The Effect of Corporate Social Responsibility in the National Commercial Bank in Saudi Arabia

The aim of the paper is to investigate the effect of
corporate social responsibility (CSR) CSR on the National
Commercial Bank (NCB) in Saudi Arabia. In order to achieve this, a
case study was made of the CSR activities of this bank from the
perspective of its branch managers. The NCB was chosen as it was
one of the first Saudi banks to engage in CSR and currently has a
wide range of CSR initiatives. A qualitative research method was
used. Open-ended questionnaires were administered to eighty branch
managers of the NCB, with fifty-five usable questionnaires returned
and twenty managers were interviewed as part of the primary
research. Data from both questionnaires and interviews were
analysed using qualitative content analysis. Six themes emerged from
the questionnaire findings were used to develop the interview
questions. These themes are the following: Awareness of employees
about CSR in the NCB; CSR activities as a type of investment;
Government and media support; Increased employee loyalty in the
NCB; Prestige and profit to the NCB; and View of CSR in Islam.
This paper makes a theoretical contribution in that it investigates and
increases understanding of the effect of CSR on the NCB in Saudi
Arabia. In addition, it makes a practical contribution by making
recommendations which can support the development of CSR in the
NCB. A limitation of the paper is that it is a case study of only one
bank. It is therefore recommended that future research could be
conducted with other banks in Saudi Arabia, or indeed, with a range
of other types of firm within the financial services area in Saudi
Arabia. In this way, the same issues could be explored but with a
greater potential generalisability of findings of CSR within the Saudi
Arabian financial services industry. In addition, this paper takes a
qualitative approach and it is suggested that future research be carried
out using mixed methods, which could provide a greater depth of
analysis.

Authors:

• Nada Azhar

Keywords:

• Branch managers
• corporate social responsibility. national commercial bank
• Saudi Arabia.

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