Let your exit strategy be your entry strategy

Unless your CSR projects do not have a well-defined exit strategy, your organisation is going to be saddled with projects that do not serve their real purpose.

There was a time when CSR projects were all about philanthropy. Where giving freebies was the norm.

In an interaction with a hamlet of farmers in rural Maharashtra a decade ago, we really struggled to onboard them on our project. Our project was unique. It was designed with the government as an active partner. Yet, we failed miserably. Only because our project was based on equal ownership of the beneficiaries. The farmers had to pay a nominal amount to become members and avail of the benefits. This was to ensure their accountability and responsibility in the execution of the project.

We were not prepared for the backlash. On digging deeper we found that the Corporate present in the area for years had been providing basic facilities for free. The farmers and villagers were used to free amenities so much so when our CSR project asked for a nominal fee, it was rejected. Despite it being a winning model in other locations and States.

We moved out from that location and took our model elsewhere. We were clear that grassroots governance was critical to the success of our program.

A similar story panned out this month when Tata Education Trust decided to withdraw their grant for payment of contractual faculty and staff at Tata Institute of Social Sciences (TISS). Faced with this sudden change, TISS had to let go of the contractual faculty. The backlash across social media had Tata Education Trust resume the grant. The whole saga raised questions on the longevity and sustainability of philanthropic largesse.

The current CSR law emphasiaes activities be carried out on a project mode with a 4 year longevity. The onus is on organisations to develop projects that have a measurable impact. And equally important have the exit strategy built in right from the design phase.

Impact and exit are entwined together. It is easier to exit a strong impactful program than one that has no measurable outcome.

If your project is able to change the lives of the beneficiaries either through livelihood or increase in income and if you are able to train the beneficiaries to own the programs, then it becomes easy to withdraw. There is no bitter feeling. The beneficiaries do not feel as though they have been taken for a ride by a Corporate. And the Corporate also is able to move on to new projects, new locations, and new partners with a sense of achievement.

Making beneficiaries move from dependency to independency requires the project to have a long term strategic vision. The vision has to also internally align with business priorities and mission. The biggest hurdle in this move is the time that it takes to make mind-shift changes amongst beneficiaries. The best way to do so is to start by hand-holding them and over time build in capacity building programs that train the beneficiaries to take over the projects. A good scenario is one wherein grassroots governance kicks in from the beginning and where ownership by beneficiaries is implemented midway itself. This allows the Corporate to be around for the remaining period and oversee the whole process.

Begin with the end in mind. Your exit strategy should define the entry of your CSR projects.

The views and opinions published here belong to the author and do not necessarily reflect the views and opinions of the publisher.

Sarita Bahl

Sarita Bahl is an alumnus of Tata Institute of Social Sciences and the Swedish Institute of Management Program. An experienced and versatile leader, she comes with nearly four decades of professional experience. She has over the years successfully overseen the communications and public affairs function and led the corporate social responsibility strategy for Bayer South Asia, Pfizer, and Monsanto, among others. Sarita has held multiple roles across diverse industries, the public sector, trade associations, MNCs, and the not-for-profit sector. Her areas of interest include advocacy, stakeholder engagement, sustainability, and communications.

As an Associate Certified Coach (ACC) from the International Coaching Federation (ICF) and Senior Practitioner (Mentoring) from the European Council of Mentoring and Coaching (EMCC), Sarita specializes in career transition, inner engineering and life issues. Sarita enjoys writing and is passionate about animals, books, and movies.