Safaricom and Craig Crouch Ethical/CSR Ombudsman you must read and provide a response to at least two peer postings. Your response must be substantive and contribute to the learning environment. Read two peer’s case analysis and response each of them.attached is two peers paper. Safaricom is primarily a telecommunications company. Safaricoms overall objective is to
facilitate growth in Kenya. Their story states that they seek to create opportunities for
Kenyans by empowering them with the right tools for economic growth. (Safaricom,
2019) This vision or objective is called their Transforming Lives vision. The growth is
invigorated by providing small mobile pay phones. Safaricom also partners with other
companies and organizations to provide Kenyans with food and health care. They have
adopted nine out of seventeen of the Sustainable Development Goals to hopefully maintain
growth in the area. Their wish is not only to grow in the immediate future but for the
There are three foundations that have been created by Safaricom to assist is achieving
their objectives. The first foundation is M-PESA. M-PESA is a charitable trust created to
invest in avenues that will improve the position of Kenyans. This foundation invests in
things like healthcare, environmental conservation, education, and water projects. The MPESA foundation has also formed its own academy, which is a foundation independent from
the others. This school provides education to those over the age of 13 with talent in the areas
of leadership and business. The last and largest foundation Safaricom created is the Safaricom
foundation. This foundation addresses many issues under its umbrella. Sustainability and
longevity of the economic growth is the main goal of this foundation.
Some of the key issues pertaining to Safaricom are directly related to the area in which
they have integrated. In Kenya there are many issues that will affect the company. One of
the economic issues is the corruption in the government. (Central Intelligence Agency, 2019)
Political developments in the area continue to increase instability in the area and the will
affect how the company operates. The biggest problem for Safaricom is their competition.
Their market share had decreased significantly since 2008. (Anyanzwa, 2017) Kenya has the
potential to be gold mine for other companies similar to Safaricom, and because of the
possibilities, companies are interested. So, competition is only going to grow for Safaricom.
Infrastructure is another issue for Safaricom especially the possibility of power outages.
Lastly, the concern of cash flow is a possible problem for Safaricom. They are heavily
invested in their sustainability objectives and giving back to the community which has the
potential to decrease their cash flow.
Anyanzwa, J. (2017). The East Africian. Retrieved from
Central Intelligence Agency. (2019, March). Retrieved from www.cia.gov
Safaricom. (2019, March). Retrieved from www.safaricom.co.ke
Through self-regulation, many business can adjust their current business model to
accommodate improvements ecologically and socially. Safaricoms dedication to Corporate
Social Responsibility (CSR) can be related to each level of the CSR model by analyzing three
components of the company including: philanthropy, operational effectiveness, and its
transformed business models. The Safaricom foundation has been working to improve the lives
of Kenyan communities for years. Just to name a few, the Safaricom foundation has supported
the implementation of projects including: economic empowerment, education, and
Through the Safaricom foundation, the company philanthropy through the M-Pesa
Foundation Academy, which aligned with the Substantial Development Goal of education for all.
The M-Pesa Foundation Academy grants full scholarships to learners from complicated and
disadvantaged backgrounds to give them the opportunity to study (Asena, 2017). They are also
partnered with other schools, such as Starehe Girls High School, to sponsor a variety of learners.
Safaricom has consistently demonstrated philanthropy in a variety of other ways as well
including The Heart Run sponsorship with Mater Hospital, which is held yearly. Also,
environmental conservation has gained more international awareness, and Safaricom has lead the
way in ensuring that the environment is clean. Safaricom has partnered with a variety of town
councils as Kitale, Kiambu and Thika by providing litter bins that are placed effectively around
the towns in order to keep them clean.
Operational Effectiveness (Legal and Ethical Responsibility)
Safaricom most certainly aligns its activities along their value chain. Safaricom is signed
to the United Nations Global Compact which focuses on urging companies to align their
operations with universal principles on human rights, labor, environment and anti-corruption
(Asena, 2017, para. 6). Safaricom makes it mandatory for their business partners, within their
operations, to sign onto the pact too. This proves that Safaricom takes action to uphold ethics and
the Sustainable Development Goals. Also, Safaricoms workplace relevant to gender, is evenly
split. Their dedication to inclusivity, gender, and diversity as part of the SDG goals goes even
further as they revealed that despite this balance, there were more men in senior management
positions than women, and that they would seek to improve this (Asena, 2017, para. 7). This
most definitely helps them avoid legal issues such as discrimination. They are also known to set
aside, warn and even fire employees in regard to fraudulent activity.
Transformed Business Models (Profitable)
Safaricom comes up with new forms of business that contribute to the revenue and social
goals regularly. Their partnerships and even financing of great business ideas that are socially
conscious are countless. By investing in CSR, there are many benefits to be gained. Not only is
Safaricom creating a long-term brand image, but they are also assuring you that they are a
dedicated and determined workforce. Also, they ensure brand loyalty, which transforms into
long-term revenue. CEO Bob Collymore insisted, Purpose, People then Profit. If we let our
purpose of transforming lives guide our decision making and put our people first, we know that
profit will follow (Asena, 2017).
Asena, I. (2017). Corporate Social Responsibility: Safaricom’s Contribution To Society.
Retrieved from https://www.potentash.com/2017/10/19/corporate-social-responsibilitysafaricom-business/
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