Corporate Social Responsibility (CSR) has evolved into a potent tool for positively impacting society. One individual who epitomises this ethos is Mr. Jignesh Shah, the Founder, Chairman Emeritus, and Chief Mentor of 63 Moons Technologies Limited.
Jignesh Shah’s commitment to leveraging markets for CSR activities has led to the creation of groundbreaking initiatives like the ‘Gramin Suvidha Kendra’ (GSK) in collaboration with India Post. Let’s look at the GSK project, exploring its origins, operating model, and profound impact on rural communities.
The Genesis of Gramin Suvidha Kendra
In 2006, Multi Commodity Exchange of India (MCX), an ex-sister company of NSEL, embarked on a journey to bring transformative change to the lives of farmers and rural communities. Under the leadership of SA Srinivas and Venkatachalam Shunmugam, the GSK initiative was conceived. The primary objective was to create a holistic village convenience centre that could cater to the diverse needs of rural populations, particularly farmers.
GSK Operating Model and Services
The Gramin Suvidha Kendra operates on a ‘spokes and hub’ model, capitalising on India Post’s extensive multi-tiered structure. India Post’s network of head post offices, sub-post offices, and branch post offices serves as the infrastructure backbone for GSK. Sub-post offices (SOs) function as hubs, while branch-post offices (BOs) serve as spokes connecting to the corners.
MCX equipped each SO with essential tools, including a PC, fax-copier-printer-scanner, web camera, and Internet connection. A local youth was appointed GSK coordinator at each hub, receiving a basic salary and performance-linked incentives. This approach ensured that the GSK centres were managed by individuals who profoundly understood the local community’s needs.
Collaboration with India Post
The collaboration between MCX and India Post was pivotal to the success of the GSK initiative. MCX and India Post jointly selected post offices for launching GSK centres. Each state’s Postal department signed a Memorandum of Understanding (MoUs) with MCX, granting the use of premises within post offices and access to postal staff. The discretion to identify the specific beliefs and staff allocation rested with the Chief Postmaster General of each state.
Initial Impact and Results
One of the most telling indicators of GSK’s success was observed in Jalgaon in November 2007 when MCX conducted a survey to assess its impact. The results were staggering. Farmers reported significant crop diversification, enabling them to fetch better prices for their produce by timing their sales more effectively. Moreover, they praised the quality of seeds procured through GSK.
Beyond these direct benefits, GSK also improved farmers’ overall quality of life. They no longer needed to travel to distant markets for price information and other agricultural needs, allowing them to spend more quality time with their families. This, in turn, contributed to a sense of peace of mind among the rural population.
The Road Ahead for Gramin Suvidha Kendra
MCX’s vision for GSK was to create a self-sustainable model that ensured fair market prices for every farmer, optimised farm inputs for higher yields and quality and promoted warehouse receipt financing through banks as the norm. The company envisioned expanding the range of services offered through the GSK platform. This included agricultural products and non-agricultural essentials like healthcare and hygiene products, further enhancing the brand value of GSK and MCX.
Jignesh Shah’s Vision: Creating Lasting Change in Rural India
Jignesh Shah‘s Gramin Suvidha Kendra is a shining example of how corporate leaders can make a meaningful difference in the lives of rural communities through innovative CSR initiatives. By leveraging the vast network of India Post and a keen understanding of the rural ecosystem, GSK has empowered farmers and enriched their lives.
As we look to the future, initiatives like GSK stand as beacons of hope, demonstrating the profound impact that socially responsible business practices can have on society’s most vulnerable segments.
