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Sehgal Foundation among 6 finalists for Golden Peacock Award

Gurgaon, India, March 2006 - The S.M. Sehgal Foundation, an NGO focusing on integrated, sustainable rural development in India, is among the six finalists chosen from 90 organizations for the Golden Peacock Global Award for Philanthropy in Emerging Economies 2006.

After its selection, the Foundation was invited to the Global Conference on Social Responsibility at Vilamoura in Portugal . The theme at the conference was 'The Role of Business in Alleviating Poverty; Practical Steps to Benefit the Poor and Raise Profits'.

The participants comprised corporates, NGOs, government and academia. An India-oriented key note address was delivered by Prof. C.K. Prahalad of University of Michigan , among the world's top 10 management thinkers. Former Prime Ministers of Sweden, Canada and Portugal were also present at the conference. The key person behind this initiative was Dr. Madhav Mehra, UK , who is the President of the World Council for Corporate Governance, and the founder of SM Charitable Trust in Delhi and Himachal Pradesh, with its office in London .

While one of the Foundation's representatives spoke on 'Philanthropy & Millennium Development Goals', another member chaired the session on 'Poor - a Source of Innovation & Wealth Creation'.

The key messages of the conference were:

• The mantra for CSR is the triple bottomline approach.
• Treat the poor as an opportunity rather than a burden. They should be treated both as consumers and producers.
• Focus on innovation rather than changing or perfecting existing things.
• The non-negotiables for CSR products: (1) World-class (2) Cost should be Price - Profit, and not Cost + Profit (3) Globally inclusive i.e. for rich & poor, rural & urban.
• Need for end-to-end solutions and not piecemeal
• Successful sales to the bottom tier are based on low price, an inbuilt mechanism of credit, but world-class with trust as the key.
• Successful CSR models are based on: (1) Reduction of wastage (2) Understanding economics behind huge numbers in the bottom tier. For e.g. the innovation of selling shampoo in affordable sachets. (3) Capitalizing on currency differences of different countries. For e.g. profits from medical tourism at Hinduja's are being channelized for charitable medical services for the poor in a sustainable manner.

Our Recommendations:

• Network with UNEP and embassies.
• ICICI-ITC model for innovative banking.
• Dr. Mashelkar's project on reducing cost of sanitary napkins from Rs. 55 to Rs. 10.
• Prof. Prahalad's group has developed an innovative 'chullah', which increases the efficiency of the current fodder 'chullah' used in most villages. It has temperature regulation and can also be attached to LPG when it's available. It has been developed through interaction with village women and is in the pilot testing phase in India .
• We may read Prof. Prahalad's books 'Competing for the future', 'Future of the Competition: Co-creating Unique Value'.
• Half the world's population will speak English in the near future. Our villagers could avail this advantage.
• Attend the Palampur, India conference in June'06.

Currently, the Foundation works in 22 villages, with 21 of them in the Mewat district of Haryana and one in Jyotisar village, Kurukshetra district, Haryana.

The Foundation addresses sustainable development in India 's rural communities, through empowerment of local institutions and community participation. For this, it has developed an "Integrated, Sustainable Village Development" (ISVD) model, which includes water management, income enhancement, rural health and family life education.

Also, the Foundation's "Academy of Rural Research and Development" (ARRAD) is in the planning stage and intends to become a leading information resource for policy makers, a mass scale training centre for village champions, social scientists and other NGOs.

The S.M. S ehgal Foundation has a Special Consultative Status with the Economic and Social Council of the United Nations (ECOSOC), and is also a member of IndianNGOs.com, Times Foundation and Credibility Alliance . It is a recipient of the Bharat Samman Award from the NRI Institute.

Programs of the Foundation are based on community mobilisation and are undertaken only after first consulting with the village community and gaining their approval. The goal is to ensure maximum community involvement and to lay the basis for continued sustainability. The village Gram Sabha (all voting-age villagers) and the Panchayat (village council) are involved in all decision making. The Foundation also seeks the active involvement of government organizations.

Since 1999 to 2004, the Sehgal Foundation spent $ 14.9 million on development initiatives in India and abroad. In 2004, the Sehgal Foundation , India spent $5,95,600 (Rs. 26.9 million) for development initiatives.

In 2004-05, through its community mobilization programs, the Foundation has helped villagers realize that development lies in their hands and is not just the government's duty. Earlier, the Panchayat members were elected based on the local politics but now honest and development oriented villagers are being voted for. Another indicator of success is the extent of community contribution for development projects.

In a span of two years, the following programs have been initiated and are progressing:

• 100% immunization, reduction in infant mortality rate, prevention of epidemics, reduction in maternal mortality, and planned parenthood.
• 839 girls have become literate.
• 1124 girls and boys have gained more general knowledge specially on health, and confidence
• 2,483 school children are benefiting in their formal primary and secondary education.
• Nine solar lights are placed in strategic locations in villages. Assistance is also provided to individuals who want to use solar technology in their house.

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