CSR Project Report

on
VOLVO GROUP

Batch: 2012-2014
Introduction & Importance of CSR
Corporate social responsiilit! (CSR) is also often referred to as business
responsibility and an organisation's action on environmental, ethical, social and
economic issues. The terms in the area can seem confusing if you don't kno the
!argon " but don't be put off by this.
"# $ell-run usiness is transparent in its decision-ma%in& and processes
and this ma%es for &ood &o'ernance()
CSR can be described as an approach by hich a company does the folloing#
Recognises that its activities have a ider impact on the society in hich it
operates, and that developments in society in turn impact on its ability to
pursue its business sustainably.
$ctively manages the economic, social, environmental and human rights
impact of its activities both locally and across the orld, basing these on
principles hich reflect both international values and the organisations on
values (ethics), reaping benefits for both its on operations and reputation as
ell as the communities in hich it operates.
Seeks to achieve these benefits by orking closely ith other groups and
organisations % local communities, civil society groups, other businesses and
home and host governments.
*here did it come from+
&n the '()*s and +*s environmental concerns such as loss of the rainforest and
the effects of pollution led to a recognition that something had to be done to
change the ay e ere using the planet resources. $s a result, heads of state
came together at Rio, ,ra-il in '((. for hat as called the /arth Summit.
,o$ and $h! is it rele'ant +
$s CSR is all about values and accountability then it is also about the
behaviour of your people and the behaviour of your suppliers. &n this sense
virtually everything that is found ithin the 0R remit " from training,
recruitment, staff retention, policies, procedures and strategy " involves CSR.
-raditionall! 0R and CSR have been led by the need for compliance and
keeping up ith ne las on employment as ell as environmental, ethical
and social issues. &ncreasingly 0R managers are crucial to the delivery of
training to deal ith these issues in terms of organisational ob!ectives and
strategy.
Corporate &o'ernance is a oard le'el hot topic " you only have to look at
ho much publicity the 0iggs report on the role of non"e1ecutive directors
received % and it ill continue to develop, as there is increased recognition that
ho an organisation is run is key. This can cover many areas such as financial
integrity, transparency and accountability, leadership from the board and being
employer of choice.
&t is central to the implementation of policies and programmes. 0aving good
corporate governance means that these areas are embedded in the organisation
and deliver to the business and to stakeholder ob!ectives, and are not !ust nice"
to"have. The 0R manager has become central to this role in helping deliver
culturally open and transparent organisations here dialogue is celebrated not
feared.
2or a business being CSR compliant is also an e1ercise in future"proofing its
business as risks and opportunities are identified. CSR is a crosscutting topic
under hich numerous issues can be grouped including training and education,
capacity building, leadership, health and safety, orking conditions, human
rights, stakeholder engagement and corporate governance.
Compan! .'er'ie$
The 3olvo 4roup has its origin in '(.) hen the first 3olvo car rolled off the
production line at the factory in 4othenburg. 5nly .+* cars ere built that
year. The first truck, the 6Series '6, debuted in 7anuary '(.+, as an immediate
success and attracted attention outside the country. &n '(8*, 3olvo sold 98(
cars, and the e1port of trucks to /urope started soon after: the cars did not
become ell"knon outside Seden until after ;orld ;ar &&.
Timeline of 3olvo hen things happened great #" <arine engines have been part
of the 4roup almost as long as trucks. =entaverken, founded in '(*), as
ac>uired in '(8?. $s early as '(.(, hoever, the @".' outboard engine as
introduced. <anufacturing continued until '(9..
3olvos have also been knon to e1plode due to the engine being too close to the
gas tank and igniting the tank. This myth as very popular during '(A*s( -he
first us/ named B1/ $as launched in 1014/ and aircraft en&ines $ere added
to the &ro$in& ran&e of products at the e&innin& of the 1040s.
5n .+ 7anuary '((( 3olvo 4roup sold its business area 3olvo Car
Corporation to the 2ord <otor Company for @SB9.A? billion, ith the resulting
group largely set on commercial vehicles.
& have chosen this because it has great values and it takes its CSR very
seriously. 3olvo 4roup 4lobal has its presence across several countries and
have overtaken several big competitors in market is a giant in society. &
personally feel that this group has entered in &ndian market and because of this
provides better facilities to commuters. 3olvo ant to ensure a proper
education safe and healthy orking environment and establish a culture that is
driven by mutual respect .
Compan! 2alues & Core Ideolo&!
The values of the 3olvo 4roup summari-e hat e stand for and hat e focus
on i.e. 3ualit!/ Safet! and 4n'ironmental Care(
Cuality# " 2ocus on the customers' needs, 5ur goal is to e1ceed their
e1pectations and 0ybrids on broad front
Safety# " Safety is part of our soul , 5ur vision is Dero accidents and Safety
innovations.
/nvironment care# " ;e all depend on transports and 2ol'o has a
responsiilit!(
C orporate values of the 3olvo 4roup, each reflected in
0o e develop our products
0o e act in society
0o e approach our customers and employees.
.ur 'ision :-
The 3olvo 4roup's vision is to become the orld leader in sustainable
transport solutions by#"
creating value for customers in selected segments
pioneering products and services for the transport and infrastructure
driving >uality, safety and environmental care, orking ith energy,
passion and respect for the individual.
CSR 5rame$or% & 6oals
3olvo global group have several programs and goals framed for global concerns
In respect for communit! :-
$ home for ,ra-ilEs orphans " Today A+ children live ith Fstaff parentsE
at the orphanage. Today the orphanage, built on land donated rent"free for
?* years by the city, includes five houses, a football field, a vegetable
garden, farm animals and recreational and teaching buildings .3olvo
4roup employees in Seden and ,ra-il continue to support the pro!ect
ith collections of toys, clothing and money. 0ealth, education and
environment are also important pillars of its ork.
<a!or focus of 0and in 0and's activities " based around female
entrepreneurship. ;omen are mobili-ed in so called Self 0elp 4roups
here they pool their savings, learn ho to read and rite and receive
training in entrepreneurship and bookkeeping. So far 0and in 0and has
helped to start more than 8)* *** companies in the &ndian state of Tamil
Gadu alone, here also '8 *** children have been assisted out of factory
labour and into schools. 0and in 0and is a charitable trust in &ndia and
has no spread its enterprise creation programme to other countries.
Cash and e>uipment to disaster area " The earth>uake hich struck in
;enchuan, China, on <ay '., .**+ claimed more than 9(,*** lives,
in!ured more than 8)*,*** people, and left at least '),*** people
unaccounted for. 5f those ho survived, millions ere left homeless by
the most poerful earth>uake to hit the region for 8* years.
0omes for the homeless " ;hile Romania has a groing middle class and
large natural resources, poverty remains a ma!or issue in this country of
.'.9 million people. 0eavy floods during the last five years have added to
the problem of homelessness in the country, and those that do have a roof
over their head often live in cramped conditions ithout access to piped
ater.
/mployees at 3olvo Construction />uipment in Hon- in 4ermany decided to
support the charityEs efforts to build homes in Romania.

In 4ducation :-
,y encouraging education, learning and training among young people e hope
to improve both their future prospects % and our on, as a knoledge" and
technology"based organi-ation.
3olvo 4roup employees think pink " ,reast cancer is the most fre>uently
diagnosed cancer and is the leading cause of death among omen
orldide. $ oman dies of breast cancer every 9+ seconds. The
=assionately =ink for the Cure campaign raises money for research into
the disease, and three 3olvo 4roup employees .They sold pink T"shirts
and encouraged co"orkers to dress in pink every 2riday and to donate
five @S dollars or more to the foundation. $t the end of the month they
had raised nearly I8,***.
4iving poor school children ne hope - The 3olvo 4roup has a
commitment to play an active role in the communities in hich it
operates. The schools are part of the 0ope =ro!ect hich for .* years has
been helping children in poverty"stricken areas. To date more than '?,***
schools have been built ithin the 0ope =ro!ect % to of them ith
financial support from the 3olvo 4roup. ,ut hile the infrastructure for
teaching has been established, a shortage of >ualified
In 4n'ironmental care :-
@nchoking the Chesapeake " Rubbish pollutes aterays, kills marine and
other ildlife and makes communities unattractive. Clean the ,ay Jay is
an annual stateide event organi-ed by the Chesapeake ,ay 2oundation,
in partnership ith many municipal and business partners orking
together to restore the Chesapeake ,ay and its rivers and streams. To
date, nearly (*,*** volunteers have picked up nearly . million kilograms
of trash along ),*** kilometers of shoreline. Kast year alone ),*** people
took part.

C5. neutral factories - The climate change has become an important issue
across the globe. &ndustrialisation and the groth of the orldEs
population has brought ith it more transport needs, more energy
consumption, more food and more aste, hich in turn has lead to an
increase in emission of C5. and other greenhouse gases.
$s one of the orldEs leading commercial vehicle manufacturers, e have a
responsibility to reduce the environmental impact of our operations and the
products e deliver.
In Safet! :-
Safety first on ,ra-ilEs roads- &n the late '(+*s ,ra-ilEs roads ere
e1tremely dangerous. /ach year there ere many thousands of deaths and
tens of thousands of serious in!uries, and aareness of traffic safety issues
such as drunk driving and use of seatbelts as lo.
Gone for the road " $lcohol is a factor in beteen one">uarter and one"
third of all road traffic accidents on /uropeEs roads. That means that about
'*,*** people each year are killed as a direct result of drunk
driving.3olvo Trucks is also taking its on steps to cut accidents
involving alcohol, such as offering alcolock technology in its trucks,
here the driver has to blo into a mouthpiece in order to be alloed to
start the vehicle.
Impact on Customers and 4mplo!ees
6loal reach - local presence
;ith more than '**, *** employees and business all over the orld, our
operations are part of every day life of numerous people orldide. $s a global
company e focus on our responsibility as an employer, responsible sourcing
practices and building relations ith stakeholders.
=romoting diversity "
;e strive to promote a diverse orkforce. Go form of discrimination is
tolerated. ;e actively ork to recruit and retain a broad spectrum of employees
ith different backgrounds, e1perience and perspectives.
Competence development "
Securing and enhancing competences is crucial to being competitive and
profitable. $ 0uman Resources function orks at 4roup level to secure and
develop our employees, our culture and the organi-ation.
$ safe place to ork "
0ealth, orkplace safety and employee ellbeing is a priority for 3olvo 4roup.
;e are committed to developing ork places that increases productivity, reduce
costs and contribute to an attractive orkplace.
2reedom of association "
3olvo 4roup recogni-es everyone's right of freedom of association and
collective bargaining. Cooperation ith unions complies ith national las and
regulations in each country.
Responsible sourcing "
/nsuring good standards in the supply chain is important to 3olvo 4roup and
our stakeholders. Responsible supply chain management means managing risk,
promoting responsible behaviour and building long"term relationships ith our
suppliers.
.ur achie'ements :-
0ere you ill find a selection of the aards and engagements, related to
responsible enterprise, that 3olvo 4roup has received or been involved in
recently. Read more on our pages on Corporate Social Responsibility (CSR).
Jo 7ones Sustainability &nde1es
3olvo 4roup has >ualified to be included on J7S& ;orld,
/uro Sto11 and Gordic

Gordic Sustainability Stars
S&L ST$R is a Gordic sustainability inde1 launched in .**(
by S&L and /thi1 SR&$dvisors. 3olvo 4roup is ranked among
the top .? Sedish companies
/C=& 4lobal Carbon />uity &nde1 and /C=& /thical &nde1
4lobal is designed to select the 8** top capitali-ed companies
in the global market best e>uipped to tackle a orld of rising
carbon emissions. 3olvo is included in the to inde1es.
Sustainable 3alue Creation
The 3olvo 4roup has gained top ranking in a survey on
responsible business practices conducted by SedenEs largest
institutional investors. The survey studied the '** largest
corporations listed on the Gasda> 5<L Gordic /1change in
Seden.

4lobal Challenges &nde1
&n .**), the 0anover /1change and 5ekom research $4
introduced the 4lobal Challenges &nde1, in hich 3olvo
is included.

The .*'* , 2olksam &nde1 shos that its a responsible
business enterprise dran up by the Sedish insurer ,
2olksam ranked companies listed on the Gasda> 5<L
Gordic /1change in Seden. 3olvo 4roup received seven
out of seven stars on the ork on /nvironment issues.
Conclusion
;e recogni-e the value of sound corporate governance as a fundamental basis
for achieving a trusting relationship ith shareholders and other key parties.
3olvo 4roup applies the Sedish Corporate 4overnance Code, hich aims to
empoer shareholders and create a sound balance of poer beteen
shareholders, the ,oard of Jirectors and senior management relations ith the
local society .;e are involved in communities both as a company as ell as on
an individual basis. Committed colleagues ithin 3olvo 4roup around the
orld often identify needs and pro!ects in communities in hich e operate that
e can contribute to or support. 5ur culture and values form the basis of this
involvement. 3olvo 4roup encourages and reards groundbreaking research on
environmental issues, and supports the development of cutting"edge solutions
for future transport systems. ;e are committed to raising aareness of the
environmental challenges that face us, and to e1plore solutions for a more
sustainable orld.
Transport "related products and services of a superior level of >uality, hile
ensuring safety and environmental care for demanding customers in selected
segments.
;e act responsibly toards our employees and business partners, and strive to
contribute to the societies in hich e operate to help advance sustainable and
social development.