Sustainability

● Balance of the economic, social, and environmental goals of a company

● Aka 3P’s or People, Planet, and Profit

Triple-bottom Line (TBL)

1. 1993, John Elkington

2. Focus not only on profit but also on the environmental and social impact
3. Economic is under the social and it is under the environmental
4. Pursuing social and environmental impact is part of the process not the end

Three pillars of the TBL

1. People - Focuses on human capital

● Focuses also from the customers to the community
1. Planet - Focuses in reducing the ecological footprint
2. Profit

Environmental Scanning - Module 3

● Monitoring, evaluating, and disseminating information
● Internal and external environment
● In all forms of data gathering
● To determine strategic factors = Create strategies against rivals

Levels of Business Environment

1. Societal
● PESTLE, STEEP, or PEST Analysis

Have direct or indirect impact to the business

a. Socio-Cultural - Population, culture and beliefs

b. Economic - Income, productions factors, inflation

c. Politico-legal - Laws and regulations related to the firm

d. Technological - Changes in the processes

●
1. Task
● Outside the firm and direct relationship with the firm
● Company’s stakeholders
● Porter’s Five Forces Framework
1. Internal
● Internal environment = policies, system, etc.
● Seven-S Framework

Components of Environmental Scanning

A. External Scanning - Macro-environment and competitive environment

B. Internal Scanning - Deep look inside the company’s processes and system

● Identification of strengths and weaknesses