How to Monitor Your CSR Projects with CSR Software

How to Monitor Your CSR Projects with CSR Software

Since the addition of Corporate Social Responsibility (CSR) to Section 135 of the Companies Act, 2013, it has become a mandatory segment for corporations and companies in India. This has led to companies adopting a more responsible outlook towards their duties to alleviate social and environmental issues. Further, with the generational shifts, more employees and clients are choosing to associate with ethically responsible businesses.

Thus, tasked with the onus of implementing aid or welfare related activities, companies are also facing an issue regarding responsible, transparent, and efficient monitoring of the CSR projects implemented by them. This monitoring is also essential to form effective strategies for the future.

This monitoring includes periodic performance evaluations to track the company’s progress and impact in terms of the Key Performance Indicators (KPIs). KPIs are benchmarks created by the company and its collaborators (e.g. NGOs) to serve as signposts to achieve optimal results.

Some of the ways in which the CSR software can be used to manage the company’s projects are:-

1. Survey Data Utilization for Better Strategy Formulation

CSR software essentially consists of a giant database with multiple tools for analysis. This information is fed from multiple linked databases that lend a dynamic nature to the software and make it useful in monitoring effective strategy formulation for the company. The software can be employed to monitor information regarding the most pressing issues that require immediate attention and plan the CSR activities around. Further, it can be used to roll out surveys to employees and clients to monitor their preferences for activities in order to understand how the company can improve engagement and participation in its CSR activities. This is fruitful in generating the maximum output from the CSR initiatives, based on realistic assessment of the external situations and employee and client capacities.

2. Regular Performance Initiatives

Regularity in project evaluation leads to effective and timely problem solving as well as ensuring that the project itself is running smoothly. The KPIs, which are set out at the beginning of the project, can be efficiently and automatically analysed by the software, generating periodic reports for identifying problem areas that need to be addressed to set the project back on course. It further provides information on areas that are doing well and can be stressed on to improve the impact generated by the company.

3. Efficient Budgeting and Auditing

Owing to its efficient analytical and organizational tools, along with assessment of appropriate areas of growth and management, the CSR software can be utilized in making the budget plans for an optimal allocation of funds reserved for CSR. The database can track their utilization and monitor the latest trends to alert the stakeholders on the most productive utilization or reallocation of the funds. It is also beneficial in recording employee engagement in the tasks related to CSR projects and is a suitable tool for internal audits in verifying high-performing or under-performing activities.

4. Maintaining Timelines

Not only owing to the reports that need to be filed at the end of each financial year, but also due to the commitments made to those in need of the CSR initiatives, companies must maintain and follow their project timelines. CSR software is useful in monitoring the task completions and setting reminders to track the progress of the project, ensuring that it is being implemented within the stipulated time period. This is particularly beneficial in monitoring short-term goals that impact the KPIs.

5. Monitoring Regulations and Compliance Requirements

With constantly changing and updated laws and policies related to CSR, the CSR software can be utilized by companies to stay abreast of the modifications. It is also an effective tool for monitoring certifications and awards related to CSR, helping the company keep track of their achievements and applying for more awards to improve their credibility and solidify their commitment to their ethical responsibilities. Thus, the CSR software can be effectively applied to comply with regulations and certifications.

6. Monitoring Opportunities for Growth

One way in which future opportunities are monitored by using the CSR software is that it keeps an account of the post-project completion data, tracking the impact and effectiveness of the project. This helps in understanding the appropriate measures and strategizing better goals and methods for the future. Second, this software is constantly monitoring the changing requirements for creating maximum benefits for the society and environment. Thus, it can be effective in monitoring the potential project proposals and tweaking ongoing proposals to better suit the current requirements.

SoulAce provides a comprehensive CSR managing platform that utilizes the software to work in collaboration with the companies and their stakeholders to take effective decisions in enhancing their CSR projects. The CSR software at SoulAce also includes customisation based on company preferences, thus alleviating the output generated through their CSR projects.

In this manner, CSR software is becoming an indispensable tool for companies, managing, monitoring, and motivating them to execute their best CSR projects.