Corporate Social Responsibility and Performance of Safaricom Company Ltd, Kenya

Abstract

This study investigates the intricate relationship between CSR initiatives and the performance of Safaricom Limited. Although many scholars have widely investigated the concept of CSR, the practice is still not universal while the correlation between CSR and Organizational Performance is not clear. Anchored on the Stakeholder Theory and the social Contracts Theory, this research explores how CSR practices influence various aspects of organizational functioning and reputation. Employing a qualitative research approach, this study adopts a case study design to closely examine the impact of CSR on Safaricom's performance. Data collection was facilitated through Key Informant Interviews (KIIs) with the top management and department heads responsible for driving the company's CSR initiatives. These interviews were conducted to collect insights from carefully selected participants, ensuring a comprehensive understanding of the organization's CSR practices. The collected data underwent content analysis, allowing for the identification of themes and patterns related to the impact of CSR on Safaricom's performance. The results reveal a multifaceted positive influence of CSR initiatives on different dimensions of organizational performance, including reputation, customer relations, community engagement, and brand recognition. The findings demonstrate that Safaricom's commitment to ethical and sustainable business practices has not only enhanced its market standing but also contributed to improved relationships with stakeholders. The study underscores the significance of a holistic approach to CSR, involving various stakeholders and aligning CSR initiatives with the organization's core values and mission. In conclusion CSR initiatives in an organization leads to organizational performance. The recommendations include: Need for Safaricom to foster a culture of CSR awareness and engagement among its employees and use CSR strategy to address specific needs of all its stakeholders. In addition, the company should continue aligning itself with globally recognized standards such as the UN Global Compact and related standards.