highlights of the csr contribution of oicci member …

HIGHLIGHTS OF THE CSR CONTRIBUTION OF OICCI MEMBER COMPANIES Corporate Social Responsibility (CSR) is a relatively recent initiative in social development and corporate business culture. The increasing role of the corporations in the environment, lives and livelihood of people makes it necessary for companies to practice and promote responsible and ethical means of doing business. CSR is beneficial for the company as well as for sustainable development of the society, through community initiatives, skills development, employment generation, infrastructure development, transfer of knowledge and imparting a sense of ownership. In a country like Pakistan, where the primary expectation from companies is a salary adequate to cover living expenses and healthcare, members of OICCI, a select group of multinationals in the country, are among the pioneers in bringing the philosophy of CSR to Pakistan. These companies continue to make invaluable contributions which touch thousands of lives and communities throughout the country and have in fact used their global outreach not only to generate funds, but also to initiate projects that serve as positive examples for others to follow. In conclusion to the OICCI CSR Seminar recently held in November 2012, few of the active CSR contributing members shared some highlights of their social activities and projects undertook in the year 2012. OICCI intends to share the glimpses of the member companies’ CSR contributions through OICCI portal for the reference and information of all members. This endeavor will hopefully identify areas where more inputs are warranted. Following member companies provided their information on how CSR is practiced in their organization.

1. DP World Karachi 2. Engro Corporation 3. Engro Vopak Terminal Limited 4. Faysal Bank Limited 5. HinoPak 6. IBM Pakistan 7. Indus Motor Company Limited 8. KAPCO 9. KESC (Karachi Electric Supply Corporation) 10. Mitsubishi Corporation 11. Nestle Pakistan 12. OBS 13. Otsuka Pakistan Limited 14. Phillips Electrical Industries of Pakistan Limited 15. Phillip Morris (Pakistan) Limited 16. Procter and Gamble 17. Sanofi Aventis 18. Schneider Electric 19. Shell Pakistan 20. Tetra Pak Pakistan 21. Unilever Pakistan Limited

We would like to place on record our appreciation and thanks to the participating companies.

DP WORLD KARACHI ‐ CSR INITIATIVE ADOPT A SCHOOL PROGRAM, A HOPE FOR THE UNDERPRIVILEGED DP World Karachi terminal is located in Muhammad Bin Qasim Town which is 50km from Karachi City Center and 15 km from National Highway. We are operating in Port Qasim for past 15 years now. Since DP World has grown over the years, we owe a lot to the local community. We believe in working with all the stakeholders to improve their quality of life, in a way that is both good for business and development. We also believe in earning the trust of our stakeholders by acting responsibly within the communities where we work. To achieve this DP World Karachi has taken the initiative against CSR by adopting a Government School in the Port Qasim Vicinity. Government Primary School Syed Meher Ali Shah is located in Gulshan‐e‐Hadeed which is in close proximity of our terminal at Port Qasim. Unfortunately, the school has very limited basic necessities like, electricity, drinking water, clean washrooms, classes etc. Below are the activities performed by DP World:

1. Restoration of electricity in the school. This has greatly benefited the students as they are now able to comfortably study under fans & lights especially in the summers.

2. Leveling of playground which was previously very uneven and have lots of bushes was not suitable for students to have the morning assembly or for physical games and activities, has now been leveled and cleared up.

3. Paint of entire school blocks. 4. Replacement of tube lights with energy savers. Installation of cables, repair of water motors etc. 5. The lavatory facilities are now in use after being completely renovated and repaired. 6. Drinking water coolers were repaired so that the students have access to cold drinking water. 7. Since the school did not have funds to hire the help of domestic workers, QICT has provided 2

contracted janitorial staff. 8. Furniture provided to all classes depending upon the requirement earlier assessed.

After all the renovation and construction work is completed QICT will continue to support the adopted school on a long‐term basis and continue to put our efforts to improve communities around our terminal where we operate. A brief summary is given below: School Students Teachers Govt. School 1000 30 Project completed in 3 months’ time.

11/27/2012

1

An Introduction to Engro Foundation

7th November 2012

Overview

• Introduction

• Areas of Focus

• Opportunities For Further Collaboration

• Appendix

Contents

11/27/2012

2

Engro Corporation has 3500 employees and revenue of $1.3 billion in 2011 across the petro‐chemical & dairy food industry…

Subsidiary Revenue Profit After Tax

Fertilizer 352.2 51.6

Food 335.5 10.0

Polymer 184 (7.9)

EXIMP 293.2 9.6

Powergen 93.6 19.3

Total 1298.4 119.8

Financial Performance – 2011 ($ USDM)

1957

1965

1978

1991

1997

1999

2005

2010

2010

2010

2011

2012

Pak Stanvac, a 50:50 Esso‐Mobil JV discovers Mari Gas Field in Upper Sindh

Esso Pakistan Fertilizer Co. Ltd is incorporated

Esso becomes Exxon

Exxon divests & employees lead MBO to form Engro Chemical Pakistan

Engro sets up chemical storage facility and forms Engro Vopak Terminal

Engro the first PVC manufacturing facility and forms Engro Asahi Polymer

Engro diversifies into Dairy and forms Engro Foods

Engro Foundation becomes the vehicle for all social spend

Engro Chemical becomes a holding company and renamed Engro Corporation

Engro Powergen builds 226MW power plant out of permeate gas

Engro Fertilizers builds the largest urea train plant in the world

Engro Corporation passes Rs. 100 Billion mark in revenue

Our History

Other 39.9 37.2

Mission : EF is committed to a make positive impact on the lives of communities around its manufacturing plants and supply chain primarily in 5 thematic areas:1) Education 2) Livelihood & Skill Development3) Health Services4) Community Services/Infrastructure5) Disaster Management

Engro Foundation (EF) is Engro’s platform for all social investments annually spending Engro Corp’s 1% Profit After Tax

A Collaborative Approach: Our approach is based on a principle of inclusiveness where we work with funding partners and NGOs who bring resources and expertise into our social projects (eg. social mobilization, skills development etc). When we undertake projects we ensure they are aligned to our business expertise..

11/27/2012

3

Education•Primary Education•Secondary Education•Technical Education

Health•Preventive & Curative Health

Basic Services•Community & Physical Infrastructure

Livelihoods• Dairy Livestock Program• Vocational (3‐12 month)• Technical Diploma (3 Year)

Disaster Management•Relief, Recovery and Rehab

Our Thematic Areas : CSR Spend 117Mn (2011)

Engro Foundation– Footprint

Across Pakistan…

11/27/2012

4

Key Stats: In Geographic Footprint (2011) Key StatsinEngroManufacturingTowns

Sukkur Ghotki Sahiwal

% population 15‐30 years old 36% 34% 36%

Men Unemployed % 15% 35% 14%

At‐home Women % 98% 94% 90%

Teachers/schools 4.0 2.6 11

Key LivelihoodStats Sukkur Ghotki Sahiwal

Private/Govt. Jobs 17% 23% 16%

Skilled Labour 64% 3% 11%

Unskilled Daily Wage Labour 8% 57% 44%

Agri‐Livestock ‐ 10% 21%

Business/SMEs 11% 7% 8%

Based on Fall 2011 Survey

Our Relationship with USAID..

Before… Currently…Khushaal livestock Project (2010 Floods)

(2010/11)Women Empowerment through Livestock

Development (WELD) (2011‐Present)

• 115,000 animals vaccinated against FMD• 32,000 milking animals provided feed

supplement• 25 Councils in Larkana & Dadu districts• 5800 acres covered under for fodder

cultivation• Approx 30% increase in milk yield (which

is from 3.3 liters to 4.7)

• Train 600 female entrepreneurs in livestock management & extension services (111 trained which has resulted in 4‐5k/month salary increase per entrepreneur)

• Train 19,000 female livestock owners for better management practices out of which 6200 resulted in increase in milk between 0.5 to 0.75/day due to adopting best practices

11/27/2012

5

Programs Partners Number

Katcha Schools DIL, PPAF 11Adopted Schools CARE, DIL, PPAF 17Technical Training College

PCESSDC 1

Sahara School 1Art & Craft Center 1

Education : Total Students Enrolled : 3000 plus

Features Details

Location Dharki, District Ghotki, Sindh Pakistan

Partners Pakistan Industrial Development Corporation, Engro Corp., Mari Gas Corp. Ltd (MGCL), Descon Engineering (DESCON), Saipem of Italy (SAIPEM) partnered to form PCESSDC (Pakistan Chemical & Energy Sector Skilled Development Company)

Courses Offered 3 year diploma : Chemical & Mechanical Engineering. Instrumentation 2012, Electrical 2013 & Computer Science 2014. 60 students enrolled. Curriculum subjects aligned with market and industry needs of the area

Current Enrollment 60 students (expected to cross 300 by 2015/6)

Facilities Expected: Hostel, internet facility, laboratory & library (currently only basic laboratory & equipment)

Curriculum Accredited by the Sindh Technical Board & Guild UK by end of the academic year

A Vocational Training Center was set up in 2011 in partnership

11/27/2012

6

There are some opportunities we can work on..

Expanding Dairy Program• Livestock worker training• Improve livelihoods through

training, expertise income generation

Explore Agri Based ServicesTraining Centers for Farmers

• Farmer Training centers for enhanced crop yields

• Water Conservation Training• Improved Farmer IncomeDevelop Agri Entrepreneurs• Help develop entrepreneurs

with rice harvesters • Liaise with farmers to improve

practices• Enhance market linkages• Opportunity to scale up and

increase income generationWater/Solar Pumps • Solar pumps for contract farming

Supporting Vocational/Technical • PCESSDC (Pakistan Chemical Sector

Skills Development Training Company

• Capacity Building• Rolling Technical Centres in Sindh

with Government support

ENGRO VOPAK TERMINAL LTD. ‐ CSR CONTRIBUTIONS 2012 Engro Vopak has always been actively involved in community Investment and activities related to corporate philanthropy and aims to spend up to 1% of its earnings before tax on CSR activities. A number of initiatives have been taken this year under the Corporate Social Responsibility program in different sectors of society.

• Provided support to Behbud Association for their Education and Vocational activities and one year supply of Olpers milk for the underprivileged children studying in their school

• Provided funds to Dream Foundation trust along with Volkart Foundation of Switzerland for the construction of a school building in Muwach Goth near Hub

• Sponsored Pakistan Cultural week organized by Pakistan High Commission in Turkey, to promote the culture of Pakistan

• Sponsored solar lighting project by ECHO in two villages of Gharo where 86 solar lights were installed in huts and mosques to provide much needed light and source of power. This has enabled the villagers to benefit from the light after dark and continue their work and it also enables the children to study at night

• Sponsored All Pakistan Deaf T‐20 cricket tournament organized by Karachi Cricket Association of The Deaf at national level, in which 8 teams of various associations from all over Pakistan had participated

• Sponsored Cancer awareness campaign launched by Pink Ribbon to create awareness in youngsters

• Fundraisers by TCF, AKUH, Rotary Club and Oxbridge Society were also supported

FAYSAL BANK LIMITED – CORPORATE SOCIAL RESPONSIBILITY Faysal Bank’s CSR activities mainly extend into three sectors: Education, Poverty Alleviation and Healthcare. During the current year so far an amount of approximately Rs. 12.2 million has been contributed to various charitable causes in these sectors from the Waqf Faisal Trust. In the field of Education, the focus is not only on supporting schools and students in remote and under‐privileged areas, but also on helping fund advanced studies of deserving students in the top professional institutions. Additionally, there is also a concerted effort to financially support vocational training of young trainees in marketable trades, enabling them to earn a respectable living in a short period of time. This, in our view, is an effective approach to address the issue of joblessness and help in Poverty Alleviation. In the field of Healthcare, Faysal Bank continues to be a supporter of charities providing free or subsidised medical facilities to the indigent across the country. Faysal Bank also weaves CSR into its Marketing initiatives. A prime example is the popular Faysal Bank Domestic T‐20 tournaments where we have been contributing declared amounts of money for every 4 or 6 hit during the matches towards flood relief. Engaging children from Special Olympics Pakistan in the opening ceremony of the tournament held in Karachi, was another instance of blending CSR with our sports promotion activities. In addition to the above, Faysal Bank is also providing Development Fund grants of Rs. 50 million and Rs. 25 million over five‐year and three‐year periods respectively, to the Institute of Business Administration, Karachi.

HINOPAK’S JOURNEY OF RESPONSIBLE BUSINESS PRACTICES THROUGH CSR Hinopak Motors Limited was Pakistan’s first automotive company to embrace the United Nations Global Compact’s ten guiding principles for responsible global businesses. Hinopak’s head office and its two commercial vehicle assembly and manufacturing plants are located in Pakistan’s industrial hub, Karachi, and the company has area offices in major cities throughout Pakistan. The company assembles, manufactures and markets world renowned Hino trucks and buses in Pakistan. Drawing from the Company’s philosophy for sustainable business, Hinopak formalized its Corporate Social Responsibility activities through making CSR a vital part of the Code of Conduct, the corporate values (Hino Spirit) and the business policies and practices. Every year based on our business outlook, a budget is allocated to undertake CSR projects. The Company has taken initiatives in consideration of our environment, the community at large, our employees and other stakeholders. The following text gives a brief outline of the CSR initiatives which we undertook in the years 2011 and 2012 (based on our financial year which is from April to March): Total expenditure on CSR activities in FY11‐12: Rs. 1,023,000 Total expenditure on CSR activities for YTD 2012‐13: Rs. 3,454,605 Initiatives for Environment FY 2011‐12 list of activities

• Beach cleaning and mangrove plantation activity at Sandspit Beach • Tree plantation in and around the company premises • Tree plantation activity at the SITE Model School and environmental essay competition (which

has been adopted by Hinopak under its adopt‐a‐school initiative) • Monitoring of our key environmental parameters such as prevention of global warming

(reducing CO2), reducing reliance on natural resources (recycling), controlling material with environmental impact and green procurement.

• Energy conservation awareness sessions conducted for employees • Display of environmental banners and posters during the June environment month

YTD 2012‐13 list of activities • Tree plantation by 165 Hinopak employees’ children’s during the industrial visit held in July • Tree plantation by employees within Hinopak’s premises • Environmental poster‐making activity done by SITE Model School students during the

environment month (June) Initiatives for Society (including customers and vendors) FY 2011‐12 list of activities

• Customers’ education through Mobile Field Training Unit • Training of vendors and suppliers • Flood relief activities in Pakistan • Donation to the Japan earthquake and tsunami victims (donation amount = Rs. 1 million) • Free tune‐up camps throughout Pakistan • 3‐year apprenticeship program undertaken for the youth • 10 merit‐cum‐need based scholarships given to NED students • Industrial visits to our manufacturing facilities (total number of visitors = 918) • Summer / winter internship programs

YTD 2012‐13 list of activities • Tree plantation at the vendors’ and suppliers’ premises • Donation of 4x4 Cargo Van Truck to the Edhi Foundation • Renovation of Citizens’ Education Development Foundation (CEDF) Mobile School Bus at 50%

cost sharing basis • Accommodation of outside students for the Motor Vehicle Technician (MVT) course on need‐

cum‐merit basis • 165 Hinopak employees’ children (aged 6‐14) visited Hinopak in July under the mini‐summer

camp initiative • Summer internship program

Initiatives for Employees FY 2011‐12 list of activities

• Ongoing employee training and development activities which includes in‐house, shop floor, institutional, outbound and foreign trainings

• Health awareness programs and medical tests for employees • Health, Safety and environment trainings • Academic achievement recognition cash awards given to workers’ children (87 nos.) • Tea with top management • Company‐wide sports tournaments

YTD 2012‐13 list of activities • Scholarships given to 72 Hinopak Worker's Children in October (Amount include payment for

books and scholarship) • Ongoing employee training and development activities

For details on how Hinopak has progressed in the journey to make CSR a living reality, please visit the following weblinks: http://www.unglobalcompact.org/participant/4871‐Hinopak‐Motors‐Limited http://www.hinopak.com/annual%20report%202012/AnnualAccounts2011‐12.pdf

11/27/2012

1

Putting CSR into PracticeJourney of Hinopak Motors

Limited

Hinopak >> Corporate Philanthropy

Our CSR PhilosophyGlobal Compact & CSR Committee

Environment & Quality Management Committee

Health & Safety Committee

Human Resource Development Committee

Industrial Relations Committee

Whistle Blowing Committee

CSR Management

Compliance

Social Aspect

Health, Safety & Environment

Governance Structure

Code of Conduct

Whistle Blowing

Environmental Management

Environmental Performance at our Plants

Environmental Initiatives

Customers

Employees

Community

Vendors

Other Business Partners

Environment Management Regulations

Safety & Health Policy

Hino Spirit

Environment Policy

Global Compact


Quality Policy

11/27/2012

2

Brief ProfileCore Business: assembly and manufacturing of light and heavy trucks and buses

Other Business: Hino spare parts, contract assembly for IMC

Current Ownership: 89% (Hino & Toyota), 11% public

Location: Head Office and two plants in Karachi, four area offices in various cities

Manpower strength: 1,023 employees

Certifications: QMS / EMS / OHSAS


Karachi

QuettaLahore

Peshawar Islamabad

Hinopak’s Journey of Responsible Business Practices through CSR

First automotive company to embrace the United Nations Global Compact’s ten guiding principles for responsible global businesses.

CSR is a vital component of our:Code of Conduct Hino Spirit (Corporate Values)Business Policies & Practices

Hinopak has taken CSR initiatives in consideration of our:

EnvironmentThe community at largeOur employees Other stakeholders and business partners


11/27/2012

3

Hinopak’s Monetary Spending on CSR Initiatives


0 28 65

4858

6865

78 91

7164

1024 838 1023

3626

0

1000

2000

3000

4000

5000

6000

7000

8000

2001

2002

2003

2004

2005

2006

2007

2009

2010

2011

2012

2012‐13 YTDRupees ‘000

Beach cleaning and mangrove plantation activity at Sandspit Beach

Tree plantation activities

Monitoring of our key environmental parameters (reducing CO2 emission, recycling, and green procurement etc.

Energy conservation awareness sessions

Display of environmental banners and posters

Environmental Preservation


Initiatives for Environment

11/27/2012

4

Donation of 4x4 Cargo Van Truck to the EdhiFoundation

Customers’ education through Mobile Field Training Unit

Training of vendors and suppliers

10 merit‐cum‐need based scholarships given to NED students

Industrial visits and Internship Programs

Donation to the Japan earthquake and tsunami victims

Societal Uplift


Initiatives for Society

Scholarships given to 72 Hinopak Worker's Children

Ongoing employee training and development activities

Health awareness programs and medical tests for employees

Company‐wide sports tournaments

Financial Assistance for Continuing Education

Employee Welfare


Initiatives for Employees

IBM PAKISTAN ‐ CSR AT A GLANCE AT 2012 IBM has presented 52 Young Explorer computers to four non‐profit organizations including The Citizens Foundation (TCF), The FESF’s Deaf Reach School, Kaghan Memorial Trust (KMT), and PAF’s Special School of Education. This donation was carried out under IBM’s ‘KidSmart Early Learning Program’ which is the company’s initiative to make Information and Communication Technologies (ICT) accessible to Pakistani children. IBM provides teacher training to assist teachers in adapting the program. IBM Pakistan launched an IBM global educational program, the Reading Companion locally in 2011. This program helps children and adults gain English literacy skills by using IBM’s voice recognition technology over the web. The Program is currently deployed at two schools run by Developments in Literacy (DIL) in Khairpur, Sindh and is being used by 40 students with the help of 10 trained teachers and IT support staff. A partner for 2012 is being finalized. IBM Pakistan sponsored a Summer Apprenticeship Program arranged by Teach For Pakistan (TFP) where 25 female students from a government run school were given an opportunity to acquire technological skills and apply them in a project, in order to come up with a solution for some of the most pressing problems faced by the people in their community. IBM volunteers presented activity kits related to maths, science, engineering at the ICT summer camp. Similar activities are planned in Lahore and Karachi for the coming months encouraging IBMers to contribute to the local community.

11/27/2012

1

Indus Motor Company Ltd.

DAIHATSU

IMC CSR Philosophy

Corporate Social Responsibility is part of IMC’s DNA and the Companybrands its CSR initiatives under the slogan, ‘Concern BeyondCars’

The Company aims to demonstrate responsible corporate conductthroughout the entire spectrum of its activities and operations and allocates1% profit before tax to for its annual CSR budget every corresponding year.

IMC invests heavily in CSR research and other development projects in order to identify the root cause of underlying social problem and facilitate/ enable relevant authorities to take corrective measures.

IMC believes that all Social Development Projects should be based on a sound research ..as

without data it is impossible to do a Root Cause Analysis!

11/27/2012

2

Education40%

Community Development/ Philanthropy

34%

Road Safety13%

Health10%

Environment3% Social

Contributions amounting to around

PKR 200 million

during last 5 years in 5 Segments

IMC CSR Major Contribution

FY08 - FY12

LUMS Rs 26 MIBA Rs 14 MGAEM Rs 9 MHET Rs 7 MNamal Rs 3 MTCF Rs 4 MThe Garage SchoolInstitute of Behavior Psychology

Education Rs 77 million

11/27/2012

3

Community Uplift and Philanthropy 65 million

Natural Calamity Flood 2010, 2011 & 2012

11/27/2012

4

Toyota Village Education Program

More than2.2 million PKRspent on community uplift projects in

last 3 years

Sponsoring primary education of

250 studentsWith 50 students intake every year

Food & Ration Distribution

IMC fed around

10,000 poor families

Eliminating food insecurityand improving standards of living in neighboring slums

11/27/2012

5

Investment of PKR 16.5 million in training and hardware assistance

Technical Education Program

A total 1,080 students successfully graduated and working in Pakistan and abroad

252 graduates employed by Toyota alone

50 annual scholarships awarded to students on need‐cum‐merit basis

Preventive vaccinations of more than 1,000 people for seasonal influenza & swine flu.

More than 20,000 Outdoor patients treated annually

Free Medical Campaigns

11/27/2012

6

Free Eye Camps

Road Traffic Injury Research Project

How was RTIRP conceived?Envisioned by Indus Motor Company in 2006, keeping in view the booming auto market and the resultant increase in road traffic accident

A Road Traffic Injury Research and Prevention Centre was established in collaboration with 5 major hospitals, federal government and a leading research university.

IMC contributed

PKR 16.62

million for Road

Traffic Injury

Research &

Prevention Centre

11/27/2012

7

The Road Traffic Injury Research Project, is focused on quantifying and assessing the severity of road traffic accidents by collecting data on different road user groups and all road‐related accidents in Karachi

A team of qualified research assistants was assigned this project and the data was collected (on 24‐hour basis) from the major metropolitan hospitals

The data was then classified according to the severity of accident, age group, gender, type of vehicle, location of accident, etc. and their patterns were assessed to ascertain the exact cause of an accident

Road Traffic Injury Research Project

Results & OutcomesMedical ambulances were accordingly mobilized near the block spots for effective and speedy response in case of an accident

Road engineering faults were rectified based on the exact causes of road accidents identified from the research and the government was able to take various road safety initiatives

Some of these initiatives include; locating the need for pedestrian crossings and bridges on vulnerable road, installing cat‐eyes and appropriate illumination, mobilizing ambulances near the black spots, and rectifying other susceptible factors leading to an accidents to minimize any possible road accident

During the research, more than 200,000 cases were recorded

21 black spots were identifiedas most vulnerable locations for accident

11/27/2012

8

Case – I:Pre ‐ treatment

2926

17 1519

13 13

510

6

0

10

20

30

40

2007 2008 2009 2010 2011

Total Accidents Fatal

Post‐ treatment

Case – II:Pre ‐ treatment

Post‐ treatment

101

52

151

0

50

100

150

2008 2009

Total Accidents Fatal

11/27/2012

9

The project was applauded by various

government authorities and also

acknowledged at the highest level and

has been taken over by the World Health

Organization as part of UN ‘Decade of

Action for Road Safety’.RTIRP Team at the Launch Ceremony of United Nation’s “ A Decade of Action on Road Safety”

RTIRP Recognized at United Nations

News Initiative

Quantifying economic cost of traffic congestion on the selected roads of city to appraise effectiveness of various congestion reduction strategies and identify its socio‐economic impact. The project is divide into 3 extensive phases.

Research on Traffic Congestion

• Ascertain the level of congestion through key traffic parameters on selected road of Karachi

• Quantify the cost of congestion as a general estimate incorporating all travelers on a road.

• Determine the extra cost of congestion on business/industries due to traffic congestion

Objective

Deliverables• Traffic Parameters Behavior

• Identification of Congestion Points and estimation of delays

• Quantification of Congestion Cost

11/27/2012

10

IMC Road Safety Initiatives

Road Safety School ProgramRoad safety awareness among school children by creatively involving children in a fun‐learning way

Road Safety Training of Traffic WardensFacilitating training of traffic wardens for the

enforcement of road safety traffic rules and regulations

To create awareness amongst the students, the Toyota School Environment Program 2011-12 was organized by WWF-Pakistan, sponsored by IMC

120 Schools participated and 10~15 thousand students and their parents attended the Nature Carnival 2012 on 22-Jan’12

Toyota School Environment Program Rs 6M

11/27/2012

11

Masoomin Hospital Rs 5 M

SK Cancer Hospital Rs 2.5 M

Indus Hospital Rs 1.5 M

Kidney Centre Rs 1.4 M

Hussaini Blood Rs 1.3 M

Marie Adelaide Leprosy Rs 1 M

Health Rs 18 million

KAPCO CSR PROJECTS ‐ YEAR 2012 Since its privatisation in June 1996, Kot Addu Power Company Limited (KAPCO) an Independent Power Producer (IPP that owns and operates Pakistan’s largest thermal power plant in the private sector at Kot Addu in District Muzaffargarh of the Punjab province) has initiated a comprehensive social action programme with special emphasis on basic healthcare and provision of facilities for education to improve quality of life of the local communities around its power complex at Kot Addu and in other parts of Pakistan. Every year KAPCO takes community development initiatives on its own and helps many institutes/organizations in the health, educational and other social sector to enhance their infrastructure. In past 16 years from constructing a fully equipped Intensive Care Unit at the Tehsil Hospital Kot Addu to constructing, developing and donating a fully equipped Fire Station to the local Government of Kot Addu and from constructing infrastructure for many Government School’s in Kot Addu to enhancing infrastructure for the use of general public such as local courts, railway station, community hall etc. KAPCO has approximately spent Rs. 61 million on the uplift of the neighboring community. This does not include the support that the Company has extended for the victims of Sonami, for the victims of Earthquake in Pakistan and for the recent Flood relief etc. For the Year 2012 following projects have been completed:

CSR Projects in Kot Addu Year 2012

Sr # Project Details

Amount Rs.

1 Infrastructure development of Public Educational Institutes 2,951,561

2 Other infrastructure uplift projects 2,193,994

3 Medical Camp 2,400,000

Total Amount 7,545,555

KARACHI ELECTRIC SUPPLY CORPORATION ‐ CSR CONTRIBUTIONS KESC has played a leading role in implementing a multi‐stakeholder engagement strategy in a partner company context. This has been achieved by integrating the business strategy with social considerations to deliver long‐term value for the business, its customers and the community. By democratizing community initiatives and engendering pride in the workplace, KESC has achieved truly powerful results. The urgency in establishing a successful stakeholder engagement strategy within KESC was driven by a historic legacy of neglect in stakeholder management and community engagement in the business, compounded by an increasing shortfall in the company’s ability to deliver uninterrupted power to a growing population in Karachi. Our vision is to build bridges between the community and KESC based on strong sustainable partnerships and to create positive platforms to support KESC’s operational viewpoint and interests. Under the umbrella of KESC’s SEEDS (Stakeholder Engagement & Enrichment Drives for Sustainability), our focus is divided into 4 distinct areas: Environmental, Social & Governance Initiatives, Social Investment Programs, Stakeholder Engagement & Thought Leadership. This enables us to have a holistic approach in our efforts that fully recognizes the impact of our performance in sustainable development across our stakeholders’ universe. As part of our ESG Initiatives, KESC has placed importance on adopting Best Practices in compliance with various international standards in the process being certified by different organizations. We have established a specialized HSEQ department ensuring we control our carbon footprint and provide the best working environment possible. We have also worked extensively on a Sustainability Report in accordance with the Global Reporting Initiative G3.I standards of self reporting. Our employees work with our partners on a number of Social Investment Programs. KESC’s Partner Organisations are primarily Non‐Profit NGOs belonging to the health‐care & education sectors. In collaboration with these organisations, KESC’s focus has been to initiate community based initiatives that are aligned with the requirements of the people we are trying to reach. We have held in‐depth community drives and emergency response programs at different locations. Under our Empowerment Program we work with a number of NGOs subsidizing their electricity costs and system upgrades. Another one of KESC’s focus has been the grass‐root development of sports in the City, and the Country in general. With our emphasis on football, KESC has been at the forefront of the sport in Pakistan organising camps, workshops and various local and national tournaments. We truly believe that healthy and productive activities such as these are vital for the youth and we are trying to make sure they are given the importance they deserve. To engage our stakeholders, we use a number of communication methods, both internal and external such as newsletters, web‐pages and media management. KESC also undertook one of the largest corporate culture change drives called the AZM initiative to develop stronger links with our employees. KESC’s goal with the Thought Leadership Initiative has been to bring progressive minds together and promote enlightened thoughts aimed at sustainable development. A number of interactive session have been held at education institutions. We also launched the Thought Leadership forum in September 2012 with Dr. Ishrat Husain as the key‐note speaker. The next event is in the planning stages.

In the last few years our efforts have been commended and we have been the recipients of a plethora of awards and accolades. However, we are more concerned with the impact we have had. Not ones to rest on our laurels, we strive to achieve so much more and hope that our efforts serve as a catalyst for change.

11/27/2012

1

Holistic Sustainability Framework

Seeds is a holistic approach that fully recognizes the impact of our performance in sustainable development across our stakeholders’ universe

KESC’s SEEDS

Stakeholder Engagement

Social Investment Programs

Thought Leadership

ESG Initiatives

11/27/2012

2

ESG Initiatives :Integrated Sustainability Report June 2009‐ June 2012 ‐ a first of its kind for the organisation and the power sector in Pakistan

• Analyzes social, economic, governance, and environmental performance against established standards, utilizing the Global Reporting Initiative (GRI), G3.1

Promoting and Implementing Best Practices ‐ striving towards a model of transparency and ethical standards by implementing best global practices in good governance, environmental impact and social investments through our ‘Holistic Compliance and Governance Framework’

Social Investment Programs (SIP):Empowerment Program ‐ to provide relief to social welfare organizations in health and education sectors. Agreements signed with 5 institutions so far

• 100 % free‐of‐cost electricity to facilities under TCF, LRBT, MALC, SIUT & Indus Hospital, reaching approx. 2.1 million people

Uninterrupted Power Supply to Vital Organs ‐ 24‐hour load‐shed exemption and system up gradation of 16 major hospitals in the city

Social Investment Programs (SIP)Emergency Response initiatives ‐ Floods 2010‐2011

• 30,000 IDPs reached with 3,000 tents, 117 trucks of food packages, 2 water purification plants, free medical treatment to over 18,500 patients ‐ PKR 73 million raised by employees and shareholders ‐ 1000 KESC Employees involved in the operations

• Tents , food packages and mosquito nets provided to 5000 IDP’s in 2011

Grass‐Root: Football Development Program ‐ to increase national profile of sport & inspire Karachi’s urban youth

• Initiation of the following activities focused on the underprivileged youth of Karachi: • KESC Youth Camp and Football League – 2009• Football Camp, Ibrahim Hyderi – 2010• KESC Lyari League – 2011

11/27/2012

3

Thought Leadership

Thought Leadership Forum ‐ Bringing progressive minds together and promoting enlightened thoughts aimed at sustainable development by holding talks and discussions – first session on ‘The Impact of Privatization on Sustainable Development’ with Dr. Ishrat Husain as key‐note speaker in September, 2012

Knowledge Sharing – by creating strategic links with academic institutions for mutual value creation, sensitizing youth with issues faced by the Power Sector

• 80,000 students sensitized through the School Awareness Programs ‐ primary focus on Safety and Energy Conservation

Stakeholder EngagementAZM – Culture Change Drive ‐ one of the largest change management programs in the corporate history of Pakistan – approx. 11,500 employees trained in the Vision and Value Systems of the organisation.

Anti‐Theft community Driven Programs ‐ to increase awareness and incentivize shift to legalized connections in partnership with community and political leadership of problematic areas

• Based on gaining trust by aiding communities with their problems such as setting up water purification plants, awareness sessions for women and school children in particular, subsidized connections and commitment of 10% revenue to be invested back into the communities

1

Mitsubishi Corporation’s (MC) CSR activities during 2012

Mitsubishi Corporation has been active in CSR globally as well as in Pakistan from long.

Page 1

KARACHI UNIVERSITY:

1. Scholarship program started in 2001. 2. Consecutive 10th year of continuation of the program. 3. 2012 ‐ Offered scholarships to numerous students from various fields.4. Worth USD 66,000

Page 2

2

LUMS/WASEDA STUDENT EX. PROG:

1. 2006 ‐ Started Student Exchange program between Waseda University Tokyo & LUMS.

2. 2012 MoU: Period from 2012 – 2014. ‐Financial support covers all living expense in Japan & airfare.‐ Two LUMS students to be sent per annum.

3. 2012 Budget: USD 66,000‐ also includes lesson fee for students to learn basic Japanese language in LHO prior to studies in Japan.

Page 3

HASEGAWA SCHOOL (GILGIT)

- 2008- Development of Hasegawa School’s Teacher’s Resource Center.

‐ 2012 ‐ Construction of extended Hasegawa Higher Secondary School building.

‐Worth – USD 70,000

Page 4

Hasegawa Memorial School

3

MemonMedical Institute Hospital (MMHI)

2012- Rendered Financial Assistancefor the purchase of medical equipments.

‐Worth USD 66,000

Memon Medical Institute Hospital

Page 4

Others:

2012 ‐ Sponsored WWF event “Earth Hour” held on March 28, 2012.

2010 ‐Mitsubishi Corporation’ s Chair at “LUMS”, Mitsubishi donated USD 600, 000 to National Management Foundation (NMF) for establishing a chair in Life Sciences group at School of Science & Engineering at LUMS (“School”).

Lahore University of Management & Sciences

Page 5

NESTLÉ PAKISTAN’S CONTRIBUTION ‐ CREATING SHARED VALUE (CSV): For a company to be successful over time and create value for its shareholders, it must also create value for society. At Nestlé this is called “Creating Shared Value” (CSV). Given the nature of our activities and our ambition to be the world’s leading Nutrition, Health and Wellness Company, Nestlé has identified three areas where it can optimize the creation of shared value – Nutrition, Water and Rural Development. In line with this global vision and for “Enhancing the Quality of Life of People of Pakistan” Nestlé Pakistan continues to positively engage with farmers as well as rural and underprivileged communities in its area of operations. The total amount spent on CSV activities during financial year 2011 was more than PKR 62.7 Million. Our CSV activities include a global ‘Healthy Kids Programme, a ‘Drivers Safety Training Programme’, ‘Water Filtration Plants’, support for the Dairy and Rural Development Foundation (DRDF), on‐going technical and training advisory support to rural communities and flood relief programmes (with particular help to small dairy farmers and a ‘Nutrition Support Programme’. In addition to the above, Nestlé supports education via Scholarships and Merit based placements within agriculture sciences. Finally, we are at the forefront of humanitarian assistance during calamities, and undertake community involvement around ‘Health and Wellness’ via Parks and recreation.

1

Creating Shared Value

CSV is Embedded into our Business Model

An Overview

Nestlé GlobalNestlé Global

Founded in 1866 as an infant nutrition companyFounded in 1866 as an infant nutrition company

Over 325,000 employees worldwideOver 325,000 employees worldwide

Over 2000 + brandsOver 2000 + brands

1 billion + products sold per day1 billion + products sold per day

Revenues of CHF 83,642 m in 2011Revenues of CHF 83,642 m in 2011

29 research, development and technology facilities worldwide29 research, development and technology facilities worldwide

Nestlé Pakistan Ltd.Nestlé Pakistan Ltd.

Founded in 1988Founded in 1988

Revenues of Rs 64,824 m in 2011Revenues of Rs 64,824 m in 2011

Over 5000 employees countrywideOver 5000 employees countrywide

Over 28 + brandsOver 28 + brands

4 production facilities 4 production facilities

2

DEFINITION: “Creating Shared Value is a fundamental part of Nestlé's way of doing business that focuses on specific areas of the Company's core business activities – namely water, nutrition, and rural development – where value can best be created both for society and shareholders”.

Creating Shared Value at Nestlé

CSV Embedded in our Business Model

190,000 Farmers

560 Mio Lit Milk collected annually

from 146,000 sq Km

225 Mio CHF paid to farmers annually

3500 milk collection centres + 3278 Chilling

Stations / 500 Milk tanker1 Million People earn

living from Nestlé

Dawn of a Better tomorrow

Top quality products and satisfied customers, with awareness on Nutrition,

Health and wellness

Compliance

Sustainability

Community Projects

Farmer & Rural development as key initiatives for the shared value concept

3

Nutrition Water Rural Development

Creating Shared Value at Nestlé3 Focus Areas

Nutrition

• CSV through business engagements, Fortified products addressing millions of consumers

• Healthy Kids Program (30,000 Children)

• Nutrition Support Program (20,000 Underprivileged Children, Women and Challenged People) - Company products served free through poor schools, NGO’s and government institutions

• NHW communication to internal and external stakeholders, and awareness to consumers through packaging, business communication and personal interaction

4

CSV in Business

NIDO BunyaadPenetration 192 Million servings in 2012Communication• 450,000 families across semi urban areas of to be

given the message of the need for iron • thematic communication on all touch points • Front of pack communication

MILKPAK• HH penetration 1.7 million households,

500 million servings going into drinking in 2012• Communication Thematic communication across

all touch points, On pack communication

MAGGI - Instant Noodles and Flavor WorldFortification of Iron and Protein; 70 millions servings in2012

Iron Fortified

Nestlé Healthy Kids

The aim of Healthy Kids program is to educate and create awareness of the nutritional needs of the school going children from the age of 06 years to 16 years.

2012•Provided nutritional awareness to 30,000 children in 30 schools•Trained 120 teachers as master trainers

The project is run under Partnership with national education NGO, the Care Foundation for implementation

Moving Forward….....•Mass nutrition awareness for 200,000 children by 2016•Mothers’ education and cookery lessons , continue to improve our curriculum•Expanding Partnerships with NGOs and Engaging government institutions

5

Water

• Hydration message through Nestlé Pure Life (NPL) providing safe drinking bottled water option to millions of consumers across Pakistan

• Access to clean water is a key development challenge to Pakistan

• Six CSV Water filtration plants providing clean water to a population of 30,000 people around our factories on regular basis

• One plant serves a population size of 5000 peoplefor drinking purposes

• Support for research and development on water and environmental issues to external institutions and academia (i.e WWF, Harvard Water Resource Group 2030, Local NGO’s etc. )

• Continuous improvement in our processes and systems to reduce our water and environment foot prints, each year has to be better then the previous

Rural Development

The Biggest Segment of our Rural Development support in Pakistan is through our Milk Collection and Dairy Development Department as follows,

Procure milk and provided Dairy Development Advisory support to 190,000 Farmers spread over 146,000 sq Km

Have impacted small farmers for income growth by 25% and increase in girls school education and milk yield increase by 20% to 50%

Establishment of two dairy farmers training and demonstration farms (i.e Sarsabz & Sukheki). Trained over 5000 farmers, 2000 students and 3000 farmers for partner institution and external projects (UNDP-CELDEC, SDC, DRDF etc.) on dairy development.

Provide Support to Agriculture, Veterinary Universities and Business Schools for Research, Laboratories and merit cum needy scholarships in food, nutrition, agriculture and animal husbandry.

highlights of the csr contribution of oicci member …

Documents