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ITWCHEMIN
CORPORATESOCIALRESPONSIBILITYAPPROACH

2. Contents
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Corporate Social responsibility in India
Areas of CSR addressed in Corporate Policies
Drivers of CSR
Governments of India take on CSR
ITW CHEMIN brief profile
Operational Area Snapshot
Statistics of Medak District – Patancheru Sub-Division – Pashmylaram Village
Prevalent Social Issues in Medak District
Potential areas of CSR for ITW CHEMIN

3. Corporate Social Responsibility
Corporate Social Responsibility (CSR) defined as “the ethical behavior of a company towards the
society,” manifests itself in the form of such noble programs initiated by for-profit organizations. CSR
has become increasingly prominent in the Indian corporate scenario because organizations have realized
that besides growing their businesses it is also vital to build trustworthy and sustainable relationships
with the community at large. This is one of the key drivers of CSR programs.
Another reason fuelling this rapid adoption of CSR is the state of the Indian society. Though India is one
of the fastest growing economies, socio-economic problems like poverty, illiteracy, lack of healthcare
etc. are still ubiquitous and the government has limited resources to tackle these challenges. This
scenario has opened up several areas for businesses to contribute towards social development.
CSR is not a new concept in India. Corporates like the Tata Group, the Aditya Birla Group, and Indian Oil
Corporation, to name a few, have been involved in serving the community ever since their inception.
Many other organizations have been doing their part for the society through donations and charity
events.
Today, CSR in India has gone beyond merely charity and donations, and is approached in a more
organized fashion. It has become an integral part of the corporate strategy. Companies have CSR teams
that devise specific policies, strategies and goals for their CSR programs and set aside budgets to support
them.
These programs, in many cases, are based on a clearly defined social philosophy or are closely aligned
with the companies’ business expertise. Employees become the backbone of these initiatives and
volunteer their time and contribute their skills, to implement them. CSR Programs could range from
overall development of a community to supporting specific causes like education, environment,
healthcare etc.
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4. Areas of CSR addressed in Corporate Policies
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5. Drivers of CSR
GOI Tuning CSR as Mandatory Compliance:
The Indian Government has recently requested that all companies provide details of their investments
made as part of CSR initiatives during the last fiscal year. This could lead to mandatory social obligations
on companies. This comes after the Ministry of Corporate Affairs introduced voluntary CSR norms in
December last year. A parliamentary standing committee on finance, which vetted the Companies Bill,
2009, said in its report that the ministry of corporate affairs has agreed to the suggestion. The
committee, headed by former finance minister Yashwant Sinha, has suggested that companies with a
net worth of Rs 500 crore or more, or those that have an annual turnover of at least Rs 1,000 crore, or
companies with a net profit of Rs 5 crore or more, be covered by the norms. If this is approved,
companies will have to spend 2% of their average net profit on CSR. Initiatives will also have to be
disclosed in annual reports.
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6. ITW CHEMIN Profile
ITW Chemin, a business unit of ITW Inc. USA, offers a wide array of the products which includes, Rust
Preventive Chemicals, Metal Working Fluids, Precision Work holding, Metal-filled Epoxies and
Urethanes, Lubricants, Cleaners, Degreasers, High-performance Industrial Greases, Structural Adhesives,
Micro lubrication Systems, Marking Systems, Staining Colours and Steel Blue Layout Liquids, Instant Rust
Fighter in Aerosol Can, Contact Cleaner and Automotive After Market.. ITW Chemin which employs
almost 200 people has a turnover of Rs. 80 crore.
Operational Area Mapping
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Medak District’s
Patancheru Industrial
Zone consists of two
estates/parks they are IP-
Patancheru,
IP-Pashamylaram.
IP-Patancheru:
The area of IP- Patancheru
is 810.33 acres, this
industrial estate consists of
industries like Engineering
works, Processing, Rubber,
Plastic, Pharma, Polymers,
etc., most of these are
small scale to medium scale
industries.
IP-Pashamylaram:
The area of IP- Patancheru
is 1420.11 acres, this
industrial estate consists of
industrieslike Chemicals,
Paints, Engineering works, ,
Rubber, Plastic, Pharma,
Polymers, etc., most of
these are small scale,
medium scale &Large Scale
industries.

7. Area Profile: Pashamylaram - A village in the mandal of Patancheru, Medak, Andhra Pradesh. It
is 35 kms from Hyderabad.
Medak District Stats
Total Rural Urban
'Total Population' 2670097 2286573 383524
'Total Illiterates' 1498963 1367815 131148
'Total Working Population' 1293657 1171753 121904
'Total Marginal Worker' 233606 215557 18049
'Total Non Worker' 1376440 1114820 261620
'Percentage Cultivators' 30.16 33.1 1.96
'Percentage Agriculturals' 37.54 40.73 6.85
'Percentage Household Industries' 4.38 4.36 4.6
Patancheru Sub-District Stats
Total Rural Urban
'Total Population' 117252 69403 47849
'Total Illiterates' 52365 34769 17596
'Total Working Population' 48729 31723 17006
'Total Marginal Worker' 14301 11380 2921
'Total Non Worker' 68523 37680 30843
'Percentage Cultivators' 9.9 14.26 1.78
'Percentage Agriculturals' 21.52 28.96 7.64
'Percentage Household Industries' 2.93 3.22 2.39
Pashamylaram
1673
203
816
930
112
743
20.22
28.60
8.49
Total Population'
'Total Population 0- 6Years'
'Total Illiterates'
'Total Working Population'
'Total Marginal Worker'
'Total Non Worker'
'Percentage Cultivators'
'Percentage Agriculturals'
'Percentage Household
Industries'
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8. Prevalent Social Issues of Medak District (Andhra Pradesh)
In 1975, The Patancheru Industrial Estate was set up, with subsidies and other incentives. The area
offered advantages in terms of availability of land and water, proximity to Hyderabad and location on
the national highway linking Hyderabad to Mumbai. Pharmaceutical Units drove the boom. It is
observed that Forty per cent of the total Indian production of drugs takes place in Andhra Pradesh. Of
this 80 per cent are in the districts around Hyderabad.
This very pharmaceutical boom in Patancheru Industrial zone drove the bitter competition, which lead
to cost-cutting on pollution control. The industrial boom has hit areas around Patancheru on many
fronts—health and livelihoods pre-eminently.
• Agriculture has become unviable in the polluted environment because of
Industralization. (The Sultanpur panchayat in Medak, for instance, comprises four
villages with a population of 2,727. Until over a decade ago almost all the 669 households
were dependent on agriculture. Now less than 10 per cent cultivate. Earlier, people used
to get about 100 bags of rice (1 bag is approximately 75 kg) from a hectare (ha). Now it
is down to 10-15 bags.)
• Water is highly contaminated and unfit for drinking. (A total of 22 villages in Medak
district get piped water, though the supply is erratic. Years of drinking contaminated
water and living in a toxic environment have taken a toll on their health.)
• Health Disorders (Morbidity
rate in the area had increased
10.18 per cent to 25.49 per
cent over 10 years. Asthma,
kidney problems, rashes and
stomach disorders are most
prevalent. Respiratory
diseases, cancer, skin
diseases, congential
abnormalities, miscarriages,
abortions, premature deliveries and impotency are highly prevalent.)
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9. CSR Activity Area
Environment
• Tree Plantation in and
around project area and also
in schools, hospitals, road-
sides etc...
• Setting up an Oxygen zone
• Facilitating Nurseries
• Tie up with rotary club for
clean and green project
• Tie up with government’s
environment projects
Vaishnavi’s Role & Responsibility
• Meeting ITW CHEMIN
objective on CSR
• Strategising and executing
the activity
• Association with NGO’s /
Non-Profit Organisations
• Partnership with Govt.
Programs
• Liasion with media for
communication of every
activity (Proactive &
Reactive)
Health
• Routine Health Check-Ups
• Pathology lab for villagers
• Campaign for Health
awareness
• Facilitate safe drinking water
(i.e. water coolers in school,
community hall, etc.)
• Work shops for pregnant
ladies
Community Empowerment
• Formation of self-help
groups (SHG’s)
• Technical farming training
• Organic farming
• Facilitating cash crops
through distributing seeds
• Empowerment through
sports activity
• ITI training program for
unemployed
Education
• Education Program for drop-
outs
• Introducing Scholarships
• Night schools for farmers
• Employment based
education programs (In
association with different
agencies)
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Environment
Health
Community
Empowerment
Education

10. CSR Budget 2010-2011: 2% of the
Annual Turnover which comes close
to 1.60 Crores per annum.
Thank You!
Nilesh Kumar
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