Moderating the CSR of Shell Oil Company in Nigeria

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Overview

• CSR Introduction• Background information about Nigeria • Shell Company Overview• Sustainability• Stakeholder accountability• Conclusion C S

R

CSR Introduction

Social Responsibilities of organization have been debated for many years

And the nature of CSR appears to be changing

companies and organisations are now posed with accountability in socially responsible in the community and regions where they operate

CSR Introduction Cont.……

Value judgement is being made that a good organization is synonymous with one that engages in sustainability and CSR initiatives.

CSR calls for business concern for social welfare

Long term interest

Society´s health

CSR Introduction Cont.……

CSR Initiatives

Sustainability

• The delivery of product or services to help solve a need that will benefit the society

• To be profitable

Stakeholder theory• Taking care of the

various stakeholder and expecting a balance in social responsibility

Background Information about Nigeria

Located in the western part of Africa

Near the Gulf of Guinea

Background Information about Nigeria

The most populous country in Africa

Estimated Population of 170 million

The largest and fastest growing economy in Africa

A former British colony, gained independence in 1960

A country rich in numerous mineral and natural resources, but solely dependent on oil revenue

Crude Oil became Nigeria major source of income in the colonial period and now Nigeria is the 8th largest Crude oil exporter in the world

ROYAL DUTCH SHELL PLC

SHELL COMPANY IN NIGERIA

Roya Dutch Shell Company

Shell is a multinational Company It is one of the leading oil and gas companies in the world Specializes on drilling, refining and exportation of crude oil all over the

world Presently operates in 186 countries

Roya Dutch Shell Company

• Shell has its long term presence in Nigeria (from the colonial days)• Operates in the southern part of Nigeria (Niger-Delta)

Roya Dutch Shell Company Highly profitable

Shell the most profitable amongst its competitors

2010, revenue $360b

GDP $310b

Shells´ responsibility on sustainable developement

Shells´ responsibility on sustainable developement

Managing stakeholder theory

Continuous environmental damages Death and execution of innocent men for expressing concern

for their land High influence in the Nigerian government Economic hardship and extreme poverty for the local

inhabitants Continuous escalation of violence, leading to the kidnap of

Shell staffs Clean up operations fall below international standard Unfair compensation paid to workers

Shell continuous failure in managing its stakeholders in Nigeria

Conclusion

• Shell company has succeeded in its profitable proceeds in its past years of operations at the detriment of the local communities

• But it is a practical failure in achieving a proper CSR initiatives in its operations in the Niger-Delta region of Nigeria, taking a maximum advantage of the corrupt Nigeria government

Thanks for your attentions