Embrace Corporate Social Responsibility, Companies Urged
Government has urged companies to embrace the idea of Corporate Social Responsibility (CSR) and promote good corporate governance.
In a speech read on his behalf by his deputy at the Zimbabwe national corporate social responsibility (CSR) awards 2018 last night, Industry and Commerce Minister, Nqobizitha Mangaliso Ndlovu said CSR is a concept that is fast gaining traction in the country and helps companies to maintain an ethical approach to their businesses by giving back to the communities they operate in.
“The concept of Corporate Social Responsibility means that organizations attach moral, ethical, and philanthropic responsibilities in their quest to earn a fair return for investors while complying with the laws of the land.
“Corporate Social Responsibility requires that organizations adopt a much broader approach to its responsibilities, towards, but not limited to its employees, suppliers, customers, the local community, local authorities, the State, environmental groups, and other special interest groups.
“It is a concept that is fast gaining traction and acceptance in our country as in the rest of the world, and I am comforted to note that we are staying abreast of world trends,” he noted.
Ndlovu added that CSR is an inescapable reality for serious organizations intending to be effective in any market as it helps in luring investors who now track companies with goodwill.
“On the economic front, companies practicing Corporate Social Responsibility not only promote their aspirations but those of the industry at large. At a company level, they raise their bar of expected overall behavior.
“Investors, seeing one company adopt Corporate Social Responsibility policies are naturally inclined to invest in that company as it will be demonstrating higher levels of responsibility,” he said.
However, with the country reeling under a serious economic downturn, many companies have found it very difficult to give back to the communities, as they are surviving on break even point.