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Sustainability as part of strategy - Coggle Diagram
Sustainability as part of strategy
Adrian Henriques (2004)
has suggested that if we are to view sustainability as an intrinsic part of our organisational strategic thinking, then we need to have three different perspectives being held together at any point in time and being transparent to our stakeholders
Economic sustainability
do the figures add up?
Social sustainability
who is impacted by our operational activities?
Environmental sustainability
are we adding to or reducing the overall long term viability of the environment within which our environment within which our organisation operates?
As a simple means of differentiating between CSRand sustainability, it is suggested that
Responsibility
Our accountability to and impact upon others
Sustainability
our accountability to and impact upon ourselves and others
The incorporation of sustainability within the overall strategic thinking will bring a number of direct benefits, both tangible in terms of outcomes, and intangible in terms of the need for a developed strategic thinking and consideration
Business protection
Through the reduction of risk of harm to the organisation and its direct and indirect stakeholders
Business operation
Through a wider awareness of direct and indirect costs across a longer strategic time period
Business growth
Widening of the breadth of strategic consideration will undoubtedly lead to the consideration of a greater range of opportunities
Business reputation
Being known for sustainable CSR approach
Alongside commercial business organisations, there has always been a strand of organisations that have been formed with the strategic drive and objectives of a more social based ethos
The utilisation of such financial gains is generally treated in a more equitable manner based upon the originating constitution of the organisation
Charity: Non-profit generating no revenues or profits
Social enterprise: Combines commercial and social goals but with emphasis on latter. Profits reinvested in community or company
Social business: Combines commercial and social goals. Investment would lead to equivalent increase in social impact
For profit company: Profit maximising company. CSR and social impact considered an add-on to the core business agenda
The role of individuals and managers
Ethics and ethical decision making is ultimately down to individuals and therefore the direct impact of CSR will be driven by individuals
When individuals are placed in any position of responsibility, such as becoming a manager or director, they may face a personal dilemma if their personal ethics are not in agreement with the actions and decisions that are expected of them within the organisation
A person in such a position has a defined number of alternative actions
Make the decision in line with the organisational expectations and live with the personal dilemma
Try to change the organisational expectations
Ensure that the differing views or opinions are documented as appropriate
Leave the business because of the clash of ethics
If the organisation is perceived as going against legal or social norms, it might be necessary to consider whether to inform stakeholders and others through a whistleblowing approach
Gary Hamel (2012) has written about using a 'values based' approach to organisational leadership. He recognises that we only ever have a certain level of control and influence over the employees of an organisation and that ultimately the values in the organisation will be based upon how people both respond and are seen to respond.
Aspects of behaviour that can be expected, controlled and commanded
Level 1: Obedience: I turn up for work and do the intended job if reluctantly
LEvel 2: Diligence: I focus on the work and apply myself during working hours but I'm happy to go home and forget about it
Level 3: Expertise: I take personal responsibility for my own skills and abilities and feel satisfaction at being able to use them within a role
Aspects of behaviour that can be aspired to but not commanded
Level 4: Initative: I take ownership for problems and try to find solutions
Level 5: Creativity: I take time to think of better ways of doing something, using my brain to think outside of the immediate
Level 6: Passion: I find real purpose in the work activities and environment, feeling fulfilled in the role that I have