Corporate Social Responsibility (CSR) has become an integral part of business ethics and sustainable development worldwide. In India, CSR has gained significant momentum, especially after the introduction of the CSR mandate under the Companies Act, 2013,
As India and the global community embrace Sustainable Development Goal 3 (SDG 3), which emphasizes good health and well-being as essential for individuals, communities, and nations, the focus on health becomes even more critical. The Indian government has also prioritized SDG 3 through initiatives like Ayushman Bharat and the National Health Mission which has further encouraged Indian companies to align their CSR efforts to support healthcare.
CSR Spend on Healthcare - FY 2022-23
In line with the previous years, for FY-2022-23, Hunger, Poverty & healthcare received INR 825 crore and were second to education which received INR 1211 crore. (Source: Primeinfobase.com, data of 610 companies who made voluntary disclosures)
CSR Spend on Healthcare – Comparison FY 21-22, 22-23
Even when comparing financial years healthcare as a thematic area was second to education which attracted 1173.75 crore in FY 22-23
CSR Focus Areas in Healthcare
CSR initiatives in healthcare aim to bridge the gap between the population's needs and the available healthcare services. Corporates, through their CSR activities, contribute to the building of healthcare infrastructure, providing medical supplies, running malnutrition-focused programs & supporting health education and awareness. These efforts are crucial in addressing immediate healthcare needs and long-term public health issues.
One of the primary objectives of many healthcare-focused CSR initiatives is to enhance the accessibility and affordability of medical services. Many CSR programs focus on rural and underserved areas, providing free or subsidized medical camps, mobile health clinics, and telemedicine services. These initiatives ensure that people in remote areas can access quality healthcare without the burden of high costs.
Examples Of Healthcare Focused CSR Programs
1) Apollo Tyers, HIV-AIDS Awareness & Prevention - The trucking community faces a high risk of HIV/AIDS due to harsh working conditions, socio-economic inequality, and various behavioral factors. To tackle these deep-rooted issues, Apollo Tyers launched an HIV awareness and prevention program in 2001. This initiative provides counseling, raises awareness through Peer Educators, and offers testing support via Integrated Counselling and Testing Centers (ICTC), in collaboration with the State AIDS Control Society (SACS).
2) SBIF Sanjeevani - Sanjeevani is an initiative to provide primary healthcare services at the doorstep of communities from rural, tribal, and remote areas through a mobile medical unit and a team of medical professionals. Apart from primary healthcare services the project intends to improve the health condition of communities by conducting regular mobile OPDs, provision of medicines, and specialized health camps.
3) ICICI Bank, Dialysis treatment - The ICICI Foundation has been supplying dialysis machines to hospitals treating kidney patients at minimal or no cost, focusing on smaller cities. The foundation has provided 500+ dialysis machines in 16 states. These machines can enable 150,000 + free-of-cost dialysis treatment sessions.
4) Hyundai Motor India Foundation’s Sparsh Sanjeevani public healthcare initiative was envisaged to boost India’s healthcare services in remote villages, by reaching the hinterland and making primary healthcare accessible to the underserved communities. Telemedicine clinics are nurse-assisted clinics where patients are connected through video calls with specialist doctors, providing remote specialist consultations in remote areas. Post consultation, each patient is provided with medicines by the on-ground nurse.
Reasons Why Healthcare Has Emerged as a Preferred Thematic Area for CSR
As a CSR consulting services firm that has advised numerous corporates, we feel several factors contribute to healthcare emerging as a preferred thematic area for CSR in India:
1. High Social Impact
Healthcare interventions have a direct and significant impact on people's lives. Improving health outcomes not only enhances the quality of life but also contributes to economic development by reducing the burden of disease. Companies are increasingly recognizing the high social return on investment that healthcare initiatives offer.
2. Government Policies and Focus
The Indian government's policies and mandates regarding CSR, coupled with its focus on healthcare through schemes like Ayushman Bharat, have encouraged companies to invest in the healthcare sector. The alignment of corporate goals with national health priorities creates a conducive environment for CSR activities in healthcare.
3. Addressing Critical Needs
India faces critical healthcare challenges, including high rates of communicable and non-communicable diseases, maternal and child health issues, and inadequate healthcare infrastructure in rural areas. Companies see this gap as an opportunity to address these needs through their CSR initiatives, thereby contributing to the nation's development.
4. Measurable Impact
Assessing the impact of CSR programs is crucial for their success and is also a legal reporting requirement. As a CSR consulting firm, having studied multiple impact assessments, we believe that healthcare-focused interventions often yield measurable results more easily than some other thematic areas due to the clear and quantifiable nature of key metrics.
5. Availability of Implementation Partners and Expertise
The presence of experienced implementation partners is another critical factor. Numerous NGOs specializing in healthcare have the necessary expertise to execute programs effectively and demonstrate credible outcomes.
6. Corporate Brand Image & Employee Engagement
Engaging in healthcare CSR enhances a company's reputation and brand image. Consumers and stakeholders are increasingly valuing socially responsible businesses. By contributing to healthcare, companies not only fulfil their ethical & compliance obligations but also build trust and goodwill among their customers and the community.
CSR activities, especially in healthcare, provide opportunities for employee engagement and volunteering. Employees take pride in working for companies that make a positive impact on society.
7. Strategic Alignment with Core Business
For companies in the healthcare and pharmaceutical sectors, CSR initiatives in healthcare are a natural extension of their core business. These companies can leverage their expertise, resources, and networks to make meaningful contributions to public health.
Challenges and the Way Forward
While CSR in healthcare has made significant strides, several challenges remain:
• Sustainability
Ensuring the sustainability of healthcare initiatives is a major challenge. Short-term projects may provide immediate relief, but long-term impact requires sustained effort and investment. Companies need to adopt a strategic approach to ensure that their CSR initiatives are sustainable and create lasting change.
• Monitoring and Evaluation
Effective monitoring and evaluation of CSR initiatives are essential to measure impact and improve outcomes. Companies need robust frameworks to assess the effectiveness of their healthcare projects and make necessary adjustments.
• Collaboration and Partnerships
Collaboration between corporations & NGOs is crucial for the success of healthcare CSR initiatives. Companies must select credible NGOs with proven track record by conducting proper NGO due Diligence. Trust between corporates and NGOs is still an area of concern.
• Scalability
Scaling successful healthcare CSR initiatives to cover larger populations and geographies is a challenge. Companies need to develop scalable models that can be replicated across different regions.
Conclusion
CSR in healthcare is playing a pivotal role in addressing the country's healthcare challenges. Companies are making significant contributions by enhancing accessibility, affordability, and quality of healthcare services. The emergence of healthcare as a preferred thematic area for CSR is driven by the high social impact, alignment with government policies, and strategic benefits for businesses. While challenges remain, the continued commitment of corporates to healthcare CSR holds promise for a healthier and more equitable future for India
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