Critical Issues1) In implementation of CSR activities, NGOs role grow over a period of time and it increase the bargaining

power of NGOs. So it becomes difficult for Tata Power to control over them. 2) Tata Power is facing difficulty in implementing the CSR activities in Hydro Projects. 3) As Tata Power is going for expansion, company is in dilemma whether to have a separate dedicated staff for CSR activities or should these activities remain a part of operations? 4) If separate department for CSR, what will be the structure and how would it cost to the company & how should company access the cost? Solutions 1) Tata Power should go with the coexistence of CSR department along with a PBO/NGO. In model, have a proper balance between the business and social cause. If Tata Power establishes their own CSR department, they will be more dedicated employees for the CSR activities. They will be able to bring sense of ownership among local communities and gap will be less between the skill sets (employability) and the level of aspirations. Try to have collaborations with those NGOs who work in the same area as Tata Power is willing to work. Negotiations will be easy and proper framework will be there in terms of operations and deliverables. In MOU with different NGOs, clearly define their roles and boundary. Beyond that boundary, NGOs will be not allowed to interfere in the CSR activities. Define ecological balance and environmental concern as an integral part of the organization. By identifying environmental threats in the beginning by implementing Environmental Impact Assessment report, Tata Power can work towards mitigating these threats. It will produce synergy between the ecology and the business. Tata power should implement an impact assessment mechanism on the basis of qualitative as well as qualitative reporting. Through, qualitative reporting, they can measure the changes in terms of attitude and behavior. CSR activities should not be uniformed in nature. It should vary according to the community needs because each community is different from each other.

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Learning 1) For corporate entity, business and growth are the primary areas of concern while CSR activities emphasizes on the community development. In our opinion, an effective CSR strategy must consider alignment with the organizations business strategy, commercial added value, and sustainability of impact. 2) In the current scenario, business lacks the expertise to manage social problems. If business is creating any problems, they should have an approach to mitigate the negative effects. 3) Definition of the stakeholder should change. It should include the community as well. Without development of the local community, no business can run for a very longer time. 4) Each organization should work on the principle of Profit, Planet and People.