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Corporate
social responsibility promotes sustainability and good governance
Chinga
Govhati
March 05, 2013
Just a few kilometers
before one enters the provincial centre of Mashonaland Central,
one a sees a very conspicuous sign in broad letters showing that
a certain primary school is being supported by a big mining concern
in the area. This same sign can be seen near one other school in
the area. What both these schools have in common is that they are
known to cater for very poor children whose parents/caregivers work
or worked in the mining and farming sectors. The schools have changed
dramatically as a result of this support, albeit this intervention
being a year or so old. That is corporate social responsibility,
which one prominent South African company defines as “an important
element of good corporate citizenship, alongside sustainability
and good governance.” (South
African Pulp and Paper Industries)
Businesses
have an obligation in the community they ‘serve’. This
responsibility goes beyond just realising profit from their various
business concerns. It can loosely be defined as ‘giving back.’
Corporate social responsibility is more than mere philanthropic
gestures concerned with corporate image; it has much to do with
social investment for the benefit of both the recipient and the
giver.
What can be discerned
from the definition is that business ethics demands that a company
should not only be concerned about ‘milking’ a community
for profit, but that this milking should be done accountably and
in a responsible manner. It means that a company should be able
to give in relative proportion to its returns. The rationale behind
this call is very simple; the same company needs to invest in its
future operations. As in the case of the mining company alluded
to above, it could be that the company suddenly became aware that
the same generation of children it is now supporting will become
its workforce at some future stage. This kind of community involvement
is key to the promotion of human development. According to the United
Nations Development Programme (UNDP), people are the real wealth
of nations and development has moved from being measured by just
economic indicators but by human development indexes; the achievement
of which needs concerted efforts of all players.
Leaving the
government alone to provide for the needs of every citizen is like
piling all the housework, in a family situation, on one individual.
Cracks are bound to show as the burden becomes too much. This overburdening
may even result in lethargy, lack of prioritisation and oversight
of important issues. Whilst the argument that some, if not most,
businesses would proffer is that they pay taxes, they cannot overlook
the need for showing responsibility to a particular community that
is helping them amass wealth. One can call that oversight downright
immorality. Most companies have been accused of committing the same
offences that they accuse the government of. How many are or have
been accused of unfair labour practices; underpaying, discrimination,
not being concerned with workers’ welfare, etc?
Companies and business
concerns definitely need to redefine their obligations towards the
communities they carry out their businesses in. Some have been doing
this and they need to be commended. Companies such as Econet and
Spar easily come to mind in looking to the plight of the underprivileged
child. These are mentioned because they have been seen to be involved
in community upliftment even before the talk of indigenisation and
empowerment by the government. How many companies have been involved
in social welfare initiatives in the communities that they operate
in? Most are now being forced to play their part because of the
talk of indigenisation, yet this is an obligation that they should
have taken up on their own without having their arm twisted out
of joint first.
There are direct and indirect as well as short-term and long-term
interests and benefits for companies to be involved in uplifting
the standards of life of communities they operate in. Corporates
in Zimbabwe may equally benefit this way as much as they will be
benefiting society. For child protection, this is shared responsibility
in action and such kind of investment will definitely help create
productive and responsible future citizens.
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