When CSR becomes BOGOF (buy one, get one free)

These days, the hottest term in Nigeria and in the media seems to have become corporate social responsibility (CSR). Everywhere you turn; there is a CSR consultant, expert, firm, and even event! Quite interestingly, it’s all lone efforts trying to preach the same gospel of sustainability and responsibility to businesses.

In as much as I believe this may be not be an entirely unfamiliar territory for the great majority of businesses in Nigeria, and in terms of the real meaning of CSR and how to bring it to life, examples of best practices are few and far between at present. Although the words "corporate social responsibility" have been much bandied about in the media recently, it is harder than one might imagine to truly realize CSR in the day-to-day work of an enterprise, or to integrate it fully into a business strategy.

It’s not uncommon in Nigeria to see this kind of band-wagon effect when a new bride comes to town but as usual, time always tells the bride that has come to stay. Understanding the African business environment and ensuring that the gaps are filled is critical to changing the status quo of what we seek to achieve. There are definitely mis-applications and very few organizations and practitioners truly understand what this is all about. Some will say its part of their “giving back” initiatives; some will do it annually; others will do it on the basis of the passion or interest of the owners of the company. When CSR is not part of your business strategy, then there is a disconnection.  The new approach to sustainable business is a commercial opportunity. The alternative is a business risk. So, if your current CSR model is based on compliance and an annual CSR or sustainability report and your approach to business is based solely on short term financial targets, you may wish to look again.

Beyond annual events and foras, what are we doing about changing the way we do business in Africa and in Nigeria? What are we doing, looking at the issues of regulation and what it means for local and transnational businesses operating within the country?

I am perturbed that as we seek to entrench CSR and its many and varied definitions, our new experts, firms and consultants are unknowingly keeping us in the stream of ‘corporate philanthropy’, ‘cause marketing’ and ‘giving back’ masquerading as CSR.

It is imperative for us to know that we are all catalysts. We all have a role in helping the private sector achieve long term success; the public sector achieves public policy results; and to help the third sector achieve their social goals. For business, improving lives and achieving commercial success are not at odds. They are dissociatively linked.

As CSR becomes BOGOF in Nigeria, we must look beyond asking organizations to give back and rather understand the interplay between policies and strategies that are necessary for sustainable development. The 2011 Africa Progress Report presented at the World Economic Forum (WEF) clearly shows Nigeria and indeed, most of Africa struggling with almost all the performance indicators on the MDGs. The role of the private sector in this regard cannot be under-emphasized. 

As we consult for businesses/organizations and plan events on CSR, let us help the private sector understand their role in working with government to ensure inclusive development. The private sector is an engine of growth - bringing ideas, organization, technology and capital to bear. Government can stimulate enterprise and put in place regulatory structures that ensure both that business can flourish and that its benefits are shared by all, and do not result in inequity or conflict.

Public Private Partnerships must be clearly aligned to change the developmental status quo. Quoting a report from the World Economic Forum, "Leveraging private sector resources is probably more about facilitation than subsidy. Inadequate information is an important impediment to the development of new PPPs. A company may have a general inclination to make certain resources and expertise available for the public good, but it may have neither the time nor staff capacity to scout the landscape for suitable official and NGO partnerships." (WEF, 2005: 12)

We should be asking critical questions:    

• How can CSR be incorporated into a wider strategy for engaging the private sector?
• In what areas has the Nigerian (and the wider African) development community been successful at encouraging CSR?
• What types of initiatives are successful at making such information available to the private sector?
• What role can the private sector play to make such information more readily available (e.g. private sector reporting on the MDGs)?
• Are there examples of PPPs that benefited the private sector and failed to reach the intended target? What can be learned from these examples?
• Are some PPPs ideologically driven by donors and some governments?

As we support the creating of a paradigm shift in discussions on CSR in developing countries, it is necessary to strengthen the capacity and awareness of the various perspectives of CSR among policy makers. This will increase their understanding of policy makers on how CSR policies/strategies of investors can be linked with national development objectives, including the MDGs.

As usual, my musings.