Corporate social responsibility, Waqf system and Zakat system as faith-based model for poverty reduction

Author(s):  
Lukman Raimi ◽  
Ashok Patel ◽  
Ismail Adelopo

Purpose – Poverty is a plague which has continental manifestation, but its impact is heavily felt in several Muslim majority nations (MMNs), where unemployment, illiteracy, chronic diseases, food shortage, sectarian wars and wave of militancy are surging at alarming rates. The purpose of this paper is to develop a faith-based model (FBM) to complement the conventional poverty reduction models. Experiences have shown that FBMs find more acceptability among Muslim nations because they have theoretical and theological underpinnings from the Qur’an and Hadith, as opposed to conventional models that are often viewed with suspicion, sequel to Islamic revivalism. Design/methodology/approach – This research adopts a qualitative research method relying on secondary data/information sourced from CIA Factbook, previous scholarly works, working papers, case studies and relevant internet resources. In line with methodological approach of qualitative research, the secondary data/information were subjected to content and thematic analyses (CTA) from which facts, figures and presumptions were derived to support the FBM. Findings – The paper justified the plausibility of integrating corporate social responsibility (CSR), Waqf system (WS) and Zakat system (TZS) as FBM for poverty reduction, enterprise development and economic empowerment in MMNs. Research limitations/implications – The gap left behind by the paper is for future researchers to carry out an empirical investigation on the viability or otherwise of the FBM. This could include the governance structure, operational modalities and regulatory frameworks that would enhance the functioning of the FBM. Practical implications – FBM framework is practically a corporate social investment (CSI), which would be heavily funded by Zakat payers, CSR donations and Waqf. The funds would be deployed to poverty reduction in a number of ways ranging from training, micro-credit support for SMEs, apprenticeships, setting up technology business incubation centres, cluster development, infrastructural development in industrial parks, as well as providing welfare support services to the poor, marginalised communities and other economically disadvantaged groups. Originality/value – The theoretical research is a contribution to theory and practice of CSR in the field of management and Islamic economics. It has developed a FBM for adoption by MMNs who are hesitant in adopting western model for fear of compromising their ethical values.

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Constâncio A. Machanguana ◽  
Idalina Dias Sardinha

Purpose This paper aims to contribute to the scientific and societal debates about the role of corporate social responsibility (CSR) and particularly on the resettlements’ processes as part of extractive multinational companies (MNCs)’s commitments where the host country is an emerging extractive economy. Design/methodology/approach It is an exploratory study based on the analysis of secondary data, few interviews and on-site observation and deals with the description of the assessment of VALE, SA resettlement processes and assumed CSR practices of VALE, SA, an MNC operating in the Moatize district, Tete province in Mozambique. Findings The MNC assumes resettlement processes to be part of the CSR arena and reveals that VALE, SA follows a reactive poor approach as to CSR. The weak institutional context in Mozambique is like others described in the literature. The empirical data together with the sense of an ethical responsibility approach associated with resettlement processes and the paradigm shift in aid for trade as to development supported by the MNC’s CSR leads to the conclusion that resettlement can be considered part of the CSR of a mining MNC. Research limitations/implications The difficult access to key informants of the resettled communities, local government and little interest in interview participation by VALE, SA, showed a current lack of confidence and communication limitations by the company as to this issue. Practical implications The failure of VALE, SA and other mining companies to meet their resettlement responsibilities and the inability of government supervision, requires local and national, as well as social and scientific communication processes and debate on this issue to be maintained on an ongoing basis during the mining life cycle to guaranty accomplishments of CSR. Social implications The controversy over whether mining MNCs will benefit Africa’s emerging economies as to their socio-economic development will continue until MNCs commit themselves and act to be economically, legally and ethically responsible for contributing to the sustainable development of the countries where they operate. Originality/value This paper contributes to the debate on whether CSR frames the resettlement process based on literature review and key stakeholder views.


2019 ◽  
Vol 15 (6) ◽  
pp. 742-761
Author(s):  
Lukman Raimi ◽  
AbdulGaniyu Omobolaji Adelopo ◽  
Hassan Yusuf

Purpose This study aims to empirically investigate the relationship between corporate social responsibility (CSR) and sustainable management of wastes and effluents (SMWE) in Lagos Megacity. Design/methodology/approach The paper adopts a quantitative research method, specifically the use of a Web-survey technique for eliciting responses from a cross-section of companies affiliated to the Lagos Chambers of Commerce and Industry (LCCI). From a target population of 2,300 companies, a sample of 92 companies was drawn using the sample determination formula of Parten (1950). The 92 sampled companies were randomly administered Web-based questionnaires through their official emails. Finally, the 56 responses received from the participating companies (corresponding to 61 per cent response rate) were analysed electronically and the results presented using descriptive and inferential statistics. Findings The results show strong positive relationships between CSR and advocacy on waste and effluents (0.7), environmental impact response (0.7), environmental sustainability policy (0.6) and preventive negative impact (0.6) with P < 0.05. However, weak positive relationships exist between CSR and monitoring mechanisms (0.3) and adequacy of infrastructure for wastes and pollutants management (0.4). Overall, there is a significant positive relationship between CSR and sustainable management of solid wastes and effluents in the sampled companies in Lagos. Research limitations/implications The research is limited to Lagos Megacity because it is the industrial and commercial hub of Nigeria. Besides, there are several industrial associations in Lagos, but the selected association was the LCCI with 56 sampled companies. Practical implications The research supports and validates the theory of planned behaviour (TPB), which explicates that performance behaviour of organisations is influenced by the behavioural intention and behavioural control. However, behavioural intention of organisations may be carried out, abandoned or revised based on ever changing circumstances or contexts. Originality/value The study bridges the gap between theory and practice of environmental CSR by enriching the understanding of academics and practitioners on CSR and environmental sustainability relationships in Lagos Megacity.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Oyindamola Abiola Ajayi ◽  
Tsietsi Mmutle

PurposeThe purpose of this paper is to explore how the communication of corporate social responsibility (CSR) contributes towards a favourable corporate reputation. It explores the communication strategies and channels organisations deemed reputable by stakeholders use to achieve an effective CSR communication.Design/methodology/approachTo achieve this, a qualitative content analysis using the directed approach was conducted on the textual CSR communication materials of ten reputable organisations in South Africa based on the 2018 South Africa Reptrak survey.FindingsResult showed that seven out of ten organisations use both self-serving and society-serving motive in their CSR communication, while the other 3 use only the society serving motive. The informing strategy was also more evident in the CSR communication materials than the interactive strategy. In terms of the communication channels, the study found that organisations mainly utilise controlled channels for CSR communication.Originality/valueThe literature reviewed and the findings of this study reveal a gap between the theory and practice of CSR communication. This drives the need for organisations to research and tailor CSR communication based on stakeholders' unique characteristics and preferences. The paper also contributes to improving the knowledge on the role different CSR communication strategies and channels play in CSR communication.


2017 ◽  
Vol 59 (6) ◽  
pp. 964-976
Author(s):  
Pujiyono ◽  
Jamal Wiwoho ◽  
Wahyudi Sutopo

Purpose This paper aims to provide an overview of existing condition, rules and implementation of CSR and create harmony models of corporate social responsibility (CSR) between regulation, Javanese culture values and universal principles, to fill the lack of CSR regulation in Indonesia. Design/methodology/approach This study is based on sociology legal research. The regulations and principles have been studied by using the approach of law and social sciences. That characteristic is descriptive evaluative. The primary data are taken from interview with the senior source relations of PT Pertamina Hulu Energi (PHE) in Jakarta, President Director of PT Rosalia Indah Group in Surakarta and Your Honour Prince of Surakarta Hanadiningrat Kingdom. Secondary data are obtained from the review of the literatures pertaining to the material. Secondary data consist of legal materials such as regulations, books, papers and other references. Data analysis technique use theoretical interpretative. Findings CSR is implemented by company only for lifting the image. CSR fund allocation is still a company’s secret, and it becomes evidence of the lack of transparency for companies to manage and provide social cost to society. It can also be found that some companies collect donations from the public for disaster relief, but in the distribution of aid, they use the name of a CSR company. There is polarization in the implementation of CSR. A government- owned company is already bound by the provisions of the Regulation of the Minister of state-owned enterprises. Research limitations/implications This paper discusses the CSR implementation in Indonesia and it creates a model of accountability of CSR to fill the legal vacuum that occurs at this time. This paper formulates a good relation between traditional Javanese value, government regulations and universal CSR principle. Practical implications There remains a mismatch between the Javanese values of philosophy with the positive regulatory norms that result in the implementation of CSR only to meet the requirements of the positive regulatory norm and ignore the obligations involved and to aid the prosperity of the public society. Social implications Communities around a company have not been able to enjoy the advantages of the company. Communities should fight for their own lives without being dependent on or being supported by a company’s existence. Originality/value This research combines the Javanese values with the positive legal regulations in the implementation of CSR in Indonesia. This research has not been conducted by the others. This research will provides benefits on the idea of imposing sanctions on the non-implementation of CSR, not only through positive legal regulations but also through social sanctions embodied in the Javanese values.


Author(s):  
Khali Mofuoa

Purpose – This paper aims to explore, with the view to establish the prospects of applying Ubuntu-Botho African approach to stakeholder corporate social responsibility (CSR) for business organisations in sub-Saharan Africa (SSA), the experience of Basotho of Lesotho in using Ubuntu-Botho African principles and practices to pursue their socially responsible development fashioned in social responsibility (SR) terms. Design/methodology/approach – Using data mainly from desktop research, the theoretical or conceptual content of the paper was established to inform the discussions on the prospects of applying Ubuntu-Botho African principles and practices to stakeholder CSR for business organisations in SSA. Findings – Ubuntu-Botho African approach to stakeholder CSR could generate a very different notion of ideal SR of business organizations in the context of SSA as the experience of Basotho of Lesotho reveals. Whether or not one is persuaded by this Ubuntu-Botho approach to stakeholder CSR, the discussion serves to illuminate the need to broaden the terms of the debate over the appropriate role of business organizations, at least in the context of SSA, regarding their CSR and performance within which they operate. Originality/value – The paper mainly uses secondary data that is considered to be most relevant, valid and reliable to inform discussions on the prospects of the application of Ubuntu-Botho African ethics to stakeholder CSR for business organisations in the context of SSA. The author’s knowledge of Lesotho – where he lived, studied and worked – informed the writing of this paper, as well as discussions on the prospects of applying Ubuntu-Botho African approach to stakeholder CSR for business organisations in SSA using the experience of Basotho of Lesotho in engineering their socially responsible development to become the granary of Southern Africa in 1900s.


2015 ◽  
Vol 31 (9) ◽  
pp. 9-11 ◽  

Purpose – To explain how communication studies can contribute to the practical and theoretical development of corporate social responsibility (CSR). Design/methodology/approach – Adopts a social constructionist perspective to examine the communication studies literature. Findings – Many people know very little about CSR – and don’t care much about it anyway. But those that do – and that can include some very different special interest groups – not only care but also have their own distinctive view of what CSR means. This presents corporations with a real challenge if they want to be seen as socially responsible and win the support of stakeholders and other groups that can influence their progress. Studying communication reveals themes that can contribute to the effective and meaningful development of CSR. Practical implications – Draws attention to the implications of dialogue between the corporation and stakeholders on CSR issues, the need for transparency and the relevance of complexity theory to CSR practice. Social implications – Notes that “truth” is socially constructed and that perceptions of reality in any situation depend on who takes part in the dialogue and what their starting point and initial beliefs were. Originality/value – Identifies four key contributions to CSR theory and practice drawn from communication studies. Comments that corporations can use these “four aces” to frame their responses to stakeholder CSR concerns more effectively or alternatively, to manipulate the situation.


2008 ◽  
Vol 27 (10) ◽  
pp. 1066-1085 ◽  
Author(s):  
Tom McManus

PurposeThe purpose of this paper is to explore the “mash‐up” of business strategy and corporate social responsibility (CSR). In popular music, a mash‐up is a file of digitally combined musical sources. Song A is played simultaneously with Song B, and in various other combinations. There are often elements of dissonance, and even cacophony, to the form – but the sum of the parts often surpasses the originals. CSR is a management innovation like the idea of business strategy itself. Each is also a metaphor representing alternative visions and approaches to corporate value creation. Business strategists are talking, writing, and meeting about CSR, and CSR is increasingly intersecting, integrating, converging, with business strategy. The trend is described within as a “mash‐up”. But what is the significance of this trend? How serious should companies be about it? Is CSR going to become a part of standard business theory and practice? How long will it take? What should organizations do to respond and participate?Design/methodology/approachThis paper examines two propositions. First, that CSR is more than a set of ideas and processes; it is a metaphor for a different approach to business. Second, CSR is a management innovation like strategic planning itself. The paper concludes that the impact the two ideas will have on each other and society is fundamentally unpredictable, but it is likely that eventually the current CSR mania will subside and disillusionment will set in.FindingsCSR is a highly significant trend, and well‐managed companies are already taking it very seriously. CSR may become a part of standard business theory and practice, but not without evolving through adoption patterns that will necessarily involve some disillusionment. Leaders will guide their company through this period by focusing on how to make CSR “real” for their organization by embracing the business strategy/CSR mash‐up and driving growth and innovation within the new parameters.Originality/valueFamiliarizes business strategists with CSR and CSR practitioners with points of connection and overlap with business strategy.


2019 ◽  
Vol 37 (1) ◽  
pp. 2-17 ◽  
Author(s):  
Jing Yang ◽  
Kelly Basile

Purpose Despite the significant investment in research on corporate social responsibility (CSR), there still exists a lack of clarity in terms of how different types of CSR activities lead to the outcomes a firm desires with their investment in CSR. The purpose of this paper is to provide greater insight on the relationship between types of CSR activities and brand equity (BE). The authors develop and test a conceptual framework, which examines the unique relationship between each CSR dimension and BE, as well as the interaction of product-related CSR activities and employee-related CSR activities with CSR activities across the other dimensions. Design/methodology/approach The authors collected data from multiple secondary sources, including Kinder, Lydenberg and Domini (KLD) Research and Analytics Inc., Interbrand, Compustat and CMR. The authors used random-effect estimations to estimate panel regressions of BE as a function of the different dimensions of a firm’s CSR, interaction terms between CSR dimensions and product quality and interaction terms between employee relations and other CSR dimensions, as well as a set of control variables and Year dummy variables. Findings Based upon a large-scale panel data set including 78 firms for the period of 2000–2014, the results show that diversity- and governance-related CSR have a positive effect on BE, employee-related CSR has a negative effect on BE and both product and employee dimensions play important roles in the relationships between other CSR dimensions and BE. These results have important implications for both theory and practice. Originality/value This study makes several contributions to extant literature on CSR and brand strength. First, this study examines the impact of CSR on BE vs alternative measures of brand-related outcomes. This study uses the KLD database to determine scores for firm CSR activity. It is the first to use the extensive KLD database to examine the relationship between types of CSR activities and BE. Last, this study seeks to better understand some of the organizational factors which influence the success of CSR outcomes. Specifically, the research will examine the interaction of product-related and employee-related CSR activities with CSR activities across the other dimensions.


2019 ◽  
Vol 1 (1) ◽  
pp. 334-348
Author(s):  
Gigih Apriatma ◽  
Charoline Cheisviyanny ◽  
Salma Taqwa

The purposes of this research are to analyze the benefits of recipients of Scholarship CSR Funds by Bank Nagari,the feedback for Bank Nagari and the provision of target benefits of CSR Funds by Bank Nagari. The subject of this research was students who received Bank Nagari scholarship. This research was a qualitative research. The type of data used in this research were primary and secondary data. Primary data was obtained from the results of in-depth interviews with students  and secondary data was obtained from Bank Nagari's Annual report 2016. Data collection techniques were carried out by observation, interviews, and documentation. The results of this research indicated that the scholarship from Bank Nagari  has benefits for recipients, while for feedback was directly not received by Bank Nagari, as well as for the overall awarded of scholarships was considered appropriate but there was different ways of register procedures.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Kwasi Dartey-Baah ◽  
George Kofi Amoako

PurposeThe purpose of this paper is to provide a systematic review of empirical research studies on corporate social responsibility (CSR) in emerging economies.Design/methodology/approachThis paper employed a systematic literature review using research papers published on CSR in emerging economies from 2010 to 2019.FindingsThe findings of this paper show that the principal themes of published research articles on CSR in emerging economies are (1) effects of CSR, (2) drivers of CSR and (3) challenges of CSR. Additionally, publications on CSR in emerging economies have been dominated by studies that used quantitative approach and cross-sectional design. A significant number of studies also employed secondary data sources with most of these studies not being sensitive to sectoral influencesResearch limitations/implicationsThe research is non-empirical.Practical implicationsCSR is an area that can mitigate some of the developmental challenges of emerging economies and also stimulate the economic growth of firms. Thus, governments and organisations must partner to provide suitable conditions that would influence organisations to incorporate CSR in their business plans.Originality/valueThis review is the first of its kind that identifies the principal thematic domains of research on CSR in emerging economies. This review also provides proof of the areas of research that need attention and also provides recommendation on future areas of study on CSR in emerging economies.


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