Tuesday, 22 November 2011

TOUCHING THE RIGHT SPOTS': MAKING CSR WORK IN NIGERIA Oluwole Coker


This discourse seeks to interrogate the Corporate Social Responsibility (CSR) initiatives in the Nigerian corporate landscape and their effectiveness. Attention shall be drawn to what constitutes strategic CSR and generic CSR and what the deployment of either portend for brand entrenchment and equity. We shall then chart a fresh course by subtly advocating how best to travel in the quest for doing it right, and not just doing it. First, there is an urgent need to understand CSR and put it in the right perspective. In this regard, one can refer to the description of CSR by the UK government-- “the government sees CSR as the business contribution to our sustainable development goals”. This certainly deflates wrong perceptions of Corporate Social Responsibility as a measure of favour. The implication is far-reaching; just like in alms seeking; the beggar is believed to have no choice. The reality, especially in developed societies indicates that CSR is a basic business tool that all companies latch-on to in projecting their corporate core values. I shall supply specific examples much later in the paper.

The point that is being made here is that CSR is actually a window for hyping or projecting brand essence, earning goodwill and deepening corporate governance. It is therefore a symbiotic process by which a party (the company) rides on the horseback of another (the beneficiary). In other words, CSR deserves strategic attention in order to ensure its effective deployment. In fact, companies are globally acclaimed as successful not just because of the depth of their branding, but by parameters which include their practice of giving back to the society: As the foregoing has shown, CSR is an integral part of corporate strategy and it is a
responsibility companies are expected to shoulder. Given this understanding, CSR becomes a major thing, not one of those things! Against this backdrop, it is pertinent to assert that the task of exploiting the potentials of CSR is a scientific process which, among other things, makes logical, milieu-specific decisions which rub-off positively on the fortune of our brands. It does not augur well for brands to groan under negative image backlash despite investing huge resources in CSR in addition to fat advertising and public relations spend.
Note the two words. Those advocating "giving back" are not merely saying that a successful individual should give to society, out of generosity or some altruist notion. They are saying that he should give back; that he has taken something that--in justice, according to the noble code of Earning one's money and paying one's debts--he must return. How then can CSR be made to drive brand positioning? This is simply by making conscious effort to deploy the right CSR initiatives at the right time, in the right place; also, it is incumbent on CSR managers to make judgments based on stakeholder needs, and not wants. Little wonder that the Niger Delta continues to be hounded despite claims of CSR investments over the years
by oil companies. The point therefore is that, CSR practice deserves closer scrutiny for its effect to be felt. To illustrate this, one may want to cite the examples of some CSR projects in Lagos. Why provide a bus stop when the need of the specific community is a pedestrian bridge? It is indubitable that despite claims by Nigerian companies of rich CSR credentials, very few seem to be to be touching the right spots. Most CSR efforts seem generalized and are not informed by needs analyses of the operating environments. Also, quite evident is the fact that companies do not regularly appraise CSR strategies to either strengthen them or reassess the appropriateness of such activities.

How many companies in Nigeria have a carefully developed plan of action that governs their CSR mechanisms? Let us illustrate with some examples to drive home our point Cadbury Schweppes Community Investment programme is a strategic Enterprise in Schools Scheme by the Birmingham, UK based company. This is an initiative on which over £1 million has so far been expended over a period of 6 years. This programme has produced budding entrepreneurs in the target host communities. For Diageo, the CSR the platform is charity, anchored on 'Tomorrow People's Trust'. At the 20 anniversary of the trust in 2004, 382000 beneficiaries had been assisted. (Examples drawn from www.article 13.co/csr/cbi. Viewed July 15, 2008) Marks and Spenser through its Ready for Work Scheme, which ran for 3 years provided succor to 600 homeless people in 13 cities in England, Wales and Northern Ireland. Unilever also provides another innovative dimension through the Unilever Sustainable Agriculture Initiative, which in addition to employment generation provides major raw materials for the company. There is also the example of automobile giant, BMW whose Mature Apprenticeship Scheme provides personnel for electrical and mechanical maintenance. The list is endless…

The point is that the companies mentioned above implement their CSR strategically to
achieve set goals. Organizations need to evolve standard practices addressing stakeholder challenges. It is incumbent on all to adopt strategic CSR initiatives whenever or wherever the need arises. This entails a conscious effort to meet the needs, not wants, of the target beneficiaries, in a variety of ways.This brings us to the question of modus operandi, the methodologies employed. How do we employ the right CSR strategies and hit the bull's eye? I shall offer a few suggestions. CSR as presently practiced by many corporate organizations appears to be a product of one of many factors including response to pressure, fear of intimidation, peer influence and above all, the moral hang-ups of those involved in managing and implementing CSR strategies. What this implies is that many CSR interventions are neither planned nor strategically deployed. Rather they are hastily packaged arrangements that hardly follow any verifiable logic. The point being made here is that a unit of corporate communication should have the responsibility of CSR function. They are expected to make suggestions based on
outcomes of surveys that investigate the needs of the targeted geographical areas. This would ensure that Ikoyi in Lagos does not get the same CSR project as Zungeru in Niger State, Ayetoro-Gbede in Kogi State or Umoba in Abia State. Each one should be addressed based on the needs that they have. Even as companies continue to groan under a hostile operating environment
exacerbated by the challenge of sourcing energy, profits nevertheless continue to flow. One wonders if a window like CSR is not enough impetus for companies to start generating own power and even servicing the populations closest to their operational bases. Companies would 'kill two birds with a stone' in going this route. This is one out of the many areas of need that could be explored. As a corporate tool for engaging its publics, CSR is clearly not just a function that an organization may choose to or not to perform. CSR is a viable and strategic tool for engaging stakeholders and a responsibility that companies are obligated to fulfill. Ensuring that an organization's CSR counts, requires, if one may borrow Virgin Nigeria's pay-off, 'touching the right spots' as far stakeholder needs are concerned.

Corporate Social Responsibility: A Broader View By Tayo Olokode



Introduction
It is difficult to measure the CSR performance of companies operating in Nigeria because there is no national policy on CSR at the moment. Most views on the issue to date are rather subjective particularly when measured against global or foreign standards. In my opinion we can only attempt an objective appraisal of CSR initiatives in Nigeria once the policy is ready, adopted and implemented for a 12-month period (in the minimum).

What is CSR?
Corporate social responsibility (CSR) is an evolving concept that does not have a standard definition or a fully recognized set of specific criteria. With the understanding that businesses play a key role on job and wealth creation in society, CSR is generally understood to be the way a company achieves a balance or integration of economic, environmental, and social imperatives while at the same time addressing shareholders and stakeholders expectations. CSR is generally accepted as applying to firms wherever they operate in the domestic and global economy. The way businesses engage/involve the shareholders, employees, customers, suppliers, governments, non-governmental organizations, international organizations, and
other stakeholders is usually a key feature of the concept. While business compliance with laws and regulations on social, environmental and economic objectives set the official level of CSR performance, CSR is often understood as involving private sector commitments and activities that extend beyond this foundation of compliance with laws (www.GlobeScan.com)

From a progressive business perspective, CSR usually involves focusing on new opportunities as a way to respond to interrelated economic, societal and environmental demands in the marketplace. Many firms believe that this focus provides a clear competitive advantage and stimulates corporate innovation. CSR is generally seen as the contribution of business to sustainable development which has been defined as "development that meets the needs of the present without compromising the ability of future generations to meet their own needs", and is generally understood as focusing on how to achieve the integration of economic, environmental, and social imperatives. CSR also overlaps and often is synonymous with many features of other related concepts such as corporate sustainability, corporate accountability, corporate responsibility, corporate citizenship, corporate stewardship, etc.


CSR commitments and activities typically address aspects of a firm's behaviour (including its policies and practices) with respect to such key elements as; health and safety, environmental protection, human rights, human resource management practices, corporate governance, community development, and consumer protection, labour protection, supplier relations, business ethics, and stakeholder rights.

Corporations are motivated to involve stakeholders in their decision-making and to address societal challenges because today's stakeholders are increasingly aware of the importance and impact of corporate decisions upon society and the environment. The stakeholders can reward or punish corporations. Corporations can be motivated to change their corporate behaviour in response to the business case which a CSR approach potentially promises. This includes:

1. stronger financial performance and profitability (e.g. through ecoefficiency),
2. improved accountability to and assessments from the investment
community,
3. enhanced employee commitment,
4. decreased vulnerability through stronger relationships with
communities, and
5. improved reputation and branding.

CSR in Nigeria

In Nigeria, the Federal Executive Council (FEC) on Wednesday May 21, 2008 approved the development of a Corporate Social Responsibility (CSR) policy for the country, to instill ethical behaviour in Nigerian businesses. The Minister of National Planning Commission, Dr Sanusi Daggash, who gave details of the memorandum, said it referred to the adoption of responsible business practices by organizations, to improve the society in which they operate.

"CSR is the continuing commitment by businesses to behave ethically and contribute to economic development while improving the quality of life of the workforce and their families as well as of the local community and society at large," he said.

The Minister said the policy would include "beyond law commitments" and activities that
would necessitate an expectation to "give back" to society. He said the policy would ensure corporate governance and ethics, health and safety, human rights, human resource management, anti-bribery and anti-corruption measures. One reckons that the policy formulators will take note of similar global policies that might point Nigeria in the direction of developing a viable CSR policy before the United Kingdom developed its CSR Policy, Gordon Brown, prior to becoming the Prime Minister said; “Today CSR goes far beyond the old philanthropy of the past donating money to good causes at the end of the financial year and is instead an all year round responsibility that companies accept for the environment around them… Now we need to move towards a challenging measure of corporate responsibility, where we judge results not just by the input but by its outcomes: the difference we make to the
world in which we live, and the contribution we make to poverty
r e d u c t i o n ” ( C o r p o r a t e S o c i a l Responsibility - A Government Update
www.csr.gov.uk) . There is no doubt the committee saddled with the responsibility of developing a CSR policy for Nigeria will learn from the countries (especially developing ones)
that have adopted and are implementing such policies successfully.
Prior to the above declaration of the Federal Government, Nigeria did not have a CSR policy. Several companies operating here took the initiative to develop a CSR guideline or code for themselves. It is not out of place for a study to have “found that indigenous firms perceive and practice CSR as corporate philanthropy aimed at addressing socio-economic development challenges in Nigeria. This finding confirms that CSR is a localized and socially embedded construct, as the 'waves', 'issues' and 'modes' of CSR practices identified amongst indigenous firms in Nigeria reflect the firms' responses to their socio-economic context” (Amaeshi et al: 2006). One of the leading telecommunication companies in Nigeria developed a CSR Policy Direction document in 2004 in conjunction with a consulting outfit.
The communication company has since gone ahead to establish MTN Foundation to lead its CSR policy implementation locally. Nets for Life is a CSR initiative. Under the project 82,500 long lasting insecticide nets (LLIN) were distributed over three years by the Nets for Life project with funding from Exxon Mobil Foundation, Coca Cola Africa Foundation and Standard Chartered Bank. It is their way of contributing to the fight against malaria; the disease without borders in
Nigeria. Nigeria needs over 70 million LLIN to cover the nation effectively.

The most vulnerable group of people to malaria in our country are; children under the age of 5 and pregnantwomen. The Federal Minstry of Health desires to see all pregnant women and
children under the age of 5 sleep under LLIN every night. In February 2006, British Council
organized a stakeholder's forum on Corporate Social Responsibility (CSR) to improve awareness of the role of standardization in economic growth, world trade and sustainable development. The forum also focused on developing and encouraging corporate citizenship and social responsibility in collaboration with Standards Organization of Nigeria (SON), Equality Foundation UK and the UN Global Compact.

In November 2006, British Council in collaboration with Standards Organization of
Nigeria, Prince of Wales international Business Forum, Wales, UK; United Nations
Information Centre and Lagos Business School held three-day training at Lagos
Business School (LBS).

The training was focused on capacity building of ISO members and stakeholders involved in developing the standardization infrastructure in Nigeria, There was also a one-day forum on Corporate Governance and Social Responsibility to develop strategies for increasing national and regional cooperation and to share experiences. Dangote Foundation was founded recently to lead the CSR initiatives of the Dangote Group of Companies in all parts of Nigeria.  It seems most companies in Nigeria are keen to spin even the small CSR activities they implement beyond proportion in the media.

Conclusion
Once the CSR policy initiated by the government is ready and adopted we can easily
measure the performance of Nigerian companies against the homegrown policy.

CSR and Community Wellness in Nigeria: Going Beyond the MDGs


Achieving Development and Social Justice in Nigeria
By Richmond Tiemoko

www.trucontactng.com
Corporate Social Responsibility (CSR) and Millennium Development Goals (MDGs) have become two major concepts in contemporary development discourse and practice. Given the  development challenges faced by Nigeria (a large portion of the country's population is faced with widespread poverty and ill health, and indeed social injustice), the emergence and practice of these two paradigms/practices would be considered a welcome development.

However, like many other development programmes, CSR and MDG programmes need monitoring and scrutiny to ensure that they not only remain on target but that they also remain relevant to the people. This short article presents some reflections on the relationship between Corporate Social giving and the achievement of the MDGs as well as the need to go beyond the MDGS to ensure the realization of rights, social justice and core values. Nigeria has made substantial progress on the MDG targets but those related to health seem to be the most challenging targets. This paper points out the potential causes of the challenges and the way CSR could help in achieving the health related goals.

Understanding the Basic Definitions
Corporate Social Responsibility (CSR) is a concept whereby “companies integrate social and environmental concerns in their business operations and in their interaction with their stakeholders on a voluntary basis”. Another reason for the emergence of CSR is the ethical consideration captured in the term 'giving back to the community', a term cherished by both advocates and professionals of CSR. In the Nigeria context, just like in many other developing countries, the community's wellness is hindered by poverty embedded in social inequality, injustice, and multifaceted health challenges. The United Nations in the early 2000s decided to enjoin its member nations to address these burning development challenges. Just like in the business environment, the UN body set out 8 specific goals to be achieved within 15
years. These are Consequently, in the last few years , development efforts have been focused on meeting the MDGs. Indeed, national as well as the international development agenda is now measured in terms of 8 specific goals that most developing countries have agreed to achieve by the year 2015.

In Nigeria these efforts are yielding results. According to the UNDP, The MDGs progress report indicates that much effort and investment is required if the MDG's are to be achieved in Nigeria. It is therefore important for different stakeholders to contribute to the achievement of these goals. The contributions of the business sector (economic growth, investment, job creation and CSR) are very important. For corporate organizations, the contribution that they can make through their CSR activities to support the achievement of the MDGs is definitely important. Aligning the Corporate Social Responsibility of corporate organizations in Nigeria to support the MDGs provides an opportunity for building winning alliances in at least three ways:

a) A wining tandem between corporate organizations and the government which is likely to alleviate poverty and foster social development

b) A winning tandem between the corporate body and the general society which by addressing burning   development issues gives a tangible meaning to CSR.

C) A win in terms of business as this will positively affect the bottom line. Focusing Corporate Social   Responsibility efforts on the MDGs is a very positive development. However for this win-win situation to contribute to greater development and social justice, there is a need to go beyond the rhetoric, mere talk, to focus on the fundamental values that would engender development. This would mean repositioning social giving.


Repositioning CSR For Development

Don't lose sight of the mission
While setting out a list of specific goals may be very helpful in measuring progress and achievement, the selected specific goals should not overshadow the main goals and the
mission.

Many individuals and institutions working tirelessly toward achievement of the MDGs may not know or might have forgotten the fundamentals of the MDGS. The MDGs derive from the millennium declarations themselves rooted in the following fundamental values: freedom, equality, solidarity, tolerance, respect for nature and shared responsibility.

A Better Understanding of Development Goals

Like any well thought-out goals, the MDGs were/are specific, measurable, achievable, realistic and time bound. However, further analysis of social issues and a critical review of the MDGs shows that they are rather broad in scope, as it is now being observed. For instance, while the primary target for measuring MDGs' Goal 3 was originally gender disparity in access to education, five years later, the UN Task Force on Education and Gender Equality expanded the progress indicator and also stressed that 'achieving Goal 3 requires guaranteeing women's and girls sexual and reproductive health and rights'.

Millennium Development Goals (MDGs)

1. Eradicate extreme poverty and hunger
2. Achieve universal primary education
3. Promote gender equity and empowerment of women
4. Reduce child mortality
5. Improve maternal health
6. Combat HIV/AIDS, Malaria and other diseases
7. Ensure environmental sustainability
8. Develop global partnerships for development



An indepth review of the MDGs points to specific factors and overriding issues that are key
to the attainment of the objectives. These include health, sexuality and rights. As Professor Paul Hunt observed 'one of the most striking features of the MDGs is the prominence they give to health', as over five of the Goals are related to health. This is rightly so because health is central to poverty reduction and development. While overall, health plays a prominent role in the MDGs, health is in turn largely determined and assured by the promotion of the sexual and reproductive health and rights of all individuals irrespective of age, gender, ethnicity, class and other factors.

As the World Health Organization points out, sexual and reproductive health is fundamental to achieving the well-being of individuals and families and to the development of communities. Therefore 'the neglect or denial of sexual and reproductive health and rights is at the root of many health-related problems'

Understanding the factors and evolving dimensions of the MDGs especially those related to sexuality, masculinity, femininity, sexual and reproductive health and rights are crucial if CSR efforts are to bring meaningful and relevant social development. It is very laudable for the CSR efforts to contribute to the achievement of the MDGs. Such public-private partnerships to support achievement of the MDGs may be seen as imperative. Yet CSR should do even better than contributing to MDGS for at least two fundamental reasons: Enhancing community participation, shared responsibility and accountability CSR is generally defined as 'integrating and addressing on a voluntary basis social and environmental concerns. The community and social concerns are two important notions in the practice of social giving. But key issues to keep in mind are not just the definitions of community but how and under what circumstances do the concerns of a particular community emerge? In others words how do we ensure that community's concerns and nothing else are addressed. Of course the eight targets of the MDGs
should be the concern of all communities. Nevertheless, however commendable and relevant the MDGs may be, they may not reflect all the priorities in terms of the short and long term concerns of the communities. This is because the design and development of the MDGs were not (sufficiently) participatory processes. Indeed, CSR that supports and addresses the realisation of rights (particularly rights to health and age- appropriate education (including sexuality education) could enhance community participation. Enhancing community participation is likely to promote responsibility and accountability.

Voluntarism
Too much focus of CSR on achieving the MDGs could undermine the fundamental aspect of CSR: Voluntarism. With the challenges in achieving most of the goals and the worries and concern of various stakeholders (government, community, individuals) over the level of progress made on MDGs especially as the deadline is fast approaching ,corporate organizations may be 'forced' to take on the responsibility and role of other players. In fact the demand and pressure for corporate organizations to “perform” using their CSR projects may at times appear coercive. Such a situation would not only undermine the fundamentals of CSR but could also affect business ethics, market operations and even accountability of the socio-economic contract. In the last few years corporate organizations in Nigerian (for example in the
telecommunication, banking and insurance sectors) have expanded and created a considerable number of jobs; thus contributing to poverty reduction. There is need to strike a balance such that implementers of CSR projects can within the parameters of what CSR stands for, contribute efficiently to development (including achievement of the MDGs) .


Tuesday, 4 October 2011

The SERAs- Nigeria CSR Awards

"Become the change you want to see in the world"-- Mahtma Ghandi. 

Companies and individuals in Nigeria are changing the world in their own little way. Watch them strut the Red Carpet and grace the stage on October 15 at the SERAs--Nigeria's CSR Awards.