On the 22nd September 2011, Total Upstream Companies in Nigeria (known to the common man in Nigeria as Total Nigeria Plc.) organized a conference on Corporate Social Responsibility (CSR). It was held at the Transcorp Hilton, Abuja and prominent in attendance was Professor Wole Soyinka, the Nobel Laureate and Nigeria’s unsettled soul that represents her intellectual integrity. The purpose of the conference was to engage stakeholders on a discussion on CSR that would enable Total to fashion its CSR strategic business policy.
On the 22nd September 2011, Total Upstream Companies in Nigeria (known to the common man in Nigeria as Total Nigeria Plc.) organized a conference on Corporate Social Responsibility (CSR). It was held at the Transcorp Hilton, Abuja and prominent in attendance was Professor Wole Soyinka, the Nobel Laureate and Nigeria’s unsettled soul that represents her intellectual integrity. The purpose of the conference was to engage stakeholders on a discussion on CSR that would enable Total to fashion its CSR strategic business policy.
My interest here is to begin to expose or bring to prominence the idea and relevance of this very important concept that the Nigerian government, academia and especially the media have being giving scanty and piecemeal attention. Based on few online discussions with some editors of popular media houses in Nigeria, I discovered that the Nigerian media believe that CSR does not have wider readership and interest in Nigeria; yet, they know that corporate organizations in the country spend millions of Naira in executing CSR projects across the country. Total’s aforementioned timely effort strongly debunks this selfish and obviously ignorant view on CSR by the Nigerian media. Therefore it will be proper to commence this effort by looking at the meaning and essence of the concept.
A semantic description of the composite words will assist us in explaining and understanding CSR. Corporate here refers to the registered “big” business organizations operating nationally and/or internationally. For example Shell Petroleum Development Company (SPDC), First Bank of Nigeria Plc., MTN Nigeria, Nigerian Breweries Plc, Dangote Group, UAC Plc, are some of the established big businesses in Nigeria.
As a business operating in Nigeria, the ultimate interest is to make sure that at all times, the corporation’s Naira sales are far more than its Naira costs. A corporate organization can also mean a not-for-profit one operating nationally and/or internationally. Examples include the Nigerian National Petroleum Corporation (NNPC), Central Bank of Nigeria, Amnesty International, United Nations, Jimmy Conter Cultural Foundation (JCCF), Ogbakor Ikwerre Convention, Afenifere, Arewa Consultative Forum, Ohaneze Ndigbo etc.
Another key word in CSR is Social. In this context, social refers to the society or the general public. Lastly is the word Responsibility. This refers to those actions that society expects from the business/corporate organizations and such actions are capable of adding value to the society. Putting these together, CSR simply refers to those public actions which society expects from “big” business/corporate organizations such that society is protected from the activities of the corporate organizations thereby establishing a cordial relationship between society and business.
From the standpoint of the society, such public actions are expected to ensure that no harm is inflicted upon society arising from the activities of the corporate organizations. On the other hand, corporate organizations who see CSR as corporate business strategy expects matured, cordial approach to their issues with society by society.
They ultimately would expect constant patronage from society and for the latter to have a good image for the CSR-compliant business organization. Indeed, CSR is a game of reciprocity of mutual interest between society and business in the management of business and social risks.
CSR is a relatively new and controversial concept in the Political Economy of nations, especially in the developing ones. It is relatively new in the sense that CSR practice in some countries is not popular among corporate organizations and most times, in such countries; the government, the media and the academia ignore CSR.
It is a controversial concept because corporate organizations, especially the powerful profit making ones, whose duty it is to carry out CSR, are reluctant (especially if CSR is to be government-regulated); while the societies where they operate are insistent that such organizations must practice CSR.
At the country level, CSR had provoked so many questions. Why should society demand for CSR from corporate/business organizations? Is it not asking too much when a business had satisfied the economic and legal requirements for its being? Is business all about economics and law? What about the social implications/requirements of business? Should CSR be made mandatory on the business organization? In other words, should government regulate CSR practice? Is CSR not against the morality of business? Which business should be involved in CSR? Indeed, of what benefit is CSR to business? Should CSR be left on the plain of voluntarism?
In other words, can the purpose of CSR be achieved if business is allowed to do CSR as it wishes? What are exactly the merits and dangers of a self-regulating CSR regime? Can CSR be useful as both a business and social tool especially now that it is becoming clear that companies are getting tired of doing the same thing with minimal results? Can CSR be a reconciliatory strategy to ensure a cordial relationship between society and business? Of what role is CSR in poverty reduction? What exactly are the Political Economy implications of CSR? In the parlance of Political Science, what is the utility of CSR in reducing class conflicts and its effects? Has CSR any role to play in the sustainable development efforts of a nation?
At the international level, CSR still poses some fundamental concerns. Why is CSR a huge issue in the advanced countries and obviously of far less an issue in the Third World? How did CSR Europe evolve to become a successful socio-business tool for a better Europe? What are the roles of CSR Europe in ensuring that CSR is effectively practiced by business organizations?
Why should the World Business Council for Sustainable Development (WBCSD) be so interested in CSR to the extent that it had enriched the literature and practice of CSR with one of the best definitions of the concept? Why should the United States of America (USA) with its well known lukewarm attitude to CSR suddenly rose to demand CSR actions from BP on the account of the Mexico oil spill? Why are multinational companies (MNCs) more affected or associated with the issue of CSR than their local counterparts? What has been the roles and attitude of MNCs in Nigeria regarding CSR?
These are some of the questions awaiting objective answers. In trying to answer these questions we would have succeeded in exposing, expanding and enriching the concept so that Nigerians and indeed other Third World publics would be able to thoroughly comprehend and appreciate the immensity of the concept in today’s World. There is no doubt that the concept ignites great passion in the Northern Hemisphere because of its role in sustaining their economies and environment.
There, it has assisted the positions of Consumerism, Green Revolution, Environmentalists, positive Human Rights Groups and gradually finding its way into the academia. Departments and institutes on CSR are being created in the most prestigious universities in the West, yet most Nigerian universities have not deemed it necessary to even mention the concept in a passing glance.
CSR has been considered a very positive concept. It is the effective link between society and business. It reconciles business and society, thereby dealing effectively subtly with the conflicts between the haves and the have-nots. With an effective CSR compliant society, there is no pure capitalist or socialist state. This is the immense weight of CSR!
CSR helps us to appreciate the fact that the relationship between business and society does not start and end with best practices for profit-making and the law; it goes deep into the realm of business social interactions of which if well managed under an effective CSR practice, will provide enhanced business image, enhanced public investment and social capital, enhanced business security, enhanced business wealth, enhanced environment and enhanced society. That is why CSR is seen in the advanced countries as key to sustainable development and the achievement of the UN’s MDGs in 2015. Therefore, CSR goes far beyond just “giving back to society”.
Nigeria and indeed Africa needed not to be left behind in this human sustaining CSR project. CSR is ideologically neutral; it is a mixture that is neither capitalist nor socialist, it is simply realistic and humane. It is a call on the business to have a human face by assisting government in the provision of social needs of the society, especially in Third World countries afflicted with failure of political leadership. After all, no state can do well without capitalism; and no business should exist without the state. All things being equal, Nigerians need to know more and better about this concept that can assist their economics, politics and sociology. This is a project the Nigerian media, academia and government cannot afford to continuously ignore.
Okachikwu Dibia
Abuja.
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