DE LA SALLE UNIVERSITY – MANILA

Graduate School of Business

CSR Assessment on Indra Sistemas S.A.

In Partial Fulfillment of the Course Requirements of

Lasallian Business Leadership, Ethics and CSR

Submitted to:
Dr. Maria Paquita Bonnet

Submitted by:

Agatta Angela F. Arce

September 24, 2020

 I. About the Company

Indra Sistemas S.A. is a leading multinational IT conglomerate and management consulting

company. Its headquarters is located in Madrid, Spain and it operates in more than 140 countries, catering
to the core technology and business operation needs of big corporations of various, highly dynamic
industries with engagements in transportation, energy, utilities, telecommunications, media, financial
services, public administration, and healthcare. It is a top global provider of proprietary solutions in
specific areas in Transport and Defense Markets, as well as the absolute leader in IT and Digital
Transformation Consultancy in Spain and Latin America (“About Indra,” n.d.).

II. Indra’s Corporate Social Responsibility

Indra has established its own Corporate Social Responsibility Master Plan in pursuit of the
company’s sustainability management. During annual reviews on the said master plan, the company
admirably involves teams responsible for maintaining relations with each company stakeholder. Indra also
abides by its CSR plan by having well-established corporate policies on environment protection and
promotion of diversity, inclusion, gender equality and innovation. On top of this, the technology company
uses its ground of expertise by providing digital transformation and technological solutions as part of their
commitment to abide by the Sustainable Development Goals of the United Nations
(​https://www.indracompany.com/​).

III. Assessment on Indra’s CSR

The proponent will use the CSR Assessment Model used in a study conducted by Desislava
Serafimova (2016). This model has 10 main areas: “​management practices and documentation; ecology;
products and services; human rights; working conditions; communities and social development;
philanthropy; anti-corruption, accountability and social audit and a summarizing category ‘others’ for all
remaining aspects of assessment (​Serafimova, 2016). Below is a table presenting assessment on Indra’s
CSR using this model, with rationale statements based on data derived from the company’s global
corporate website (​https://www.indracompany.com/​).

Criteria Yes - 1 Rationale

No - 0

Area I. Management practices and documentation

Availability and compliance with 1 The company has an established Code of Ethics and Legal Compliance
the ethical code or declared
principals of behaviour

Availability of a documented 1 Indra has established its own Corporate Social Responsibility Master Plan in pursuit of
company policy for social “sustainability management within the company”. Indra also abides by its CSR plan by
responsibility having well-established Sustainable Policy, and corporate policies on environment

Efforts for balancing the interests
of all stakeholders
Written policy in respect to
certain social indicators
Other documentation on staff
Developing leadership and
programs for staff training
Providing sustainable growth
Score
Area II. Ecology
General company policy for
environmental protection
Actions for diminishing the
harmful impact on the
environment
Promoting responsible attitude
to environment
Score
Area III. Marketing/ Products and services
Clear information on products/
services
Feedback and dialogue with
consumers, suppliers, partners
New products/ services
Score
Area IV. Human rights
General company policy for
keeping human rights
protection and promotion of diversity, inclusion, gender equality and innovation. Indra
is also ISO 14001 - certified, and abides by the requirements for maintaining such
certification.
1 Annual reviews on the said CSR master plan involves teams responsible for maintaining
relations with each company stakeholder. Indra is also involved in influence groups
where it expresses its stand as a corporation with respect to public regulations.
1 Indra has well-established corporate policies on environment protection and promotion
of diversity, inclusion, gender equality and innovation.
1 The company maintains record on the personal information of its staff, and on work
accidents and work security.
1 Indra conducts free leadership and professional trainings for its employees. In addition,
it provides its employees with free unlimited access to thousands of professional
courses in Udemy for Business.
1 The company’s 2018-2020 Strategic Plan is based on four pillars, the fourth being
continuous improvement to increase the company’s efficiency and profitability. The
company also has established its own Innovation Model, which is aligned with the
mentioned Strategic Plan. It also has the Indraventures program, which involves an
intrapreneurship program for incubating innovative ideas. Lastly, the company’s R&D
Model assesses Indra’s innovative efforts across the globe.
7/7 (100%)
1 Indra has an Environment Policy, and an Energy Policy. Also, the company’s
Environmental Management System is certified under ISO 14001.
1 Indra has conducted projects for climate change mitigation and improvement of its
carbon footprint measurement.
1 As stated in Indra’s company website, “Indra has decided to join Regulation EMAS on
voluntary participation of organizations in a Community environmental management
and audit system (EMAS III - Environmental Management Audit Scheme).”
3/3 (100%)
1 There is no record of the Indra’s non-compliance with regulations or codes on the
information and labeling of its products and services.
1 The company follows its Supplier Management Model to maintain transparency and
equality for multiple bidders. Indra also has conducted projects to gather and assess
feedback from customers.
1 Indra considers environmental, social and governance criteria in the rating of the
suppliers for the company’s products and services.
3/3 (100%)
1 The company has Human Rights Policy, and follows international frameworks on Human
Rights. This includes the International Bill of Human Rights, human rights matters in the

Compliance with requirements
in respect to payment and use of
paid holidays
Must not use child labour and
Under-age employees
Coercive labour, humiliating
disciplinary measures, violence
and insults are inadmissible
Any form of discrimination Is
inadmissible
Score
Area V. Working conditions
Organization of the working time
Labour security
Employee dormitories and
recreation facilities
Score
Area VI. Communities and social development
Fighting social issues
Improving the conditions for
Economic development
Improving the living conditions of
local communities
Declaration of the International Labor Organization, the principles of the United Nations
Global Compact, and the UN’s Guiding Principles for Companies and Human Rights.
1 The company complies with legal requirements in respect to payment and use of paid
holidays
1 The company does not have a record of using child labour and under-age employees
1 Employees do not make deposits nor submit identity cards when starting a job. The
company has disciplinary measures for humiliation of human dignity and acts of violence
and insults.
1 The Code of Ethics and Legal Compliance and Corporate Diversity Policy include
regulations on respect and equal opportunities. In addition, the company has
disciplinary measures for any form of discrimination.
5/5 (100%)
1 The company does not exceed regulative limitations, and meets legal requirements in
organizing its employees’ working time.
1 Indra takes measures to prevent accidents, and provide hygienic and safe
working environment. These include training, instruction, prevention and protection
tools. The company also ensures the health and social security of its people by providing
them with medical supplies, comfort rooms, bathrooms, dressing rooms, cafeterias,
among others.
1 Although employees are not provided with such facilities given that many are deployed
to the offices of the company’s clients, Indra provides its employees with choice of
health and recreation benefits to choose from (eg. coupons and discounts in health and
wellness centers). These are provided on top of the benefits required by the law.
3/3 (100%)
1 The company has a number of initiatives serving PWDs and NGOs that lack
technological solutions. It also has a Cultural Transformation Plan and the Diversity
Policy to combat gender, racial and cultural diversity.
1 The company and its subsidiaries recruit local professionals and purchases from local
suppliers. Through this, Indra contributes to the stimulation of local employment,
growth of local businesses, and development of societies while expanding the business
network of the communities Indra operates in.
1 With its commitment to social development, Indra conducts three lines of action. First is
the corporate volunteering, which involves “social volunteering activities (coaching,
mentoring, accompaniment in leisure and sports, as well as humanitarian aid
campaigns); environmental volunteer work; and digital volunteering (with the aim of
reducing the digital divide).”
The firm also holds its Accessible Technologies program, where Indra collaborates with
academic institutions in the innovation of technology for PWDs.
Lastly, the company does pro bono projects for non-profit organizations, and conducts
improvement of the technology training of these entities for increase in their efficiency,
all without charge.
 Quality crisis management 1 Indra has an established Emergency Management Plan, which involves “tactical and
strategic interoperability of security and emergency agencies”.

Score 4/4 (100%)

Area VII. Philanthropy

Participation in donation 1 The company has conducted donation campaigns, and promoted participation among its
campaigns employees.

Providing halls and equipment 0 Indra does not have a statement regarding the company’s active provision of its halls,
transportation tools, equipment, facilities and others for people who need to utilize
them

Score 1/2 (50%)

Area VIII. Measures against corruption

Fight with corruption 1 The company has an Anti-corruption and Bribery Policy, Information Security and
Protection of Competition.

Score 1/1 (100%)

Area IX. Social accountability and social audit

General Company policy for 1 The company releases its annual Corporate Social Responsibility Report, featuring
social accountability documentation of evaluation and reporting of Indra’s CSR programs and activities.

Reporting the CSR practices 1 Reports on the company’s CSR initiatives are announced publicly on its website and
financial reports.

Carrying out social audit 1 As stated earlier, the company has its CSR Master Plan and multiple CSR-related policies
and certifications. The company conducts regular assessment on its compliance to the
requirements of these.

Score 3/3 (100%)

Area X. Other criteria

Lack of sanctions and obligations 1 The company hasn't gained sanctions for environmental pollution, poor working
conditions, or other similar social requirements. It also does not have a record of tax
avoidance, delayed payment, among others.

Competitions for socially 0 The company has bagged the title "Best Large Company" at the European CSR Awards
responsible business for its CSR project called Consignos. However, this title was won last 2013. The company
has not been reported to receive CSR-related awards for the past recent years.

Score 1/2 (50%)

Overall CSR Score of Indra 31/33

(94%)

IV. Discussion

The comprehensive details presented above show that Indra has impressively met the majority of
the criteria provided by the framework. However, it has fallen short in the area of Philanthropy as the
company doesn’t declare any initiative involving active provision of its halls, transportation tools,
equipment, facilities and others for individuals, groups and organizations that need to utilize them. Also,
Indra has not yet received any recent award for any of its CSR programs. The latter may not appear to be
mandatory. However, if the company wants to excel in CSR, it is necessary to give a look into this factor.

V. Proposal

Shortcomings Solution

Indra does not have a statement regarding the Conduct a program that allows external stakeholders’ utilization of the company’s
company’s active provision of its halls, facilities and equipment.
transportation tools, equipment, facilities and
others for people who need to utilize them

Indra has not yet received any recent award
for any of its CSR programs
Conduct a CSR program that will meet requirements for application for a local or
international CSR award. With Indra being a multinational company, a good benchmark
will be the criteria provided by The Global CSR Awards, as published on
https://globalcsr.pinnaclegroup.global/ . This project must involve any of the following
related areas provided by Serafimova’s CSR Assessment Model (2016): human rights,
communities and social development, and philanthropy.

Indra proudly provides its technology solutions to corporate giants across the globe. Being a
service provider and not an industrial company, the heart of this multinational company is not its
facilities, but manpower - highly skilled IT and consulting professionals. This being said, Indra can create
a significant impact to the global society and multiple nations by taking a step forward in the area of IT
manpower in pursuit of CSR in various countries. This is a good program, as it is directly aligned with the
Communities and Social Development, and Philanthropy areas of criteria in Serafimova’s CSR
Assessment Model (2016). It also meets the criteria for the Excellence In Provision Of Literacy &
Education Award of the aforementioned Global CSR Awards. Lastly, it is aligned with the company’s
services, brand identity, and the needs of its business clients as a company providing IT services, making
it an “authentic” CSR program (Alhouti, Johnson & Holloway, 2016). To meet the company’s
shortcoming in the provision of facilities and equipment to external stakeholders, this project shall involve
the utilization of the company’s said resources for the IT education of the scholars.

In the Philippines alone, there is an evident proliferation of employment opportunities for Filipino
IT professionals, brought by our country setting its mark in the world map as a hub for professionals
serving in the global IT and BPO industry. Given all these, it is recommended for Indra Philippines, Inc.
to be one of the Indra subsidiaries at the forefront of this emergence and help provide IT education for the
underprivileged yet talented Filipino youth. This can be started by partnering up with the national
government through the Department of Science and Technology in establishing a scholarship program
wherein Indra Philippines will grant qualified Filipino youth with scholarship for DOST’s IT short
courses. This scholarship can, later on, be expanded to 4-year IT-related college courses. Through all
these, the company will help provide IT education and employment opportunities to the underprivileged
Filipino youth, and help the country in increasing its overall employment rate while taking advantage of
the nation’s long-term boom in the IT and BPO industry.
 The framework for the implementation of this Philippine project can be duplicated by the other
Indra subsidiaries in other countries. The goal is to have this program be present in multiple countries
being served by the corporate giant.

VI. Implementation Plan for Indra Philippines, Inc.

Task Responsible Person Week

Develop initial proposal Management 1

Initial proposal
Approval of initial proposal BOD 2

Send letter to DOST inviting an authorized representative to a Management 3

Initial discussion meeting to discuss the proposal
with DOST
Meeting with DOST & discussion of initial proposal Management 4

Finalize MOU stating proposal and program plan - discussion with Management 5
different departments involved, including Finance,
Communication, Procurement, etc.
Release of program BOD Approval of proposal and program plan BOD 6
plan & MOU signing
DOST’s Approval of proposal and program plan Management 7-8

Schedule MOA (Memorandum of Agreement) signing Management 7-8

MOA Signing Management 9

Creation of task force, which will involve representatives from Management 10

Preparation for different departments
Opening of
Scholarship Preparation of company funds, company facilities, among others. Representative from Finance 11
Application Department, Procurement
Department, etc.

Execution of campaign and opening of the scholarship application Representative from 12-15
period Communication Department (1 month)

Scholarship Deliberation of applicants Deliberation group assigned by the 16-19

Application Task Force (1 month)

Announcement of successful applicants Representative from 20

Communication Department

Enrollment of the successful applicants Task Force and Representative 21-24

from Finance Department (1 month)

Enrollment Publicity of the scholarship grant & enrollment Representative from 21

Communication Department

Course participation of the successful applicants Scholars 25 onwards

Program Evaluation Task Force After program

Evaluation
completion
VII. References

Alhouti, S., Johnson, C. M., & Holloway, B. B. (2016). Corporate social responsibility authenticity:
Investigating its antecedents and outcomes. ​Journal of Business Research,​ ​69(​ 3), 1242-1249.
doi:10.1016/j.jbusres.2015.09.007

Desislava Serafimova. (2016). CSR Assessment Model. Journal of Emerging Trends in Marketing and
Management, 1, 100.

Indra Sistemas S.A.. (n.d.). About Indra. Retrieved September 23, 2020, from
https://www.indracompany.com/en/indra.