Dalmia Bharat: Social Return on Investment
(6 pages of text)
In 2016, Dalmia Bharat Cement Limited (Dalmia Cement) and its agency, the Dalmia Bharat Foundation, worked in the areas of sustainability and corporate social responsibility. It worked with communities in the neighbourhoods of its plants and with rural communities in many other areas, focusing on soil and water conservation. In 2016 there was a growing concern that its water harvesting structures and methods of soil protection and improvement were no longer good enough. A measure that valued water in financial terms was required to help justify the foundation’s targets and funding. The company tasked interns from a well-known management institute with searching for such a measure.
The case is suitable for a graduate level course discussing social cost benefit analysis or the evaluation of a company’s sustainability activities. After completing the case, students should be able to do the following:
- Understand the links between the business strategy and social responsibilities of a business.
- Assess various measurement systems for evaluating total business value available, and the strengths and weaknesses of these systems.
- Recognize the externalities of a company and how they impact decision making around corporate social responsibility and sustainability activities.
- Take a practical approach to measuring social costs and benefits.
India, Medium, 2016
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