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CS Professional · CSR and Social Governance · Impact of CSR

Kaveri Foods Ltd ran a girls' scholarship programme in a district. After three years, school completion among girls rose by 18%. A state government drive for free bicycles and meals ran in the same district over the same period. The company claims the entire rise as its impact. Which measurement challenge is most directly involved?

The challenge is attribution. When other programmes, such as the state scheme, operate in the same area and period, the observed improvement cannot be wholly credited to the company. Isolating its contribution requires a control or comparison group or similar methods to separate its effect from other influences.

  1. AAttribution of change to the company's intervention amid other factorsCorrect
  2. BNon-availability of audited financial statements
  3. CMandatory spending of 2% of average net profit
  4. DAbsence of an implementing agency

Explanation

Attribution is the difficulty of isolating how much of an observed change is caused by the company's programme versus other influences such as the government scheme. Using a comparison or control group helps address it. The 2% spending rule and the implementing agency do not bear on this problem.

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