Corporate social responsibility (CSR) is a term that all companies will need to pay close attention to, as it is a concept they will not be able to evade for much longer.
Having started as something companies had a choice to either undertake or not, CSR is fast becoming a business imperative worldwide.
It is increasingly becoming apparent that all companies that are serious about surviving in today’s highly competitive business environment have to establish a comprehensive CSR policy and initiatives.
According to IndustryPlayer, an online business consultancy, CSR “is a concept whereby companies integrate social and environmental concerns into their business operations and in their interaction with their stakeholders (employees, customers, shareholders, investors, local communities, government), on a voluntary basis”.
CSR has a lot to do with sustainability, making it improper for firms to make decisions the same way most have made them all along — based only on factors such as dividends and profitability.
With CSR, decisions are based on both the immediate and long-term environmental and social effects of a company’s operations.
Having started in developed nations like the United States and Britain, the concept has fast cascaded to Africa.
In an article on the online publication, allAfrica.com, titled Making Room for Better Corporate Social Responsibility, the Nigerian government was reported as far back as 2010 to be busy working on legislating a Bill that made it mandatory for companies to pay 3,5% of their gross profits towards CSR initiatives.
- Green Fuel fulfills its Chisumbanje pledge
- Samaita pays tribute to Prophet Bushiri
- CSR Network Zim to host national awards
- Samaita gets business honour
Keep Reading
The Bill, unsurprisingly, was not well-received by the country’s business sector players, most of whom objected to what they viewed to be government meddling in companies’ affairs.
Like in Nigeria, most companies all over the world continue to view CSR as some sort of punishment.
In Zimbabwe, where the economy is far from being stable, most companies evidently view CSR as a move that would further eat into their already limited profit margins. This explains why most companies operating in Zimbabwe still do not have CSR policies.
For most of those that do, it is only on paper as there is nothing on the ground to show they are actually implementing the policy.
As a result of not taking CSR seriously, there is in the country a strong belief that generally, locally-operating companies care only for their personal economic growth and nothing about the well-being of the communities in which they operate.
But stereotyping all profit-making companies in Zimbabwe as selfish would not be fair, as there are some companies operating in the same “economically unstable” environment, but have done a lot to improve the communities in which they operate.
A good example of one such company is the Nyaradzo Group, a local funeral insurance company, which has an evident profound interest in especially helping save the environment.
To help save the country from the imminent threat it currently faces from deforestation for instance, the company, has embarked on an extensive tree-planting exercise countrywide.
It is working on the project in partnership with environmental organisations like Environment Africa, Friends of the Environment and Forestry Commission.
Delta Beverages is another local company that takes CSR seriously. Add to that, it always makes sure to clean the environment in which it operates.
Since it has become apparent in Zimbabwe that waiting for the “responsible authorities” to drive development might require a lot of patience, the corporate world has been challenged to wake up and take some responsibility.
Companies can do more
The country’s infrastructural system is at the moment in a bad state, with rundown buildings and potholed roads being the order of the day.
Litter has become a part of life for Zimbabweans in a clear case of poor waste management; with the responsible authorities having long admitted to finding litter management an overwhelming task.
There is a lack of bins countrywide, a problem that many have blamed for their persistent littering.
Imagine if all companies — big and small — were to have in place clearly formulated and adhered to CSR policies, Zimbabwe would be a much better place.
Contrary to the belief that investing in CSR is a waste of money; voluntary business behaviour, besides enhancing the living environment in communities, has actually been seen to ensure the well-being of companies in the long run. Inasfar as environmental issues are concerned, companies would do well to note that their future, in a major way depends on their handling of the environment.
Companies need to ask themselves if they are doing business in an ecological manner — along the whole value chain. It is time for all companies to green their operations.
