Awareness of Engagement Strategies and Stakeholders' Responsiveness and Formulation of Corporate Social Responsibility Goals in the Fast Moving Consumer Goods Industry in Lagos and Ogun States, Nigeria

Abstract

Formulating Corporate Social Responsibility (CSR) goals help organisations to align stakeholders' demands with organisations' goals. Effective engagement with stakeholders is a vital communication strategy that enhances the alignment of stakeholders' demands with organisational goals, like those of Fast Moving Consumer Goods (FMCG) industry. FMCG industry involves companies that supply low-cost products that are in constant high demand. One major factor that precipitate stakeholders' engagement with FMCG companies' CSR programmes is awareness of their engagement strategies. This determines the extent of the participation of stakeholders and ultimately impact the formulation of CSR goals. However, the lack of awareness of these engagement strategies may undermine the formulation of FMCG companies' CSR goals.  Consequently, this study investigated how awareness of engagement strategies and stakeholders' responsiveness (participation/contribution) informed the formulation of CSR goals of FMCG companies in Lagos and Ogun States, Nigeria. A total of 833 questionnaire were administered to employees of selected FMCG companies and residents of host communities. Mean and standard deviation were used in the analysis of data gathered. Results showed that employees were moderately aware of FMCG companies' CSR engagement strategies for formulation of CSR goals (xÌ… = 3.05, SD = 1.25). Host communities were also moderately aware (xÌ… = 2.86, SD = 0.90). Jointly, all stakeholders were moderately aware of FMCG companies' CSR engagement strategies (xÌ… = 2.97, SD = 1.10). Employees' responsiveness to CSR policy formulation was moderate (xÌ… = 2.85, SD = 1.04). Host communities' responsiveness was also moderate (xÌ… = 2.84, SD = 0.93). Jointly, stakeholders' responsiveness to CSR policy formulation was moderate (xÌ… = 2.84, SD = 0.99).  However, responses from management staff of FMCG companies revealed that stakeholders were highly aware of the various engagement strategies and that Stakeholders' responsiveness was also high. The study concluded that stakeholders were not fully aware of engagement strategies for formulation of CSR goals while stakeholders' responsiveness to CSR policy formulation was also moderate. The study recommended that management of FMCG companies should intensify efforts to ensure full awareness of engagement strategies.

Keywords: CSR goals, Engagement strategies, FMCG Industry, Stakeholders, Stakeholders' responsiveness