Why Healthcare Needs CSR Boost?

Despite being a major destination for medical tourism and the fastest growing economy, India’s progress in healthcare is slower not just by OECD standards but also as per the standards of the developing world. When compared with emerging economies and its neighbours, India faces a bigger disease burden.

Here are some of the facts which highlight the state of health care in India:

1. India has one of the highest disease burdens (20%) in the world.

2. More people die in India of preventable diseases than anywhere.

3. India still accounts for 27% of neonatal deaths, 23% of infant deaths and 23% of TB deaths in the world. Out of the total neonatal deaths, 35% are due to lack of nutrition.

4. Every fifth person in India suffers from a chronic disease and more than 6 out of 10 people die from non-communicable diseases.

5. Cancer cases in India are also likely to rise by 25 per cent by 2020 from 1.4 million to 1.7 million by 2020.

6. Disease burden to cost India $6.2 trillion by 2030.

7. Between 1990 and 2010 premature deaths from cardiovascular diseases increased by 59 per cent to 37 million from 23.2 million.

8. Nearly 40% of the Indian population of all ages has mycobacterium tuberculosis infection; and there are about 85 lakh people with TB at any given time.

9. The US has 2.5 doctors and 11.1 nurses per 1000 population, while India has 0.7 Doctors and 1.1 Nurses per 1000 population.

10. India’s ambitious National Health Policy plans to increase public spending on health from 1.15% to 2.5% by 2025, when only 17.33% of the lower income classes having access to free health care.

It is clear that the government alone won’t be able to address all the health care issues. Although the National Health Policy 2017 has been approved, the target set promises little.

Corporations should see this gap as an opportunity to partner with the government to play a responsible role in improving the health care system. What we have been witnessing so far is their focus on health camps, building hospitals or donating equipment to hospitals. Most of these activities can only generate short-term impact and the targets are poorly set.

Instead, businesses can train local youths while pharmacists can be trained to prescribe medicines for minor ailments. One example is the Fiinovation and RPG foundation partnership to train youths in ‘patient care’. Similarly, companies could fund medical education to reduce the significant shortage of doctors and nurses. The concept of barefoot doctors in China can be implemented in rural areas. Additionally, CSR funds can also be utilized to provide medical treatment and promote traditional medicines.

 

By Rahul Choudhury

Media & Communications, Fiinovation

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Fiinovation Reviews India’s Migration and Malnutrition Problems

The rising disparity among the people of India is a stark reminder that growth after the liberalisation, privatisation and globalisation reforms of 1991 has not been inclusive. Although, the country developed significantly, yet the development ripples have not reached the remote villages. The initial plan of focusing on the service sector to reduce the dependency of the Indian GDP on the primary sector (Agriculture, Animal Husbandry, Dairy, etc.) paid off well, but didn’t solve the problem of the rural population which is nearly 70 per cent of the total Indian population.

As the primary sector didn’t receive as much investments, there wasn’t much growth to improve the standard of living of the rural population. The problems associated with agriculture and allied sector ensured that millions had to migrate to the urban areas for employment opportunities. Migration is not a recent phenomenon, rather the pace of it has increased in recent times due to widespread distress in the rural areas. As per the Census 2011, there were about 45.36 crore migrants. In fact last year 2.06 crore people migrated looking for employment opportunities and education.

It is understandable that the impact of migration is one the entire family and it’s the children who suffer immensely. It has been observed that the rapid development which ensured India becomes the fastest growing major economy in the world is not helping to curb poverty and malnutrition. As per the global hunger index, India ranks abysmal 97 out of 118 countries which much worse that its neighbours Sri Lanka, Bangladesh, Myanmar and China. Fiinovation reviews that about 38 per cent children living in India are stunted or too short for their age. There seems to be a link between growing urbanisation and increase in malnutrition as it has been observed that significant proportion of children living in urban areas are stunted.

Alarmingly, it is estimated that 90 crore people will be added as urban residents in just three countries (China, India and Nigeria) by 2050. It seems that there is a paradigm shift of the burden of malnutrition from rural areas to urban areas, especially due to persistent child undernutrition. Fiinovation reviews that the problem of malnutrition is evident amongst the 6.5 crore slum dwellers in the country. Hence, the reason behind urban poverty and malnutrition is definitely India’s incapability to develop the rural areas while promoting inclusive and sustainable growth.

The road ahead will not be easy as the government plans to double the farmers’ income by 2022. Currently, there is very less industrial development in the rural areas. Agriculture in India is a seasonal activity with majority of the regions being mono-cropic, especially due to lack of irrigation facilities and dependency on the monsoon. Therefore, it is important to create livelihood opportunities and promote healthy lifestyle amongst the rural population. If the migrant population start finding employment opportunities in their inhabited regions, it will reduce migration, poverty and malnutrition significantly.

Hence, Fiinovation urges the government to implement policies which promote growth of the rural economy. Efforts to increase the farmers’ income will definitely pay huge dividends for the country. The impact of this will also be visible on the global hunger index and help the country eliminate extreme poverty as per the Sustainable Development Goals. However, this massive task cannot be done only by the government and the role of the private sector will be significant in providing resources for the development of rural infrastructure. The businesses should also contribute towards betterment of the farming community and the people residing in the rural areas through their corporate social responsibility funds. Investments in the agriculture sector by the businesses supported by agriculture credit from the government will significantly boost the primary sector thereby reducing the burden of the rural households.

Let us hope that the next two decades India grows inclusively and sustainably becoming one of the largest economies of the world with a higher human development index ranking.

 

By Rahul Choudhury

Media & Communications, Fiinovation

Budget Highlights – Education Sector

The much awaited Union Budget 2017 was presented by the Finance Minister Arun Jaitely on 1st February 2017. Education is one of the key components for driving economical growth and acts as impetus for government schemes such as Make in India, Digital India and Skill India. Government should devise schemes to boost other sectors such as Automation, Artificial Intelligence, Textile, Energy etc. apart from focusing on the IT and applied IT sectors.

It is extremely important to pay attention on improving the quality of educational institutes for creating skilled workforce, ready to join the industry. The key budget highlights of the Education sector are as following –

  • In year 2017, citizens will gain access to SWAYAM, a massive open online courses (MOOC) platform. This education portal, will be introduced with 350 online courses and will be providing high quality e-content to all the colleges and universities free of cost.
  • Job-creating packages for textile sector
  • Good quality institutions which will possess better quality and education
  • 100 international centres will be launched across the country for providing assistance to the youth seeking jobs outside India
  • PM Kaushal KendrasPM Kaushal Kendras to be extended to 600 districts
  • 5 crore youth to be trained under Sankalp programme launched by government
  • Quality and market relevance will be noted in vocational training
  • Special scheme for employment has been launched in the textile sector
  • National Testing Agency will be conducting major entrance examinations
  • CBSE will be freed from conducting examinations, and will focus majorly on academics
  • Skill strengthening to be implemented from this year with a budget of Rs 2,200 crore
  • Greater autonomy will be provided to major institutes
  • UGC will be reformed for higher education, colleges and institutions will give more autonomy
  • Two new AIIMS to be opened in Jharkhand and Gujarat
  • Big employment opportunities to come up in tourism sector
  • Government will provide education through digital platform and the country will be turned into an electronics hub
  • Additional opportunities for employment of women to open up through model shops and establishment bill
  • The BHIM app has been downloaded 17 million times, and special cash back scheme for BHIM users

The main highlight of the budget in education sector was the introduction of 350 online courses and big employment opportunities to be introduced in textile and tourism sectors.

By Manisha Bhatia

Media & Communications, Fiinovation

MOBILE APP HELPING WOMEN IN SLUMS FOR SMOOTH PREGNANCY

As per the estimates by WHO (World Health Organisation), 5,29,000 maternal deaths occur in the world every year. Out of these around 1,36,000 or 25.7% of total deaths happen in India. Every five minutes, one Indian woman die during pregnancy and child birth.

In a statement released by WHO, it was stated that, “Two-thirds of maternal deaths occur after delivery and postpartum hemorrhage being the most commonly reported complication. The incidence of emergency postpartum hysterectomies is about 83/100,000 with a maternal mortality of 17.7 per cent and a perinatal mortality of 37.5 per cent”.

India carries the burden of around 17 per cent of the global maternal deaths and post-partum haemorrhage, accounting for as high as 37% of the maternal deaths. This situation will prove to be a major hindrance for India in achieving the goal of a healthy and developed nation.

Majority of women dying and facing complications during pregnancy and childbirth are from the lower income group and neither they are aware about reproductive health nor have the money to consult the doctors or afford appropriate healthcare facilities.

In order to improve the healthcare conditions of pregnant women for safe child birth, better health post delivery, the Maharashtra based NGO has started free mobile voice call service known as mMitra for giving free consultation to the women during their pregnancy. A voice message has been regularly sent to the enrolled women, reminding them continuously about the mandatory medicines, tests and scans required during their pregnancy.

Nearly 1.30 lakh women from the Nalasopara slum area of Maharashtra have enrolled for the service. Women have enrolled for this service and were guided through short voice messages like regular health checkups, ultrasounds, diet, etc. Many women have claimed multiple benefits from the service like better health, “uneventful” delivery which means without any complications such as diabetes, high blood pressure or bleeding during the childbirth. Inspired by the benefits, they are also encouraging the many other women in their area to register for the services.

The initiative is the brainchild of Dr. Aparna Hegde, alumna of a Sion Hospital in Mumbai. “The success of the initiative shows that there was a great need for an information medium. Women are now demanding iron and folic acid from hospitals, which was always available for free but they had no knowledge about it.

During a study conducted by the same NGO it found that there is a 36% increase in the knowledge of women listening to the voice messages consistently and 47% increase in women knowing about the three family planning methods. Looking at the success and popularity of the programme, the NGO is planning to extend services to other states of India like Delhi, Assam, UP, etc. to educate and help women during pregnancy and childbirth as well as maintain good maternal health post childbirth.

Fiinovation urges the leading hospitals and health consultancies to extend support for such initiatives through their CSR funds and technical expertise for creating a huge impact in the lives of millions of young women, focused on reducing maternal mortality rate and achieving universal access to the reproductive health care.

Manisha Bhatia


Corporate Social Responsibility – In Context of 2017

The year 2017 brings new hopes in the social development sector with more businesses contributing towards improving the standard of living of the people. With praises across the country for their contributions, the businesses are now more focused on strategising CSR rather than doing charity. However, there are several questions which are not answered as CSR projects are not good parameters for judging societal welfare. Today, it is unclear whether CSR spending by businesses have increased or not as compared to the days before the mandate, with not much available information.

However, data from the last two years suggest an increase of CSR funding with Indian businesses spending INR 9,309 crore in 2015-16. This is INR 163 crore more than what was required by the law and INR 703 crore more than 2014-15. The major focus areas for businesses have been Education and Health and they are likely to remain one of the most favoured sectors for CSR investments.

Understanding the present situation, Fiinovation, a global CSR consulting company analyses the trends in CSR for the year 2017.

1. Environment – After the successive droughts that nearly crippled the rural economy, it is expected that businesses will look to invest their CSR funds in projects that mitigate the climate change risks. Keeping focus on water, businesses will look to implement CSR projects for natural resource conservation, rain water harvesting, safe drinking water, watershed development and irrigation. Organic agriculture, climate smart agriculture, grain production with new innovative methods, etc. will also receive adequate focus. Several companies are looking to reduce their harmful environmental impacts.

2. Education – Several businesses will rather not look to diversify and stick to their CSR projects in education. It is expected to remain the favourite sector when it comes to CSR expenditures. Although, there might be a shift towards digital literacy, digital education and higher education to meet the current demands of the nation.

3. Health – Similar to Education, investments in health projects is likely to continue even this year. Focus will be on preventive healthcare along with healthcare infrastructure facilities including ambulances, digital check ups, diagonistic centers etc. Several businesses will also look to invest in public health in a public-private partnership model working in tandem with the government initiatives.

4. Skill Development – The Indian Government is currently committed towards providing skill development trainings to the youth. The government also provides additional support for entrepreneurship of the SC, ST and women. The government has also urged the businesses to contribute their CSR funds towards skill development trainings to ensure that the emerging workforce is formally skilled. It is expected that businesses will also look to boost infrastructure in the ITIs and Training Institutes to support the government. There are several businesses who are also investing in Sustainable Agriculture projects by providing trainings to the farmers.

5. Other Sectors – It is also expected that several other sectors will receive CSR funding but not at a very large scale. Swachh Bharat, Clean Ganga, Digital Literacy, renewable energy, etc. are some areas which will receive contributions.

The impact of the CSR law can be better understood after the end of this year, when experts review the first three years after the enforcement of the law.

By Rahul Choudhury

Media & Communications, Fiinovation

Fiinovation: Beyond the Mandate – Changing CSR Paradigms

Not long ago, not many people cared about corporate social responsibility, at least in India. The concept might be known to a few, but there wasn’t much thought on the same. In the last two decades, things have changed significantly. Firstly, the economic reforms in 1991 laid the red carpet for the MNCs to start operating in India.

With the MNCs came the concepts of cause marketing, corporate responsibility, employee welfare, volunteerism, ethical practices, etc. Few other concepts, such as the Triple Bottom Line Approach (coined by the British consultant John Elkington in 1994), Shared Value (Michael Porter in 2011) and Conscious Capitalism (Raj Sisodia and John Mackey in 2013) also came into the limelight.

It was clear that in the last two decades, the emergence of these concepts targeting the commercial enterprises came up suggesting that the businesses should go beyond the obvious financial parameters and develop a holistic framework for assessing the impact of the business operations. From the point of view of the businesses, time and again they have spoken about doing good towards the society and environmental sustainability in their annual reports. Yet, the big issues such as climate change and well-being of the people and planet are prevalent along with a huge disparity.

The passing of the CSR law in India, seemed to have formalised the social sector contributions by the private entities. With not much data, a comparison of the same cannot be made. However, at least in the last two years, there has been significant amount of funds being invested in social projects. Businesses are now taking CSR as a strategic business concept and not many are contributing as a mere charity.

The move to bring about a cultural change within the businesses in India highlighted two concerns. Firstly, majority of the companies are searching beyond their own competencies to create programmes as per the Schedule VII. Secondly, there is not enough capacity or capability in the existing NGOs to meet the requirements of the businesses.

Fiinovation, a global CSR consulting company suggests that social sector initiatives require endurance and extended periods of investments in capability and delivery to make a significant impact. The concept is still evolving and incorporating sustainability issues, despite specifications mentioned in the Schedule VII. The whole idea is not to departmentalize business ethics and social responsibility, rather focus on sustainable corporate practices which includes CSR. Fiinovation suggests the idea of amalgamation of social and environmental issues within the business processes, help the businesses achieve enduring socio-economic outcome.

sustainability-framework

The time has come for businesses to be linked with ecosystem and not empty effluents into rivers and then contribute funds towards Clean Ganga. If businesses are truly considering becoming responsible entities they have to reduce, re-use and re-cycle the waste at least by 50 per cent. Therefore, when corporate social responsibility emanate from the core competencies of the respective companies, there is a higher chance of creating systemic solutions for delivery of social benefits.

By Rahul Choudhury

Media & Communications, Fiinovation

Fiinovation’s Take on Health Sector Problems

The world’s second most populous country is currently facing a triple-disease burden of maternal and child health, infectious and non-communicable diseases. Despite significant efforts, India has been unable to provide affordable healthcare solutions to the masses. With India being the third-largest economy in the world, it isn’t being able to deliver world-class healthcare services to the 800 million people residing in the rural areas.

Fiinovation, a global CSR consulting company, suggests that India’s tax-based funding of healthcare is not adequate and barely support the healthcare system. India annually spends approximately Rs 6 trillion on healthcare to cater to 1.3 billion population. With an experience of over eight years in health projects, Fiinovation understands that over 60 per cent of healthcare expenditure in India is being incurred by individuals themselves. Indians usually spend a lot of money on healthcare services.

Indians have the innate tendency to ignore health issues until we are really sick. This is the reason why Indians don’t opt for health insurances. The health insurance covers less than 5 per cent of total health expenditure. Apart from this, formal private network is a small portion of India’s health sector. The people usually suffer due to such circumstances and spend heavily on hospitals, completely ignoring primary care and early diagnosis.

Understanding the situation, Fiinovation believes the sector needs a complete revamp to achieve the health targets of the nation. Like several other countries, India too needs to on taking the path of free markets and build high-performing health systems. There needs to be a push towards health insurance. Countries, such as Japan, Britain, Germany and Thailand have given a lot of emphasis on providing universal health coverage. Fiinovation believes that the government will play a crucial role in designing and supervising the entire health system of the country, instead of just focusing on state-owned hospitals and public health centers.

Equally, the private sector should join hands with the government, take cognizance of the loopholes and establish an effective healthcare system in the country along with mechanisms for early diagnosis and universal health insurance coverage. If adequate healthcare services are provided in the rural areas, it will reduce the burden of hospitals and clinics in the urban areas. A lot of lives can also be saved, if facilities for early detection and diagnosis are available. With health being a favourable sector for CSR expenditures in the country, businesses should definitely look to organise health camps and provide other infrastructural facilities to curb the prevailing health problems in India. There has always been a need to spread more awareness about the preventive measures of diseases.

At present, it seems to be an uphill task for India, however, countries such as Thailand, Brazil and South Korea had similar health statistics which they managed to turn around in the last two-three decades. India can take note from these countries and start planning for re-designing the healthcare system of India.

By Rahul Choudhury

Media & Communications, Fiinovation