Business Organizations as Agents for Positive Change

On February 7, 2018 by msdarcyonline

Twenty million people in Yemen, South Sudan, Somalia and Nigeria are facing starvation and famine. The majority of the world’s hungry live in conflict zones, and the world has not seen so much human suffering since WWII. The conflict in Syria is on its seventh year, the civil war in Sudan on its fifth, and the Ukraine conflict, on its fourth. Humanitarian aid agencies have huge case loads and lack cash flow.

At a time of prosperity for the United States, the Trump administration is withdrawing from global engagement by cutting aid to developing countries by more than one-third, and limiting the number of people who can resettle in the U.S. Furthermore, the administration plans on merging the USAID into the State Department, and close forty percent of USAID missions abroad. The administration’s plan is to channel the money for global assistance to national security interests. Health initiatives for forty-one countries will be affected by the cuts, and will make the world much more vulnerable to infectious diseases. Help for countries suffering from climate change will drastically be cut, extremists groups will not be confronted, and the flow of refugees will go less controlled. Global instability will pose a risk to U.S security interests, yet president Trump has also proposed to slash funding to the United Nations by more than half. The administration’s cuts will lead to more instability worldwide, and many more people will suffer and die from disease.

Globalization has resulted in making poverty and hunger more acute. The widening of gaps between rich and poor has caused more instability, and the political will to solve the world’s conflicts and humanitarian crises is decreasing. Free trade, debt alleviation, higher taxation of corporations and weapons trade, and good governance are important, but lacking at a collective global level.

In the global campaign against world hunger, the lack of justice is a major issue because food aid creates dependency and corruption, and can destroy a local culture. Many local governments in developing countries are oppressive and economically incompetent. Democracy is needed to make and control progress. Money allocated to fighting poverty must not go into the pockets of a few, powerful, corrupt people and governments.

Due to a lack of faith in American government, people in the U.S. have lost trust in public institutions; (Edelman Trust Barometer) and as a consequence, many people believe that businesses are the new agent for a positive change. Most people trust their own company to improve economics and social conditions in the community it operates, rather than the government.

A different world would be possible if more corporations and companies stepped up to take action. They can be very effective because they are equipped with capital and know-how, can contribute to regulations and policies in the countries they operate, bring new technologies, and most importantly, they are global players on-site. Companies which partner with humanitarian organizations understand that going beyond financial donations is crucial to being more productive in responding to crises response efforts. These business organizations make a huge difference with their creative and sustainable projects to solve problems in poor countries.

Every operation of a business has economic consequences, but cannot be global, multicultural companies without contributing to global issues because it is essential to their values and reputation. Contributing to local communities can help stabilize a fragile economy, support a region’s recovery, and economic growth where companies operate.

The Bill and Melinda Gates Foundation‘s main work is in global health, and saving children in Africa by reducing childhood mortality. The foundation works to advance nutrition, vaccines, education, access to contraceptives, gender equity, economic growth and research. Since 1990, the foundation has saved more than 122 million children’s lives.

In 2006, Warren Buffet donated the bulk of his fortune to the Bill and Melinda Gates Foundation dedicated to fight disease and reduce inequity. The magic of Buffet’s philanthropy is that he did not ask for any financial return. But one day the money will run out, and this is why it is so important for businesses to work with humanitarian organizations and domestic governments.

Companies can help make policy interventions for women who are the backbone to rural economies, especially in the world’s developing countries. As the primary caregivers to the family and communities, they provide food and nutrition. With better access to information, training, and technology, women can alter food production and consumption so that land and resources are used sustainably.

Freedom from poverty is a human right, but in the world we live in, the technological aspects, political circumstances, and judicial systems are realities. The moral aspect is not the only code that is sufficient, or that matters, the economic and political aspects also have to be taken into account. Companies which partner with humanitarian organizations to end extreme poverty and support development, commit to making an impact on society and the planet.

They can integrate corporate objectives into a model that is responsive to poverty alleviation and malnutrition, while attaining long-term revenue and profit goals. There are many ways for corporations to alleviate poverty, it does not have to be exclusively through philanthropy, but they have been concentrating on the top part of the pyramid for too long. Through initiatives, companies can make a difference in the lives of the poor.