Assignment on Foundations of Management
Student Name: Abcdefgh
What is sustainability and why does it matter? Why are some benefits for organizations in adopting sustainable practices? Can you also suggest some negative impacts, if any, of adopting sustainable business systems?
It was not before the year 2007, the concept of ‘Sustainability’ was established in the mind of people and businesses in the world. In the year 2009, the UN Climate Change conference held in Copenhagen firmly developed the issue of potential threats of global warming in both the global political and business arenas. Since the industrial revolution in the late 18th century, new factories were built which means more deforestation, more use of electricity, more burning of fossil fuel and resulting in emission of more Carbondioxide into the environment. At the same time with the increasing number of population in the world, people are getting more dependent on motor vehicles and machineries which also releases toxic and harmful gases responsible for global warming. From a business perspective or an individual, the word ‘Sustainability’ could have different meaning: According to the World Business Council for Sustainable Development(2005), “It is concerned with meeting the needs of people today without compromising the ability of future generations to meet their own needs”. From a business perspective, sustainability has been defined as company’s ability to achieve its business goals and increase long term shareholder value by integrating economic, environmental and social opportunities into business strategies.
Many renown business organizations around the world such as; Paris based TOTAL, Sweden based VOLVO, Australia based Quantas and many more are concerned about global warming. Contributing towards sustainability and implementing them has now become one of their business strategies. These business firms are contributing towards sustainable development in various ways.
The world is going to face a severe challenge of global warming due to emission of enormous amount of carbondioxide and other greenhouse gases. Many scientist have predicted that by the end of 2050, a quarter of the planet’s plants and animals will be at the edge of extinction if the rate of emission of CO2 and global warming continues.(C.D. Thomas, 8 jan 2004) Although it is too late to response for such upcoming disaster, still it’s in our favour. It is the responsibility for developed countries in the world to take necessary initiatives as they are mostly involved. In addition, to be responsible for global warming, developed countries, especially business farms are supervising some ongoing experiments and they are achieving their expected success. A concern was expressed by David Suzuki and Holly Dressel in their book ‘Good news for a change’ that “we can make more fuel efficient cars and firms could supply less toxic products that can be reused and recycled” For instances; world famous soft drink manufacturing company decided to replace 100% of their vending machine and cooler to reduce HFC which is a greenhouse gas, automobile company Volvo declared to manufacture carbon free car and one of its executives said “we hope this project will inspire other companies. The technology is there. It is a question of daring”(T.Nicholson,12 Feb 2007), another automobile company Volkswagon and BMW are working to create recyclable cars, ANZ bank, Westpac bank, National Australian bank and Insurance Australia declared to buy electricity from the firm which does not uses coal. Quantas, one of the most successful airlines companies since it was established in 1920, environmental sustainability is their guiding principle other than passenger safety. For continuous improvements, Quantas set and review their environmental strategies. They have invested billions of dollars for buying fuel efficient aircrafts and...
References: 1. Quantas sustainability report 2012
2. Dr David Suzuki and Holly Dressel, Good News for a Change: Hope for a Troubled Planet(Sydney: Allen & Unwin, 2001)
3. T, Nicholson, ‘ Companies embracing sustainability often do it to reap financial rewards’, Engineering News- Record, Vol.258, No.6, 12 February 2007, p.24.
4. Symposion on Sustainability- Profiles in Leadership, New York, October 2001.
5. Mather J., ‘Universities find targets tough’, Australian Financial Review, 3 May 2010, p.29
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