Essays on Stakeholder Management: Shell in Gbarain & Ekpetaima Regions Case Study

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The paper "Stakeholder Management: Shell in Gbarain & Ekpetaima Regions" is a great example of a case study on management. Shell began its operations in the Gbarain and Ekpetiama regions in 1967 when it discovered an oilfield on its swampland. The company has since then discovered more oilfields. As a result, its activities and operations have increased. These activities have had more social and economic impacts on the communities in these regions. For instance, the indigenous communities are said to have reported that Nigeria’ s Federal Government has always used the Land Use Act of 1978 to force them out of their lands so as to contain the increased operations of Shell.

Unfortunately, these local communities are not normally consulted before such evictions, neither do they get meaningful compensation. Moreover, the activities of the company have depleted the natural resources, e.g. land and water sources, on which the communities depended on their agriculture and fishing, part of their primary economic activities (Ereba et al 2010). This paper attributes this situation to poor stakeholder management and seeks to look at how the company could have done better. IntroductionThe contemporary corporation thus emphasizes the concept of social responsibility, which refers to voluntary consideration of- besides economic objectives- social goals, which provide a basis for the legitimization of a corporation’ s activities and actions (Mintzberg, 1999; Boatright, 2004).

The social goals are based on the recognition of the fact that business activities and actions are of interest to- and also impact on- various people and groups. In other words, corporations are not only responsible to their owners, but also to the other people, e.g. employees, public interest groups such as environmental organizations, journalists, strategic business partners, public watchdog/monitoring bodies, etc.

Businesses/corporations operate amidst a complex network of influences and interests, some of which may be in conflict. It is therefore important for corporations to have the ability and capacity to not only assess and evaluate such stakeholder factors but also align them with the corporate goals and objectives (Recklies, 2001; Boatright, 2004).

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