CSR and Global Compact : The Indian Perspective

In India, Global Compact (GC) is accepted with great appreciation and has achieved large participation that enabled it to create an advanced network structure. However, GC failed to involve all business houses into its network due to the partial acceptance of multi-stakeholder approach. Apart from this, non-communicating and nonreporting behavior of the participants was observed and analyzed in detail in the paper. Several reasons like lack of resources with firms, lack of understanding the need and importance of the initiative while implementing into the core business processes, and change in the upper-level management which may lead to the discontinuation of existing Corporate Social Responsibility (CSR) policies were identified for the non-responsive behavior of participating firms. Inconsistent records of local networks and non-responsive nature of Indian networks were also found to be the problem areas of GC that must be looked into by UN. The paper focuses on the firms' commitment and sincerity towards GC principles. It assesses and highlights the actual growth rate of Indian CSR agenda while associating with GC