This presentation was created for the purpose of basic knowledge sharing about the CSR and FDI to Myanmar by the best knowledge of the author. Not intended to be utilized for any business/commercial purpose.

1. CORPORATESOCIALRESPONSIBILITY & FOREIGNDIRECTINVESTMENT
MYANMAR
20th SEPTEMBER, 2015Prepared By: ZAY YAR TUN

2. 2
 Corporate Social Responsibility (CSR)
 Foreign Direct Investment (FDI)
 CSR & FDI MYANMAR
CONTENT

3. 3
 Corporate Social Responsibility (CSR)
 Foreign Direct Investment (FDI)
 CSR & FDI MYANMAR
CONTENT

4. 4Corporate Social Responsibility
DEFINITION OF CSR
 TEXT BOOK SAYS…
 RELATIONSHIP between CORPORATE AND STAKEHOLDERS
 WHAT WE (MYANMAR PEOPLE) BELIEVE…
 “PaRaHiTa” integrated into “Business” perspective
 BUSINESS DICTIONARY DEFINED…
 COMPANY’ sense of RESPONSIBILITY towards the COMMUNITY and ENVIRONMENT
 WIKIPEDIA MENTIONED…
 CORPORATE SELF-REGULATION integrated into a BUSINESS model

5. 5Corporate Social Responsibility
 ECONOMICAL…
 Be Profitable, maximize sales and minimize costs
 PHILANTHROPIC…
 Good corporate citizenship, CSR, Sustainability
 ETHICAL…
 Do Right, Fair, Justice, Ethical
 LEGAL…
 Obey the Law, Rules and Regulations
Good Business VS
Being Good in Business

6. 6Corporate Social Responsibility
TRIPLE BOTTOM LINE OF CSR

7. 7Corporate Social Responsibility
Evaluation of CSR

8. 8Corporate Social Responsibility
Evaluation of CSR

9. 9Corporate Social Responsibility
Evaluation of CSR

10. 10
STRENGTH WEAKNESS
• Good Corporate Governance
• Good Reputation
• Effective Marketing/Branding Tool
• Certain extra cost
• Waste of time/human resources if
improper management
•
OPPORTUNITY THREATS
• Becoming international trend
• Customer’ behaviors/preference has
changed
• Win-Win situation for corporate and
communities
• Good practices but various ways
of understanding/definitions
• Wrong purpose to cover
irregularities or illegal business
activities
• Becoming just for show-off CSR
Corporate Social Responsibility
SWOT ANALYSIS OF CSR

11. 11
STRENGTH WEAKNESS
• Good Corporate Governance
• Good Reputation
• Effective Marketing/Branding Tool
• Certain extra cost
• Waste of time/human resources if
improper management
•
OPPORTUNITY THREATS
• Becoming international trend
• Customer’ behaviors/preference has
changed
• Win-Win situation for corporate and
communities
• Good practices but various ways
of understanding/definitions
• Wrong purpose to cover
irregularities or illegal business
activities
• Becoming just for show-off CSR
Corporate Social Responsibility
SWOT ANALYSIS OF CSR

12. 12
STRENGTH WEAKNESS
• Good Corporate Governance
• Good Reputation
• Effective Marketing/Branding Tool
• Certain extra cost
• Waste of time/human resources if
improper management
•
OPPORTUNITY THREATS
• Becoming international trend
• Customer’ behaviors/preference has
changed
• Win-Win situation for corporate and
communities
• Good practices but various ways
of understanding/definitions
• Wrong purpose to cover
irregularities or illegal business
activities
• Becoming just for show-off CSR
Corporate Social Responsibility
SWOT ANALYSIS OF CSR

13. 13
STRENGTH WEAKNESS
• Good Corporate Governance
• Good Reputation
• Effective Marketing/Branding Tool
• Certain extra cost
• Waste of time/human resources if
improper management
•
OPPORTUNITY THREATS
• Becoming international trend
• Customer’ behaviors/preference has
changed
• Win-Win situation for corporate and
communities
• Good practices but various ways
of understanding/definitions
• Wrong purpose to cover
irregularities or illegal business
activities
• Becoming just for show-off CSR
Corporate Social Responsibility
SWOT ANALYSIS OF CSR

14. 14
STRENGTH WEAKNESS
• Good Corporate Governance
• Good Reputation
• Effective Marketing/Branding Tool
• Certain extra cost
• Consume time/human resources
• Not effective if improper
management
OPPORTUNITY THREATS
• Becoming international trend
• Customer’ behaviors/preference has
changed
• Win-Win situation for corporate and
communities
• Good practices but various ways
of understanding/definitions
• Wrong purpose to cover
irregularities or illegal business
activities
• Becoming just for show-off CSR
Corporate Social Responsibility
SWOT ANALYSIS OF CSR

15. 15
 Corporate Social Responsibility (CSR)
 Foreign Direct Investment (FDI)
 CSR & FDI MYANMAR
CONTENT

16. 16Foreign Direct Investment (FDI)
 FDI is…
 Investment to a country by a individual, private/public
company, government and so on, from another country
FDI
 WHY FDI…
 Seeking for Markets, Products, Resources, Efficiency,
Strategies, Assets and so on.
 TYPES OF FDI…
 New incorporation, Joint Ventures, Merger, Acquisition,
Shareholders, Strategic Partnership/Alliance and so on.

17. 17Foreign Direct Investment (FDI)
Myanmar

18. 18Foreign Direct Investment (FDI)
FDI Myanmar

19. 19Foreign Direct Investment (FDI)
FDI Myanmar Overview

20. 20Foreign Direct Investment (FDI)
FDI Law Myanmar
 Opportunities…
 Agriculture
 Infrastructure
 Energy
 Mining
 Manufacturing
 Hotel & Tourism
 Benefits…
 Income Tax Exemption 5 consecutive years
 Exemption of commercial tax for goods
produced for export
 Exemption of customs duty for raw
materials 3 years
 and so on.
(Number 21/2012)
 Rules to follow…
 All related laws/rules & regulations, Corporate Tax, Commercial Tax, Local employee
25%, 50% and 75% at 2nd , 3rd, 4th years, CSR 1-3% on Net Profit
1-3%

21. 21
 Corporate Social Responsibility (CSR)
 Foreign Direct Investment (FDI)
 CSR & FDI MYANMAR
CONTENT

22. 22CSR & FDI MYANMAR
WORLD GIVING INDEX
Myanmar
Myanmar
1

23. 23CSR & FDI MYANMAR
SAMPLE CSR PRACTICES
By FDI Myanmar
 Multi-National-Company (MNC) operates in over 100
countries with about 200,000 employees
 Signal Toothpaste CSR target: To provide oral healthcare
education to 4 millions students at 2016
 Lifebuoy Health Soaps CSR target: Lifesaving Hand-
washing Program for a child reach 5 to everybody i.e 20
million people at 2020

24. 24CSR & FDI MYANMAR
SAMPLE CSR PRACTICES
By FDI Myanmar
 International-Company operates in over 13 countries with
186 million subscribers, established in Myanmar 2014
 Responsible Business :
- Human Rights, Labours Rights
- Children Rights and Digital Harassment (UNICEF)
- ISO 140001 (Environmental Management)
- Wikimedia Foundation: Information Sharing FOC
(Malaysia, Myanmar, Thailand, Bangladesh, Montenegro)
- OHSE for employee, vendors, suppliers, contractors
- Electronic Waste Management
(Recycling Handsets, Batteries, Energy Consumption)

25. 25CSR & FDI MYANMAR
SAMPLE CSR PRACTICES
By FDI Myanmar
 International-Company operates in over 15 countries with
107 million subscribers, established in Myanmar 2014
 Responsible Business :
- Strong Supports in Myanmar Football
- Education Supports (Mobile Education Project, Youth
Forums, English Language, Libraries: 20,000ppl)
- Empowering Women (Connected women conference)
- Health Supports (PSI programs: 120,000 ppl)

26. 26CSR & FDI MYANMAR
SAMPLE CSR PRACTICES
By FDI Myanmar
 Public Listed (NYSE:KO) Company and Products sold in
over 200 countries with est. 129 millions consumers
 Responsible Business :
- Women Economic Empowerment
(Target 25,000 women / 3 million USD by 2020)
- Waste Water Management System
(Environment Sustainability)
- OHSE management (Labors rights, Human Rights)

27. 27CSR & FDI MYANMAR
SAMPLE CSR PRACTICES
By FDI Myanmar
 World 4th Largest Oil & Gas Company operates in over 130
countries with 100,000 employee and established in
Myanmar since1995.
 Responsible Business :
- Human Rights, Business Ethics, Industrial Safety,
Environmental (ISO14001, Waste Management)
- Socio-economic Programs: access to education, public
health, road infrastructure for 50,000 people from 25 villages
(1995 to now).

28. 28CSR & FDI MYANMAR
SAMPLE CSR PRACTICES
By FDI Myanmar
 World Leading Integrated Company operates in 5
continents with 32,00 service stations
 Responsible Business :
- SHINE Program : Sustainable Health Improvement and
Empowerment (1,500 villages 1 million ppl and Targets 2017:
310 villages with 160,000ppl)
- SOCIO ECONOMIC Program: 33 villages 50,000ppl at 28
million USD

29. 29CSR & FDI MYANMAR
SAMPLE CSR PRACTICES
By FDI Myanmar
 Established since 1837 (178 yrs) public listed company
(NYSE:PG) distribution of products in 180 countries
 Responsible Business :
- Clean Drinking Water Project: 2 million USD (45 million litres
of Clean Drinking Water have been provided to various area
since 2011)
- Provided 31 million litres of clean drinking waters in 2008
cyclone Nargis
- Health Support and Hygiene Behaviours

30. 30CSR & FDI MYANMAR
P&G Clean Drinking Water Project Video
https://www.youtube.com/watch?v=LexUb0ia_bY

31. 31CSR & FDI MYANMAR
EXPERIENCE SHARING
 Integrated as mission statements: to be an environmentally
responsible organization
 High-quality fuel products: to reduce the environmental footprint
i.e selling high sulphur content products.
 To be obtained and in-line with ISO 14001:2004 Environmental
Management System.
 25,000 Trees (40 Acres) planted and counting…

32. 32CSR & FDI MYANMAR
EXPERIENCE SHARING
 Road Safety Program
 Supporting Traffic accident victims
 Participating National Road Safety Week

33. 33CSR & FDI MYANMAR
REVIEW & RECOMMENDATION
CSR IN
PHILANTROPHY
CSR IN RISK
MANAGEMENT
CSR IN VALUE
CREATION
 CSR IN BUSINESS APPROACH
- BUSINESS STRATEGY TO CSR STRATEGY
- BUSINESS PLAN TO CSR PLAN
- BUSINESS MANAGEMENT TO CSR MANAGEMENT
- BUSINESS REPORT TO CSR REPORT (SUSTAINABILITY REPORT)
A “SOCIAL LICENCE” TO OPERATE BUSINESS??

34. 34CSR & FDI MYANMAR
BRAIN STROMING

35. 35
BRAIN STROMING
CASE-1
 Well know Multi-National-Company (MNC) invested various business
in a country.
 In government officials visited around the area where they built a
factory, they were asked to help the village by building up the
schools, by repairing the roads and by nurturing the environment.
 And the company implemented accordingly to support the villages.
 Question: Do you think that company practice CSR? WHY?
CSR & FDI MYANMAR

36. 36
 An International firm built up a factory near the river though a bit
far from the village.
 After a few years the villagers claimed that the river became not
clean enough to use as the major source of water for them.
 The company insisted that they have proper waste management
system since from the beginning.
 Government authority instruct the company to do feasibility study
now and take full responsibility to make the river clean back. And
they do accordingly.
BRAIN STROMING
CASE-2
 Question: Do you think that company practice CSR? WHY?
CSR & FDI MYANMAR

37. 37
CREDITS/REFERENCE:
 David Crowther, Guler Aras: “Corporate Social Responsibility”
 Subhasis Ray.S.Siva Raju: “Implementing Corporate Social Responsibility”
 MIC/DICA/GIZ: “Myanmar Investment Guide 2014”
 McKinsey Global Institute : “Myanmar Moments: Unique Opportunities and Challenges”
 The World Bank Group: Myanmar Economic Monitor 2013
 MCRB-Vicky Bowman: “Responsible Business in Myanmar and CSR”
 Oxford Business Group: “The Report Myanmar 2015”
 www.en.wikipedia.org/wiki/Corporate_social_responsibility
 Mango Group: “Unilever CSR Initiative”
 Unilever: “Sustainable Living Plan”
 Telenor Myanmar: “Business Sustainability Update”
 Ooredoo: “Annual Report 2014”
 Coca Cola: “Sustainability Report 2014-15”
 Chevron: “2014 Corporate Social Responsibility Report Highlights”
 Total: “Yadana CSR Annual Report 2014”
 P&G: “2014 Sustainability Report”
 UN Global Compact: “Max Energy COP 2013 and 2014”

38. CORPORATESOCIALRESPONSIBILITY & FOREIGNDIRECTINVESTMENT
MYANMAR
20th SEPTEMBER, 2015
THANK YOU
FOR
YOUR ATTENTION
&
“ A ”
“ Q ”
Prepared By: ZAY YAR TUN