Accessories
Automobile 12 13.00 9
Assembler
Food & Personal 18 12.06 8
Care Products
Engineering 14 10.07 10

Textile Composite 39 6.21 7

Inv. Banks / Inv. Cos. 21 4.43 15

/ Securities Cos.

Textile Weaving 9 4.33 18

Chemical 27 3.85 12

Pharmaceuticals 9 3.78 19
Paper & Board 9 3.67 20

Sugar & Allied 31 3.35 13

Industries
Insurance 23 3.00 17

Technology & 10 2.40 21

Communication
Transport 4 1.75 23

Tobacco 3 1.67 27

Leasing 5 1.20 24
Companies
Textile Spinning 70 1.01 16

Cable & Electrical 8 1.00 22

Goods
Wollen 1 1.00 31

Glass & Ceramics 6 0.83 25

Synthetic & Rayon 6 0.83 26

Refinery 4 0.75 28

Leather & Tanneries 4 0.50 29

Modarabas 24 0.08 30

Source: PCP Survey 2016

 CHAPTER 3: Conclusion and
Recommendations

Conclusion:
The newly established CSR unit of the SSGC is working with limited resources in
terms of finances and manpower. However, the progress of the CSR unit is remarkable
according to the annual reports and the NGOs but the budget allocated is unclear and
not shared with the community and kept in secret. It is needed to include community
and the stakeholders of the CSR initiatives and projects to be includes in the
philanthropic activities.

Recommendations:
• The CSR unit manpower should be enhanced.
• Increased budgetary allocations for the CSR unit.
• Hiring of the proper trained CSR professionals is required.
• Strategies should be chalked out to enhance the sustainability of the projects.
• Other sectors instead of education should also be given importance.
Appendix: SSGC Organizational Structure
Questionnaire:
Name:_________________________ Designation:____________________
Years of working:____________ Age:______ Time:____________________
Date:_______________
1) When was CSR unit formed at SSGC?
Ans.____________________________________________________________________
2) How this CSR unit is contributing towards social responsibility?
Ans.____________________________________________________________________
3) How many employees are dedicated for the CSR unit of SSGC?
Ans.____________________________________________________________________
4) What are their responsibilities?
Ans._____________________________________________________________________
5) What is the philosophy of the CSR unit of SSGC?
Ans.____________________________________________________________________
6) How much budget is allocated for the CSR activities?
Ans.____________________________________________________________________
7) Do CSR unit face budget cuts in times of company’s losses?
Ans.____________________________________________________________________
8) What are the primary areas in which CSR money is spent?
Ans.____________________________________________________________________
9) Do you face any political pressure in planning projects?
Ans.____________________________________________________________________
10) Do you have any memorandum of understanding with NGOs?
Ans.___________________________________________________________________
11) What is the future of the CSR unit in the SSGC?
Ans.___________________________________________________________________
12) What are the strengths, weakness, opportunities and threats in this particular area?
Ans.___________________________________________________________________
13) What is the policy of the SSGC for sustaining the projects implemented?
Ans.____________________________________________________________________
14) Why there is a negative perception associated with CSR activities of the big MNCs?
Ans.____________________________________________________________________
Bibliography:
1. F Steiner, A Steiner, (2009), Business, Government and Society, Managerial Perspective:
New York See here: https://www.academia.edu/keypass
2. Khan, 2012, Islamic Philanthropy, See here: https://www.dawn.com/news/697795
3. Sui Southern Gas 2016, 62nd Annual Report. See here:
https://www.ssgc.com.pk/web/wpcontent/uploads/pdfs/2016/2016_annual_report.pdf