ROLE OF BUSINESS

CORPORATION
IN
SUSTAINABLE DEVELOPMENT
• Submitted by
– Brijesh kumar
– Divyanshu patel
– Shahbaz singh
– Nivedita bhadury
– Kalpesh panchal
 What Is Sustainable
Development?
• Sustainable development (SD) is a pattern of
resource use that aims to meet human needs
while preserving the environment so that these
needs can be met not only in the present, but also
for generations to come
Implications for business
Businesses can find approaches that will move
towards all three goals -
• Environmental protection
• Social wellbeing
• Economic development

Sustainable development is good business in itself

 
Positive signs of change
• 3M manufacturing plant- scaled down a wastewater
treatment operation by half,
• Dow Chemical Company’s ‘Waste Reduction Always
Pays’ programme- has fostered more than 700 projects
• In a Westinghouse metal finishing factory in Puerto
Rico-the company reduced ‘drag out’ - the contamination
accidentally carried from one tank to another - by 75%
• Pacific Gas and Electric- decided that energy
conservation was a more profitable investment than
nuclear power.
• McDonald’s- made its well-publicized move from
plastics to paper the cornerstone of a much broader.
  
Practical considerations

• Business traditionally seeks precision and practicality.

• Changes over time in response to increased information and
society’s evolving priorities.
• Executives consider the principal objective of business to be
making money. Others recognize a broader social role.
• Companies continually face the need to trade off what they
would ‘like’ to do and what they ‘must’ do in pursuit of
financial survival.
• The challenge is to solve all of these problems in a sustainable
manner, so as to generate continuing development.
Enhancing management systems

The two main areas of the management system

that must be changed are those concerned with:
• A greater accountability to non-traditional
stakeholders;
• Continuous improvement of reporting practices.
• Developing an effective management framework
for sustainable development
1.Perform a stakeholder
analysis
• Required in order to identify all the parties that
are directly or indirectly affected by the
enterprise’s operations.
• Preparing needs and expectations of the
parties.
• Establishing community advisory panels.
 2.Set sustainable development
policies and objectives

• Preparing a broad policy statement.

• Sustainable development objectives should be
clear, concise and expressed in measurable terms.
• Effective external monitoring system
 3.Design and execute an
implementation plan
• Translating sustainable development policies into
operational terms.
• Sustainable development strategies should be
communicated to various stakeholder groups.
• Organizational structure should then be reviewed.
• Management information systems should be enhanced.
• Production processes and operating procedures must be
assessed
4.Develop a supportive
corporate culture
  Ways of appropriate corporate culture

• Organizational renewal.
• Change in managerial attitudes.
• Effective communication.
• Employee participation.
5.Develop measures and
standards of performance

• Preparation of meaningful reports on

performance.
• Availability of timely information about company
operations.
• Establishing performance targets and standards.
 6.Prepare reports
• Develop meaningful reports for internal
management and stakeholders.

• Periodic reports to assess sustainable development.

 7.Enhance internal monitoring
processes
• Reviewing reports submitted by middle managers;
• Touring operating sites and observing employees
performing their duties;
• Holding regular meetings with subordinates to
review reports and to seek input on how the
procedures and reporting systems might be
improved;
• Implementing an environmental auditing
programme
 Management leadership
Role of the board

• Corporations are encouraged to establish a ‘social

responsibility committee’
• Board plays an important role in monitoring and
implementing policies.
Self-assessment

• Evaluating company’s overall strategies.

• Availability of current information systems.

Deciding on a strategy

• Comparing of performances.
• Share information and establish an industry
group.
• Importance of a general plan.
• Reviewing and approving the final strategy
and plan.
Strategy implementation

• Preparation of a general plan.

• Plans to be developed through consultation

with employees.