csr at tcs

7/21/2019 csr at tcs

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CHAPTER: 1 INTRODUCTION

1.1 MEANING

1.2 OBJECTIVES



1.1 MEANING:

Tata Consultancy Services (TCS) is one of the world's leading information technology

companies. Through its Global Networ !elivery "odel# $nnovation Networ# and Solution

%ccelerators# TCS focuses on helping global organi&ations address their business challenges

effectively.

The compan!" M#""#on #"

To help customers achieve their business obectives# by providing innovative# bestinclass

consulting# $T solutions and services. To mae it a oy for all staeholders to wor with us.

The Va$%e" a&e:

eading change $ntegrity *espect for the individual +,cellence. earning and sharing.

The company has set - adheres to certain Code of Conducts which goes hand in hand with the

functionality of Triple ottom ine.

/The triple bottom line (T) focuses corporations not ust on the economic value they add# but

also on the environmental and social value they add and destroy. %t its narrowest# the term

Triple bottom line' is used as a framewor for measuring and reporting corporate performance

against economic# social and environmental parameters./

1.2 OBJECTIVES:



CHAPTER: 2 CONCEPTUA' DATA

2.1 THE CORE CHARACTERISTICS O( CSR:

The core characteristics of CS* are the essential features of the concept that tend to get

reproduced in some way in academic or practitioner definitions of CS*. 0ew# if any# e,isting

definitions will include all of them# but these are the main aspects around which the definitional

debates tend to centre. Si, core characteristics are evident1

Vo$%n)a&:



"any definitions of CS* will typically see it as being about voluntary activities

that go beyond those prescribed by the law."any companies are by now well used

to considering responsibilities beyond the legal minimum# and in fact the development

of selfregulatory CS* initiatives from industry is often seen as a way of forestalling

additional regulation through compliance with societal moral norms. The case of 23 soft

drins companies introducing a code of responsible practice in 4556 (see +thical

7erformance# 4556) is a good e,ample of such a CS* initiative that has arguably been

introduced to head off potential regulatory action. Critics of CS*# therefore# tend to see the

element of voluntarism as CS*8s maor flaw# arguing that legally mandated accountability is

where attention should really be focused# as the Christian %id definition demonstrates9.

• In)e&na$#*#n+ o& mana+#n+ e,)e&na$#)#e":

+,ternalities are the positive and negative side effects of economic behaviour that are borne by

others# but are not taen into account in a firm8s decision maing process# and are not included in

the maret price for goods and services. 7ollution is typically regarded as a classic e,ample of an

e,ternality since local communities bear the costs of manufacturers8 actions. *egulation can

force firms to internalise the cost of the e,ternalities# such as pollution fines# but CS* would

represent a more voluntary approach to managing e,ternalities# for e,ample by a firm investing

in clean technologies that prevent pollution in the first place. "uch CS* activity deals with such

See for e,ample the Corporate *esponsibility (C:*+) Coalition# a collection of 23 NG:sincluding ;;0 (23)#%mnesty $nternational# %ction %id and 0riends of the +arth# that <wor to

mae changes in 23 company law to minimi&e companies negative impacts on people and the

environment and to ma,imi&e companies contribution to sustainable societies8 (www.corporate

responsibility.org).e,ternalities (=usted - %llen# 4556)# including the management of human

rights violations

in the worforce# calculating the social and economic impacts of relocation or downsi&ing# or

reducing the health impacts of <to,ic8 or otherwise dangerous products# etc. 0or e,ample# a

recent e,ample of CS* in %sia was 2nilever8s collaboration with :,fam to assess the

positive and negative impacts of its business on the lives of poor people in $ndonesia > this#

in effect# was an attempt to account for one of the firm8s main e,ternalities in the region (see

Clay# 455?).

M%$)#p$e ")a-eho$e& o&#en)a)#on:



CS* involves considering a range of interests and impacts among a variety of different

staeholders other than ust shareholders. The assumption that firms have responsibilities to

shareholders is usually not contested# but the point is that because corporations rely on various

other constituencies such as consumers# employers# suppliers# and local communities in order to

survive and prosper# they do not only have responsibilities to shareholders. ;hilst many disagree

on how much emphasis should be given to shareholders in the CS* debate# and on the e,tent to

which other staeholders should be taen into account# it is the e,panding of corporate

responsibility to these other groups which characterises much of the essential character of CS*#

as illustrated by the CS*

• A$#+nmen) o/ "oc#a$ an econom#c &e"pon"#0#$#)#e"1

This balancing of different staeholder interests leads to a fourth facet. ;hilst CS* may be

about going beyond a narrow focus on shareholders and profitability# many also believe that it

should not# however# conflict with profitability. %lthough this is much debated# many definitions

of CS* from business and government stress that it is about enlightened selfinterest where

social and economic responsibilities are aligned. See# for e,ample# the definitions of the C$# the

23 government and =SC. This feature has prompted much attention to the <business case for

CS* namely# how firms can benefit economically from being socially responsible.

• P&ac)#ce" an a$%e"1

CS* is clearly about a particular set of business practices and strategies that deal with social

issues# but for many people it is also about something more than that > namely a philosophy or

set of values that underpins these practices. This perspective is evident.The values dimension of

CS* is part of the reason why the subect raises so much disagreement> if it were ust about what

companies did in the social arena# it would not cause so much controversy as the debate about

why they do it.

• Beon ph#$an)h&op.

$n some regions of the world# CS* is mainly about philanthropy > i.e. corporate largesse towardsthe less fortunate. ut the current debate on CS* has tended to emphatically claim that <real8

CS* is about more than ust philanthropy and community proects# but about how the entire

operations of the firm > i.e. its core business functions > impact upon society. Core business

functions include production# mareting# procurement# human resource management# logistics#

finance# etc. This debate rests on the assumption that CS* needs to be mainstreamed into normal



business practice rather than being left simply to discretionary activity. The attempt to consider

how CS* might be <built in8 to the core business of firms as opposed to <bolted on8 as an added

e,tra has become a maor theme in the CS* practitioner world (Grayson - =odges# 455@). +ven

the then 23 "inister for Corporate Social *esponsibility# Nigel Griffiths "7# noted in 455@ that

<corporate responsibility must be ingrained into the ethos of every business# built in# not bolted

on.8 These si, core characteristics# we would suggest# capture the main thrust of CS*.

2.2 TRIP'E BOTTOM 'INE:

The triple bottom line (T) focuses corporations not ust on the economy value add# but also on

the environment and social value they add and destroy. %t its narrowest# the term Atriple bottom

line Ais used as a framewor for measuring and reporting corporate performance against

economic# social and environmental parameters.B

$n its +ndeavour to show sustainability and growth by adhering to the above definition for triple

bottom line# Tata consultancy services (TCS) follows as strict code of conduct as described by

the T%T% group# which are described as



2. TCS CODE O( CONDUCT:

Na)#ona$ In)e&e") 3/oc%"#n+ on Econom#c pa&ame)e&"4:

The Tata Group is committed to benefit the economic development of the countries in which it

operates. No Tata company shall undertae any proect or activity to the detriment of the wider

interests of the communities in which it operates.

% Tata company's management practices and business conduct shall benefit the country# localitiesand communities in which it operates# to the e,tent possible and affordable# and shall be in

accordance with the laws of the land.

% Tata company# in the course of its business activities# shall respect the culture# customs and

traditions of each country and region in which it operates. $t shall conform to trade procedures#

including licensing# documentation and other necessary formalities# as applicable.



(#nanc#a$ Repo&)#n+ an Reco&" 3/oc%"#n+ on (#nanc#a$ pa&ame)e&"4:

% Tata company shall prepare and maintain its accounts fairly and accurately and in accordance

with the accounting and financial reporting standards which represent the generally accepted

guidelines# principles# standards# laws and regulations of the country in which the company

conducts its business affairs.

$nternal accounting and audit procedures shall reflect# fairly and accurately# all of the company's

business transactions and disposition of assets# and shall have internal controls to provide

assurance to the company's board and shareholders that the transactions are accurate and

legitimate. %ll reuired information shall be accessible to company auditors and other authori&ed

parties and government agencies. There shall be no willful omissions of any company

transactions from the boos and records# no advanceincome recognition and no hidden ban

account and funds.

%ny willful# material misrepresentation of andDor misinformation on the financial accounts and

reports shall be regarded as a violation of the Code# apart from inviting appropriate civil or

criminal action under the relevant laws. No employee shall mae# authori&e# abet or collude in an

improper payment# unlawful commission or bribing.

Hea$)h5 Sa/e) an En#&onmen) 3/oc%"#n+ on En#&onmen)a$ pa&ame)e&"4:

% Tata company shall strive to provide a safe# healthy# clean and ergonomic woring

environment for its people. $t shall prevent the wasteful use of natural resources and be

committed to improving the environment# particularly with regard to the emission of greenhouse

gases# and shall +ndeavour to offset the effect of climate change in all spheres of its activities.

% Tata company# in the process of production and sale of its products and services# shall strive

for economic# social and environmental sustainability.

(oc%"#n+ on Soc#a$ Pa&ame)e&" Sha&eho$e&"

% Tata company shall be committed to enhancing shareholder value and complying with all

regulations and laws that govern shareholder rights. The board of directors of a Tata company



shall duly and fairly inform its shareholders about all relevant aspects of the company's business#

and disclose such information in accordance with relevant regulations and agreements.

Co&po&a)e C#)#*en"h#p

% Tata company shall be committed to good corporate citi&enship# not only in the compliance of

all relevant laws and regulations but also by actively assisting in the improvement of uality of

life of the people in the communities in which it operates. The company shall encourage

volunteering by its employees and collaboration with community groups.

Tata companies are also encouraged to develop systematic processes and conduct management

reviews# as stated in the Tata 'corporate sustainability protocol'# from time to time so as to set

strategic direction for social development activity.

The company shall not treat these activities as optional# but should strive to incorporate them as

an integral part of its business plan.

E6%a$ oppo&)%n#)#e" emp$oe&

% Tata company shall provide eual opportunities to all its employees and all ualified applicants

tor employment without regard to their race# caste# religion# color# ancestry# marital status#

gender# se,ual orientation# age# nationality# ethnic origin or disability.

=uman resource policies shall promote diversity and euality in the worplace# as well as

compliance with all local labor laws# while encouraging the adoption of international best practices.

+mployees of a Tata company shall be treated with dignity and in accordance with the Tata

policy of maintaining a wor environment free of all forms of harassment# whether physical#

verbal or psychological. +mployee policies and practices shall be administered in a manner

consistent with applicable laws and other provisions of this Code# respect for the right to privacy

and the right to be heard# and that in all matters eual opportunity is provided to those eligible

and decisions are based on merit.



2.7 TATA GROUP!S INITIATIVES (OR TRIP'E BOTTOM 'INE:

The Tata group has consistently adhered to the practice of corporate governance and has initiated

the process of the triple bottom line# consisting of benchmaring with global practicesCorporate ethics and governance having once been edged into the bacseat by blatant

commercial interest# are now wending their way bac into the boardroom. The Tata group has.

=owever consistently adhered to the practice of corporate governance for many years. The group

has initiated the process of the triple bottom line# consisting of benchmaring with global

practices.

The triple bottom line addresses the need for a company to assume responsibility towards

environment and society. The triple bottom line# a threefold



"anifesto# constitutes a company's environmental obligation# its social responsibilities# and its

financial bottom line. Traditionally# companies have followed a stringent reporting system of its

financial position# whereas environmental and social obligations have been pushed onto the

bacburner. ut the house of Tata's has been practicing the triple bottom line way before it

became a norm with corporate houses worldwide.

$n the long run.it is worthwhile for an enterprise to play the game of business according to rules#

even if their competitors do not. $n effect# while this benefits society at large# it also helps build

the community's faith in the company. The Tata group# for one.can illustrates this from its own

business e,periences. ihar is a case in point. The state is a crucible of social and political

unrest. !isruptive forces have made several attempts to undermine the good wor done by other

corporate houses# but the efforts of the Tata group have never been adversely affected.

Peop$e: S%")a#na0$e In)e&na$ an E,)e&na$ Comm%n#)#e"

"ore than 4?5#555 employees are the bacbones of TCS# who are actively engaged with to drive

sustain ability initiatives. +,ternally# TCS conducts a diverse range of CS* initiatives in the

areas of education - sill building# health environment and affirmative action using

volunteering# sponsorships and pro bono leveraging of our $T capabilities as the modes of

engagement. $n addition initiatives focused at promoting supply promoting supply chain and

procurement sustain ability ensure the alignment of that our vendors and suppliers to the sustain

ability obectives

P$ane): En#&onmen)a$ S%")a#na0#$#)

0rom designing sustainable infrastructure# running efficient operations# to engaging with our

supply chain partners in green procurement and disposal activities1 TCS taes a holistic approach

towards reducing its energy# water# material# and waste and carbon footprint. TCS offices as well

as $T infrastructure are sustainably designed and built for ma,imum resource efficiency.

P&o/#): S%")a#na0$e Ma&-e)p$ace

$n addition to ensuring sustainability of the Company's business performance# a dedicated eco

sustainability team wors across industry verticals with an aim to provide ne,tgeneration



sustainability services to customers. $ntegrating sustainability into business strategies and

unlocing environmental efficiencies in the entire value chain is a significant value adds.



(INANCIA' SUSTA1NABI'IT8

Successful e,ecution of the Company's strategy for sustainable growth reuires investments in

building capacity# in people and in new business initiatives. The ability to fund these investments

either through internal accruals or from the outside is critical to business sustainability. TCS'

business model has a financial profile characteri&ed by strong cash generation# low capital needs#

low woring capital reuirements# negligible debt and very attractive *eturn on +uity. TCS is a

near &erodebt company# funding its growth entirely through internal accruals. TCS did not

receive any significant governmental financial assistance in 0E 459F. These are the structural

attributes of TCS' business model which going forward is sustainable. +ually important# is the

robust ris management framewor with which the Company can scan the environment for

potential riss to this sustainability and tae mitigate steps.

S)&on+ ca"h /$o9":

The Company's growth is financed by cash generated from operations. %s of "arch F9# 459F#

Total Shareholder's

+uity stood at H#6?I "n of which *etained +arnings made up J#54@ "n. %s at "arch F9#

459F# the Company had cash and cash euivalents of FFI "n (0E941 FI9 "n) and an

!eposits of 9#F69 "n (0E941 9#4I? "n). Net Cash generated from :perations was 4#466

"n. The Company believes that it has sufficient cash from operations to meet its woring capital

reuirements. $n addition it has short term woring capital facilities with various commercial bans. %s at "arch F9# 459F# the Company had available lines of credit with multiple bans

aggregating IJF "n interchangeable between fund based and non fundbased limits ( J49

"n as at "arch F9# 4594).

Inepenen) C&e#) Ra)#n+":

%lthough historically TCS has never used debt to fund growth# the option is always available

given our strong credit worthiness. %n independent assessment of the Company's financial

strength and sustainability is the credit rating assigned to TCS by various global rating agencies.

Sha&eho$e& Va$%e e$#e&e5 ea& a/)e& ea&

%fter going public# TCS has paid out dividends to its shareholders every year# maintaining a

payout ratio of around F5K. $n 0E 459F# the Company paid a total dividend of 5.@ (*s 44) i.e. a



payout ratio of @5K of the consolidated profits under $0*S. TCS' maret capitali&ation as of

"arch F9. 459F was ?6.H n.

ENVIRONMENTA' IMPACT:

%s part of the Tata culture of being a responsible corporate citi&en# TCS continuously strive to

reduce their ecological footprint by identifying material areas and focusing on each of them

strategically. TCS have defined processes and systems in order to identify# uantify and reduce

the impacts on the environment# including the carbon# water# energy and waste footprint. The ey

pillars of the successful environment management have been senior management commitment

and an integrated management systems approach guided by the TCS +nvironmental 7olicy.

7illars of +nvironment "anagement TCS.

G&een o//#ce #n/&a")&%c)%&e:

TCS views green infrastructure as a ey tool in the drive to reduce energy footprint# material

footprint and carbon footprint. %ll new offices coming up are designed as per ++! Green

uildings Gold rating. TCS already has ++! Certified Green uildings at Chennai.

hubaneswar and Trivandrum.The other upcoming facilities at =yderabad. 7une and %hmedabad

are also designed at higher resource efficiency levels. Some ey features of the TCS green

buildings include onsite renewable energy (solar photovoltaic panels)# solar thermal installations#

improved energy efficiency# chiller waste heat recovery units# solar 7L based peripheral lightingsystems# etc. $n 0E 459F# TCS increased its solar water heater capacity by ??K over 459994

(0igure 45)# thereby helping reduce the energy used in heating water for use in itchens and

gymnasium washrooms.

G&een IT:

TCS has undertaen a series of initiatives to reduce the energy footprint of our data centers and

computer worstations# such as server visuali&ation and consolidation# data center power

management# server cooling load management# shift to blade servers#

7rocurement of energystar rated euipment# remote

!estop control# destop visuali&ation proects to help reduce the energy consumption further by

consolidating individual C72 loads on a single server for load optimi&ation# etc.



D#&ec) an In#&ec) Emp$omen)

TCS' strategy of a distributed delivery capability tapping into the local talent in each delivery

location has resulted in a largely balanced positive economic impact through employment

generation both direct and indirect. !irect employment results in the creation of tens of

thousands of whitecollar obs# broadening the ta, collections at the local state and central levels.

+ach delivery center has over a thousand employees. The construction of these massive

campuses employs architects# engineers and construction worers. :nce the facility is

commissioned# the center opens up tremendous local employment opportunities for silled

worers while the vendor partners hire houseeeping staff# security guards# drivers# gardeners#

maintenance worers# chefs# cafeteria staff etc. The creation of these obs creates a massive

demand for local housing in the surrounding areas "oreover the beneficiaries of these net new

obs are often young (median age of the worforce1 4J years) and therefore tend to display high

consumption patterns# benefiting local businesses and by e,tension# the local economies. %ll in

all# it is conservatively estimated that we generate F4 indirect

Mobs for every 95 direct obs taing these indirect obs into account# TCS' consolidated# global

employment generation footprint is estimated at over JH5#555.

In/&a")&%c)%&e Dee$opmen)

The setting up of delivery centers promotes infrastructure development to accommodate the

resultant growth within the communities. ocal municipalities respond to the growing needs of

the community. %n improvement in transport infrastructure and connectivity as well as an

improvement in electricity and water supply is e,pected outcomes of this growth. 7rivate and

public sector partners respond to these developments by offering their services in areas including

telecom# healthcare# education etc.

B&oa 0a"e Re+#ona$ Dee$opmen):

=istorically# the emergence of the $ndian $T industry occurred in the four large metropolitan

cities of New !elhi. "umbai.Chennai and 3olata. 0urther e,pansion to angalore and

=yderabad occurred with a view to tae advantage of the available engineering talent and

supporting infrastructure. *ecogni&ing the multiplier effect that the $T7: industry has on local

economies# various state governments are encouraging $T companies to establish centers in



smaller cities. This is to broadbase the resultant economic development beyond ust the Tier

cities ;ith a view to leverage benefits of low costs and a motivated local worforce# the $T7:

industry has started establishing centers in Tier $$ and Tier $$$ cities TCS has been leading this

foray with headcount in Tier =ill cities steadily growing as a percentage of our total $ndia

headcount over the last @ years.



2. SOCIA' RESPONSIBI'ITIES ADU'T 'ITERAC8 PROGRAMME:

TCS' %dult iteracy 7rogrammed (%7) is among the first instances of using $T Core

Competence tor social causes# and since its inception in 4555 continues to be a flagship

programme of TCS CS*. The %7 has reached 9# IF.64? beneficiaries. The software is available

in I $ndian languages. The %7 software in %rabic was

Completed in !ecember 4594. This is the third foreign language offering after Northern Sotho

(South %frica) and "oore (;est %frica). TCS "+% is currently developing a plan for

deployment.

% new website for %7 (+rror=yperlin reference not valid.was recently created as a onestop

shop for all information related to the %7. with provision for registration# tracing and

monitoring of users as well as gathering feedbac.

$n 0E 9F# the programme reached 99#94? people and through TCS' partnerships with NG:s and

academic institutions# @HF trainers were capacity built to conduct %7 programmes in Telugu#

=indi# 2rdu# :dia and "arathi. =indi %7 was deployed among the ail population in ucnow

and New !elhi. $n 0E 9F# the %7 reach in New !elhi increased from F Mails to 95 ails. %t Tihar

Mail# New !elhi# a total of F55 inmates have been made literate through this programme.

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IT Co&e Compe)ence:

TCS has a dedicated team which provides end to end consultancy and architected comprehensive

solutions lor social organi&ations. The locus has been on using technology as a ey enabler to

assist and resolve business challenges laced by these organi&ations.

*etina $ndia 0oundation is an NG: focused on patient care for visually challenged persons in

$ndia. TCS has prepared the prototype for a National *etina !isease *egistry System and is

woring on creation of a retinopathy patient database. Mustice and Care is an international NG:

supporting victims of Trafficing. % prototype for the Case "anagement System for monitoring

trafficing cases and collaterals to assist the management team in visuali&ing the Case

"anagement System has been prepared and showcased to the organi&ation.

:peration Smile is an international NG: which provides tree surgery tor cleft lips# cleft palates

and other facial deformities to economically bacward children. TCS conducted a feasibility

study during the visit to the organi&ation's Guwahati center in 0E 9F and prepared a prototype

for 7atient Care System for tracing patients# with visual collaterals.

$mpact $ndia 0oundation focuses on reducing disabilities among marginali&ed people through

curative and preventive measures. TCS customi&ed and deployed a !onor "anagement

System (!"S) addressing $mpact's donor management needs and prepared a process document

for their Community =ealth $nitiative programme. This document has been showcased to the

=ealth "inister of $ndia and has been sent to the :ffice of the 7rime "inister of $ndia.

C=$!$N+ $ndia 0oundation wors to ensure children's rights and the protection of children.

TCS customi&ed and deployed a !"S addressing Child line8s !onor "anagement needs.

"umbai "obile Creches provides support to worers at construction sites. TCS is involved in

training and support for inventory and !"S. The TCS team also wored on configuration of the

!onor "anagement System and supporting ""C $nfrastructure upgrade.

:peration Smile is an organi&ation that provides free surgery to repair cleft lips# cleft palates and

other facial deformities in children throughout $ndia. TCS is woring on creating an "$S for the

organi&ation. 0or $nternal Circulation only 95



Ta)a Me#ca$ Cen)&e:

TCS has designed and implemented a comprehensive =ospital "anagement System and $T

$nfrastructure for Tata "edical Centre

(T"C) in 3olata that provides cancer treatment to patients in eastern $ndia. TCS continues to

support $T infrastructure of T"C. $n 0E 9F# TCS provided T"C with pro bono $T services

valued at $N* @.4 cores."ed "antra for Cancer $nstitute in Chennai %n integrated =ospital "anagement System along

with $T infrastructure including a comprehensive and fully integrated# webbased solution has

been provided free of cost to the Cancer $nstitute at Chennai. TCS "ed "antra strives to

enhance the uality of care that this landmar institution provides to over 9F5.555 patients every

year. 0E 9F mared the successful implementation of all 9H modules of "ed "antra which were

then transitioned to a support mode. The final phase of the TCS "ed "antra installation was

completed in "arch 4594 and it now records all details of the patient in Cancer $nstitute from

registration to discharge. TCS financially and intellectually sponsored the entire proect from

design to implementation. 94?#555 consultations performed in 0E9F# an increase of 4?K from

0E94. 955.555 aboratory investigations ordered in 0E9F# an increase of H5K from 0E94. $t

indicates an increased adherence by !octors towards "ed "antra ="S. Since !ecember 4595

till date# 965#555 doctor consultations and @4.555 patient registrations have been managed

through "ed "antra. TCS is currently providing complete endtoend support both from onsite

at Chennai and offshore at =yderabad. New features including Clinical ab +uipments

$ntegration# ar Code 7rinting. Cancer *egistry was delivered to Cancer $nstitute yielding

significant benefits# euipments integration resulted into increased operational commitment

towards "ed "antra.

O

• Ene&+ a%#)":



TCS has taen up the internal energy audit proects at various locations to identify potential

energy efficiency proects to come up with all possible innovations and ideas to improve the

energy performance of the older buildings.

Ope&a)#ona$ ene&+ e//#c#enc:

•

:perational controls have been put in place and are monitored on an ongoing basis# including1

P :ptimi&ation of =L%C operating hours to ensure energy saving without compromising on

employee comfort

P Temperature regulation in wor areas at optimal comfort levels

P *ationali&ation of illumination levels in conformance to applicable building and energy

efficiency codes

P $nstalling Lariable 0reuency !rives (L0!) in air handling units

P 7ower 0actor management

P "inimi&ing use of energy intensive lighting

P %uto hibernation software patches tor switching off of monitors when not in use

P +mployee engagement through awareness drives and visual communication methods# etc.

ECONOMIC VA'UE ADD:

D#&ec) an In#&ec) Econom#c Impac):

The most significant# direct economic impact TCS has is the productivity benefits that clients

gain from the automation of their various business processes using the $T applications. Greater

costefficiency and productivity at a firmlevel translates into higher productivity for the larger

economy. Therefore. TCS has had a significant role in the transformational phase of the global

economy# mared by significant productivity gains from the deployment of $T. The productivity

benefits from the Company's $Trelated wor directly translate into community benefits when

TCS engages with various governments to digiti&e their operations# particularly in the area of

citi&enry services. +,amples of TCS' e,emplary service include an end to end $T solution to

successfully automate the National *ural +mployment

Guarantee %ct (N*+G%) scheme in %ndhra 7radesh. The Company does not believe that any

part of its operations has a potential or actual negative impact on the communities with whom it



wors. TCS' profitable global operations result in payment of corporate ta,es applicable in

multiple countries. Thereby# funding the governments indirectly to help improve the uality of

their civic services. Ta, e,pense relating to overseas operations is determined in accordance with

ta, laws applicable in countries where such operations are domiciled and provided for. $n 0E

459F# TCS provided for a total ta, e,pense of H@9 "n# distributed across over ?5 countries.

ased on N%SSC:"'s figures for the entire sector# it is estimated that TCS contributed 5.H?K to

$ndia's G!7 and TCS's share of $ndia's e,ports in 0E 459F is over FK.

Innoa)#on:

TCS *S! continues to attract top research talent from $ndia and across the world. The Company

continues to support sabbaticals# internships and 7h! sponsorships in research areas relevant to

the Company as well as in premier academic institutions. *esearch based competencies have

been introduced in the Company's learning portal.

A//#&ma)#e Ac)#on:

+nhancing employability sills and generating employment opportunities $n 4595. TCS initiated

a programme to train economically and socially disadvantaged candidates for 7: obs and then

absorb some of them based on the company's reuirements. Since the program's inception# TCS

has trained 44#4F6 underprivileged graduates of which H#6J9 are from the SCDST categories. The

programme now reaches rural areas across 9?4 locations in $ndia. :ver 9.JJF of these

beneficiaries are today TCS 7: %ssociates. The efficiency of the programme has seen a

mared improvement# with a consistently higher percentage of trained students oining TCS.

!uring 0E9F# the team trained 95#J9I candidates of which 4.?59 were SCDST. J4H of the trained

candidates oined TCS7:.

TCS has developed a 0aculty !evelopment 7rogramme focusing on $ndustrial Training $nstitute

($T$) $nstructors of the C:7% (Computer :perator cum 7rogramming %ssistant) course. This

programme sees to improve the uality of training in courses run by these $nstructors. $n 0E 9F#

@J instructors were trained and certified in 3olata. angalore and "umbai.

TCS 7une sponsored the education of @5 !alit children in hostels run by "anusi. %dditionally.

TCS provided water filters# computers and a broadband connection within the Girls =ostel and



helped set up a library for the oys =ostel. The 7une branch has recently initiated proect level

involvement with the "anusi =ostel 7roect to increase TCS' contribution to the initiative.

TCS also contributes towards scholarships through the 0oundation for %cademic +,cellence and

%ccess (0%+%) to help SCDST students studying in professional courses. TCS is engaging with

the 0%+% to ensure suitable employment of T%T% Scholars post their education# on behalf of the

Tata Group.

Emp$oa0#$#) p&o+&amme":

$n %pril 4594# 7roect /2daan/ an employability training programme for youth of Mammu and

3ashmir# in association with the National Sill !evelopment Corporation# Govt. of $ndia to help

3ashmiri youth oin the mainstream of corporate $ndia was launched at 3olata. TCS endeavors

to cataly&e the 3ashmiri youth connect with $ndian industry# coupled with polishing their sills

Thus maing them more employable. TCS has partnered with NS!C in this promising initiative

and is the first organi&ation in $ndia to sign the ":2 with NS!C.

TCS designed and developed a 9@ wee training programme. TCS has completed deployment of

4 batches of training successfully and offered employment to 99Icandidates.

GoIT:

$n North %merica# TCS' Go$Tprogramme provides inschool $T career and awareness worshops#

and handson technology education to high school students and is conducted free of cost. The

programme is aimed at getting students interested in $T careers. $n 0E 9F Go$T targeted ?

schools for enhanced curriculum collaboration. 0or $nternal Circulation only 99

Since its inception in 455I.Go$T has evolved from a twoschool camp to a yearlong program

and has impacted over 4.555 students across @5 school districts. 4 Schools have e,panded their

technology education courses - @ schools have been assisted with curriculum reviews.

$n 0E 9F# TCS launched 'Go for $T in %ustralia# which is a 9 wee structured and intensive wor

placement initiative designed to encourage girls to consider $T as a career. This year# the

programme is being incorporated in ongoing school programmes e.g. sessions in schools on

woring in the $T Sector# guest speaers on special topics.

;e0 Hea$)h Cen)&e:



This is a healthcare portal offering online medical consultation and comprehensive healthcare

information. $t offers a virtual home for patients and doctors to restore their information# and

record databases for cross referencing. ;=C is free for browsing through general content lie

health calculators# drug information# disease details# etc. $t also provides online consultation#

accessing online health and medical record storage facility etc.# for which one needs to register.

Pa&)ne&"h#p" oe& cha&#)

$t has never been the obective of Tatas to indulge in mere charity. *ather# they have helped and

guided villagers on the basis of partnerships. The village fol contribute land and labor towards

their various proects# while Tata e,perts guide them in water harvesting# and improving

cultivation# animal husbandry# etc.

Three years ago a casual trip was made for a prayer ceremony to one of the villages on the bans

of the 3harai# a river near Mamshedpur. ittle did the rural community reali&e then that this

would be a turning point for economic prosperity in their community. ;hile the village had a

beautiful view of the factories at a distance# the immediate reality their farming systems was at

least 955 years old. The nearby industry had not impacted their lives.

+ventually# the villagers were made to see all that they could gain from a prosperous society.

They were coa,ed into allowing water pumps and other modern agricultural euipment to aid

Them in their wor. %s a result of this initiative# the villagers now enoy two crops a year# asopposed to a single harvest in the past. % single profitable industry helped e,pand the scope of its

prosperity by sharing nowledge and benefits.

Corporate governance is in eeping with the Tata usiness +,cellence "odel# which was

instituted seven years ago. This model focuses on the efforts of Tata companies in helping and

maing a positive difference in the communities in which they e,ist.

Nowadays# many nongovernmental organi&ations are actively involved in ensuring that

companies behave in a socially acceptable manner. 7eople for the +thical Treatment of %nimals#

for instance# has taen up cudgels against the Tata group's leather unit# for alleged cruel treatment

of cattle in $ndia without reali&ing that the company imports leather from China and other

countries'

The message# however# is clear. $n future# communities will pronounce udgment on the

initiatives and activities of corporate houses. 2nlie some other countries# this may tae a long



time to happen in $ndia. 2ltimately (as has already happened abroad)# communities will sanction

industries to e,ist within their boundaries# and shareholders will invest only in companies that

are conscious of their responsibilities towards the environment and social development.



Thus# in today's business world# showing accountability only from an economic perspective is

not sufficient. $t is reuired that the company should show its accountability from economic#

environmental and social perspectives too# as it helps its various staeholders to learn#

understand and appreciate the different programmes and initiatives that the company is engaging

in from time to time.

+ven though economic sustain ability and growth is the prime concern of every organi&ation# if

we were all to go by the ma,im /usiness of usiness is usiness/# increasing awareness

amongst people maes it imperative that organi&ations show that they care for the surroundings

in which they operate# besides ust focusing on economic profits and maintaining a good bottom

line. Thus# T is incorporated as an accounting framewor that involves three dimensions of

performance social# environmental and financial. TCS is a part of the Tata Group of

Companies# and the flagship company has incorporated the T framewor within its woring at

that point in time when very few $ndian companies were aware of this concept. $t has had to

undergo an overhaul of its Code of Conduct to ensure that every person in the organi&ation

through hisDher wor performance# behavior and demeanor abides and imbibes values that help it

to achieve the goals established by the Triple ottom ine.

TCS in its +ndeavour to provide sustainability and to depict growth to its staeholders and

shareholders has adopted the flagship company's policies in its functioning. $ts initiatives in all

the dimensions economic# social and environmental stand proof to the fact that by adopting the

Triple ottom ine framewor# the organi&ation has not only registered profits for itself.but has

also made a significant contribution to the environment and to the people# as a whole.



CHAPTER 7 APPENDI<



7.1 BIB'IOGRAPH8

7.1 BIB'IOGRAPH8:

• www.tcs.comCorporate social responsibility report by TCS.

• TCS8 Corporate Social *esponsibility 459599

• TCS8 Corporate Social *esponsibility 459994

• TCS8 Corporate Social *esponsibility 45949F

csr at tcs

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