Profitability In CSR Initiative

The concept of Corporate Social Responsibility (CSR) focuses on ethical and moral issue which impact corporate decision making and behaviour. CSR is a concept that emphasises responsive and extended social contribution of businesses to the society.

Likewise, globalisation has reinforced the relevancy of CSR in business operations. This is because globalisation has introduced new challenges and opportunities emanating from increasing linkages between social, political, economic and environmental roles of businesses.

Thus, businesses are confronted with new risks in the global dynamic environment. The implication is that businesses need to be profitable and respond positively to emerging societal expectations accordingly. The main purpose of CSR is to ensure that firms are accountable to stakeholders which includes shareholders, customers, employees, trade unions and community.

No doubt, industrialisation is good; its seed leads to creation of jobs, wealth and poverty alleviation. However, it has its own risks. With natural habitat being the sacrificial lamb of our industrial revolution and development, this comes with several environmental hazards one of which is emission arising from toxic gases.

Invariably, this is degrading the ozone layer, leading to ocean surge and the consequence is the climate change that is ravaging the world of which Nigeria is not an exemption.

While communities allow companies to set up their factories or companies in their communities, aware of the likely hazard that comes with such decisions, they always take solace in the fact that, at least, it will create new jobs, wealth and poverty alleviation within the domicile society.

To this end, for such accommodating nature of the people, companies are expected to pay back to the communities whose their operation is sighted. This would entails that they contribute positively to the growth of such community, which could be in the area of road construction, drinkable water, electricity, security, reconstruction or building of schools, among others.

Aside this, they also have a civic role of paying back their stakeholders such as; customers, workers, investors, among others through CSR.

For instance, as effort to tackle climate change, about 4.0million tonnes Greenhouse gas emissions (CO2e) reductions was achieved through Nestlé projects since 2018. According to the company, it initiated an additional 9.7 million tonnes CO2e of removals in 2021, giving a total 13.7 million tonnes CO2e.

Nestlé also promotes nutrition education and physical activities among school children in rural areas through the Nestlé Healthy Kids (NHK) program and the Knowledge Sharing (KNHK) program. The company has set up purified drinking water tanks and sanitation facilities for girls in village schools to support the continued education of children.

Other initiatives by Nestlé include partnering with local NGOs to train farmers, implementing a program called “Amra Korbo Joy” to enhance the livelihood of street vendors and organizing a series of nutrition training programs for women on nutrition and traditional birth attendance. For Nestlé, the commitment to Creating Shared Value, Sustainability and Compliance is non-negotiable.