Driving Inclusion In The Supply Chain For Organic Cocoa Farmers: A Critical Analysis Of CSR Activities By World Vision, Kokonut Pacific Solomon Islands And The Australian Department Of Foreign Affairs And Trade

Discussion

Corporate social responsibility plays an integral role in the overall development of an organisation¹. This mainly lays emphasis on the idea that corporate social responsibility enables an organisation to benefit the community and society that it functions out of. The case study “Driving inclusion in the supply chain for organic cocoa farmers” presents a critical view into corporate social responsibility. The case study does not only lay reference to the necessary corporate social responsibility that organisations such as World Vision, Kokonut Pacific Solomon Islands and the Australian Department of Foreign Affairs and Trade conduct but also elaborates on how it essentially endeavours to help the farmers involved in cocoa farming. The following paper will essentially discuss the case study critically. In addition to this, the following paper will also analyse the negative impacts on stakeholders. In addition to this, the paper will also discuss how CSR work on stakeholder relations can be implemented. Finally, the paper will also present different recommendations for improving the CSR activities of the organisation.

World Vision, Kokonut Pacific Solomon Islands and the Australian Department of Foreign Affairs are mainly investing enterprises that contribute to causes so as to earn profits and also make the world a better place. In accordance to the case study, the three organizations are mainly investors who strive to contribute to the development of the cocoa farmers in Solomon Islands. The main purpose of the three organization is to not only conduct corporate social responsibility but also earn profit from making cocoa farmers able and equipped to access more markets.

In accordance to the case study, the three organizations act as investors for cocoa farmers in the Solomon Islands. This evidently lays emphasis on the fact that the investors strive to enable the cocoa farmers with the correct knowledge about farming cocoa beans. In addition to this, the corporate social responsibility activities of the three investors also helps them provide solar equipment to cocoa farmers on the Solomon Island. This evidently lays emphasis on the fact that the company’s purpose is to eradicate poverty among cocoa farmers. Furthermore, the case study also presents the fact that the three companies invest in the cocoa farming industry on the Solomon Islands which not only enables them to eradicate poverty among the cocoa farmers but also earn a lucrative profit from entering new markets. This also brings to light the fact that the company not only helps the cocoa farmers to entertain new communities nearby Solomon Islands but also allows them to enter international markets that help them market their product to a wider range of customers⁴. This helps the company earn a decent profit and also enables the cocoa farmers of the island to access new markets and conduct businesses lucratively. It is also imperative to note that the farmers of Solomon Island are also provided with the opportunity to enhance their range of products and are backed by the investors to make sure of the fact that the products can be harvested, created and produced. This means that through this CSR activity, the three investors evidently enable the cocoa farmers of Solomon Island to widen their horizons when it comes to their range of products and also eventually eradicate poverty that had been the story of the island for the longest time⁵.

Overview of the Organization

While the CSR activity of the three companies contribute to the betterment of the environment there are also certain negative impacts that befall upon the stakeholders of the organization. This evidently leaves emphasis on the fact that the negative impacts of the CSR activity on stakeholders could possibly hinder the whole purpose of the activity. The first negative impact refers to the farmers. This evidently refers to the fact that the entire project is so technical and dependent upon the funding of the investors, the farmers are in a way in the hands of the corporate. This means that the farmers while having access to newer markets, are also extremely dependent upon their investors for equipment. This is a negative impact as without this support these farmers are more than likely to face constant poverty. In addition to this, in regards to the negative impacts when it comes to the corporate social responsibility of these three investors, the companies position themselves in spending a vast amount of money on the training of farmers who could eventually realize their potential and choose to work independently. Finally, another negative aspect of the activity lays reference to the fact that the companies are in a highly lucrative position to earn profits and hence have the tendency of wanting full profit in regards to the situation.  

The Corporate Social Responsibility (CSR) that is a business model that is self-regulating in nature and helps the company to be socially accountable for their actions, their stakeholders, as well as the public. Practicing of corporate social responsibility which is alternatively known as corporate citizenship is where companies need to be conscious of the overall impact, they have on the society which includes the social, economic, and environmental aspects as well. The work of the CSR activities of the three companies are supported as well as funded by the government due to their nature of benefits to the overall local community where the organizations operate in². As the local community is extremely poverty stricken the organizations help by providing employment opportunities and other community benefits to the local residents which helps to improve the overall conditions. The internal investors within the three companies also benefits from the corporate social responsibility approach and work that is supported by the government and other relevant authorities. The internal investors are benefited with more profits as the organizations are able to enter new markets which include more growth and development along with more revenue. This also lays emphasis on the fact that the corporate social responsibility work and approach taken by each of the stakeholder relations of the three organizations are aimed at first improving the overall society, environment and community with the help of various methods such as community work, more opportunities related to education and employment, sustainable methods and approaches of business practice⁶.

The above analysis has found a few issues and flaws; thus, the paper is going to provide recommendation that would help the company achieve their CSR goals   even better

• The company could provide more independence to the farmers rather than guiding the farmers about what to do. This allows the company incorporate a higher number of diverse working styles to the company⁷. And consequently, the company may get higher yields and a greater innovation to the company.
• The company apart from the solar power panel could implement other renewable and non –conventional sources of energy such as wind power plants. This would provide the farmers with a greater number of option and alternatives of fresh and clean energy³. This would help the stakeholders to reduce carbon foot print at the same time push innovation within the organization.
•  The third recommendation that the paper wants to provide to the company is that they could implement various innovative irrigation projects such as the drip irrigation. It is a well-known fact that African regions often face water crisis hence incorporating irrigation techniques would help the company to get a higher production and better cocoa quality.
• If the organization finds this CSR venture very effective, they could implement this similar strategy to other parts of Africa as well this would help the company to diversify their products even further as well as bring diversity within their work force. The company could also enhance the products as the regional delicacy further expanding the reach of the company.
• As fare as the implementation is concerned the stakeholders could develop different short term goals for the farmers⁸. The farmers will be allowed to use whatever strategy the find suitable to reach the desired goals. The company would provide financial and infrastructural support.

Conclusion

In conclusion, it can be said that corporate social responsibility is extremely imperative when it comes to the overall development of the company. This mainly lays reference to the fact that corporate social responsibility enables the company to not only contribute to the benefit of its community but also enables it to cater to the demands of the people within that community. The three organizations help it to contribute to the overall environment as well as its people. The above paper sheds light on the case study which focuses on how the three investors conduct CSR activities in order to eradicate the poverty of cocoa farmers in the Solomon Islands. The paper also discusses the negative impact on stakeholders. In addition to this, the people also present evaluation of the CSR work on the stakeholder relations of the organizations. Finally, the paper also presents a number of recommendations or the ways in which the organization could improve their relation to its stakeholders in regards to this CSR activity.

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