Why should social responsibility just be burdened on corporates?

October 30, 2025
Paresh Kumar
6 Min

Let’s be honest. Every time we hear the word CSR, we think of companies building toilets, funding schools, or planting trees. But is that all social responsibility is about?

When I started my career in social research, I was assigned a project to develop Village Development Plans (VDP) in one of the districts of Chhattisgarh. We were using what is called the Participatory Rural Appraisal (PRA) method. It’s a simple yet a powerful process. Talk to the people, map their resources, understand what they have and what they need.

During those days, we used to sit under a tree with villagers, draw the map of their village on the ground, and ask three basic question:

  1. What are the gaps in your community?
  2. How can those gaps be addressed?
  3. What will be your contribution?

The answers were always fascinating. Some would offer land. Some would offer labour. Some even pooled money. It was their way of saying – we own this project.

That, to me, was the real meaning of social responsibility. Corporateand Community Social Responsibility (CCSR).

The birth of CSR in India

The CSR law under the Companies Act, 2013 made it mandatory for companies meeting certain financial thresholds to spend 2%of their average net profits on social development. It was a landmark decision. For the first time, social good became a legal responsibility, not just goodwill.

Companies complied. Projects were designed. Many were implemented successfully. But here’s the problem – most projects were designed without even understanding what the community really needed.

The body was ready. But what about the soul?

The soul of any social intervention lies in its benefit to the community. The people should see it as their own project. They should feel proud of it. They should protect it.

And that happens only when the community is informed, included, and involved.

The missing link – community ownership

Over the years, I’ve spoken to many CSR leaders across India. Most of them share a similar worry — once they exit a project, it doesn’t sustain. Villages stop maintaining the infrastructure. The enthusiasm fades.

Why does this happen?

Because the community was never truly part of it.

Ownership comes when people contribute — not just with money, but with effort.

If you have planted a tree, you will make sure no one harms it.

If you have helped dig a pond, you will make sure it doesn’t dry up or get filled with garbage.

If you have built a classroom, you will ensure the doors stay open and children come to study.

That’s ownership.

A lot of CSR projects fail not because of bad intentions, but because they treat people as beneficiaries, not as partners.

The real purpose of CSR

CSR should not be about spending money. It should be about making change last.

When companies plan projects, they need to ask:

  • Did we talk to the community before starting?
  • Did they agree that this is what they need?
  • Will they be able to maintain it when we leave?

That’s where Impact Assessment becomes critical. But let’s be honest – many Impact Assessments today are done to complete paper work, not to learn lessons.

A good Impact Assessment is not just about counting schools or toilets built. It is about checking whether people use them, maintain them, and value them.

Because if they don’t, then the money spent is just charity, not change.

When the “C” stands for both Corporate and Community

Imagine if every CSR project demanded that communities contribute something – land, labour, time, or even a small share of cost. It would change everything.

I remember a water harvesting project where the villagers had to provide 10% of the labour. When the tanks were built, they treated them like personal assets. They took turns cleaning the catchment areas. That project still runs – years after the project completed.

That’s the power of shared ownership.

The “C” in CSR should not just stand for “Corporate.” It should also stand for “Community.”

When both sides contribute, the results are more lasting.

The problem with the current CSR mindset

Let’s face it. Many companies treat CSR as a compliance issue. “We have to spend 2%, so let’s find some project.”

This mindset has to change. CSR is not a tax. It is an investment in society.

An investment that needs the right planning, local partnerships, and continuous learning. That’s why Impact Assessment is important – not to please auditors, but to improve design and implementation.

CSR teams should visit their project sites more often. They should talk to the people who are actually benefiting. They should listen.

The three “I”s of ownership

For any social project to succeed, communities must be:

  1. Informed — they should know what is being planned and why.
  2. Included — they should be part of the planning process.
  3. Involved — they should contribute in some form, big or small.

These three “I”s create ownership. Ownership creates responsibility. Responsibility ensures sustainability.

Without this chain, even the best-funded CSR projects fade away.

The future of social responsibility

CSR in India has created enormous potential. It has brought money, visibility, and structure to social development. But now it’s time for the next step – Corporate and Community Social Responsibility.

When corporates and communities work together, both gain. Companies build credibility and trust. Communities build self-reliance and pride.

And the role of Impact Assessment here is not just to measure outputs, but to measure how much ownership was created. Was the project continued after the company’s exit? Did it inspire similar efforts nearby? Did it reduce dependency?

That’s the true impact.

A call for shared responsibility

Social responsibility should not rest only on corporates. It should be shared by everyone. Government, NGOs, and most importantly, communities.

Because when a community builds something with its own hands, it doesn’t let it die.

Let CSR not be about cheque-writing. Let it be about change-making.

Let’s shift from Corporate Social Responsibility to Corporate and Community Social Responsibility, where the giver and the receiver walk together, towards lasting impact.