This document discusses how corporate social responsibility (CSR) programs can be adapted to risk management for multinational organizations in Nigeria. It defines CSR as a company's efforts to consider social and environmental concerns in decision-making along with increasing positive societal impact. The document recommends that organizational leaders proactively manage risks and leverage CSR programs and opportunities in the environment to improve stakeholder engagement and reputation. Integrating learnings from CSR into risk management can help companies better address risks and impacts of their economic, social, and environmental activities.
Social responsibility refers to the responsibility of decision makers to take actions which help society & serve own interest . It is also known as corporate social responsibility (CSR) is understood as the obligation of decision makers to take actions which protect & improve the welfare of society as a whole along with their own interests.
Social Responsibility and Ethics in Strategic ManagementRintis Eko Widodo
The concept of social responsibility proposes that a private corporation has responsibilities to society that extend beyond making a profit. Milton Friedman and Archie Carroll offer two contrasting views of the responsibilities of business firms to society.
Social responsibility is the awareness that business activities have an impact on society and the consideration of that impact by firms in decision-making. Visit this page http://bankofinfo.com/social-responsibility-of-business/
Social responsibility of business towards different sections of society .Reasons for the development of social responsibility concept,Arguments against social responsibility,
Social activities undertaken by some companies
Social responsibility refers to the responsibility of decision makers to take actions which help society & serve own interest . It is also known as corporate social responsibility (CSR) is understood as the obligation of decision makers to take actions which protect & improve the welfare of society as a whole along with their own interests.
Social Responsibility and Ethics in Strategic ManagementRintis Eko Widodo
The concept of social responsibility proposes that a private corporation has responsibilities to society that extend beyond making a profit. Milton Friedman and Archie Carroll offer two contrasting views of the responsibilities of business firms to society.
Social responsibility is the awareness that business activities have an impact on society and the consideration of that impact by firms in decision-making. Visit this page http://bankofinfo.com/social-responsibility-of-business/
Social responsibility of business towards different sections of society .Reasons for the development of social responsibility concept,Arguments against social responsibility,
Social activities undertaken by some companies
This report provides an analysis Merit and the demerits of investing in the Colombo Stock Market (CSE), including the process to follow for share trading and monitoring. And evaluation of the current and prospective Profitability, liquidity and financial stability of business sectors.
Corporate social responsibility and disaster management: a study of 2012 floo...Solomon Adetokunbo
The study examines the role of corporate social responsibility in disaster management; a study of the 2012 flood in Nigeria. Flood makes an enormous impact on the environment and society creating a tremendous monetary expense for governments, business and individuals alike, this therefore makes the management of flood or disaster an enormous task that the government cannot handle alone, prompting the need to reach out to corporate organizations. The objective of this study was to find out if CSR was used in managing the 2012 flood in Nigeria, examine the aspect of the management of the 2012 flood in Nigeria that CSR was employed, discover the reasons for the use of CSR in the management of the 2012 flood in Nigeria and to ascertain why corporate organizations where involved in the management of the 2012 flood in Nigeria. Relevant literature was reviewed for the study using the conceptual, empirical and theoretical framework, the Integrated Social contract theory by Donaldson was used for the research, the theory helps to explain the relationship between the society and organizations, stating the expectations of the society from the organizations and how the organization is expected to behave. Interview method was used to gather information, the population consist of all the corporate organizations in Nigeria, the sample was drawn using purposive sampling method, Four organizations; Dangote group, Globacom, Mouka foam and National Emergency Management agency (NEMA) were selected for the study. The findings of the research shows that CSR was employed in the management of the 2012 flood in Nigeria, CSR can play an important role in the management of disaster in Nigeria, however a great chasm still exist between the corporate organizations and statutory regulatory bodies that are in charge of disaster management . it was also observed that the participation of corporate bodies was borne mainly or to a large extent out of a strong and already existing company value for corporate philanthropy and social responsibility, the drive to benefit from the government tax incentive or both. It was therefore based on this findings that this research concludes that CSR can be effective in the management of disaster if well harnessed, it is therefore recommended that proper structure be put in place so as to harness the already existing CSR of corporate organizations and maximize it in the management of disasters.
CSR OF ADITYA BIRLA GROUP OF COMPANIES.Winnie Manoj
WE BASICALLY WANTED TO SHARE OUR MBA PROJECT WITH YOU..
TOPIC : CORPORATE SOCIAL RESPONSIBILITY OF ADITYA BIRLA.
ITS DONE AND WRITTEN IN A LAYMAN'S LANGUAGE SO AS FOR PUBLIC'S BETTER UNDERSTANDING.
Knowledge management (KM) is the process of creating, sharing, using and managing the knowledge and information of an organization. It refers to a multi-disciplinary approach to achieving organizational objectives by making the best use of knowledge
A Corporate Social Responsibility, generally noted by “CSR”, refers to a corporation's initiatives to assess and take responsibility for the company's effects on environmental and social well-being. It generally applies to efforts that go beyond what may be required by regulators or environmental protection groups. Governments seeking to advance sustainable development are increasingly turning to policies and strategies that encourage, support, mandate, or directly demonstrate more socially and environmentally sound business practices. A central component of these policies involves promoting increased transparency of economic activities.
This study examines empirically the relationship between corporate social responsibility and financial performance of some selected banks in Nigeria with the use of secondary data, sourced from six (6) selected banks annual reports and accounts using Judgemental sampling in a population of fifteen (15) Banks. Financial summary between “2002-2011” i.e. ten (10) years period and NSE FACT Book were used to obtain data. The objective of this study is to examine the impact of banks financial performance on Corporate Social Responsibility. The study utilized multiple regressions for the analysis of collected data, findings from the analysis of selected banks show that financial performance (PAT, ROCE, EPS) have significant positive impact on corporate social responsibility, and the collinearity test show that there is no Multicollinearity between the independents variables. The Independent Variables are PAT, ROE, ROA, EPS and ROCE which constitute indicators of banks financial performance while the Dependent variables are Philanthropic, Economic, Legal and Ethical Responsibilities (CSR). It is recommended that Nigerian banks should embrace the culture of CSR and government should established laws and regulations to oblige financial institutions or rather banks in Nigeria to give adequate attention to social responsibility, social accounting and put in place strong mechanisms and institutions to monitor compliance and if possible determine the quantum amount of charitable contribution to be reported in their annual reports and accounts by providing index or range.
The study analyzed the effect of corporate social responsibility on the financial performance of
organizations in Nigeria with emphasis on the construction companies. The population constitutes four
construction companies who are the leaders in the business.
Falcon stands out as a top-tier P2P Invoice Discounting platform in India, bridging esteemed blue-chip companies and eager investors. Our goal is to transform the investment landscape in India by establishing a comprehensive destination for borrowers and investors with diverse profiles and needs, all while minimizing risk. What sets Falcon apart is the elimination of intermediaries such as commercial banks and depository institutions, allowing investors to enjoy higher yields.
"𝑩𝑬𝑮𝑼𝑵 𝑾𝑰𝑻𝑯 𝑻𝑱 𝑰𝑺 𝑯𝑨𝑳𝑭 𝑫𝑶𝑵𝑬"
𝐓𝐉 𝐂𝐨𝐦𝐬 (𝐓𝐉 𝐂𝐨𝐦𝐦𝐮𝐧𝐢𝐜𝐚𝐭𝐢𝐨𝐧𝐬) is a professional event agency that includes experts in the event-organizing market in Vietnam, Korea, and ASEAN countries. We provide unlimited types of events from Music concerts, Fan meetings, and Culture festivals to Corporate events, Internal company events, Golf tournaments, MICE events, and Exhibitions.
𝐓𝐉 𝐂𝐨𝐦𝐬 provides unlimited package services including such as Event organizing, Event planning, Event production, Manpower, PR marketing, Design 2D/3D, VIP protocols, Interpreter agency, etc.
Sports events - Golf competitions/billiards competitions/company sports events: dynamic and challenging
⭐ 𝐅𝐞𝐚𝐭𝐮𝐫𝐞𝐝 𝐩𝐫𝐨𝐣𝐞𝐜𝐭𝐬:
➢ 2024 BAEKHYUN [Lonsdaleite] IN HO CHI MINH
➢ SUPER JUNIOR-L.S.S. THE SHOW : Th3ee Guys in HO CHI MINH
➢FreenBecky 1st Fan Meeting in Vietnam
➢CHILDREN ART EXHIBITION 2024: BEYOND BARRIERS
➢ WOW K-Music Festival 2023
➢ Winner [CROSS] Tour in HCM
➢ Super Show 9 in HCM with Super Junior
➢ HCMC - Gyeongsangbuk-do Culture and Tourism Festival
➢ Korean Vietnam Partnership - Fair with LG
➢ Korean President visits Samsung Electronics R&D Center
➢ Vietnam Food Expo with Lotte Wellfood
"𝐄𝐯𝐞𝐫𝐲 𝐞𝐯𝐞𝐧𝐭 𝐢𝐬 𝐚 𝐬𝐭𝐨𝐫𝐲, 𝐚 𝐬𝐩𝐞𝐜𝐢𝐚𝐥 𝐣𝐨𝐮𝐫𝐧𝐞𝐲. 𝐖𝐞 𝐚𝐥𝐰𝐚𝐲𝐬 𝐛𝐞𝐥𝐢𝐞𝐯𝐞 𝐭𝐡𝐚𝐭 𝐬𝐡𝐨𝐫𝐭𝐥𝐲 𝐲𝐨𝐮 𝐰𝐢𝐥𝐥 𝐛𝐞 𝐚 𝐩𝐚𝐫𝐭 𝐨𝐟 𝐨𝐮𝐫 𝐬𝐭𝐨𝐫𝐢𝐞𝐬."
[Note: This is a partial preview. To download this presentation, visit:
https://www.oeconsulting.com.sg/training-presentations]
Sustainability has become an increasingly critical topic as the world recognizes the need to protect our planet and its resources for future generations. Sustainability means meeting our current needs without compromising the ability of future generations to meet theirs. It involves long-term planning and consideration of the consequences of our actions. The goal is to create strategies that ensure the long-term viability of People, Planet, and Profit.
Leading companies such as Nike, Toyota, and Siemens are prioritizing sustainable innovation in their business models, setting an example for others to follow. In this Sustainability training presentation, you will learn key concepts, principles, and practices of sustainability applicable across industries. This training aims to create awareness and educate employees, senior executives, consultants, and other key stakeholders, including investors, policymakers, and supply chain partners, on the importance and implementation of sustainability.
LEARNING OBJECTIVES
1. Develop a comprehensive understanding of the fundamental principles and concepts that form the foundation of sustainability within corporate environments.
2. Explore the sustainability implementation model, focusing on effective measures and reporting strategies to track and communicate sustainability efforts.
3. Identify and define best practices and critical success factors essential for achieving sustainability goals within organizations.
CONTENTS
1. Introduction and Key Concepts of Sustainability
2. Principles and Practices of Sustainability
3. Measures and Reporting in Sustainability
4. Sustainability Implementation & Best Practices
To download the complete presentation, visit: https://www.oeconsulting.com.sg/training-presentations
Implicitly or explicitly all competing businesses employ a strategy to select a mix
of marketing resources. Formulating such competitive strategies fundamentally
involves recognizing relationships between elements of the marketing mix (e.g.,
price and product quality), as well as assessing competitive and market conditions
(i.e., industry structure in the language of economics).
Personal Brand Statement:
As an Army veteran dedicated to lifelong learning, I bring a disciplined, strategic mindset to my pursuits. I am constantly expanding my knowledge to innovate and lead effectively. My journey is driven by a commitment to excellence, and to make a meaningful impact in the world.
Cracking the Workplace Discipline Code Main.pptxWorkforce Group
Cultivating and maintaining discipline within teams is a critical differentiator for successful organisations.
Forward-thinking leaders and business managers understand the impact that discipline has on organisational success. A disciplined workforce operates with clarity, focus, and a shared understanding of expectations, ultimately driving better results, optimising productivity, and facilitating seamless collaboration.
Although discipline is not a one-size-fits-all approach, it can help create a work environment that encourages personal growth and accountability rather than solely relying on punitive measures.
In this deck, you will learn the significance of workplace discipline for organisational success. You’ll also learn
• Four (4) workplace discipline methods you should consider
• The best and most practical approach to implementing workplace discipline.
• Three (3) key tips to maintain a disciplined workplace.
VAT Registration Outlined In UAE: Benefits and Requirementsuae taxgpt
Vat Registration is a legal obligation for businesses meeting the threshold requirement, helping companies avoid fines and ramifications. Contact now!
https://viralsocialtrends.com/vat-registration-outlined-in-uae/
Affordable Stationery Printing Services in Jaipur | Navpack n PrintNavpack & Print
Looking for professional printing services in Jaipur? Navpack n Print offers high-quality and affordable stationery printing for all your business needs. Stand out with custom stationery designs and fast turnaround times. Contact us today for a quote!
Memorandum Of Association Constitution of Company.pptseri bangash
www.seribangash.com
A Memorandum of Association (MOA) is a legal document that outlines the fundamental principles and objectives upon which a company operates. It serves as the company's charter or constitution and defines the scope of its activities. Here's a detailed note on the MOA:
Contents of Memorandum of Association:
Name Clause: This clause states the name of the company, which should end with words like "Limited" or "Ltd." for a public limited company and "Private Limited" or "Pvt. Ltd." for a private limited company.
https://seribangash.com/article-of-association-is-legal-doc-of-company/
Registered Office Clause: It specifies the location where the company's registered office is situated. This office is where all official communications and notices are sent.
Objective Clause: This clause delineates the main objectives for which the company is formed. It's important to define these objectives clearly, as the company cannot undertake activities beyond those mentioned in this clause.
www.seribangash.com
Liability Clause: It outlines the extent of liability of the company's members. In the case of companies limited by shares, the liability of members is limited to the amount unpaid on their shares. For companies limited by guarantee, members' liability is limited to the amount they undertake to contribute if the company is wound up.
https://seribangash.com/promotors-is-person-conceived-formation-company/
Capital Clause: This clause specifies the authorized capital of the company, i.e., the maximum amount of share capital the company is authorized to issue. It also mentions the division of this capital into shares and their respective nominal value.
Association Clause: It simply states that the subscribers wish to form a company and agree to become members of it, in accordance with the terms of the MOA.
Importance of Memorandum of Association:
Legal Requirement: The MOA is a legal requirement for the formation of a company. It must be filed with the Registrar of Companies during the incorporation process.
Constitutional Document: It serves as the company's constitutional document, defining its scope, powers, and limitations.
Protection of Members: It protects the interests of the company's members by clearly defining the objectives and limiting their liability.
External Communication: It provides clarity to external parties, such as investors, creditors, and regulatory authorities, regarding the company's objectives and powers.
https://seribangash.com/difference-public-and-private-company-law/
Binding Authority: The company and its members are bound by the provisions of the MOA. Any action taken beyond its scope may be considered ultra vires (beyond the powers) of the company and therefore void.
Amendment of MOA:
While the MOA lays down the company's fundamental principles, it is not entirely immutable. It can be amended, but only under specific circumstances and in compliance with legal procedures. Amendments typically require shareholder
LA HUG - Video Testimonials with Chynna Morgan - June 2024Lital Barkan
Have you ever heard that user-generated content or video testimonials can take your brand to the next level? We will explore how you can effectively use video testimonials to leverage and boost your sales, content strategy, and increase your CRM data.🤯
We will dig deeper into:
1. How to capture video testimonials that convert from your audience 🎥
2. How to leverage your testimonials to boost your sales 💲
3. How you can capture more CRM data to understand your audience better through video testimonials. 📊
Skye Residences | Extended Stay Residences Near Toronto Airportmarketingjdass
Experience unparalleled EXTENDED STAY and comfort at Skye Residences located just minutes from Toronto Airport. Discover sophisticated accommodations tailored for discerning travelers.
Website Link :
https://skyeresidences.com/
https://skyeresidences.com/about-us/
https://skyeresidences.com/gallery/
https://skyeresidences.com/rooms/
https://skyeresidences.com/near-by-attractions/
https://skyeresidences.com/commute/
https://skyeresidences.com/contact/
https://skyeresidences.com/queen-suite-with-sofa-bed/
https://skyeresidences.com/queen-suite-with-sofa-bed-and-balcony/
https://skyeresidences.com/queen-suite-with-sofa-bed-accessible/
https://skyeresidences.com/2-bedroom-deluxe-queen-suite-with-sofa-bed/
https://skyeresidences.com/2-bedroom-deluxe-king-queen-suite-with-sofa-bed/
https://skyeresidences.com/2-bedroom-deluxe-queen-suite-with-sofa-bed-accessible/
#Skye Residences Etobicoke, #Skye Residences Near Toronto Airport, #Skye Residences Toronto, #Skye Hotel Toronto, #Skye Hotel Near Toronto Airport, #Hotel Near Toronto Airport, #Near Toronto Airport Accommodation, #Suites Near Toronto Airport, #Etobicoke Suites Near Airport, #Hotel Near Toronto Pearson International Airport, #Toronto Airport Suite Rentals, #Pearson Airport Hotel Suites
Digital Transformation and IT Strategy Toolkit and TemplatesAurelien Domont, MBA
This Digital Transformation and IT Strategy Toolkit was created by ex-McKinsey, Deloitte and BCG Management Consultants, after more than 5,000 hours of work. It is considered the world's best & most comprehensive Digital Transformation and IT Strategy Toolkit. It includes all the Frameworks, Best Practices & Templates required to successfully undertake the Digital Transformation of your organization and define a robust IT Strategy.
Editable Toolkit to help you reuse our content: 700 Powerpoint slides | 35 Excel sheets | 84 minutes of Video training
This PowerPoint presentation is only a small preview of our Toolkits. For more details, visit www.domontconsulting.com
Digital Transformation and IT Strategy Toolkit and Templates
Adapting corporate social responsibility programs to risk management a model for multinational organizations in nigeria
1. European Journal of Business and Management www.iiste.org
ISSN 2222-1905 (Paper) ISSN 2222-2839 (Online)
Vol.5, No.15, 2013
17
Adapting Corporate Social Responsibility Programs to Risk
Management: A Model for Multinational Organizations in
Nigeria
EUGENE NWADIALOR, Ph.D, FCA, FCIT
DEAN
Faculty of Management and Social Sciences, Godfrey Okoye University, Thinkers Corner Enugu
+2348037026544
NICHOLAS N. IGWE, Ph.D, JP, MIMC, MNIM
Department of Business Management , Godfrey Okoye University Enugu
+23408038726688
E-mail: ngozinick@yahoo.com
Abstract
There is a growing recognition of the effects activities of businesses have on stakeholders. Business executives
know that their long term success depends on continued good relations with a wide range of individuals, groups
and institutions. Corporate Social Responsibility (CSR) can impact on risk management positively by providing
intelligence about what these risks are and offering effective means to respond to them. This paper advocates
that by integrating the business sense, learning and innovations garnered from CSR programmes, multinational
companies in Nigeria can better manage risks and subsequently ameliorate the impacts of their economic, social
and environmental activities successfully. The paper recommends that organizational leaders to proactively
manage risks and take advantage of opportunities inherent in the environment to enhance stakeholders
engagement and corporate reputation.
Keywords: Adapting, Corporate Social Responsibility Programs, Risk Management, Manufacturing
Organizations.
1. Introduction
Businesses are an integral part of the communities in which they operate. There is a growing recognition of the
effect that activities of these businesses have on employees, customers, communities, the environment,
competitors, business partners, investors, shareholders, governments and others. It is also becoming increasingly
clear that firms can contribute to their own wealth and to overall societal wealth by considering the effect they
have on the world at large when making decisions (Hohnen, 2007). Good executives know that their long-term
success is based on continued good relations with a wide range of individuals, groups and institutions. Smart
firms know that business can’t succeed in societies that are failing – whether this is due to social or
environmental challenges or governance problems. Again, the general public has high expectations of the private
sector in terms of responsible behaviour. Consumers expect goods and services to reflect socially and
environmentally responsible business behaviour at competitive prices. Shareholders also are searching for
enhanced financial performance that integrates social and environmental considerations both in terms of risks
and opportunities.
Governments, too are becoming aware of the national competitive advantages to be won from a responsible
business sector. At the same time leading industry associations such as the World Business Council for
Sustainable Development, have also suggested that countries as well as companies might gain a competitive
advantage from Corporate Social Responsibility. In some of the developing world, governments and businesses
understand that their respective competitive positions and access to capital increasingly depends on being seen to
respect the highest global standards (International Finance Corporation, 2002). As governments around the world
continue to withdraw from operating business enterprises on the grounds that critics emphasize that government
has no business in business (McGuire, Sundgren and Schneeweis 1988).
There is no way companies can avoid paying serious attention to Corporate Social Responsibility. This is
because the costs of ignoring CSR are simply too high. Companies which have a good reputation risk losing their
hard-earned name when they fail to put systematic approaches in place to ensure continued positive performance.
The effect of a tarnished reputation often extends far beyond one company, entire sectors and indeed nations can
suffer. Therefore business leaders need to understand better the dynamics of their operating environment in order
to manage these related risks effectively. Corporate Social Responsibility (CSR) can play a central role in this
context.
2. European Journal of Business and Management www.iiste.org
ISSN 2222-1905 (Paper) ISSN 2222-2839 (Online)
Vol.5, No.15, 2013
18
2. Conceptual Framework
Globally, Corporate Social Responsibility (CSR) is an evolving concept without a clear definition, yet it
describes a set of corporate obligations and practices somewhere on the spectrum between traditional charitable
giving on one hand and merely strict compliance with the law, on the other. While operating definition remains
elusive, the term “CSR” generally refers to a company’s efforts to explicitly involve social and environmental
concerns in its decision-making along with a commitment to increasing the organization’s positive impact on
society (Surdyk, 2006). Wood (1991) states that Corporate Social Responsibility also called corporate
conscience; corporate citizenship, social performance or sustainable responsible business is a form of corporate
self-regulation integrated into a business model. CSR policy functions as a built-in self-regulating mechanism
whereby business monitors and ensures that its activities comply with the spirit of the law, ethical standards and
international norms. Commenting on Corporate Social Responsibility, (Griffin, 2002:111) remarks that
organizations do not have ethics, rather they relate to their environment in ways that often involve ethical
dilemmas and decisions. These situations are generally referred to within the context of the organization’s social
responsibility. Specifically, he defines Corporate Social Responsibility as the set of obligations an organization
has to protect and enhance the society in which it functions. Several inter-governmental bodies, company
federations and non-profit organizations have advanced competing definitions. Among the most influential are:
the World Bank (2004) which sees Corporate Social Responsibility as the commitment of business to contribute
to sustainable economic development working with employees, their families, the local community and society
at large to improve their quality of life in ways that are both good for business and good for development. For
the World Economic Forum,
“Corporate citizenship can be defined as the contribution a company
makes to society through its core business activities, its social investment
and philanthropy programmes and its engagement in public policy. The
manner in which a company manages its economic, social and
environmental relationships as well as those with different stakeholders, in
particular shareholders, employees, customers, business partners,
governments and communities, determines its impact” (2006:10-12).
Business for Social Responsibility (BSR) states that CSR is operating a business in a manner that meets or
exceeds the ethical, legal, commercial and public expectations that society has of business. CSR is seen by
leadership companies as more than a collection of discrete practices and occasional gestures or initiatives
motivated by marketing, public relations or other business benefits. Rather, it is viewed as a comprehensive set
of policies, practices and programmes that are integrated throughout business operation and decision-making
processes that are supported and rewarded by top management (www.bsr.org).
Figure 1: The Global Operating Environment
Source: Kytle, B and Ruggie, J. G. (2005:4)
In a developing country like Nigeria, (Ebhomielen, 2011) states that Corporate Social Responsibility is perceived
as corporate philanthropy. It requires organizations to impact positively on their environments. Companies
traditionally played this role by undertaking community development projects such as the award of scholarships
to indigenes from the host community, donations to sports, charity, social interest works, hospitals, town halls,
small and medium scale projects for employment generations, skill acquisition, etc. and support for ethical
interest objectives. Most companies that spend on such projects usually report them in their annual report to
3. European Journal of Business and Management www.iiste.org
ISSN 2222-1905 (Paper) ISSN 2222-2839 (Online)
Vol.5, No.15, 2013
19
show compliance. It has become fashionable for organizations in the Niger Delta region of Nigeria to use CSR
projects as a form of advertisement. Such expenditures are often treated as appropriation of profit rather than a
charge against profit suggesting that the company is not selfishly giving all its profit to shareholders alone after
the government taxes. Basically, CSR implies that a company’s business model should be socially responsible
and environmentally sustainable. By being socially responsible, it means that the company’s activities should
benefit the society and by being environmentally sustainable, it means that the activities of the company should
not harm the environment (Shumate and O’Conner, 2010).
The Kennedy School of Government’s CSR initiative has defined CSR to encompass not only what companies
do with their profits, but also how they make them. It goes beyond philanthroping and compliance to address the
manner in which companies manage their economic, social and environmental impacts and stakeholder
relationship in all their key spheres of influences: the workplace, the marketplace, the supply chain, the
community and the public policy realm (www.ksg.harvard.edu/csri/home.htm). Given the dynamic interactions
of the global economy, adopting a CSR programme is a natural extension of going global analogous to other
adjustments of “scaling up” (e.g., forming strategic alliances, finding skilled staff in foreign countries). CSR,
particularly for a global company, is related to corporate risk management through two means: by providing
intelligence about what those risks are, and by offering an effective means to respond to them. Risk can be most
simply understood in the context of a company’s threats, vulnerabilities, controls and counter measures (Kytle
and Ruggie, 2005). To mitigate risk, companies develop risk management systems. Risk management is the
variety of activities undertaken by an organization to control and minimize threats to the continuing efficiency,
profitability and success of its operations. The process of risk management includes the identification and
analysis of risks to which the organization is exposed, the assessment of potential impacts on the business and
deciding what action can be taken to eliminate or reduce risk and deal with the impact of unpredictable events
causing loss or damage. For this study, risk management is seen as the process of analyzing, understanding and
managing the risks that an organization is unavoidably subject to in its attempt to realize its corporate objectives.
In this wise, risks can be divided into the following categories: operational, financial, legal compliance
information and personnel. Risk management systems fundamentally aim to address uncertainty in the market
place. Their primary goal is to create controls and counter measures that minimize or eliminate the disruption,
loss or damage to business operations and shorten the recovery time from an unwanted event and thereby
reducing its impact on the business.
Beneath these efforts is a realization that improved CSR reporting and better risk management systems generally
promote the transparency and accountability essential to good company governance and improved financial
performance. These systems in effect enable a company to anticipate and respond to opportunities when it senses
that society’s expectations are not being met by its performance.
3. Key Drivers of Corporate Social Responsibility
Organizations may exercise social responsibility toward their stakeholders, toward the natural environment and
toward general social welfare. Some of the multinational corporations strive to acknowledge their
responsibilities in all three areas, while a majority tend to emphasize only one or two areas of social
responsibility. The organizational stakeholders are those people and organizations who are directly affected by
the behaviours of an organization and they have a stake in its performance (Donaldson and Preston, 1995;
Harrison and Freeman, 1999). Most companies that diligently strive to be responsible to their stakeholders
concentrate on three main groups: customers, employees and investors. They then select other stakeholders that
are particularly relevant to the organization’s core business interest and then attempt to address their needs and
expectations as well. Figure 2 shows key organizational stakeholders.
4. European Journal of Business and Management www.iiste.org
ISSN 2222-1905 (Paper) ISSN 2222-2839 (Online)
Vol.5, No.15, 2013
20
Figure 2: Organizational Stakeholders
Source: Griffin, R. W. (2002:112)
Without mincing words, the 21st
century has witnessed growing societal demand for increased Corporate Social
Responsibility and environmental accountability. No longer are companies obligated to do no harm. Instead they
are being called upon to actively take responsibility for and positively engage with their communities, the global
society and the environment. Consequently, today’s business leaders are working hard to understand society’s
changing expectations of corporations in areas that were previously seen as the responsibility of government, or
non-profit organizations. Some of the key drivers of Corporate Social Responsibility are highlighted below.
• Need for enhanced market leadership: A distinct justification for socially responsible behaviours on
the part of organizations is that those that make visible contributions to society can achieve enhanced
reputation and gather greater market share for their products.
• License to operate: Organizations need to have genuine relations with government of their host
environment. This practice can lead to reduced shareholder activation and reduced risk of law suits
which tend to place organizations in bad light in the public opinion.
• People who argue in favour of social responsibility hinge their claims that organizations by their
activities create many of the environmental problems such as air, water pollution and resource depletion.
Justice demands that they should be involved in solving them.
• Business as private citizen: Because organizations are legally defined entities with most of the
privileges as private citizens, they should not evade society obligations as citizens. Advocates of this
argument point out while governmental organizations have stretched their budgets to the limit but many
multinational organizations often have surplus revenues that could potentially be used to help solve
social problems (McGuire et al, 1988). For example, the Mobile Telecommunication Network MTN
claims that they routinely build school laboratories, donate to old people’s home and offer scholarships
to indigent students in their host environment. Just recently (January 21–22, 2013) an independent
television organization in Nigeria, the Channel Television attracted the attention of the President of
Federal Government of Nigeria about the oldest dilapidated Police College Ikeja in Lagos State and
caused him to be the first sitting President to visit the Police academy since inception. The Channel
Television remarked it was her Corporate Social Responsibility (CSR) contribution to the nation.
• Increased reputational capital: Proponents of good Corporate Social Responsibility point to the fact
that organizations that involve in CSR stand good chances of garnering unquantifiable reputational
capital. This can be translated into reduced negative consumer activism/boycotts; positive media
coverage/“free advertising”: positive word of mouth advertising, and increased community support for
the company’s operations (“a bank account of goodwill”).
• Growth in Global Reporting Initiatives (GRI): Launched in 1997 by the coalition of
Environmentally Responsible Economies, the GRI reports contain 50 core environmental, social and
economic indicators for a broad range of companies. The GRI also offers additional modules with
distinct metrics for companies depending on industrial sector and operations. The price range for
producing a report spans from 100,000 dollars for a basic GRI to more than three million dollars for
complex organizations like Shell. Moreover, the continued growth of the socially responsible
5. European Journal of Business and Management www.iiste.org
ISSN 2222-1905 (Paper) ISSN 2222-2839 (Online)
Vol.5, No.15, 2013
21
investment movement especially in advanced economies of the United States and Europe is
encouraging companies to adopt GRI and other instruments. For instance, in the United States alone,
the capital available to socially responsible companies reached 2.29 trillion dollars in 2005 (Surdyk,
2006).
4. Impact of Corporate Social Responsibility Programmes On Risk Management
Managing risk is a central part of many corporate strategies; reputations that take decades to build can be ruined
in hours through incidents such as corruption scandals or environmental accidents (Eisingerich and Ghardwaj,
2011). These can also draw unwanted attention from regulators, courts, government, civil society organizations
and the media. Building a genuine culture of “doing the right thing” within a corporation can offset these risks
(Bhattancharya, Sankar and Korschun, 2008). More often than not, it takes a crisis to precipitate attention to CSR.
One of the most active stands against environmental management is the CERES principles that resulted after the
Exxon Valdez incident in 1989 (Grace and Cohen 2006). Other examples include the Magellan Metalsin, the
West Australian town of Esperance which was responsible for lead contamination killing thousands of birds in
the area. The company had to cease business immediately and work with independent regulatory bodies to
execute a clean-up. Odwalla, the giant Apple Juice Corporation, also experienced a crisis with sales dropping 90
percent and the company’s stock price dropping 34 percent due to several cases of E.coli spread through
Odwalla apple juice. The company ordered a recall of all apple or carrot juice products and introduced a new
process called “flash pasteurization” as well as maintaining lines of communication constantly open with
customers. Some of the emerging risks companies face today show up on their radar screens through well-
recognized entry-points, for example the challenge of carbon emission and climate change is a good example.
The number of shareholder resolutions demanding climate change risk management policies from US companies
tripled between 2001 and 2002 and climate change related lawsuits against companies have recently been filed
for the first time (Cogan, 2003). From a company’s perspective, a social risk occurs when an empowered
stakeholder takes up a social issue area and applies pressure on a corporation (exploiting a vulnerability in the
earning drivers, reputation, corporate image) so that the company will change policies or approaches in the
market place.
The increasing complexity of international business also means that risks at the global level are much more
likely to crosscut different categories of risk (e.g. a social risk may also have political or economic implications)
so that they need to be tackled from multiple perspectives simultaneously using CSR (figure 3.0 shows the STEP
Perspective on Risk).
Figure 3: The STEP Perspective on Risk
Source: Kytle, B and Ruggie, J. G. (2005:9)
Corporate Social Responsibility (CSR) for a global company can impact on risk management positively through
two main means:
• by providing intelligence about what these risks are, and
• by offering an effective means to respond to them.
The key to the above mentioned means is effectively managing stakeholder relationships. Managing stakeholder
relationships is imperative for multinational companies because if they do not effectively manage those
relationships, stakeholders like regulators and civil society organizations (CSOs) will likely engage them in the
court of public opinion with little to say by the companies.
At this juncture, it is necessary to differentiate managing stakeholder relationships from simply managing
stakeholder. The stakeholder management mindset embodies a mechanistic paradigm where the organization
perceives itself as a closed system capable of autonomous action independent of the external context
(www.collective wisdom initiative.org.). Its main objective is the dissemination of information to stakeholders
6. European Journal of Business and Management www.iiste.org
ISSN 2222-1905 (Paper) ISSN 2222-2839 (Online)
Vol.5, No.15, 2013
22
through public relations or community relations on decisions already made without completing the feedback
loop. This way of managing stakeholders is ineffective in global operating environments given networked value
chains and the empowerment of global stakeholders. Managing stakeholder relationship requires closing the loop:
it means truly engaging stakeholders (figure 4). The diagram shows a stakeholder engagement model developed
by the World Bank group (Calow, Morris and Lawrence, 1999).
Figure 4: Stakeholder Engagement Model
Source: Calow, Morris and Lawrence (1999:25)
Managing stakeholders represented by information dissemination to groups is at the bottom while managing
stakeholder relationships as represented by engagement strategies is at the top. The term “engagement” relates to
the various mechanisms that have been used by organizations to listen to, and account for the views of
stakeholders as well as involving them in the provision of solutions. One example is the dissemination of
information to stakeholders of a company which may state before a decision is made. This can be done through
joint workshops, task forces or the use of focused group discussion (FGD). At the next level, stakeholders gain
some influence on decision makers in addressing a particular social risk. At the highest level, stakeholders are
viewed as co-decision makers in providing the solution. These strategies are examples of completing the
feedback loop: both informing stakeholders and having them inform top management about a particular social
risk.
Effectively managing stakeholder-relationships pays attention to issues, problems/challenges and opportunities
that go far beyond one organization and involve the whole global system. Learning, sensing and innovations are
the keystone of such a strategy. By integrating the business sense, learning and innovations gained from CSR
programmes, multinational companies can better manage their risks and subsequently their economic, social and
environmental impacts successful. This strategy is similar to what their sales/marketing executives do from their
customers: a form of business intelligence gathering.
Effective stakeholder-relationships-management can provide strategic intelligence regarding the organization’s
risk environment around particular economic, social, political or environmental issues. Stakeholder engagement
strategies provide the antennae through which to pick up signals of impending threats, and possible response
solutions. With time, these integrated-information-flows between stakeholders and top company management
can form the base of knowledge bank about social issues and systematic nature of such problems. However, the
information picked by these antennae has to be fully internalized by organizations. If it is merely encapsulated in
a CSR programme its impact will be limited, but if it is linked to the company’s strategic risk management
paradigm, then it can be of considerable help.
Many global organizations have found these initiatives very helpful in generating strategic intelligence. Some of
these organizations are organized within individual sectors: forestry, apparel, oil and gas industry. Even the
United Nations Global Compact which has become by far the world’s largest corporate citizenship initiative with
more than 1,800 participating organizations involves companies, labour and civil society organizations in
promoting ten UN principles in the areas of human rights, labour standards and environmental sustainability
(www.unglobalcompact.org).
It should be observed without much gainsaying that a company’s vulnerability and threat for any type of risk can
be reduced to a great extent through internal and environmental scanning, reporting and monitoring. Gaining
access to knowing the expectations of the stakeholder through amicable relationships management can help a
global organization have increased knowledge of international standards/norms by which the organization should
abide. All these can be achieved through linking a CSR programmes to risk management.
A CSR Programme Model Initiative for Organizations in Nigeria
To implement a successful CSR programme Multi-National Corporations in Nigeria should adopt the following
7. European Journal of Business and Management www.iiste.org
ISSN 2222-1905 (Paper) ISSN 2222-2839 (Online)
Vol.5, No.15, 2013
23
7 model steps:
Step 1: Articulate a relevant CSR philosophy into the organizational guiding principle.
Step 2: Put in place a well packaged reward and recognition system that applaud good responsible
behaviour.
Step 3: Make sure senior management team buys into the programme.
Step 4: Include CSR programmes into the long-term strategic plan
Step 5: Communicate to the relevant stakeholders and celebrate the result of CSR efforts.
Step 6: Partner, if necessary, with other organizations, community groups or government agencies to
multiply CSR impacts.
Step 7: Implement CSR programmes with the same zeal and tenacity used for other organizational
core competencies.
Source: The Authors
5. Conclusion
Since businesses play a pivotal role both in job and wealth creation in society and in the efficient use of national
capital, Corporate Social Responsibility (CSR) is a central management concern. It positions organizations to
both proactively manage risks and take advantage of opportunities especially with respect to their corporate
reputation and the broad engagement of stakeholders, (shareholders, employees, customers, communities,
suppliers, non-government organizations, international organizations and others affected by a company’s
activities. Acting responsibility towards these stakeholders can help companies build long-lasting values for
themselves. Investors and financial institutions have recognized that Corporate Social Responsibility activities
that integrate broad societal concerns into business strategy and performance are evidence of good risk
management capabilities. In addition to building trust with the host communities and giving companies
competitive edge in attracting good customers and employees, there are countless win-win opportunities waiting
to be discovered. This is because every activity in a firm’s value chain overlaps in some way with social factors.
The job of today’s business leaders is to start thinking systematically; adapt Corporate Social Responsibility to
risk management and stop being defensive.
6. Suggestions/Recommendations
• All multinational corporations listed on the Nigeria Stock Exchange (NSE) should be required by an act
of National Assembly to produce an integrated report in place of annual financial report and
sustainability report. An integrated report includes environmental, social and economic performance
alongside financial performance information.
• Government of developing countries, where these MNCs operate, should step up regulations with
adequate enforcement and monitoring to ensure that MNCs behave in a socially responsible manner.
• It is necessary to include all stakeholder groups or constituents in managerial decision-making in
matters related to the organization’s portfolio of socially responsible activities. This is because CSR
collaborations are positively accepted when they are in the interests of stakeholders without detrimental
effects on the organization.
• Managers should understand fully the various ways in which business and government influence one
another while it may be legal and appropriate to influence government and other stakeholders, managers
should be wary to avoid crossing legal or ethical boundaries.
• Managers should understand that CSR is not something that just “happens”. Instead, like other
organizational activities, it must be actively managed.
• Social and environmental accountability cannot be meaningless words on a dusty mission statement or
an after thought; they must be integrated into all aspects of everyday corporate life.
REFERENCES
Bhattancharya, C. B., Sankar, S and Korschun, D. (2008). “Using Corporate Social Responsibility to Win the
War for Talent”. MIT Sloan Management Review, 49, 37 – 44.
Calow, R. C., Morris, B. L., and Lawrence, A. R. (1999). Stakeholder Analysis and Consultation. Washington
DC: The World Bank Group.
Cogan, D. G. (2003). “Corporate Governance and Climate Change: Making the Connection”. A CERES
Sustainable Governance Project Report prepared by the Investor Responsibility Research Centre.
Donaldson, T and Preston, L. E. (1995). “The Stakeholder Theory of the Corporation: Concepts, Evidence and
Implications”. Academy of Management Review, 20, 65 – 91.
Ebhomielen, E. P. (2011). Ethical Standards in Modern Corporate Governance. A paper presented at the BIU
Accounting Workshop/Conference held at Benson Idahosa University, Postgraduate Lecture Theatre,
8. European Journal of Business and Management www.iiste.org
ISSN 2222-1905 (Paper) ISSN 2222-2839 (Online)
Vol.5, No.15, 2013
24
April, 28 – 29; Benin City.
Eisingerich, A. B. and Ghardwaj, G. (2011). “Corporate Social Responsibility: Does Social Responsibility help
Protect a Company’s Reputation?” MIT Sloan Management Review, 52, (March).
Grace, D. and Cohen, S. (2006). Business Ethics; Australian Problems and Cases. London; Oxford University
Press.
Griffin, R. W. (2002). Management. New York: Houghton Mifflin Company.
Harrison, J. S. and Freeman, R. E. (1999). “Stakeholders, Social Responsibility and Performance: Empirical
Evidence and Theoretical perspectives”, Academy of Management Journal, 42, 479 – 495.
Hohnen, P. (2007). Corporate Social Responsibility: An Implementation Guide for Business. Manitoba:
International Institute for Sustainable Development.
International Finance Corporation (2002) “Developing Value: The Business case of Sustainability in Emerging
Markets” in Sustainability and Ethos.
Kytle, B. and Ruggie, J. G. (2005). “Corporate Social Responsibility as Risk Management: A Model for
Multinationals”, Corporate Social Responsibility Initiative Working Paper, No. 10. Cambridge, MA: John
F Kennedy School of Government.
McGuire, J. B; Sundgren, A. and Schneeweis, T. (1988). Corporate Social Responsibility and Firm Financial
Performance, Academy of Management Journal, December.
Shumate, M. and O’Conner, A. (2010). “The Symbiotic Sustainability Model: Conceptualizing NGO –
Corporate Alliance Communication”, Journal of Communication, 60, 3, 577 – 609.
Surdyk, J. (2006). “CSR: More than PR, Pursuing Competitive Advantage in the long Run” in Business. The
Ultimate Resource. Cambridge, M.A: A and K Black Publisher.
Wood, D. (1991). “Corporate Social Performance Revisited”, The Academy of Management Review, 16, 4.
World Bank, (2004). “Making Services work for poor people” World Development Report 2004 Overview.
Inter Sources
www.bsr.org..
www.collectivewisdominitiative.org.
www.ksg.harvard.edu/csr/home.htm.
www.unglobalcompact.org.
9. This academic article was published by The International Institute for Science,
Technology and Education (IISTE). The IISTE is a pioneer in the Open Access
Publishing service based in the U.S. and Europe. The aim of the institute is
Accelerating Global Knowledge Sharing.
More information about the publisher can be found in the IISTE’s homepage:
http://www.iiste.org
CALL FOR PAPERS
The IISTE is currently hosting more than 30 peer-reviewed academic journals and
collaborating with academic institutions around the world. There’s no deadline for
submission. Prospective authors of IISTE journals can find the submission
instruction on the following page: http://www.iiste.org/Journals/
The IISTE editorial team promises to the review and publish all the qualified
submissions in a fast manner. All the journals articles are available online to the
readers all over the world without financial, legal, or technical barriers other than
those inseparable from gaining access to the internet itself. Printed version of the
journals is also available upon request of readers and authors.
IISTE Knowledge Sharing Partners
EBSCO, Index Copernicus, Ulrich's Periodicals Directory, JournalTOCS, PKP Open
Archives Harvester, Bielefeld Academic Search Engine, Elektronische
Zeitschriftenbibliothek EZB, Open J-Gate, OCLC WorldCat, Universe Digtial
Library , NewJour, Google Scholar