Protecting the environment has become an important issue in today’s society. There is no longer any doubt that businesses should consider their social responsibility and the impact of their activities on their stakeholders. In addition, firms are beginning to realize that corporate sustainability can prove to be a win win. There are multiple benefits of sustainability linked to costs, revenues, community relations, and more. The decision to strive for sustainability is obvious, but this process is easier said than done. Developing a sustainability strategy is difficult in itself, but the most challenging factor is the actual implementation. Marc J. Esptein, the author of Making Sustainability Work: Best Practices in Managing and Measuring Corporate Social, Environments, and Economic Impacts, provides companies with tactical methods and approaches, as well as real life examples and personal advice in order to assist in helping companies with achieving corporate sustainability.
Epstein introduces a new framework for implementing corporate sustainability. He states the by addressing the nonfinancial aspects of business, companies can improve the bottom line and earn superior returns. Sustainability can be broken down into nine principles. These components include ethics, governance, transparency, business relationships, financial return, community involvement and economic development, value of products and services, employment practices, and protection of the environment. All of these sections should be considered while working towards corporate sustainability.
It is critical that everyone within the company is committed to the overall goal and holds him or herself accountable. Primary elements of being accountable include employ...
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...can be a disadvantage, it can also serve as an advantage. Each department is able to drastically contribute through areas like procurement, R&D, marketing, production, legal, management accounting, and financial reporting and auditing.
Is highly unlikely that any company has fully integrated or achieved sustainability, but numerous companies have taken important steps forward. Companies are endlessly working to improve their sustainability performance and reduce their negative social and environmental impacts. Whether corporations are choosing sustainability on their own, or they are subject to external pressures, businesses are on the correct path. With such a large impact on society, businesses have a great deal of influence that they can use to kick start progress. The environment has been abused long enough and it is time for businesses to take accountability.
Wheelen, T. L., & Hunger, J. D. (2010). In Concepts in Strategic Management and Business Policy Achieving Sustainability, Twelfth Edition. Pearson Education.
This paper critically analyzes Nike company sustainability strategy. Every investor or a group of investors wishes to see the business profitable at the current time as well as having good prospects for future (Werbach, 2009). For this reason, business sustainability strategy is very important. A strategy is a plan that guides the company or a business firm towards a certain direction or set goals. Thus, sustainability strategy is an action plan that a company set in order to maintain the plan toward the achievement of company’s goals in future. Sustainability strategy puts into consideration aspects such as the source of raw materials, competition, human resource development, and sustainability, and the general business environment. Thus, in evaluating a business’ sustainability, it is important to consider the business planning in this direction (Heslin and Ochoa 2008)
There is a link between corporate social responsibility and the key principles of the stakeholders, which a company should follow to be responsible to its stakeholders. The first stakeholder is environment and the key principle used for it is not damage the environment for example, recycling, dealing correctly with their wastes and emissions. The second stakeholder is the employees. The key principle for the employees is companies providing safe and health working conditions for their staff. Moreover, the employees earn an appropriate salary for ...
Stuart Hart, in a business article, discusses the tough task for companies to make a sustainable global ec...
In conclusion, I have to say that there is a solid invisible relationship between impacts of businesses on environments, profitability of sustainable business, and responsibility of business. When one of these ones changes, it will effect to others. When a business adapts efficient and sustainable system, it will reduce negative externalities and increase positive externalities to environment. Once the business adapted efficient business model, it will reduce cost and maximize its profits. Obviously, the sustainable and efficient business model will make the business social more responsible to environments.
Important companies like Shell, DuPont, BP have been reorganised to generate profits from this green market of goods and services. In this sense, it may sound altruistic, "the sustainability", the logic of profitability and competition is what will determine the ability of companies of the future to meet the changing needs of consumers. This premise of "sustainability" as a necessary quality to be competitive, falls short, according to Bryan Walsh of Time magazine. In a 2007 article, the expert shows how "sustainable" is helping to drive out competition, given the approach taken by companies to become more efficient, flexible and cutting waste, which helps them provide better products and reduce costs. Companies that refuse to accept that they will face a strict and demanding environment.
Climate change is an issue that has become increasingly ubiquitous in all areas of life in recent decades. As population increases, there is a parallel increase in pollution, exacerbating climate change, which not only affects the environment, but also has an impact on human life and business. Climate change is generally thought of as a negative force due to its effects on the environment and its projected repercussions. However, there have been some upshots of climate change that have had positive impacts on business. Climate change presents businesses the opportunity to promote themselves by appealing to the public’s preoccupation with environmental concerns. It also presents opportunities for businesses to capitalize on climate change through entrepreneurship and innovation addressing environmental issues. Furthermore, by adopting ecofriendly practices that are conceived as responses to climate change, businesses can reduce costs of production and operation. As a result of climate change, companies are prompted to adopt sustainable business practices, “taking the goal of sustainability, and translating that into the changes required of an individual organization—changes which maintain the organizations capacity for producing human benefits, including the profitability needed for survival, while optimizing the environmental balance of its operations.” Through this pursuit of sustainable business, companies can benefit from the climate change that plagues the planet, through promoting a “green” image, “green” innovation, and ecofriendly practices. While there are some positive effects of climate change on businesses, these optimistic outcomes do not outweigh the extreme con...
7). Their definition was as follows: “ It is in the hands of humanity to make development sustainable… to meet the needs and aspirations of the present without compromising the ability of future generations to meet their own. (SHRM, 2011, p. 7).” Sustainability is the organization’s commitment to balance financial performance with contributors to the quality of life of employees, society at large, and environmentally sensitive initiatives (SHRM, 2011, p. 2). Workplace sustainability requires observation of the following: work force diversity, environmental impact, bribery and corruption, community involvement, ethical sourcing of goods, human rights, product safety, and product usefulness (Epstein & Roy, 2001, p. 588). Creation of a stable, sustainability culture can support the company’s efforts to reach its long term goals; however, sustainable practices are more often found in medium and large staff-sized organizations, publicly and for-profit companies and multinational companies (SHRM, 2011, p.
Business sustainability consists of three components, these are: social, economic and environmental. The business has to consider these three components as the business must make a maximized profit (economic) but must not in any way damage the environment in the long term (environmental). The business must also take care of social issue and people and communities as they are support the business.
The individual effort for accomplishment of sustainability is impossible with out the support of companies. Company’s operates not only for today but it aim to success in future. Whereas, BHP Billiton is a multinational mining (i.e. metals, petroleum, coal, aluminium, manganese) company who believes environmental and social performance is vital for the business. It businesses in 17 countries, is headquartered in Melbourne, Australia and has been titled as the largest mining industry worldwide proven by 2013 revenues. Being an enormous business it has even massive corporate responsibility, toward the planet as a whole. Sustainability reporting is now compulsory social report for companies to issue explaining about the economic, environmental and social impact of the organisations activity and BHP Billiton has proven to raise awareness in corporate transparency issues and increase accountability for the responsiveness towards stakeholders. Environmental cost being difficult to locate the company has been cooperating its responsibility towards society and environment by publishing sustainability report, Annual Health, Safety, Environment and Community Reports since over a decade. (Our Company,BHP Billiton, 2014).
For decades now, environmental, social, and economical issues have arisen in society and businesses. Only recently has the issues established extensive attention within society, sustainable development is acknowledged by the majority to mean ‘development that meets the needs of the present without compromising the ability of future generations to meet their own needs’ (Commission 1987). This essay will look into the practices of ANZ as a sustainable business and examine their ecological, economic and social environments.
In order to become a business (and HR) priority, there must be a business case for sustainability. When seemingly crazed environmentalists at Greenpeace and its ilk, state that the organizations that are the spearheads in sustainable, social and good governance practices have 25% higher stock value than their less sustainable compatriots, it is important to note that there is a robust business case for these organizations to behave in ways that are more responsible to the earth and to its people.
Through articles and case studies, The State of the World traces the importance and the benefits of engaging in sustainable practices in every area of life, as well as a detailed overview of which steps need to be taken to move towards a sustainable culture. The “Business and Economy: Management Priority” section provides an analysis of the negative impact business and economy is set to have in a sustainable future if a more sustainable management is not adopted, and specifications on how can they move towards a sustainable business environment. It includes a variety of articles that express concerns on the aggressive impact the consumer culture is currently having on the environment, emphasizing on the need of forging more sustainable practices in the economy. The series of articles found in this section are “Business and Economy: Management Priorities”, “The Folly of Infinite Growth on a Finite Planet”, “Cradle t...
Everything that we need for our survival and well being, depends either directly or indirectly on our natural environment. Sustainability creates and maintains the conditions under which humans and nature can exist in productive harmony (Environmental Protection Agency, 2005). It is the development to maintain or sustain condition in order to provide improved long-term economic health and stable social and cultural quality system as well as preserve or protect environment (Goldie, 2005). Being sustainable and saving energy has huge economic benefits. Economic benefits of being sustainable for the local community make being sustainable a far better and cheaper choice than most practices we use now.In terms of local businesses, huge amounts of money can be saved by being sustainable and using resources such as energy and water more efficiently. Businesses often lose huge amounts of money each year by using their resources poorly, which could be prevented if businesses made simple changes to improve sustainability (Hannah Barker, 2012). Although it is easier for large companies to implement environmental initiatives to become sustainable, smaller businesses and companies find it more difficult because of costs. But it is shown that being sustainable will save companies and businesses money long term and cover all costs used to set up the sustainable practices. As well as saving money through effective use of resources, being sustainable also gives a positive reputation to the company, attracting customers that way.People living in the community can do simple things like setting their homes thermostat a few degrees lower, which will save the community hugely on energy costs. Members of the community taking shorter showers, cutting do...
The sustainability of the ecosystems on which the global economy depends must be guaranteed. And the economic partners must be satisfied that the basis of exchange is equitable” (World). This quote demonstrates the complexities of sustainability. Another thing corporations should focus on when trying to be sustainable is their environmental impact.