Corporate Social Responsibility - Assignment Example

Corporate Social Responsibility The name of this case study is Corporate Social Responsibility by David Ogula, this paper is going to focus one major business corporate in Niger Delta that deals with the drilling of oil its relationship with the community is associated with many factors including, lack of consideration for the views of the communities and the domination of the oil industry by the government and the transnational oil corporations. The social, cultural behavior creates community attitude towards business a corporation. My article contains the strength limitation and challenges of ethical, social responsible business practice I am going to mainly focus on the corporate social responsibility in the Niger delta that began on the 1960d and 1970s, this when there was a first wave of transitional oil corporations started oil exploration and production in the region. The Shell Petroleum Development Company of Nigeria, began commercial extraction of oil in the Niger Delta in 1958, the industry grew in the 1990s, inviting new competitors such as the Statoil/BP Alliance, Total Nigeria, Amoco, Conoco, and Abacon. In the previous centuries SPDC and other oil companies have developed a number of corporate social responsibilities strategies some of them include: - include philanthropic projects and scholarship awards, cash payments, agricultural projects, schools, healthcare centers, and roads. Firstly, my primarily focus was that the strategy, to corporate social responsibility implemented by SPDC and other oil companies, appeared to be predicated on the primacy of business objectives and targeted on fulfilling only the most minimal ethical obligations. Fundamental to this strategy is the supposition. Underlying this approach is the supposition that the economic goals of the business are irreconcilable with the developmental ambition of the community purpose. I found a limitation such that dependence on this meticulously defined business focuses prohibited the oil companies from getting proactive measures in planning and executing CSR programs. In sum, regardless of millions of dollars devoted to community help projects, CSR practices in the Niger Delta were alleged by viewers and the communities as makeup attempts to act in a socially responsible way or actions taken only to defend the companies’ status. Secondly, Corporate Social Responsibility projects were not intended to deal with pressing economic, environmental and social tribulations. For instance, SPDC’s donations of schools and healthcare services were offered as once offers and not as sustainable projects. The continuance of gas burn, in spite of calls for the decrease, is another example. Though the oil companies have recognized cause for the slow advancement of the costs of putting into operation an alternative systems, continued gas burning suggests a lack of urgency relating to an acute environmental predicament (Okpara, et al. 2013, pg.53). Ad hoc accomplishment of CSR projects and the stoppage of the Nigerian government to react to the needs of the region left the burden of dealing with the adverse outcome of oil withdrawal on the local communities. Thirdly, the incorporation of community expansion and self-help projects in Corporate Social Responsibility approach in the Niger Delta did not take place up to the mid-1990s. The confirmation implies that early efforts at community help projects and infrastructure enhancement were reactive. The oil companies incorporated Corporate Social Responsibility into Corporate tactic only when aggression against the companies builds up. Fourth, there was short of harmonized strategic approach to the execution of CSR formed uneven outcome that had a small effect on the people of the Niger Delta. The millions of dollars used for scholarships, schools, and agricultural extension projects have had no effect on alleviating poverty or the socio-economic advancement of the region. The lack of a wide-ranging emergency response plans to tackle oil spills in the area demonstrate this point. The oil companies’ reaction to such environmental tragedy hardly ever extends away from the villages in the surrounding area to communities downstream where farmlands and rivers have been uniformly ruined. Slight effort has been made by the oil to expand Corporate Social Responsibility projects to the poorest and most ecologically overwhelmed communities in the region. Corporate Social Responsibility practice in the oil industry has progressed, and for the most part, has incorporated into a corporate strategy. The modification in an approach is evident in SPDC’s move in Corporate Social Responsibility policy from community advancement to sustainable community development. SCD was implemented as a new plan to better the company-community relationships in the Niger Delta. SPDC’s new project highlights tactical collaboration with the government, international development agencies, and the communities. To express their obligation to SCD, SPDC in partnership with NNPC allocated vast sums of money every year to construct roads, water, healthcare, education and among other programs. Chevron-Texaco, Exxon-Mobil with other oil companies have welcomed the use of worldwide memorandum of understanding (GMOUs) to offer development projects in return for a peaceful and secure operating environment. Few studies have observed community prospect of CSR in the Niger Delta in the background of the cultural, political and administrative organization. Previous research has concerned with variance, community-company relations, and environmental from the study it can be seen that a majority of community members allocate responsibility for developing the oil-bearing communities to the oil companies (D'amato, et al. 2009, pg.63). The motive for ascription of responsibility consists of, corporate responsibility to the communities as hosts and the loss of livelihood due to the impact of petroleum extraction. This study goes beyond identification of community prospect of CSR. It offers approaches concerning the administrative systems and demonstrate how the political dynamics Had the effect on the expectations of the different communities and interest groups in the Niger Delta. The approaching exposed in this study may perhaps be of use for the oil companies when harmonizing the interests of all key stakeholders in the region, and may allow for better coordination of CSR programs Conclusion is the final part of any learning practice. Summarizing the article about my learning experience, it is necessary to mention that the most important things in the analysis of the report are the correct structural division and practical examples for the reflection of authenticity of research. References David Ogula, “Corporate Social Responsibility: Case Study of Community Expectations and the Administrative Systems, Niger Delta” http://www.nova.edu/ssss/QR/QR17/ogula.pdf Okpara, J. O., & Idowu, S. O. 2013. Corporate Social Responsibility Challenges, Opportunities and Strategies for 21st Century Leaders. Corporate Social Responsibility. Berlin, Heidelberg, Imprint: Springer. D'amato, A., Henderson, S., & Florence, S. 2009. Corporate Social Responsibility and Sustainable Business A Guide to Their Leadership Tasks and Functions. Greensboro, CCL Press [Imprint]. http://search.ebscohost.com/direct.asp?db=bth&jid=8WT6&scope=site. Read More