Community Relations and Non-Financial Performance: a Case Study of Sugar Corporation of Uganda Limited

Abstract

The study was conducted under a topic “Community relations and non-financial performance, a case study of Sugar Corporation of Uganda Limited with four major objectives: (i) To assess the relationship between community relations and product quality, (ii) To assess the relationship between community relations and marketing, (iii) To assess the relationship between community relations and personnel development and (iv) To assess the relationship between community relations and operational efficiency.

The study adopted descriptive research design basing on qualitative and quantitative research approach. Using Krejcie and Morgan Sampling frame, data was gathered from 132 respondents out of the population of 200 payroll staff. The study also adopted the use of questionnaires, interviews and library research to collect data. Frequencies, percentages, mean and standard deviations were employed using SPSS.

From this research study, it was revealed that SCOUL undertakes some community relations. However, the findings reveal a weak relationship of the extent to which Community relations enhance Non-Financial performance. Specifically, the study revealed that there is a non-significant correlation (r = -0.140 p<0.005) on the relationship between Community relations and product quality. The findings further indicate a positive weak correlation between community relations and marketing (r = 0.283** p<0.005) revealing a positive moderate relationship between community relations and marketing. Additionally, the findings reveal a weak positive correlation (r = 0.396** p<0.005) between community relations and personnel policy. Furtherstill, The study revealed that there is a non-significant positive correlation between community relations and operational efficiency (r = 0.045 p<0.005) which indicates that for SCOUL, community relations enhances operational efficiency to a non-significant extent.

Based on the findings above, SCOUL’S involvement in community relations has not directly resulted in a competitive excellence in non-financial performance. The study therefore recommends that strategic planners in SCOUL and corporate entities in general should invest in reinforcing community relations efforts that will result in a desired and sustained non-financial performance to generate a competitive edge. These efforts should include ethical conduct, social support, environmental management, fair treatment of employees and communications strategies

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