The corporate social responsibility of Majid AL Futtaim - Essay Prowess

The corporate social responsibility of Majid AL Futtaim

The corporate social responsibility of Majid AL Futtaim

The corporate social
responsibility of Majid AL Futtaim

Introduction

The corporate social responsibility of Majid AL Futtaim

Majid AL Futtaim was
founded in 1992 establishing itself as a leading shopping mall, leisure and
retail pioneer operating across the Middle East and North Africa commonly known
as the (MENA).  Majid AL Futtaim company
is one of the remarkable success stories of business that start from a humble
background to becoming business pioneers in the region they operate. The
company started as a vision of one man who wanted to transform the
entertainment, shopping and leisure to ensure that everybody achieved great
moments each time they wanted them. Since the incorporation of the company, it
has grown to become one of the most respected organizations in the UAE (World
Green Governing Council, 2016). The company has successive businesses which
span across 13 international markets that employ more than 27,000 people and in
the process being able to achieve highest credit rating among Middle East’s
privately owned organizations.  The
company operates and owns 18 shopping malls, 11 hotels together with other
developments in the MEN region. The shopping malls portfolio includes city
center malls, mall of emirates in addition to other four community malls that
are operated in a joint venture with the Sharjah Government. In addition to
this, the company holds exclusive rights to Carrefour franchise spread across
38 markets in the Middle East, Central Asia and Africa. This increased the
company business to operating 65 hypermarkets as well as 85 supermarkets
located in 12 countries spread across the mentioned regions (World Green
Governing Council, 2016).

The company has also
ventured into the entertainment business where it operates 175 VOX Cinema
screens in addition to 19 Magic Planet family entertainment centers that are
located in the regions. Apart from this, the company operates the iconic
entertainment and leisure facilities that include iFly Dubai and Ski Dubai
(World Green Governing Council, 2016). The company has therefore been able to
develop over the last twenty years some of the most popular and large
entertainment and shopping centers in North Africa and the Middle East. The
shopping mall business represents the core of the business growth strategy of
the company. The natures of these malls have seen them have an impact on the
environment where they are situated. To minimize any undesirable impacts that
may be associated with malls, the company has adopted Corporate Social
Responsibility approaches demonstrating the company’s leadership in the sector
of operating shopping malls in all the regions where they have set base (Majid
AL Futtaim Properties, 2013).

The company’s CSR
approach has been entrenched in the company’s culture in such a way that it is
not the responsibility of the CEO, the board of management or the senior
management alone. The company has taken it a responsibility to ensure that all
its CSR principles are adopted by the entire organization including all
employees. These principles of CRS should be adopted at all levels of the
business and they must be practiced on a daily basis. The management team of
the company and the board has developed a CSR policy that acts as a framework
that the company operates from. The purpose of the CSR policy is to ensure that
the organization puts a balance between their business goals and the principles
of the CSR. In addition to this, the policy provides a way of measuring the
company progress against the stated CSR objectives. Initially, the company
consulted with all stakeholders of the organization to detail areas where they
would venture into for corporate social responsibility. After identification of
these areas, the company later made objectives that they identified as simple
to work with and achieve in accordance with the CSR policy in place. The
company’s CSR policy focuses on more than four areas as will be highlighted in
this report (Majid AL Futtaim Properties, 2014).

The outstanding work that
the company has continued to do in sustainability activities in the Middle East
and North Africa has made it be recognized by several awards.  It has continued to receive numerous
recognition from all the over the world based on the innovativeness in corporate
social responsibility activities. The company main stakeholder in the corporate
social responsibility activities include the employees, the respective
governments, their customers, tenants, regional peers, communities and NGO’s
and the suppliers. The company constantly engages these stakeholders as a whole
or sometimes individually with an aim of ensuring they get the best from their
partnership (Majid AL Futtaim Properties, 2011).The company beliefs that
through collaborating and engaging with the different stakeholders will help
them serve better and meet their CSR objectives. The company holds that the
reason why CSR is a critical component of the organization is that the
development of the company was through a commitment to social and economic development
across the North Africa and Middle East regions. Furthermore, the organizations
hold that it operates in a region which is faced with numerous social and
economic problems and it is therefore upon a responsible company to ensure that
the future growth is socially efficient, economically effective and fair and is
environment sustainable. Finally, the company maintains that their persistent
effort in CSR activities across the MENA region has been because these
activities contribute to the long-term success of the organization (Majid AL
Futtaim Properties, 2012).

Having stated this, this
research paper will detail the different aspects of the corporate social
responsibility of Majid Al Futtaim. In doing so, this paper will be organized
in sub-topics that will aim to offer more information on the CSR activities of
the organization. The paper will detail the purpose of this research and the
reason for interests in this CSR topic. In addition to this, this research
paper will detail the vision and mission of Majid Al Futtaim policy in CSR.
Further to this, the sustainability strategy of the company will be detailed as
well as the focus of the company’s CSR policy. The research paper will also
provide examples of the company’s excellence in CSR works and community service
programs. Finally, the goals and benefits of the company’s CSR activities will
be detailed. 

Purpose of this research:The corporate social responsibility

This research aims to
serve a number of purposes one of them detailing the CSR activities that Majid
Al Futtaim is engaged in the MENA region. Majid Al-Futtaim is one of the
companies that have been extensively engaging in different social
responsibility activities that have benefited thousands of people cutting
across people of different races. This research wants to depict that any
organization has the responsibility of contributing to the society through
supporting activities that add values to their lives. The purpose of this
research is to set an example for other companies to do their part in areas
where they are located by supporting financially corporate social
responsibility activities and stand a chance of establishing a long lasting
relationship with their stakeholders. This research also serves to depict that
when governments and companies collaborate, they can be able to do worthy
activities that contribute to raising the economic and social status of the
citizens. In addition to this, this research purpose is also to contribute to
the literature on corporate social responsibility in a positive way. Despite
social responsibility by organizations being criticized, their contribution to
the society is very important in changing how communities and societies operate
economically or socially. This research aims at depicting a success story of
CSR with an effort of urging other companies to invest in these activities for
benefiting the society. Finally, this research serves to highlight some of the
challenges that face Majid Al Futtaim in its efforts to operate various CSR
activities across the MENA region as well as making some recommendations to the
company on how to improve how the company conducts its CSR activities in the
region. The recommendations will also highlight what other organizations can do
to enhance their CSR activities.      

The reason for interest in
this topic

One of the major reasons as
to why I was interested in this topic of corporate social responsibility is
because of the importance these activities are to the society. By undertaking
this research, I will be better positioned to understand more on how a company
runs the CSR programs parallel with the core business of the organization.
Using this research I will be better positioned to know how organizations
balance between achieving the core goals of the business while at the same time
realizing the CSR objectives each financial year. CSR is a topic that is of
interest to me because I believe that all organizations should be involved in
at least on CSR program in an area where they operate for purposes of
benefiting the society or community that neighbors the firm. By undertaking
this research is therefore part of the need to gather more knowledge on this
area of interest while at the same time incorporate the knowledge I have on
this area into test in terms of detailing a comprehensive research report of
one of the companies that have excelled in incorporating CSR activities as part
of their organizational culture.       

Vision

The vision of Majid Al
Futtaim involvement in corporate social responsibility is to be an active
player in the development of the MENA society by creating a difference in the
lives of the communities and societies that neighbor and surround the
organization via various charitable programs and activities. In addition to
this, the vision of the Majid Al Futtaim Company is creating great moments for
every person every day. This vision has enabled the company to bring together
all sub-brands and divisions of the company under one umbrella creating the
energy of serving the firm customers while at the same time help in creating
some of the most inspiring and transformative experiences in the world.  To ensure that the vision of the company is
realized, the firm has formulated values that are appealing to complement their
vision. These aims are being bold, being passionate and being together. By
being, bold the company aspires to promote a creative environment in which
courage is developed to challenging the convention and getting everything done
in the perfect way. On the other hand, the value of being passionate means that
people in the organization pursue excellence while having a deep sense of pride
in what the organization is engaged in, the mode of operation and the need for
doing these operations. Finally, the being together value contributes to the
achievement of the vision through promoting an ethos that is supportive while
at the same time having an openness that advocates for diversity, ensures there
is efficient communication and makes the collaboration efforts of the
organization constructive. In brief, by the organization having its vision
intertwined to the values, it has contributed to the steering of the business
in the right direction (Majid AL Futtaim Properties, 2013).