Furthermore, the main reason there have a lot of protest is because the people sense that Shell mostly don’t take responsibility for their actions. The quality of life of the people of the Niger Delta have been terribly affected, but still it almost feels like nobody is making …show more content…
There were many incidents that had the ability to tarnish Shell’s image; like the Brent Spar and the Ken Saro-wiwa issue in Nigeria. This saw a rise of environmentalists, civil society organizations that had wrong opinions about shell’s activities. Shell’s executives later admitted that they made wrong judgements regarding the issues, as they didn’t carry the public along; the NGOS, academia, community officials. There was another famous statement by a shell official which goes, (Alexis (2008)) “At shell we often think the watershed was the Mid-1990s when we had the Brent Spar and the Ken Saro-Wiwa problem”. Watershed here means turning point. The problem in Brent Spar and the Niger Delta Crisis can be viewed as a main driver for the agenda of Shell’s CSR in Nigeria. The company had a choice to make, they needed to save their name, they needed to keep their licence to operate. Problems like these could affect their brand. Shell’s CSR agenda was introduced partly to deal with issues of community protests, vandalising, as they affect them financially. Though activities like pipeline vandalising are disastrous, they were seen as the best way of making the government of Nigeria respond to their needs, and also viewed as a negotiation strategy with Shell. With Shell producing 39% of the nation’s oil, they felt the government would respond if Shell’s activities are …show more content…
Shell business principles were re-formulated, and strategic guidelines outlined. Their business principles are laid out in their 2002 report. These principles are; Objectives, Responsibilities, Economic principles, Business integrity, Political activities (of companies & of employees), Health, safety and environment, the community, Competition and Communication. Shell found that proper documentation of company practices became very valuable for corporate engagement. Mechanisms to report performance in the social and environmental aspects were established and data for its performance was distributed amongst stakeholders. External stakeholders like NGOs were also invited for CSR related discussions, and there was the creation of standards of reporting that has transparency and shows accountability. More so, auditing firms like KPMG were involved to make an audit for its environmental performance in Nigeria.
Shell’s Code of Conduct included Codes like the United Nations Universal Declaration of Human rights, ICC Business Charter on Sustainable development (adopted in 2003), the Global Reporting Initiative, Extractive industries Transparency initiative and so on. A permanent representation of SPDC at their headquarters was created, serving as a bridge between local operations in Nigeria and their world management.
Below are some of the CSR initiatives carried out by Shell: