Undertaking Corporate Social Responsibility Activities
Shared values and community trust are key to sustainable business development. In addition to economic value of commercially distributed products and services, companies often seek to contribute to social good by giving back a part of their profits.
Recognising the importance of inclusive growth, Government of India (GOI) conceived Corporate Social Responsibility (CSR) as an instrument for integrating social, environmental and human development concerns in the entire value chain of corporate business. The National Voluntary Guidelines (NVGs) identified nine principles of responsible business conduct.
Section 135 of the Companies Act requires high-net-worth or high-turnover companies to adopt a CSR policy and spend at least 2% of its average net profits on CSR giving preference to the local area and areas around it where it operates. Authorised CSR activities broadly relates to health, sanitation, education, environment, sports, heritage, art and culture, rural development, slum area development, disaster management, including relief, rehabilitation, and reconstruction activities, setting up old age homes, day care centers, measures for reducing inequalities faced by socially and economically backward groups etc.
The Institute of Health Systems is registered by the GOI Ministry of Corporate Affairs as an Entity for undertaking CSR activities.