CORPORATE SOCIAL RESPONSIBILITY AND ORGANIZATIONAL PERFORMANCE: EVIDENCE FROM NIGERIAN BANKS

Abstract

Corporate Social Responsibility (CRS) is a driving tool for success and a crucial component of organizational performance. The study examines the influence of CSR on the performance of selected Nigerian banks. Purposive sampling technique was used to select 50 Nigerian branch managers; 10 each from Zenith bank, Guaranty Trust bank, First bank, Access bank, and United bank for Africa respectively to constitute the study sample. A structured closed ended questionnaire was also designed; copies of which were administered to solicit opinions from the sampled population of the study. Data analysis was performed with the aid of descriptive statistics, factor analysis, and linear regression. The study established that Nigerian bank managers recognized the importance of CSR and the need to perform their obligations to the stakeholders, both internal and external as well as society at large. The study also confirmed that adoption of CSR by Nigerian banks was influenced by the demands and expectations of other stakeholders as a source of competitive advantage and to comply with government policies. Subsequently, the study recommended that CSR is a strategic tool that should be adopted by Nigerian banks as social obligation to to the shareholders and the host community among others in the course of operating their legitimate businesses.