Human Resource Management ON CSR Policies of Organizations

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HUMAN RESOURCE MANAGEMENT

REPORT

ON

CSR POLICIES OF ORGANIZATIONS

Submitted To: Submitted By:


Dr Priyanka Agarwal
Vanee Batra (120C02)
Rhea Sabharwal (120C12)
Supriya Kapoor (120C46)
Sanya Verma (120C57)

AMITY BUSINESS SCHOOL


AMITY UNIVERSITY UTTAR PRADESH
NOIDA (U.P.)
1
Table of Contents
ABSTRACT.................................................................................................................................................................3

INTRODUCTION........................................................................................................................................................4

ORGANIZATION PROFILES.........................................................................................................................................6

LITERATURE REVIEW...............................................................................................................................................15

RESEARCH METHODOLOGY.....................................................................................................................................17

ANALYSIS................................................................................................................................................................19

FORM RESPONSES..................................................................................................................................................19

COMPARATIVE ANALYSIS........................................................................................................................................31

CONCLUSION..........................................................................................................................................................35

REFERENCES............................................................................................................................................................36

APPENDIX...............................................................................................................................................................38

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ABSTRACT

In today’s era, where the market is crowded with distinct companies, it is very important for each and every
company out there to stand out and have a competitive edge over the others. The Corporate Social
Responsibility initiatives undertaken by the companies help them gain this competitive edge. CSR of a
company basically focuses on the company’s responsibility towards the environment, society, employees
and economy as a part of the company policy. In today’s world of unprecedent changes some companies
have come up with some exceptional CSR policies thereby making a difference. The CSR policies turn out
to be highlight for all the companies irrespective of the industry they are operating in. This study
specifically aims at identifying and getting a deep understanding of CSR policies adopted by the different
companies of the restaurant industry.
The secondary aspect of this paper deals with the how the organizations have altered their CSR policies in
order to operate effectively during the tough times of COVID-19.
The study is based on both primary as well as secondary data, the primary data being collected by
conducting a survey and the secondary data from sources like articles, company’s official websites, research
papers, magazines, etc.
The results show that the CSR initiatives undertaken by the different organizations operating in the
restaurant industry vary up to a significant extent with certain companies contributing towards certain
specific areas and certain other companies contributing towards others, which when brought together turn
out to be a significant addition to the society.

Keywords: CSR, COVID-19, Restaurant industry.

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INTRODUCTION
All the organisations which are business to earn money by providing services or tangible products, are a big
part of the environment that they function in. Here the environment not only signifies the natural
environment which majorly provides all the raw materials needed to manufacture a good or provide a
service, rather it also includes the people that are present in the environment along with those individuals
who works in the organisation and proves to be the most important factor of production. Thus, for an
organisation to succeed it becomes imperative that it realizes it responsibility towards the various aspects of
the environment and contribute in such a way that it not only meets the demands of consumer for the
product or service rather they do it in a competitive as well as sustainable manner.

Importance of CSR
Corporate social responsibility, a term that has been recognized in the past decade or so has been identified
in relation to giving back to the society by the corporate organisation, has gained a lot of momentum. It has
become the need of the hour as today organisations take each and everything possible from the environment
economically as well as socially and it becomes their responsibility to give back to the society not because
of the laws that are formed in this regard rather it’s their moral obligation to work in such a way neither they
suffer loss of revenue nor the various aspects of the environment face challenges in any way. Corporate
social responsibility (CSR) is a self-regulating business model that helps a company to be socially
accountable—to itself, its stakeholders, and the public. To engage in CSR means that, in the ordinary course
of business, a company is operating in ways that enhance society and the environment, instead of
contributing negatively to them.

CSR is something that changes form based on the company or the industry performing it. Through the
programs, efforts and philanthropy, the businesses are able to boost their brand along with providing benefit
to the society. It acts like a bridge between the corporations and the employees, making them feel more
secure and connected to the organisation. being socially responsible and performing practices which are
ethical are the basis why Corporate Social Responsibility exists as a suggested practice and various laws
have been formed for their stringency.

As consumers today are well aware of the ways in which production takes place and how harmful it is to the
society, CSR becomes an important aspect such that the material used for production should also be
environment friendly as the customer may shift to other brands which offer brands are environment friendly.
Also, the reputation of the businesses, majorly large businesses, become better in the eyes of stakeholders of
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the organisation, stressing the fact that the organisation is not only engaged in only profit making but are
also engaged in social issues which makes the customers to share the same values. CSR initiatives taken up
by organisations does not only focusses on the environment or the customers, it also includes community
and the employees of the organisation. In order to have an effective and sustainable CSR plan, the
organisation should comply with the laws made in this regard, where their investments should grow in such
a way that it benefits the community and the environment.

CSR during COVID-19 pandemic


Since the application of the mandatory provision of CSR in the company’s financials under the Companies
Act 2013 which came into effect on April 1st 2014, the spending in this regard has increased many folds
making it 47% above of what initially. Various large and listed companies having net worth of Rs. 500 crore
or more or a net profit of Rs. 5 crore or, have spent as much as Rs. 100 billion in various initiatives and
programs ranging from healthcare, skill development, educational programs and environment safety and
conservation. Even in the current COVID-19 pandemic, the Ministry of Corporate Affairs has issued a
notice stating that any help given for the upliftment of the situation will be considered as a part of CSR
expenditure. This may be helping by informing people about the healthcare or stress management during
these times.

In the food industry where thousands of people are employed and the industry that uses raw material
required to produce the food, the packaging material, etc. from the environment, not only impacts the
economy but also a substantial part of the environment in the form of waste management, energy and water
source usage, etc. CSR initiative implementation in the food industry becomes highly relevant and
important as these multi-national chains gather a lot of funds through their business and gives back to the
society as well in their own ways.

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ORGANIZATION PROFILES
MCDONALDS

McDonald’s restaurants are owned by Hardcastle Restaurants Pvt. Ltd. (HRPL) across West and South
India. It has a Master Franchisee relationship with McDonald’s Corporation USA and has been the
custodian of the brand since its inception in 1996.
Taking great pride in their food, made with the best raw materials sourced from various suppliers across
India, serving fast food to its consumers that is not only of food quality but also satisfies the needs of the
customers, continuously enhancing menu and nutritional choices in response to customers’ needs and
nutrition preferences taking care of the well-being of our customers.

CSR AIM
There are 5 key elements for McDonalds in CSR policy

1. Food- provide balanced choices


2. Sourcing- source of all food and packing sustainability
3. Planet- develop and operate the most environmentally efficient McDonald’s restaurants
4. People- committed to our people
5. Community- give back to our community

CSR POLICY
 To align and integrate social impact investments / CSR programmes with the business value chains
of the Company and make them outcome- oriented.

 To sustain and continuously improve standards of Environment, Health and Safety through the
collective endeavour of HRPL, its employees and its suppliers at all levels towards attaining world
class standards and support other programmes and initiatives, internal or external, for the prevention
of illness and combating of diseases as may be considered appropriate from time to time.

 To encourage the development of human capital of the nation by expanding human capabilities
through skills development, vocational training etc.

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 To promote and establish care centres, care rooms and care houses for the benefit of needy and
underprivileged people both within and outside hospitals and medical centres, free of cost.

 To promote and encourage education at the levels of pre-primary, primary and secondary schools,
colleges, universities, and vocational academies and institutions.

 To contribute to a host of communities' quality of life by supporting innovative programs health,


education, social services and the environment, as well as cultural and civic projects.

 To support a host of communities through donations in cash or kind (books, toys, clothes, food etc)

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BURGER KING

Burger King an American multinational chain of hamburger fast food restaurants founded in 1953 as Insta-
Burger King

Every day, more than 11 million guests visit Burger King restaurants around the world. As burger king aims
at providing high quality food to its customers with menu’s made according to culture of the land. Providing
great-tasting, and affordable food.
It is the second largest fast food hamburger chain in the world. The original Home of the Whopper, their
commitment to premium ingredients, signature recipes, and family-friendly dining experiences is what has
defined our brand for more than 50 successful years.

CSR AIM

Burger King’s corporate social responsibility activities are based on a set of prioritizations which indicate
their stakeholders driven approach.

The following are its priority when it comes to CSR policy making

 Customers- For example, the company publishes detailed nutrition facts regarding its menu items.
Based on these considerations, Burger King’s corporate social responsibility activities satisfactorily
address the interests of customers as the top stakeholder group.

 Employees- For example, employees’ performance is accounted for in rewards and their career
opportunities. Thus, Burger King’s corporate social responsibility strategy effectively integrates the
interests of employees as stakeholders.

 Communities- For example, the foundation offers funds for educational and related programs in
communities. Based on these considerations, Burger King’s corporate social responsibility efforts
suitably include a major arm for community development to address the interests of this stakeholder
group.

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 Investors- the company’s corporate social responsibility strategy fulfills the concerns and interests of
investors as a major stakeholder group.

CSR POLICY

 Commitment towards food, - to provide high quality, food around the world. The food that is served
is what defines them as a company and is at the center of the brand promise providing detailed
nutrition information to our guests so they can make informed meal choices.

 Commitment towards people- (employees, franchisees, suppliers and restaurant guests) they are the
cornerstones of the business. We do all that we can to serve employees and guests alike, to support
numerous local and regional initiatives worldwide being an exceptional employer creating a culture
that is bold, accountable, meritocratic, empowered and fun.

Bold represents the determination to approach every situation with dynamic, innovative thinking.

Accountable means embracing the responsibility as a public company to deliver value for the shareholders
and for the franchisees and to provide great service and products to the restaurant guests.

Empowered means vesting in individuals with the power and control to achieve their goals

Meritocratic ensures that exemplary work reaps great rewards.

 Commitment towards the environment- continuously reviewing the policies on animal welfare,
sourcing and environmental impact to ensure that the company remains a good corporate citizen in
the communities they serve.

 Commitment towards corporate governance- Burger king worldwide has a deep-rooted corporate
governance and compliance program. The codes and company policies to encompass not only the
core ethical principles, but also specific issues that the employees and business partners face on a
day-to-day basis. To continuously reinforce our policies and procedures to ensure compliance with
the law as well as openness and accountability.

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KFC

KFC is a fast-food restaurant business specialized in stir fry chicken. Its main headquarter is in Louisville,
Kentucky, in United States.
KFC is the second largest Fast-food restaurant by its sales volume, in 118 countries. KFC is one of the
subsidiary Company of Yum brand.
KFC's unique produce is fried chicken bits, hardened with Sanders' formula of 11 herbs and flavors. The
KFC has certain noteworthy business secrets. Its most of the products are supplied in cardboard „bucket‟
keeping all its hygienic conditions in mind. This bucket has become very famous since KFC‟s inception,
and also considered as a unique characteristic of the Company.
The slogan of KFC being “Finger Lickin‟ Good”, shows how deeply they value providing not only high
quality but taste food also.

CSR AIM
The main features KFC focuses on in CSR are the following
1. Education
2. Diversity
3. Environment
4. Animals

CSR POLICY
 Education: Kentucky Fried Chicken Foundation, which has subsequently delivered $14 million in
scholarships to 2,600 students. As an independent non-profit association, the Foundation’s
benevolent plans are made conceivable over the enduring support of KFC franchisees and the KFC
Establishment.

 Diversity: To emerge towards a labour force that is varied in stylishness and background, where
everybody can make a change. The concept of diversity in the company is about giving a free rein to
the workforce and their power. The company feels that creating this unleashing environment to the
employees make them sense to be greatly valued and supported which directly effects on their
performance which again leads to the positive results to the company at the end

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 Environment- To protect the environment and in the same stance benefit its customers, associates
and franchises. The major areas the company undertake measures for environmental issues are
Green Buildings (the innovative buildings that majorly concentrate on energy saving, water
harvesting and conserving, material quality etc.

 Animal welfare: To ensure that the suppliers here will share their commitments regarding the
handling of animals and to always do the necessary research on welfare of animal and its
advancement process.

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SUBWAY

The SUBWAY restaurant chain is the world's largest submarine sandwich franchise, with more than 40,000
SUBWAY restaurants, open in 106 countries across the globe.
SUBWAY offers foot longs and 6-inch sandwiches, made on freshly baked bread and prepared right before
the eyes of the customers with a wide assortment of meats, cheeses, vegetables and toppings.
SUBWAY is committed towards providing a variety of great tasting, nutritious food choices while reducing
their environmental footprint and creating a positive influence in the communities they serve around the
world. Their vision is to make our restaurants and operations as environmentally and socially responsible as
possible.

CSR AIM
Subways CSR aim features the following

1. Nutritional leadership
2. Environmental leadership
3. Sustainable sourcing
4. Community

CSR POLICY
 To Continue to evolve their menu of great tasting, nutritious options as well as provide access to
nutrition and healthier lifestyle information

 To Ensure their food meets the highest quality and safety standards

 To Find sustainable and cost-effective solutions that serve the business needs of our franchisees

 To Focus their sustainability initiatives on energy efficiency, water & resource conservation, waste
reduction, sustainable sourcing, and supply chain management

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 To Encourage their franchisees to contribute to their communities, promote diversity and choose
"environmentally friendly" options and business practices.

STARBUCKS

Starbucks Corporation is an American multinational chain of coffee houses and roastery reserves
headquartered in Seattle, Washington.
The world's largest coffeehouse chain, Starbucks is seen to be the main representation of the United States'
third wave of coffee culture.
Their coffeehouses have become a beacon for coffee lovers everywhere. Ensuring genuine service, an
inviting atmosphere and a good cup of expertly roasted and richly brewed coffee every time.

CSR AIM

1. Environment- reduce, recycle, climate, waste reduction


2. Community- chai project
3. Ethical sourcing- empowering the source

CSR POLICY

 Environment- To Share environmental information with the partners to understand clearly.


To Improve innovative and flexible solutions. Using environment products including selling and
using them. Encouraging responsible environment as corporate value. Following process and
measure every project.
 Ethical Sourcing- to operate the business by bringing the best coffee in the world. So it supports the
farmers‟ live by buying coffee fairly and help them how to grow coffee bean efficiently including
responsible environment as well

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 Community- committed towards helping communities thrive everywhere they do business, to
support connections in communities around the world so that they can make a positive, relevant and
enduring impact.

 Diversity- to ensure diversity of people and ideas to their business, creating more opportunities for
learning and success that benefit customers, partners (employees) and suppliers.

CAFÉ COFFEE DAY

Café Coffee Day, a part of Coffee Day Global Limited, is one of India’s favorite hangout for coffee and
conversations. Popularly known as CCD, they strive to provide the best experience to the customers.
Coffees sourced from thousands of small coffee planters its first café opened in 1996 at Brigade Road in
Bangalore – since then it continues to be one of the most happening places in the city.

CSR AIM
1. Environment
2. Waste management
3. Training
4. Education
5. Differently abled employment
6. Heritage site adoption

CSR POLICY
This policy sets out the Company’s commitment & approach towards Corporate Social Responsibility. The
Company endeavors to facilitate livelihood opportunities, sociocultural development, and environmental
sustainability in
areas of its operations.

 The Board shall be responsible for approving the CSR policy of the Company as may be
recommended by the CSR Committee, subject to necessary changes/modifications as the Board may
deem fit.

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 To Ensure that in each financial year the Company spends such amounts for CSR activities as may
be stipulated in the Act, as amended from time to time. (presently 2% of the average net profits of
the Company made during the three immediately preceding financial years)

 To Ensure that the activities as are included in the CSR Policy are undertaken by the Company

 The CSR Committee of the Company shall be responsible for Formulating and recommending to the
Board the CSR Policy which shall indicate activities to be undertaken in line with Section 135 read
with Schedule VII of the Companies Act.

LITERATURE REVIEW
Peattie (2006) in her paper studied the impact of Corporate Social Responsibility policies in the food
industry. The research concluded that integrating CSR practices into every aspect of a food business can
help it reduce cost of operative and give it a competitive advantage.

Assiouras, Ozgen, Skourtis (2013) in their paper analysed the impact of prior CSR information on the
perceived degree of danger, attribution of blame, brand evaluation and buying intentions after a product-
harm crisis in the food industry. The study concluded that companies in the food industry should generate
CSR strategies and should develop favourable CSR not only because CSR has an impact on brand
evaluation but because it is a part of crisis management.

Ikram, Qayyum, & Mehmood (2020) in their paper undertook a comparative analysis of the South Asian
and Western food companies based on their CSR adoption and impact on firm performance. The lower CSR
adoption levels show that the food companies are hesitant to spend on promoting CSR. South Asian
governments with provide tax breaks and other motivations to increase CSR adoption among food
companies.

Nguyen, D. Vo, Phuc Nguyen, & Choo (2019) in their paper examined the relationship between
consumers’ perception of a company’s CSR practices and their attitudes towards and intentions on
purchasing its goods with empirical evidence from the Vietnamese food industry. The study concluded that
perception of CSR toward community has the most substantial influence on consumers’ attitude, followed
by the perception of CSR toward employees and perception of fair operating practices responsibility.

15
Nazzaro, Stanco, & Marotta (2020) in their paper studied an interpretative model of the processes of
social responsibility and value creation in the food industry. The study revealed that the production sector in
which a company operates strongly influences its orientation towards one or more corporate social
responsibility dimensions.

McCool & McCool (2010) in their paper studied the role played by foodservice industry in the obesity
crisis. It concluded that the industry has an ethical and social responsibility to aggressively adopt socially
responsible actions that will help alleviate the increasing incidence of obesity by changing the ingredients
used and portion amount served.

Richards, Thomas, Randle, & Pettigrew (2015) in their paper examined CSR tactics by identifying the
key characteristics of CSR strategies as described in the corporate documents of selected ‘Big Food’
companies. It concluded that ‘Big Food’ companies use CSR activities to target people through community
activities and build a positive brand image.

(Tong & Wong, 2016) examined the relationship between CSR activities and 3Rs to understand their
relationship with corporate reputation in Hong Kong’s fast-food industry. The research revealed that there is
a positive correlation between CSR and 3R, indicating that consumers of fast-food restaurants opine that
CSR and 3R are interrelated.

Hartmann (2011) in her paper examined the relevance of CSR activities for food companies.
She concluded that food industry has high relevance for CSR. heterogeneity and the associated diversity in
CSR approaches induces substantial challenges for opportunities offered by CSR.

Kádeková, Savov, Košičiarová, & Valaskova (2020) in their paper examined highlighted the activity of
corporate social responsibility (CSR) and its impact on brand value in food enterprises with and without
foreign participation in Slovakia. The study concluded that almost 86% of food companies with foreign
participation apply CSR activities, while companies without foreign participation comprise only 40% of the
total share.

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RESEARCH METHODOLOGY

AIM
 To study the CSR policies and initiative undertaken by the various companies in the restaurant
industry.

OBJECTIVES
• To understand what CSR policies are followed in restaurant industry.
• To evaluate how restaurants, implement CSR practices.
• To understand the changes in CSR policies due to COVID-19 pandemic.

DATA SOURCE:
Both secondary and primary data was used for this study. The primary data was collected by conducting a
survey and the secondary data from sources like articles, company’s official websites, research papers,
magazines, etc.

DATA ANALYSIS:
SAMPLE
Number of organizations: 4: McDonald’s
Burger King
KFC
Subway
Starbucks

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Café Coffee Day

Sample size: 1 employee per organization


Sampling technique: convenience sampling
Location: Delhi NCR

TOOLS USED
 A survey of 10 questions were conducted
 Pie charts were used for data interpretation
 Tables were used for data analysis

RESEARCH DESIGN

 Descriptive Research Design was used.

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ANALYSIS
FORM RESPONSES

It can be observed that out of the


6 QSRs (Quick Service
Restaurants), 5 QSRs participate
in CSR initiatives around the
year

It can be observed that all the 6


QSR have a separate
management executive
responsible for planning and
execution of CSR initiative in
the organization.

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It can be observed that out of the
6 QSRs, 4 QSRs have separate
team responsible for planning
and execution of CSR initiatives
across the corporate offices and
restaurants outlets of the brands.

It can be observed that out of the


6 QSRs, 2 QSRs have
experienced a change in their
CSR initiatives during the
pandemic and lockdowns.

It can be observed that out of the


6 QSRs, 3 QSR brands take
suggestions for their CSR
initiative from all the employees
of the organization. While the
other 3 only considers the point
of view of the respective teams.

It can be observed that out of the


6 QSRs, 3 QSRs follow top to
bottom approach by informing
about CSR initiatives of the
brands. On the other hand, in 2
QSRs all employees are
encouraged to participate in the
initiatives taken by the food
brands. However, in 1 QSR the
20 information about CSR
initiatives passes to employees
through the published materials
It can be observed that out of the
6 QSRs, 4 QSRs organize
workshops to enhance the
understanding of CSR among
their employees. However, 2
QSRs are not taking any such
initiative to promote CSR.

It can be observed that out of the


6 QSRs, 5 QSRs believe that
CSR is a company’s
responsibility towards the
society and not just a marketing
tool.

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All the QSRs agrees that when a restaurant engages in CSR, people will support it by dining
there.

1 QSR believes that people are willing to pay move for restaurants that are engaged in CSR.
However, 2 QSRs believe that no such phenomenon can be observed. 3 QSRs are neutral towards
any such phenomenon.

3 out of 6 QSRs believe that the problem of food waste can be solves by adopting CSR
initiatives. The rest of the QSRs strongly agree that CSR is the solution to food waste.

Out of 6, 5 QSRs agrees that CSR creates differentiation and increases profitability. Also, 1 QSR
strongly agrees with the fact.

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Name Anjali Sharma Aks hatha K Poojari Prajakta Bhos ale Sapam Ambade Sravya Raja S haba Pravee n
Gender Female Female Male Male Female Female

Designation Senior HR Manager HR Manager Head of Public Relations & CSR Business Consultant Operations Manager Human Resource Executive

During the covid 19 In India, Starbucks has a


pandemic, Burger King Subway focuses to provide famous CHAI project
collaborated with some NGOs At KFC, we have partnered with healthy and nutritious food to through which it helps to
McDonald's is engaged in various CSR activities including education, As a part of its CSR initiative, CCD
to provide nutritious burgers many food organizations to people so that they can stay fit empower backward
healthcare and uplifting communities. To encourage education, McDonald's ensures that all its suppliers use
to the front-line worker. We fight hunger across the country. and healthy. We help fight communities of tea
have a partnership with various NGOs to promote girl child education and to environmentally friendly coffee
have also contributed to girl Even during the time of hunger in the country by manufacturing states. It
help young children obtain reading skills and develop the habit of reading. production methods. We also focus on
child education in rural and pandemic, the firm worked on donating to various NGOs. works to improve
What are the activities that your company The brand has been actively working to improve the standards of living of helping and employing differently abled
underdeveloped areas of the the mission to provide proper Since we deal in fresh sanitization, education,
undertakes for Corporate Social Responsibility? the backward communities by offering them nutritious food and a hygienic people. We call them “silent brew
country and encouraged nutrition to healthcare workers vegetables and salads, we nutrition intake and
environment. At McDonald's we believe in spreading happiness and masters”. The firm also has its own
women to take up higher and thank them for their ensure that all the raw material employment opportunities of
kindness. Hence, we have launched Ronald McDonald House Charities Vocational Training College to raise
education. The firm has also services. During our feed a is organically produced to such areas. The brand has
Foundation India to provide care centres to help families whose children educational levels of backward areas of
taken an initiative to reduce million program, we proudly fed preserve environment and also collaborated with many
have been going through a medical treatment for their illnesses. the country.
the usage of single use more than 2 million people. provide natural food to our NGOs to promote girl child
plastic packaging for its food customers. education across the
items. country.

Are the company's Corporate Social Responsibility


activities, done all year round, or is there a specific Around the Year Specific Time Around the Year Around the Year Around the Year Around the Year
time period allotted for it?
Does your company have a management person
Yes Yes Yes Yes Yes Yes
responsible for CSR?
Is there a separate team made for the corporate
social responsibility activities, if not then who takes Seperate Team No Separate Team Seperate Team No Separate Team Seperate Team Seperate Team
up the task?
Is there a difference between the activities taken as
part of Corporate Social Responsibility before and No Yes Yes No No No
after the pandemic?
In your company are the Corporate Social
Responsibility activities suggested only by the team
Any Employee Any Employee Respective Team Any Employee Respective Team Respective Team
undertaking it or can any employee in your
organization give suggestions for the same?
All employees are
encouraged to participate in
All employees are encouraged to participate in the initiative by conducting a All employees are told about All employees are told about It is published on social media the initiative by conducting
How do you get to know about any CSR step taken All employees are told about the step
meeting. The meeting discusses the objective and the flow of the program the step taken through their the step taken through their platforms or it is published in a meeting. The meeting
by the company? taken through their seniors.
in detail. seniors. seniors. the magazine of the company. discusses the objective and
the flow of the program in
detail.
Does your company organize workshops to enhance
the understanding of Corporate Social No Yes Yes No Yes Yes
Responsibility/Sustainability at your site?
CSR is a company’s CSR is a company’s CSR is a company’s
CSR is a company’s responsibility
Do you think CSR is a company’s responsibility towards the society CSR is just a marketing tool responsibility towards the responsibility towards the responsibility towards the
towards the society
society society society
Please rate the following statements. [When a
restaurant engages in CSR people will support it by Agree Agree Agree Agree Agree Agree
dining there]
Please rate the following statements. [People are
willing to pay more for restaurants that are engaged Neutral Agree Disagree Neutral Agree Neutral
in CSR]
Please rate the following statements. [Food waste is
Strongly Agree Strongly Agree Agree Agree Agree Strongly Agree
one of the problems CSR can solve.]

Please rate the following statements. [CSR creates


Agree Agree Agree Agree Strongly Agree Agree
differentiation and leads to increasing profitability]

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MCDONALDS

1. EDUCATION

a) Girl Child Education


Muktangan is an initiative of Paragon Charitable Trust, pioneering in educational programme
and working in close partnership with various NGOs across the country. McDonald’s partnered
with Muktangan to support and promote education for the girl child. They worked on child
centered methodology to educate kids through the seven schools operated by Muktangan.

b) Room to Read India


McDonald’s partnered with Room to Read India, an NGO running Literacy Program in primary
schools. To help young children obtain reading skills and develop the habit of reading,
McDonald’s donated 1,11,000 children’s books for distribution to municipal schools. The
purpose was to promote education of children, especially from non-privileged backgrounds.

2. EMPOWERING COMMUNITIES AND BACKWARD AREAS

McDonald's partnered with Nareshwadi school aiming to improve the standard of living of the tribal
community and students of Nareshwadi Project. The Company further supported the project
economically by providing them with a better workplace. This in turn helped them to consume right
quantity and quality of food, thus preventing malnutrition.

3. HEALTHCARE

Ronald McDonald House Charities Foundation India (RMHCFI) launched by McDonald’s seeks to
promote and establish care centers, care rooms and care houses for the benefit of all families whose
children have been going through a medical treatment for their illnesses, both within and outside
hospitals and medical centers, free of cost.
It intends to provide improved medical environment, emotional support to parents, clean and
hygienic play activities for kids.

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BURGER KING

1. SUPPORT DURING COVID-19 PANDEMIC

Burger King India partnered with Project Mumbai, a non-profit organization, to distribute over 8,000
burgers to frontline doctors, nurses and other staff of hospitals in Mumbai. As part of this initiative,
Burger King is delivering freshly prepared burgers to the medical staff of JJ Hospital, St. George
Hospital, Cama Hospital and to the control room staff of Mantralaya. The brand’s ‘Trust in Taste’
protocols ensure safe preparation and delivery of food from the kitchen to the frontline healthcare
workers.

2. EDUCATION

Burger King India partnered with ‘Girl Education Program’ by Room to Read in India. It supports
girls in underserved communities with the resources they need to stay in school. Burger King India
campaign directly support these girls to complete one year schooling along with key decision-
making skills that would enable them to stay at school and prepare them towards tertiary education
and career opportunities.

3. PROTECTING ENVIRONMENT

Burger King India ensures that all the packaging material used, except paper lids and straws, is
composed of non-single use plastic packaging. It successfully eliminated about 350 tones of plastic
last year from its this initiative.

25
KFC

1. FIGHTING HUNGER

Add Hope
KFC launched “Add Hope” program which aims to fight hunger in the country. It aims to create
awareness and raise funds to provide meals to India’s underprivileged children through World Food
Program (WFP), Akshaya Patra Foundation and India Food Banking Network (IFBN).

2. SUPPORT DURING COVID-19 PANDEMIC

a) Dabbawalas
KFC India partnered with Smile Foundation to support Dabbawalas across Mumbai & Pune. Kits
of essentials including dry ration and essential items were disseminated to the dabbawalas
community and their quite 5000 members of families.

b) Healthcare worker
The brand served around 10,000 ‘Thank You’ meals to healthcare workers across hospitals in
several cities as a token of gratitude for his or her relentless services.

c) Feed a Million
Under KFC’s ‘Feed a Million’ pledge, more than 2 million meals were provided to daily wagers
and migrant workers during the extended periods of lockdown.

3. PROTECTING ENVIRONMENT

KFC has global sustainability commitment to protect the environment. It includes the aims to make
all plastic-based, consumer-facing packaging recoverable or reusable by 2025.

26
SUBWAY

1. PROTECTING ENVIRONMENT

Subway ensures that suppliers must follow Good Agricultural Practices (GAP) and pass Good
Manufacturing Practices audits for produce food safely and organically.

2. FIGHTING HUNGER

As a part of the first-ever World Sandwich Day celebrations, Subway India donated Rs 1.5 million
to Kailash Satyarthi Children’s Foundation (KSCF) to help accomplish the mission of ensuring
freedom and nutrition for underprivileged children across India.

3. FITNESS AND HEATH

Th fast food chain encouraged people to keep up with their New Year resolution of staying fit and
active. It urged people to pursue their career goals without compromising on nutrition and health.

27
STARBUCKS

1. EMPOWERING COMMUNITIES AND BACKWARD AREAS

CHAI Project

Starbucks India’ major CSR initiative is the Community, Health and Advancement Initiative (CHAI)
project. It is a collaboration between the Starbucks Foundation, Mercy Corps, Indian tea companies
and origin communities in India and Guatemala.
In India, Starbucks has contributed to tea growing communities for many years. Since 2003,
Starbucks has collaborated with Mercy Corps on the CHAI Project in Darjeeling and Assam to help
improve the quality of life for 190 tea and botanical communities in a sustainable way. To date,
Starbucks and the tea suppliers have contributed US$2.6 million to these efforts and have directly
impacted more than 12,000 villagers with health services and economic development assistance.
Each household is generally allotted permanent worker status for one – sometimes two – family
members. Mandatory benefits include living quarters, rations of wheat, rice, and firewood, a toilet,
and drinking water facilities.

CHAI has helped people in origin communities to:

 Improve access to water and sanitation


 Help young people succeed in school and become leaders in their communities
 Learn the skills to get a job or start a business

Results:

 Water, Sanitation and Health


In Darjeeling, annual incidents of waterborne diseases dropped by 50% in CHAI project
communities. Significant accomplishments include 1,250 latrines constructed and 26 clean
water infrastructure projects completed. 2,000 children reached with hygiene education in
schools.

 Youth Empowerment

28
In Assam, 54 youth groups formed with 6,000 youth engaged in projects. The high school
dropout rate in Assam is 60%. However, 91% of participants in CHAI Education Retention
program continue to higher education. The program also awarded 297 scholarships.

 Economic Opportunity
Key results include 65% of youth in the CHAI vocational training program found employment.
2,100 women participated in savings groups, and program supported 1,500 micro-
entrepreneurs.

2. EDUCATION

TATA Starbucks collaborated with Educate Girls NGO to empower Girls and Young Women. The
program is an initiative to support girls in India through education, skills development and economic
empowerment. It provides women the education, financial assistance and community support they
need to develop their skills and find careers. In the first year of the program, Tata Starbucks will
support 2,000 girls and young women across India,

29
CAFÉ COFFE DAY

1. PROTECTING ENVIRONMENT

CCD facilitates UTZ and Rainforest certification for their major coffee supplier's estates. The UTZ
Code of Conduct is a recognized global ‘decency’ standard for coffee and production criteria for
socially and environmentally appropriate growing practices and efficient farm management
techniques. The Rainforest Alliance works to conserve biodiversity and improve livelihoods by
promoting and evaluating the implementation of the most globally respected sustainability standards
in a variety of fields which are designed to generate ecological, social and economic benefits.

2. HELPING DIFFERENTLY ABLED PEOPLE

CCD tied up with NGOs such as “Enable India” to work out avenues to employ a greater number of
differently abled people. Over 150 speech and hearing-impaired people were employed at our cafés,
popularly called as “silent brew masters”.

3. EDUCATION

CCD launched SVGH Vocational Training College (VTC) at Chikmagalur. VTC seeks to promote
education to economically underprivileged rural youth and supporting them to be independent,
responsible and adaptable to urban environment. It has trained over 2,500 students, many of whom
have since joined CCD’s Group companies, including Coffee Day Global's outlets across the
country. The entire expenses of the course which includes imparting education, providing food and
accommodation, uniforms and transport facilities is borne by VTC.
CCD is also extending its financial support to CRY in a unique gesture with the aim of educating 55
children every year

30
COMPARATIVE ANALYSIS
CSR Mc Burger KFC Subway Starbucks CCD
Initiative Donald’s King
Education 1. Girl Partnered Collaborat Launched
Child with ‘Girl ed with SVGH
Educatio Education Educate Vocational
n by Program’ Girls NGO Training
partnerin by Room to College
g with to Read to empower (VTC) at
Muktang support Girls and Chikmagalur
an girls in Young to promote
underserve Women. It education to
2. Helped d provides economically
young communiti the underprivileg
children es with the education, ed rural youth
obtain resources financial and
reading they need assistance supporting
skills by to stay in and them to be
partnerin school and community independent,
g with go for support responsible
Room to tertiary they need and adaptable
Read education. to develop to urban
India their skills. environment.

Empowerin Partnered Launched Collaborated


g with CHAI with “Enable
communitie Nareshwadi Project and India” to
s and school to helped in employ a
backward improve the improving greater
areas standard of the quality number of
living, of life of differently

31
providing 190 tea and abled people.
right quantity botanical
of food and communiti
avoid es in a
malnutrition sustainable
among the way.
tribal
community
and students
of
Nareshwadi
Project
Healthcare Launched Encouraged
Ronald people to
McDonald keep up with
House their New
Charities Year
Foundation resolution of
India staying fit
(RMHCFI) and active
to help
children have
been going
through a
medical
treatment for
their
illnesses
COVID-19 Partnered 1. Partnered
support with with Smile
Project Foundatio
Mumbai to n to
distribute support
over 8,000 Dabbawal

32
burgers to as. Kits of
frontline essentials
medical including
staff dry ration
and
essential
items were
distributed
.

2. Served
around
10,000
‘Thank
You’
meals to
healthcare
workers

3. Took
“Feed a
Million’”
pledge and
served
more than
2 million
meals to
daily
wagers
Protecting Ensures Aims to make Ensures that Facilitates
Environme that all the all plastic- suppliers UTZ and
nt packaging based, must follow Rainforest
material consumer- Good certification
used, is facing Agricultural for their

33
composed packaging Practices major coffee
of non- recoverable or (GAP) supplier's
single use reusable by estates.
plastic 2025.
material. It
eliminated
about 350
tones of
plastic last
year from
its this
initiative
Fighting Launched To mark
Hunger “Add Hope” World
program Sandwich
which aims to Day, it
fight hunger donated Rs
among 1.5 million to
underprivilege KSCF to
d children provide
through WFP nutrition for
and IFBN. underprivileg
ed children.

CONCLUSION

34
Corporate social responsibility demonstrates that the business takes an interest and initiative in wider social
issues, rather than just those that impact their profit margins, it gives a direction to organizations regarding
how to work towards the betterment of the society as a whole.
It helps to manage and balance the relationships between a business and its many stakeholders in a
proactive, sustainable and responsible manner.
From McDonald’s helping the country’s youth in education, to burger king helping in today’s crisis by
proving support in covid 19 areas, KFC helping in the fight against hunger, subway practicing its operations
keeping in mind the sustainability of the environment and resources, Café coffee day employing differently
abled people and Starbucks taking the lead by empowering backward communities.
Such organizations when brought together, their addition to the society is positive and powerful, which
shows why CSR as a policy for organizations is as important as it is today.

35
REFERENCES
Assiouras, Ioannis & Ozgen, Ozge & Skourtis, George. (2013). The impact of corporate social
responsibility in food industry in product-harm crises. British Food Journal. 115.
10.1108/00070701311289902.

Ikram, M., Qayyum, A., & Mehmood, O. (2020, January 24). Assessment of the effectiveness and the
adaption of CSR management system in food industry: The case of the South Asian versus the
western food companies - Muhammad Ikram, Abdul Qayyum, omer Mehmood, Jahanzaib Haider,
2020. Retrieved May 20, 2021, from
https://journals.sagepub.com/doi/full/10.1177/2158244019901250

Kádeková, Z., Savov, R., Košičiarová, I., & Valaskova, K. (2020). CSR activities and their impact on
brand value in food enterprises in Slovakia based on foreign participation. Sustainability, 12(12),
4856. doi:10.3390/su12124856

McCool, A. C., & McCool, B. N. (2010, June 10). The Social responsibility of the foodservice industry:
The need for action regarding the obesity crisis. Retrieved May 20, 2021, from
https://digitalscholarship.unlv.edu/cgi/viewcontent.cgi?article=1003&context=hhrc
Monika Hartmann, Corporate social responsibility in the food sector, European Review of Agricultural
Economics, Volume 38, Issue 3, August 2011, Pages 297–324, https://doi.org/10.1093/erae/jbr031

Nazzaro, C., Stanco, M., & Marotta, G. (2020). The life cycle of corporate social responsibility in agri-
food: Value creation models. Sustainability, 12(4), 1287. doi:10.3390/su12041287

Nguyen, P., D. Vo, N., Phuc Nguyen, N., & Choo, Y. (2019). Corporate social responsibilities of food
processing companies in Vietnam from consumer perspective. Sustainability, 12(1), 71.
doi:10.3390/su12010071
Peattie, K. (2006, June 1). Corporate social responsibility and the food industry. Retrieved May 19, 2021,
from
https://www.researchgate.net/publication/293375732_Corporate_social_responsibility_and_the_foo
d_industry

36
Richards, Z., Thomas, S. L., Randle, M., & Pettigrew, S. (2015). Corporate social responsibility programs
of big food in Australia: A content analysis of industry documents. Australian and New Zealand
Journal of Public Health, 39(6), 550-556. doi:10.1111/1753-6405.12429
Tong, C., & Wong, A. (2016, May). The Effects of Corporate Social Responsibility of Fast-food
Restaurants on Corporate Reputation. Retrieved May 21, 2021, from
https://core.ac.uk/download/pdf/267835004.pdf

Tong, C., & Wong, a. (2016, May). The Effects of Corporate Social Responsibility of Fast-food
Restaurants on Corporate Reputation. Retrieved May 21, 2021, from
https://core.ac.uk/download/pdf/267835004.pdf

Collier, E. (2018, January 26). The Importance of Corporate Social Responsibility for Your Business.
Retrieved from https://www.highspeedtraining.co.uk/hub/importance-of-corporate-social-
responsibility/#:~:text=CSR%20demonstrates%20that%20you're,business%20sense%20to
%20operate%20sustainably
Dezan Shira & Associates. (2020, April 24). Corporate social responsibility in India. Retrieved from
https://www.india-briefing.com/news/corporate-social-responsibility-india-5511.html/
Fernando, J. (2021, February 2). Corporate social responsibility (CSR). Retrieved from
https://www.investopedia.com/terms/c/corp-social-responsibility.asp
Ikram, M., Qayyum, A., Mehmood, O., & Haider, J. (2020, January 24). Assessment of the effectiveness
and the adaption of CSR management system in food industry: The case of the South Asian versus
the western food companies. Retrieved from
https://journals.sagepub.com/doi/full/10.1177/2158244019901250

37
APPENDIX
QUESTIONNAIRE
Section 1: Demographics -
 Name
 Gender
o Male
o Female
 Designation

Section 2: Questions
Q1. What are the activities that your company undertakes for Corporate Social Responsibility?

Q2. Are the company's Corporate Social Responsibility activities, done all year round, or is there a
specific time period allotted for it?
a) Around the year
b) Specific time of the year
Q3. Does your company have a management person responsible for CSR?
a) Social sustainability
b) Business Conduct and Compliance
c) Environmental sustainability

Q4. Is there a separate team made for the corporate social responsibility activities, then who takes up the
task?
a) Separate team
b) No separate team
Q5. Is there a difference between the activities taken as part of Corporate Social Responsibility before
and after the pandemic?
a) Yes
b) No

38
Q6. In your company are the Corporate Social Responsibility activities suggested only by the team
undertaking it or can any employee in your organisation give suggestions for the same?
a) Respective Team
b) Any Employee

Q7. How do you get to know about any CSR step taken by the company?
a) It is published on social media platforms or it is published in the magazine of the company.
b) All employees are told about the step taken through their seniors.
c) All employees are encouraged to participate in the initiative by conducting a meeting. The
meeting discusses the objective and the flow of the program in detail.
d) You don’t get to know about the company’s CSR practices.
Q8. Does your company organize workshops to enhance the understanding of Corporate Social
Responsibility/Sustainability at your site?
a) Yes
b) No
Q9. Do you think CSR is just a marketing tool or a company’s responsibility towards the society?
a) Yes
b) No

Reason:
Q10. Rate the following on the scale –
 Strongly Disagree
 Disagree
 Neutral
 Agree
 Strongly Agree

Statement Strongly Disagree Neutral Agree Strongly


Disagree Agree

When a restaurant engages


in CSR people will support
it by dining there
People are willing to pay
more for restaurants that
are engaged in CSR

39
Food waste is one of the
problems CSR can solve.
CSR creates differentiation
and leads to increasing
profitability

DETAILS OF RESPONDENTS

Anjali Sharma
Senior Manager-HR at McDonald's
Gurgaon, Haryana, India

Akshatha K Poojari
HR Manager
Burger King India Ltd.
Karnataka, India

Prajakta Bhosale
Head of Public Relations & Fast Good (CSR)
KFC
Gurgaon, Haryana, India

Sapam Ambade
Business Consultant at Subway
Pune, Maharashtra, India

Sravya Raja
Operations Manager at Starbucks India
Mumbai, Maharashtra, India

Shaba Praveen
Senior Executive Human Resources
CCD

40
Kolkata, West Bengal, India

41

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