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THE EFFECT OF SOCIAL RESPONSIBILITY ON BUSINESS ORGANIZATION IN ENUGU STATE (A CASE STUDY OF EMENE RICE MILLING COMPANY).

CHAPTER ONE

1.0 INTRODUCTION

Responsibility means accountability, therefore social responsibility means, or may be defined as an obligation to fulfill certain positive duties in one’s environment or society.

Social responsibility of a business therefore suggests the obligation a firm must undertake to discharge on its area of operation or to individuals working for such firm or organization

From the above expostulations, it is dent that the social responsibility of a firm consists of both internal and external commitments.

The essence of scrutinizing the degree to which a firm fulfils it’s obligation to the society and it’s employees is a direct measure of the integrity of that firm, as well as the determination of it’s place in this area of modern business conventionalities.

Also very important to note is the fact that a business in discharging it’s social responsibilities satisfactorily simultaneously attracts to itself both prestige and progress as the people are more wont to patronize its product and acclaim it’s modesty.

 Moreover, just like shake spare wrote “The abuse of greatness is when it disjoint remorse from power”….it will be a gross ant humanity for a firm to enjoy all it benefit alone, without remembering the goose that lays the golden eggs. Common sense therefore demands that production other manufacturing firms should for some of their activities that releases adverse social effects Viz: Environmental pollution, decay, health hazards, and displacement of human settlement etc. discharge certain compensative duties.

Some developed countries, especially the industrialist countries of the western 6 o’clock, out of altruism and not compensation, fulfill certain gratis to the poor under developed countries that are it’s raw materials procuring sources. This shows that apart from the commitment by reason to ameohiorate adverse effects initiated or caused by it’s activities on the people and place of it’s operation, that a business can also carryout certain services to the society, on a pure Samaritan an or humanitarian basis.

A business that is conscious of it’s social responsibilities is a sure tool for securing economic enlistment and growth. It is therefore very laudable of every business to always accommodate its social responsibilities when drafty its annual but gets- and also perform other social function that will contribute positively to its area of activity.

 1.1  GENERAL BACKGROUND OF THE STUDY:

        To discuss in entirety all the out let through which businesses carry out their social responsibilities to the society, and it’s employees may be a Herculean task.

Nevertheless, the social responsibility of business organizations fall under three basic captions viz:-

(a)  Eradication of poverty and discrimination.

(b)  Ecology and Environmental protection.

© Consumerism.

It therefore, the background of the study to emphasize on the effects of social responsibilities   on business organization in Enugu State.

The instance social responsibility is mentioned, what quickly comes to the mind an obligation which the business is bound to or expected to fulfill to the society in which it is operating.

It also should be noted that apt observation of its social responsibility by a business is an indication of morality and sound social ethnics as virtues of such business and is not in any way a deviation from the companies stated objectives.

Saddening, some firm observes its social obligations not because of consciousness of duty but because of the effects of this observation on the business.

To this end, organizations certainly will do better if appropriate legislations are passed unto it’s activities by the government, with respect to it’s relationship with both human and environmental factor in its area of activities.

Taking the aforementioned, three, basic classification of social responsibilities of business organization one by one, and synoptically too, let us see how it affects the social sphere.           

(A)        Eradication of poverty and discrimination:

The business owes the society the obligation of helping in the war against poverty and discrimination. This is done visa-a-vis provision of gratis or bonus pays. It also fights discrimination by condemning tribalism or ethnics in its internal operations specially as relates to personnel or staff matters.

 (B)  Ecology and environmental protection

        The society should endeavor to minimize  the degree of pollution it causes by its act invites. Construction and rehabilitation of drainage and disposal systems will ensure this. Medical facilities should also be built to salvage the victimized masses of the area.

 (C)      Consumerism

The business organization should be co-operative with government’s endeavors to protect consumer interest. This the business can do by clinical and hygienic production culture-and respect for quality standard.

 1.2  PROBLEM ASSOCIATED WITH SUBJECT MATTER:

        Based on this research work, business organization Bastion negatively. Some of these problems are as follows:-

 (A)  FINANCIAL DEFICIENCY

        Some organizations have insufficient managerial and financial resources with which to offset social charges,

 (B)   DISPARITY OF ORGANIZATIONS WITH GOVERNMENT

LEGISLATION:

Owing to the over-cumbersome social demands business by some state governments legislations, some business organization could not fit in.

 (C)   CONFLICT OF  SOCIETAL VERSUS COMUNAL VIRTUS

        Social values and cultural dispositions of some communities affect the operation activities of business organizations.

 (D)  PERSONNEL PROBLEM

      The contributions of social problem based on personnel responsibility affect negatively, the business organizations. Observing the high rate of exploitation embezzlement, corruption, bribery, and ethnics and discriminations going on in offices. All the vices most often sums up to create a disrepute or maturity for the business and consequently leads to poor organizational performance and ultimately liquidation.

1.3  PROBLEMS THAT THE STUDY WELL BE CONCERNED WITH:

        The aim of the study is to analyze and evaluate the effects of social responsibilities on business organizations in Enugu state. Every organization is bound both by common sense and legislations to excite certain responsibilities, though of social nature, to both the communities it is operating in, and the individuals working in it. (Employees).

        The research also aims at obtaining specific goal for this discharging of duty by organizations for the social benefit of community in which it operates.

   Ultimately, we can observe that the business organization owe social responsibilities to societies in its different environment viz:-

(i)  Market environment.

(ii) Societal environment.

(iii) Internal environment

        Referring to the business environments cited above, we can also observe that in the market environment the business have the consumers to please, at the societal environment.

The community and finally in its internal environment, the manpower or its employees.

  1.4  THE IMPORTANCE OF STUDYING THE AREA

        The significance of this research worker in the fact that it will enable business organizations in Enugu state to be more sensitized towards carrying out appropriately, it’s social responsibilities to the society and its own manpower.

        This research will also examine the weakness inherent in a business organization; with respect to it’s discharging of t’s social responsibility to the society, the study will expose these weaknesses, trace their possible causes, and suggest ways of solving them.

     It also shall create a reference source to further study by other scholars and professionals. This is understandable as execution of research studies or projects relies more in literature reviews and collection of data from secondary sources.

        Also among the merits of this study is the possibility of discovering other item situations, which when keeping assessed, will contribute immensely to words the business-growth-discoveries that may be liked to what in dustrial processes and science cull a by-product.

 1.5  DEFINITION OF IMPORTANT TERMS

     Below is a list of the important, and consequently the most recurring term in this report:-

BUSINESS:

 A corporate or registered group of people performing certain activates for actualization of a common goal, which are profit, survival and growth.

 ORGANIZATION:

 A word used synonymously with business. The factor responsible for coordination, directing and managing of all the other factors of production. Also called enterprise.

OBLIGATION:

A task something or someone should, and must do.

RESPONSIBILITY:

The state of being liable, or accountable to something. In this case, the business repletion for the society. 

 LEGISLATIONS:

Laws or decrees emphasized in the constitution of Nigeria, which must be obeyed.

FIRM:

A business unit producing only one product type or performing the same activities.

 INDUSTRY:

A group of firms producing different stages of production.

COMPANY:

A duty registered business, which may be a firm.

ECOLOGY:

The totality of both living and non-living components that makes up our environment (the study of this aspect of Biology).

 CONSUMERISM:

The concept of emphasizing on the well being and comfort of the consumers or customers.

SOCIAL RESPONSIBILITY:

A duty which something or someone owes to the society and individuals.

GRATIS:

A blessing, a gift given without expectation of reward.

ANNUAL BUDGETS:

The comprehensive estimate of expected income and expenditures of an organization for one-business years.

PRODUCT:

Anything that can satisfy a want. In this context, the output of a firm or business.

MARKET ENVIRONMENT:

All the forces encountered by a business in it’s marketing or selling frontier or environment.

SOCIETAL ENVIRONMENT:

All the human resources that are directly related to an organization.

INTERNAL ENVIRONMENT:

All the internal structures, especially human in nature, and it’s associated coordination in a business.

MANPOWER:

All the human recourse that is available for, and willing to work in an organization.

MANAGEMENT:

The same thing with organization.

 CORDINATION:

A management function, which bases on how to coordinate the activities of different departments in a business for a maximum benefit.

SENSITIZATION:

To infuse sense into: To make something or someone aware of something.

ADIMINISTRATION:

The directorial duties of an manager or management.

GROWTH:

The state of increase in size or standard.

 COMMUNAL:

Relating to community life, virtues, and culture e.t.c.

Endemic to a particular people.

OPERATIONS:

The activities of a business organization.

POLICY:

A set down rule to which an management must conform it’s actions to in order to achieve a desired objective.

 1.6  REFERENCE USING APA METHOD:

    CLARK (1979) THE SOCIAL

     AUDIT EMENT, FIRST EDITION

       NEW YORK, ANACOM.

 JOHN .J. CORGON AND GEORGE. A.STERNE

(1978) MEASURING BUSINESS SOCIAL

PERFORMANCE, FIRST EDITION

LONDON; COMZY LANE.

ANI. B. NNENNA, AGBO. B. OJEMBA NWANDU.

 ERIMMA C., (2003) PRINCIPLES OF

 MANAGEMENT II FIRST EDITION, ENUGU,

 NERCE PUBLICATION.

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