Corporate Social Responsibility

What is CSR?

“CSR is the responsibility of enterprises for their impact on society”. This is an important factor in maintaining and building a company’s reputation, securing its licence to operate and contributing to its sustainability.

The shifting scope of CSR

Why engage in CSR? Many industry codes of good practice, such as the International Council on Mining and Metals (ICMM), list community development as one of their primary concerns.  The ICMM requires its members to commit to 10 principles, one of which is to “Pursue continual improvement in social performance and contribute to the social, economic and institutional development of host countries and communities”

It is becoming your responsibility

There is also the perennial problem of a company addressing societal issues – where does the responsibility of the state end and the obligations of the company begin?  Is this not government’s role, and are we not creating a situation of dependency? The reality in poor countries is that the corporate is expected to take on responsibilities way beyond its core business, and contribute to the betterment of the lives of surrounding communities, or the population at large. It is no longer acceptable to be “an island of prosperity in a sea of poverty”.

So, are we “doing it” to tick the box? Do we really need to care about those around us?

Well, society has become more suspicious about one’s motives, and rather than a company being lauded for its efforts, its critics of CSR claim that such strategies are simply public relations initiatives designed to achieve ‘innocence by association’ as companies protect their profitability by aligning themselves with social causes to improve their public image and avoid regulation.

A renewed interest in corporate citizenship has emerged as governments have been unable to meet social needs as globalization and its associated deregulation and market externalities have grown. As a result, businesses are increasingly called on to take on a more active social role in the communities, local and global, where they operate.

The extent of extreme poverty and inequality makes it increasingly difficult for companies to assume that they can conduct their business in splendid isolation, without making a real difference.  Window dressing will be judged harshly in our connected world and, yes, it is becoming your responsibility.

In addition, health and safety is not just about what goes on during operating hours: health and safety is moving “outside the fence” to include the total wellness and well-being of employees, and the communities of which they are a part.

Some ideas

The involvement of businesses in public health and health care has, so far, focused on reducing health care costs and improving employee productivity, forgetting the communities to which these employees belong. Business leaders need to understand that an employer can do everything right to influence the health and productivity of its workforce at the worksite, but if that same workforce lives in unhealthy communities, employer investments can be seriously compromised.

Health and safety is not just about what goes on during operating hours

Poor communities have several associated issues such as malnutrition resulting in compromised immune systems and an increased prevalence of disease.  Undernourished children can be stunted, meaning that their physical and mental development is behind that of their peers. Equally, the company draws the bulk of its workforce from this community, or is expected to do so.

What we are doing

Altor Africa is focusing on the wellness of employees, their families and the broader community through providing healthy and nutritious feeding supplementation.  Well-fed employees are more productive, stronger and healthier and, knowing that their families are also being cared for, gives them a more positive attitude towards the company.

Knowing that their families are also being cared for gives employees a more positive attitude towards the company

We are also addressing problems relating to stunting in children, and contributing to improving learning in schools.  There are two means by which one can combat stunting:

  • ensuring that pregnant and breast feeding women are properly fed
  • making a nutritious meal available to young children.

Thereafter school-going children need to receive proper nutrition to improve concentration levels, boost immune systems and generally improve their health.

A trial with a school in Zambia supported by a major mining company returned the following findings over a two month period:

  1. Enrolment increased from 308 to 329 pupils
  2. School attendance improved from 54% in the first term to 64% in the first term of the following year
  3. The school recorded marked improvements in the percentage of the pupils passing their end of term assessments (64%) compared to the previous year (54%) across subjects and grades
  4. School enrolment increased including attracting pupils from a neighbouring school.

The trial was followed with a programme feeding 6000 learners per day.
The results achieved were consistent with the trial results.