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Dr mona csr_alternatives_in_managing_sports_ic
1. CSR : New Alternatives in
Managing Sports
by : Dr Mona Nargolwala
Consultant & Advisor
CSR & Sustainability
Ahmedabad
@
International Conference on Issues & Ideas in Sports Management
Organized by
Lakshmibai National Institute of Physical Education, Gwalior
8-10 March ,Vigyan Bhavan – New Delhi .
2. Background & Rationale
Sports Scenario in India
• Participation in Sports benefits health, physical development, character building , personality development
and development of Human Resources thereby contributing to National Development
• In India , sports still seen as an extra curricular activity disrespecting sports & its benefits
• Since Childhood children are motivated to study & score marks
• No priority to sports as not linked to academic performance & jobs
• Rural areas- access to Sports Infrastructure , facilities and opportunities are minimal
• Absence of facilities, infrastructure , manpower to provide opportunities to promote sports in rural areas
• Absence of financial & technical assistance and sports infrastructure facilities for new & emerging
sportsperson to compete nationally and internationally
• Need for greater recognition, awards and incentives to both Sportsperson and SportsTrainer/Coaches/Guides
for optimal performance and contributions at national & global level
3. Need for Value based Partnerships for Development
& Promotion of Sports
High time for Sports to get its Dues from DiverseStakeholders
Government
Public
Sports Bodies ( State, National , International )
Media
Sports Academies, Institutions & Sports Universities
Professional Sports Organizations & Private Sector Sport Companies
NGO/Development Organization working for Sports Promotion
CSR EligibleCompanies
Public Private Partnership for promotion of Sports for scouting sports talent and boosting grass root
level sports performance is the need of the hour
4. Importance of Sports ( UN & WHO)
UN highlights the importance of sports to Society & wellbeing of Humans
According to UN Sports unique and universal power to attract, motivate and inspire makes it a highly effective
tool for engaging and empowering individuals ,communities and even countries to take action to improve their
Health & Well Being
Sport can also be a powerful means of mobilizing more resources in the global fight against disease , but this
potential is only just beginning to be realized
Investment through Sports helps in capacity building , skill development & contribute towards better
performance in education along with good health & well being , also ensure gender equity thereby addressing
fundamental UN Sustainable Development goals of reducing hunger ,poverty, education and gender
empowerment
5. Corporate Social Responsibility & Sports
CSR is a significantconceptin the arena ofBusiness across India as well aroundthe global highlighta move much beyond
philanthropy initiativesand compellingbusiness to contribute maximally to the society andenvironmentin which it
operates through active stakeholder engagementandtriple bottomlineperformance & disclosurecompellingcompanies
to reporton its social performance & extentofenvironmentalstewardship alongwith economicparameters.
While pure sports sponsorships is often a marketing& Business decision , effectiveCSR interventionsis basedon howa
business can improve thecommunities inwhich itoperates.
In addition to beingan effectiveCSR medium, sports builds values thatanysocially responsible business longs and
strives for & contributes inimbibingqualities like teamwork , fair play , dedication, goal orientation , performance etc.
Moreoveritinvolves employees, suppliers as well as buildinggood communityrelations
There are manyexamples ofhowBusiness aroundthe world use sports to fulfill theirCSRObjectives. Pioneers in India is
theTataGroupwithCSR as a transformational & Developmenttoolthrough promotionofSports forYouth ,Community
& Nation Development
With visibility , conveningpower,positive impact& potentially highROIsports is perceivedto add value to the sponsor
while spotlightingindividual sports.
With a planned & systematicapproach to supportanddeveloping a sports eco system..sports is increasingly beingused
to helpchange peoples lives atlocal , nationaland international leveltherebycontributionto HumanCapital & Human
Resource Development
Although Sports for Developmentis still inthe nascentstages in India , a growingnumbers oforganizations have begun
to implementCSR initiatives thatemploySports as means & tool to developmentinterventions ..
6. Provisions under Companies Act , CSR
Rules (Sch VII activities)
• As perCSR Rules2014, trainingtopromoteruralsports,nationallyrecognizedsports,Paralympic
sports&OlympicsportswereonlypermissibleactivitiesunderCSR.
• AspertheCSR Ruleswhichcomeunderthe purviewofSection135 ofCompaniesAct2013-firmswitha
networth of 500cr. or a revenueof1000 cr.or a net profitof5 cr.needtospend2% of the profitof the
previousthreeyearsonsocialdevelopmentactivitiessuchasHealth& sanitation,Environment
Protection,RuralDevelopment,Sportspromotion,Disasterreliefandrehabilitation&others.These
activitiesarelistedunderSchVII ofRules.
• NegotiationsbyAICS, establishedin2015 to serve as advisorybodyfor MinistryofYouthaffairs&
Sportsled MinistryofCorporateAffairs(MCA)to approveconstruction,renovation,maintenanceof
stadiums,gymnasiumsaspartof permissibleCSRactivities
9. Issues & Concerns
• The inclusion of Sports Infrastructure Construction & maintenance as part ofCSR has been welcome by
Corporates and other institutions as well as civil society.
• The provisions as enshrined in the Act previously allowed corporate houses to incur the cost of coaching and
training as part ofCSR. It did not allow CSR spending in developing sports Infrastructure which could benefit a
large section of aspiring sportspersons.
• The amendments would be helpful in nurturing a larger pool of budding sportspersons and would shift the
focus from selected few.
• There is need for encouragement & appreciation of sportsperson , provision of employment opportunities,
strengthening sports in India by endorsements of active sportspersons to participate in bigger sports leagues
• Corporates can play a leading role in creation of sports excellence centers, initiating talent hunts for scouting
sportspersons, sponsorships for travel , funding training and participation in national and international sports
event & opportunities through support to relevant exposure, opportunities for intensive training
• Private sector companies are lagging behind so far as CSR spend on sports with allocation of 122 cr of total
6810 cr towards CSR spend in other sectors in the fiscal year 2017 on top 100 NSE listed companies ( Source :
Goodera , CSR & Sustainability Research & Analysis Firm )
10. CSR Spending in Sports by Corporate India
• Year 2016-17hasbeen a positiveyearforUnionGovtsofar asCSR funding&supportforSports
Promotion
• Govt receives42 crores in corporatefundingunderCSRduringfinancialyear2016-17( best ever value
in termsofGovt directreceiptsunderCSR forsports)
• Govt in past10 yearshas receiveda totalof 119 crores incorporatesupporttowardssports
• Thoughpromotionofsportsinthe countryisrecognized asaCSR activity( schVII companiesAct2013-
indicateslistofCSR activitiesincludingtrainingtopromoteruralsports,nationallyrecognizedsports,
ParalympicandOlympicsports
• Howeverpromotionofsportshasnotbeena priorityareafor corporatesfortheirCSR spending.ACII
reportindicatesthesportshasbeenon thelowestpedestalinthetop eightsectorcomprisingof
Health,education,environment,ruraldevelopment forcorporateIndia'sCSRspendduring2014-15
( Source: IndiaCSR News Network)
11. Can CSR be a game changer for Sports
Development & Managment
• Companies under CSR can play a catalytic role by supplementing the acts of other stakeholders including Govt
agencies in both tangible & intangible areas
• Provide Sports Infrastructure, needed renovation & upgradation of sports facilities/centres
• Partner withState & National Level Sports Bodies, Depts. & Ministry ofYouth , Sports & CulturalAffairs
• Provide Resources toSportspersons towards training, travel, sponsorships & Growth Opportunities
• Inputs forbuilding a SportsCulture forSkill Development ,Employment Opportunities &Youth Empowerment for
positive social impact on life of surrounding communities & underprivileged sections of society
• Provide Professional Management expertise in Sports Promotion
• Yes ….with Corporate Involvement we can build Strong & much neededSports EcoSystem & Establish India as a
Sporting Nation in International forum.
Business touches & impacts each aspect of society and environment & hence Corporate Social
Responsibility should encompass and address each & every aspect of society viz pressing social and
environmental issues from Health ,education , poverty reduction to vocational training , skill
development, youth empowerment , sports promotion amongst many others.
12. Corporates setting Benchmarks for
Sports promotion ( to name a few )
• Tata Steel Ltd -5.99cr. ( Aim is to improve quality of life in the communities we work –CSR Head Tata Steel
The group has three sporting academies
• Tata Football Academy
• Tata Archery Academy
• Tata Athletic Academy
• JRD Tata Sports Complex & several
• Naval Tata Hockey Academy ( coming up in Jharkand )
• Sports Feeder Centres as various locations
• Reliance Industries has reported spending of Rs 26.8 cr on development of sports in FY 2017 and awarded
Best Company Award for Promotion of Sports by CSR Asia .
• Reliance Foundation conferred on the National Sports Award / Rashtriya Khel Protsahan Puraskar
• Focus of Reliance is on Olympic sports viz Football & Basketball apart from Sports Promotion forYouth
Development in Rural Areas
13. Corporates setting Benchmarks for
Sports promotion ( to name a few )
• With inclusion of Sports Infrastructure & upgradation under CSR ambit ..sports promotion is being geared by
private sector companies investing in sports for eg. Diversified Engg Group SETCO Industries CSR funds were
used to build Arena, a multipurpose, multisport state of the Art Stadium in Ahmedabad with support ofGovt
ofGujarat.
• Similarly Hindustan Zinc Ltd. Is setting up state of the art National Residential FootballAcademy in Udaipur
( ZAWAR- tribal belt ) District Rajasthan .
• JSW –Jindal Steel Works Foundation launched a Sports Excellence Programme aimed at arming chosen
Indian sportsperson in five disciplines ( wrestling, Judo, swimming ,boxing & athletics with 28 internationals
receiving support for a year .
14. Other Corporates , Organizations NGOs &
Not for Profit Organizations working for
Sports promotion
• ProforSport Solutions – committed to devpt of sports in India at grass root level ( 1500 kids through project
Khel Vikas, NGO Gram Vikas 2012-14 in tribal belts of Odisha with aid of corporate sponsorship
• Magic Bus Foundation – embodies very spirit of sports for Development working with multiple corporate
partners viz, Nestle, HDFC ,Tata Motors & International Organizations like FIFA- this Mumbai based non
profit trains local community leaders to mentor underprivileged children to improve health ,education
,gender equity & livelihood outcomes ( thereby contributing towards attainment of UN Sustainable
Development Goals primarily 1-5) & many others.
15. Conclusion
Sports developmentthroughCSR needs longtermcommitment, notone time sponsorship/supportactivities
Sports Promotion&Developmentneeds to be prioritized as a vital tool &link towards sustainable communitydevelopment
initiatives with a focus and impacton Health,Education,Gender Equity as contributiontoUNSDGs as well as potential Human
Resource Development, betteremployment,livelihood &life opportunities through training, capacity building,skill
development
Companies need to have a strong&clear philosophybehind sportspromotionlinked with its Social Responsibility &Business
Objectives as well as National Priorities &agenda viz contribution to Skill India, StandUpIndia .
Companies need to investnottrade insports to makea real difference for communities in whichthey work
Companies need to spearhead a convergence in approach through multiprongedpartnership&convergencein approachto
promote sports infrastructure, talent, training,educationatgrass rootlevel in closeassociation with local sports bodies , District
&State Level Sports authorities
CSR partnerships towards creation ofSports Infrastructure, maintenance,Upgradation willcontributeimmensely in improving
Sports Facilities in both ruralandurbanareas
Work inClose associationwith organizationslikeFICCI, and various StateChambersofCommerce&Industries with a dedicated
SportsUnit
Creation ofa Sports Eco Systemcalls for diverse stakeholder participation, mainstreamingofsports through school,sports
education &training, facilitation to SportsAcademies , State Bodies , through a robustPublicPrivate Partnershipto
substantiate andaddress gapareas presentlyseenas obstacles due to limitations ofGovtpolicies andprograms &financial ,
human &technical resources
Corporates in their respective regions should supportStateLevelAuthorities&SportsAcademies bothatthe state &District
Levels
16. Get Started ..
CSR initiative for Sports Development
• Support School Sports, Sports Infrastructure Facilities, Sports Opportunities through support to District Level Sports .
• Training & Capacity building of Coaches / PTs
• Support a Sports Centre , Equipment , Event , Coaching Clinic
• Appoint Sportspersons as Fitness Trainers, Corporate Security etc. for constructive employment
• Provide opportunities to building a Sporting Culture.
• Invite anAthlete, arrange to watch a professional match
• Sponsor training of athletes
• Provide assistance in arranging Sports Competition and Grass root Level Sports building activities
• Contributing towards talent scouting and nurturing budding sportsperson
• Promotion of Sports forYouth & Community Development through multifarious sports capacity building competitions ,tournaments ,
training & development
• Creation of State of the Art Sports Infrastructure Facilities , Sponsoring of eligible underprivileged sportsperson towards sports
education and training for state , National & International Sports