Abstract:
The purpose of this study was to examine the Internal CSR Practice and the effect on
Employee Engagement in BGI Ethiopia and the challenges faced on implementation are also
examined in this study. Finding ways to attract and retaining a dedicated staff additionally
determining working conditions that stimulate employees to give their best is becoming
challenging in today’s business. In regard to research design both Descriptive and
Explanatory research design was applied for analysis. The study used mixed approach of the
quantitative and qualitative research techniques. Both secondary and primary data source
were used to answer the research questions. Primary data was collected through Standard
and adopted questionnaire measured by five-point likert scale and semi structured interview.
The secondary data were used as supplemental of primary data collected from web and
publications carried by BGI Ethiopia. The target population of this study is the permanent
employees of BGI Ethiopia working on the main factory located in Addis Ababa among the
entire branch with the highest number of employees. Stratified sampling technique was
applied to collect data from different strategic business division. Additionally purposive
sampling was used to select concerned department heads to conduct interview. Questionnaire
was distributed to 272 respondents further Simple random sampling technique was used to
determine the study sample subjects. Data Analysis was accomplished by descriptive and
inferential statistical analysis using SPSS 23. In Inferential statistical analysis Pearson
Correlation and multiple linear regression analysis tools were employed. The Findings show
that all independent variables dimensions of internal CSR; Commitment to Internal CSR
Practice, Human Right Practice and labor practice have positively affected Employee
Engagement of BGI Ethiopia, at P<0.01. Finally, the study concludes that Employee
Engagement is affected by Internal CSR. The finding of the study implies there is effective
CSR Practice and challenges faced during implementation of internal CSR is that the firm
lack a clear guidelines & standardized reporting mechanism to evaluate the CSR
performance. Based on the finding the researcher recommend that BGI Ethiopia should
prepare a clear CSR guideline and reporting mechanisms so as to act accordingly and
evaluate CSR performance to enhance Employee Engagement.
