INSTITUTE OF PROFESSIONAL STUDIES
EVALUATING THE EFFECTS OF CORPORATE
SOCIAL RESPONSIBILITY ON THE ORGANIZATION.
A CASE STUDY OF THE ANGLOGOLD ASHANTI.
BY
DAVID FENYE ASAMOAH
(10DMGR092)
EVELYN OYE ATIEMO
(10DMGR103)
AMINA SANI
(10DMGR060)
MAVIS ADOBEA OPOKU
(10DMGR113)
A PROJECT REPORT PRESENTED TO THE DEPARTMENT OF BUSINESS
ADMINISTRATION OF THE FACULTY OF MANAGEMENT, INSTITUTE OF
PROFESSIONAL STUDIES (IPS) IN PARTIAL FULFILLMENT OF THE REQUIREMENTS
FOR THE AWARD OF TERTIARY DIPLOMA IN MANAGEMENT CERTIFICATE.
MAY, 2012.
CANDIDATE DECLARATION
We, the undersigned do hereby declare that this project report is the result of our own original
research and that no part of it has been presented for another certificate in any university.
However, all sources of borrowed materials have been duly acknowledged
Name: DAVID FENYE ASAMOAH
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Date...
Name: EVELYN OYE ATIEMO
Sign
Date..
Name: AMINA SANI
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Date
Name: MAVIS ADOBEA OPOKU
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Date.
DEDICATION
This project report is dedicated firstly to the Almighty God and secondly to the Institute for
giving us the opportunity to study in a tertiary institution and also to undertake this research. It is
also dedicated to all group members; David, Evelyn, Amina and Mavis.
ACKNOWLEDGEMENTS
We would like to thank all the people who guided and supported us in diverse way for the
successful completion of this study.
We are utmost grateful to God for granting us the strength, wisdom, knowledge, skills and ability
to carry out this work successfully.
We are also indebted to all employees at the Corporate Affairs Department of AngloGold
Ashanti who willingness to give us give us responses offered us the needed data to accomplish
this study.
Finally, our sincerest appreciation goes to Mr. Ismail who provided us with some insightful
thoughts in the finishing and Mr. Abdul Fatahu who assisted us in many diverse ways for the
accomplishment of this write-up.
ABSTRACT
In the late 1880s in the introduction stage of the industrialization it was broadly discussed
whether or not companies should take their social responsibility. This discussion has today lead
to what is called Corporate Social Responsibility (CSR). The interest for CSR has grown rapidly
the recent years and people are starting to demand that companies take their social responsibility.
In the same time companies have started to understand that they can use CSR as a strategy in
order to gain benefits. An increasing number of companies have started to engage in CSR and it
has even become trendy for companies in Ghana to engage in CSR. Many argue that companies
can gain enormous benefits by engaging in CSR while others argue that CSR engagement can
have a negative effect on the company.
This study focuses on investigating why companies engage in CSR, how they apply CSR and
how CSR can affect financial performance.
We have conducted a case study on the company ANGLOGOLD ASHANTI in order to gain a
deeper understanding of the topic.
TABLE OF CONTENT
CANDIDATE DECLARATION.............................................................................................
DEDICATION..........................................................................................................................
ACKNOWLEDGEMENTS..............................................................................................
ABSTRACT..............................................................................................................................
TABLE OF CONTENT............................................................................................................
LIST OF ACRONYMS.........................................................................................................
LIST OF CHARTS..................................................................................................................
CHAPTER ONE ..........................................................................Error! Bookmark not defined.
1.0 INTRODUCTION ...............................................................Error! Bookmark not defined.
1.1 BACKGROUND OF THE STUDY ....................................Error! Bookmark not defined.
1.2 PROBLEM STATEMENT ................................................................................................... 3
1.3 OBJECTIVE OF THE STUDY ........................................................................................... 5
1.4 SIGNIFICANCE OF THE STUDY ..................................................................................... 6
CHAPTER TWO .......................................................................................................................... 8
2.0 LITERATURE REVIEW ..................................................................................................... 8
2.1 THEORIES OF CSR............................................................................................................. 8
2.2 CORPORATE SOCIAL RESPONSIBILITY: INTERNATIONAL AND LOCAL
IMPACT ................................................................................................................................... 10
2.3 ANGLOGOLD ASHANTI AND CSR ............................................................................... 12
2.4 EFFECTS OF GOLD MINING ON THE COMMUNITIES ............................................. 14
2.5 DEFINING CSR AND ITS RELATION TO SUSTAINABLE DEVELOPMENT .......... 15
2.6 CORPORATE COMMUNITY PARTNERSHIP ............................................................... 16
2.7 HOW GOOD COMMUNITY POLICIES CAN CONTRIBUTE TO A COMPANYS
SUCCESS ....17
CHAPTER THREE...................................................................................................................17
3.0 METHODOLOGY ..............................................................Error! Bookmark not defined.
3.1
INTRODUCTION ...........................................................Error! Bookmark not defined.
3.2
RESEARCH DESIGN ....................................................Error! Bookmark not defined.
3.3
POPULATION OF THE STUDY AREA ...................................................................... 18
3.4
SAMPLING PROCEDURE........................................................................................... 18
3.5
SOURCES OF DATA .................................................................................................... 18
3.6
DATA ANALYSIS ........................................................................................................ 19
CHAPTER FOUR ....................................................................................................................... 20
4.0 ANALYSIS AND INTERPRETATION OF DATA.......20
4.1 INTRODUCTION .............................................................................................................. 20
4.2 COMPANY VALUES ........................................................................................................ 20
4.3 ENVIRONMENTAL POLICIES23
4.4 COMMUNITY POLICIES.28
CHAPTER FIVE ........................................................................................................................ 31
5.0 SUMMERY, CONCLUTION AND RECOMMENDATION ........................................... 31
5.1 INTRODUCTION .............................................................................................................. 31
5.2 SUMMERY ........................................................................................................................ 31
5.3 CONCLUSION ................................................................................................................... 32
5.4 RECOMMENDATIONS .. 33
REFERENCES ............................................................................................................................. 34
APPENDIX A: Questionnaire ...................................................................................................... 37
LIST OF CHARTS
Chart 4.1
Have you already defined your enterprises values and rules of conduct
Chart 4.2
Do you communicate your enterprises values to customers, business partners,
suppliers and other interested parties?
page 20
page 21
Chart 4.3
Are your employees aware of your enterprises values and rules of conduct page 22
Chart 4.4
Energy Conservation
page 23
Chart 4.5
waste minimization and recycling
page24
Chart 4.6
Protection of natural environment
page 25
Chart 4.7 Can your enterprise save money by reducing its environmental impact
Chart 4.8
page26
Do you consider the potential environmental impacts when developing new products
and services
page 27
Chart 4.9 Does your company offer training opportunities to people from the local community
page28
Chart 4.10 Do you have an open dialogue with the local community on adverse, controversial
or sensitive issues that involve your enterprise
page 29
Chart 4.11 Does your enterprise give regular financial support to local commuinity activities
and projects
page30
LIST OF ACRONYMS
AGA
AngloGold Ashanti
ALRN
African Labour Research Network
BBC
British Broadcasting Corporation
CEO
Chief Executive Officer
CSR
Corporate Social Responsibility
DFID
Department for International Development
IFC
International Finance Corporation
NGO
Non-Governmental Organization
OMCP
Obuasi Malaria Control Programme
UN
United Nations
USAID
United States Agency for International Development
