The focus of this review is on the application of grievance management mechanisms and strategies to identify concerns, complaints, discontent and dissatisfaction for redress in host communities for greater performance of oil producing companies.
Daud, Isah, Nor, & Zainol (2013) studied styles of handling grievances among heads of department of a telecommunication companies in Malaysia and the influence of training and experiences in selecting grievance handling styles among managers. A quantitative study was conducted and factor analysis was done to obtain the degree to which given grievance handling styles were utilized by managers. The study revealed that
managers preferred compromising and dominating styles of grievance handling rather than interpreting styles which demanded a long period to perform. The study also found that experience in handling grievance significantly influences the usage of the dominating style amongst managers.
Vermijs (2008) in Wilson and Blackmore (2013) studied company –community grievance mechanism in the oil, gas, mining, and forestry sectors. The study adopted the works of John Ruggie regarding the UN special representatives on business and human right by highlighting the access to remedy needs. The study concluded that there is an increasing amount of literature on company –community grievance mechanism in the public domain. The study further noted that companies have demonstrated willingness to engage researcher‘s on the analysis of their grievance mechanism but regrets that this is constrained by the absence of long term analysis of the implementation, impact and effectiveness of grievance mechanism.
Nangendo and Fahey (2014) studied the management and monitoring of grievances at an exploration project site managed by Tullow oil in Uganda. The study adopted the Good Practice Note of the International Finance Corporation (IFC) 2009. A gap in the study was that contrary to IFC 2009 recommendations, no grievance redress system was set up at the inception of the project as all grievances were handled on ad-hoc basis. The study found that majority of the grievance cases received were not genuine and thus closed.
Maitland and Chapman (2014) studied compensation and grievance redress mechanism for oil spills in the Niger Delta. The survey research design was used and the study came up with the conclusion that to date, no standing grievance mechanism in the oil sector of Nigeria has been able to offer a fair and effective alternative dispute resolution in the context of the Niger Delta. The research also came up with the finding that the government bodies established to help facilitate grievance redress like the National Human Rights Commission (NHRC), Public Complaints Commission, Police Service Commission, and the National Committee on Torture lack the requisite independent and enforcement powers while negotiated grievance settlements between companies and communities tend not be fair thus causing more harm to affected communities.
The united nation collaboration program on Reducing Emission from Deforestation and forest Degradation in developing countries (REED, 2013) carried out a study to strengthen grievance resolution in developing nations. The study proposed an effective approach to strengthening grievance resolution in these countries.
Babatunde (2012) evaluated the cost of conflict in Nigeria‘s Niger Delta. Data was collected through field survey. The study found out that grievance management mechanisms as well as conflict management strategies in Niger delta have been defective.
The Centre for Social Responsibility in Mining (CSRM) (2009) funded a study on community complain and grievance mechanism in the Newmount Mining, Ahafo in Ghana and Tinto Aluminum Weipa Operation in Queensland, Australia. The study reveals that grievance handling style embedded in a culturally appropriate community engagement strategy can help strengthen company –community relations. The research also revealed that apart from the six effectiveness principles of grievance management, (legitimate, accessible, predictable, equitable, right-compatible, and transparent), there are other supplementary principles such as engagement and dialogue, culturally- appropriate, proportional, empowering, and continual improvement.
Wadhwani (2014) studied the causes and effect of grievances in small companies in India. The study is descriptive in nature using primary and secondary data. The analysis was done using chi-square, regression and correlation. From her findings, the study concluded that the grievance handling procedure in the selected companies are effective and satisfactory.
Eluka, Chukwu and Mba (2013) investigated the activities of NAOC and SPDC in Nigeria with respect to discharging their corporate social responsibilities in their host communities and by extension enhancing sustainable development. The research design chosen is a combination of the use of secondary data, case study and model formulation.
The findings of this study reveal that crude oil production represents the primary reason for the involvement of the NAOC and SPDC in community development. The study further reveals that the profit streams generated by the international oil firms have no significant impact on its level of community development activities in the Niger Delta.
Oluwatuyi, & Ileri, (2013). Studied Petrol tanker and Pipeline vandalisation fire disasters and their impacts on Regional Development in Nigeria. Survey Research design was adopted for the study. The study found petroleum tanker and oil pipeline
vandalisation fires lead to loss of lives and proprety. The study concluded that corruption, hunger, unemployment, and and poor infrastructural development are responsible for the high incidence of pipeline vandalisation in host communities.
Rees, (2008) researched on the barriers to accessing Grievance Mechanisms in project affected communities. The study concludes that barriers to accessing grievance include eligibility of parties, the scale or gravity of admissible grievances, limits on information and awareness, question of trust and confidence on the mechanism. The study concludes that barriers to grievance could be intended or unintended.
Boele, Fabig and Wheeler (2001) studied the Community –Company grievance issues posed by the operations of Shell in Ogoniland, Nigeria. Survey research design was used for the study. The Study found that Shell International has attempted to internalize some learning from the Ogoni Grievance Issues to the extent that it has altered its business strategy in line with principles of sustainable development and its approach to stakeholder dialogue. The Study also found that Shell has recognized the need for cultural change and a more sophisticated attitude to ‗political‘ questions of human rights, environmental responsibility and corporate social responsibility. The study also found that Shell Petroleum Development Corporation in Nigeria may require an alternative approach to sustainable development if they wish to merit the full confidence of communities in areas of the world as complex and distressed as Ogoni. The study noted that the challenge that remains for Shell International is to translate the new corporate strategy and attitudes into effective grievance management action on the ground in Nigeria.
Nwokolo (2009) studied the greed and grievance theory in violent conflicts as advanced by the Collier and Hoeffler, with a view to understanding the role of time and opportunity structure in the escalation of conflict. The paper employed survey research design. The study argues that natural resources conflicts are first and foremost motivated by grievance, which could later transcend into greed motivated. The paper further argues that the tendency of such conflict to move from a grievance motivated conflict to a greed motivated conflict anchors on time and opportunity structure where the grievance is not effectively managed.
Cahn, Sonnenberg, & Zandvliet (2011) also carried out a pilot project on the Carbones del Cerrejón, Guajira Department, Colombia on the development of Effective
Grievance Mechanisms. Survey Research design was used for the study. At the start of Cerrejón‘s participation in the pilot project, findings are that the company had no formal access point for accepting grievances, no formal or uniform processes for filing grievances, no system for investigating and tracking complaints and no clarity on internal roles and responsibilities. Feedback from both indigenous and non-indigenous communities during the start of the pilot project confirmed that the average community member did not have access to any general grievance mechanism. The development of the grievance mechanism provided a venue for ongoing problems to be formally addressed. For more than a decade, a main irritant for indigenous people in their relationship with Cerrejón has been the company‘s practice not to compensate for any animals hit by the train transporting coal from the mine to the port. Findings from the study were that a grievance mechanism can never be a substitute for genuine stakeholder engagement, rather, it needs to be a complementary tool. No matter how well designed, and no matter how many resources are allocated to it, the grievance mechanism will not accomplish its objective or be perceived as a legitimate accountability mechanism if it operates in isolation. The case also showed that the development of a policy or Grievance procedure is relatively easy compared to efforts to implement the Grievance procedure and to obtain both internal and external buy-in.
Cahn, Sonnenberg, & Zandvliet (2011) carried out another pilot project on Esquel Garments Vietnam (EGV) to test the United Nations Guiding Principles of Effective Grievance Mechanisms. Survey Research design was used for the study. Findings were that:
Conducting a regular assessment of the grievance mechanism‘s effectiveness using clear, key performance indicators and widespread communication of the results of the assessment within the company, including employees at EGV, can support the legitimacy and transparency Principles.
Another finding was that formalization of the review process could also mitigate any potential perception of familial, intra-company manipulation of the mechanism for the benefit of management, and drive continuous improvement.
Cahn, Sonnenberg, & Zandvliet (2011) further carried out another study on the Sakhalin Energy investment Corporation Ltd in Russia to test the United Nations Guiding
Principles of Effective Grievance Mechanisms. Survey Research design was used for the study. Findings were that:
Sakhalin Energy had a grievance mechanism consisting of three distinctly different grievance procedures (GP) that were all introduced in 2004 but which were combined into one as part of lender requirements in 2005.
Sakhalin Energy‘s experience shows that the SRSG‘s Principles are robust and supported within the company. At the same time, the company‘s experiences in working with the Principles also showed the importance of, and scope for, companies finding their own path to meeting the Principles.