Corporate Social Responsibility in the Ghanaian Mining Industry

Corporate Social Responsibility in the Ghanaian Mining Industry by Frank Boateng MPhil, Kwame Nkrumah University of Science and Technology, 2015 FCMI, Chartered Management Institute, 2014 MBA, University of Leicester, 2009 BS, Central University Ghana, 2006 Dissertation Submitted in Partial Fulfillment of the Requirements for the Degree of Doctor of Philosophy Management Walden University February 2017 Abstract Gold mining communities in Ghana have experienced destruction of vegetation, water pollution, and soil contamination by activities of mining due to rapid growth and dependency on mining of natural resources within the catchment areas of the mining activities. These circumstances with repercussions of corruption and inefficient management of corporate social responsibility places organizational goals above the community and the nation. These setbacks necessitate the successful practice of corporate social responsibility to benefit stakeholders within mining communities. The purpose of this study was to investigate the relationships between corporate social responsibility, environmental policies, and community complaints, and the fiduciary responsibility to stakeholders. The research questions addressed whether a relationship existed between corporate social responsibility, environmental impact, community complaints, and the fiduciary responsibility to shareholders within gold mining companies in Ghana. Social exchange theory was the theoretical base of this quantitative correlational study, which included point-biserial and Spearman correlations to examine archival data from 10 active gold mining companies in Ghana. Results indicated a significant inverse relationship between community complaints and fiduciary responsibility, meaning that companies with positive report of community complaints tend to have lower fiduciary responsibility. Findings may inform policymakers, regulatory agencies, and mining organizations regarding the fiduciary effects of corporate social responsibility in the Ghanaian mining industry, and thereby influence positive business practices, living standards, and quality of life of Ghanaian citizens.Gold mining communities in Ghana have experienced destruction of vegetation, water pollution, and soil contamination by activities of mining due to rapid growth and dependency on mining of natural resources within the catchment areas of the mining activities. These circumstances with repercussions of corruption and inefficient management of corporate social responsibility places organizational goals above the community and the nation. These setbacks necessitate the successful practice of corporate social responsibility to benefit stakeholders within mining communities. The purpose of this study was to investigate the relationships between corporate social responsibility, environmental policies, and community complaints, and the fiduciary responsibility to stakeholders. The research questions addressed whether a relationship existed between corporate social responsibility, environmental impact, community complaints, and the fiduciary responsibility to shareholders within gold mining companies in Ghana. Social exchange theory was the theoretical base of this quantitative correlational study, which included point-biserial and Spearman correlations to examine archival data from 10 active gold mining companies in Ghana. Results indicated a significant inverse relationship between community complaints and fiduciary responsibility, meaning that companies with positive report of community complaints tend to have lower fiduciary responsibility. Findings may inform policymakers, regulatory agencies, and mining organizations regarding the fiduciary effects of corporate social responsibility in the Ghanaian mining industry, and thereby influence positive business practices, living standards, and quality of life of Ghanaian citizens. Corporate Social Responsibility in the Ghanaian Mining Industry by Frank Boateng MPhil, Kwame Nkrumah University of Science and Technology, 2015 FCMI, Chartered Management Institute, 2014 MBA, University of Leicester, 2009 BS, Central University Ghana, 2006 Dissertation Submitted in Partial Fulfillment of the Requirements for the Degree of Doctor of Philosophy Management Walden University February 2017 Dedication This dissertation is dedicated to my wife, Rosemond; my children, Eunice, Gifty, Frank Jr., and Benedict; and my kid brother, Michael. Your support and encouragement were invaluable in the completion of my doctoral study. Acknowledgments My first appreciation goes to the Almighty God for his faithfulness. Secondly, I would like to thank my father, Mr. Francis Obeng Boateng, my mother, Mrs. Esther Oduro Boateng, and my siblings for their love, care, and tremendous encouragement during my doctoral study. In addition, I would like to thank my dissertation committee for their assistance: Dr. Mohammad Sharifzadeh, my faculty mentor, dissertation committee chair, and methodologist; Dr. Walter McCollum, dissertation committee member and content expert; and Dr. Nikunja Swain, university research reviewer. My thanks also go to my family friends in Virginia Tech, Mr. and Mrs. Ansong Gyimah, for their love, support, and encouragement. Finally, I would like to thank my lovely wife, Rosemond Emma Boateng, for her endurance throughout my academic pursuits.