Showing papers on "Corporate sustainability published in 2008"

Conceptualizing a “Sustainability Business Model”:

Abstract: According to one perspective, organizations will only be sustainable if the dominant neoclassical model of the firm is transformed, rather than supplemented, by social and environmental priorities. This article seeks to develop a “sustainability business model” (SBM)—a model where sustainability concepts shape the driving force of the firm and its decision making. The SBM is drawn from two case studies of organizations considered to be leaders in operationalizing sustainability and is informed by the ecological modernization perspective of sustainability. The analysis reveals that organizations adopting a SBM must develop internal structural and cultural capabilities to achieve firm-level sustainability and collaborate with key stakeholders to achieve sustainability for the system that an organization is part of.

Corporate Social Responsibility and Corporate Sustainability: Separate Pasts, Common Futures

Abstract: This article reviews the different definitions of corporate social responsibility (CSR) and corporate sustainability (CS) used over time to reveal points of difference and congruence between the two terms. Management literature uses both CSR and CS to refer to social and environmental management issues, but there is no clear distinction between the two terms. First, the author quantifies the articles published about CSR and CS in both general management and specialized journals. Second, the author summarizes the different CSR- and CS-related definitions to identify the definitional differences between CSR and CS. Finally, the author identifies opportunities to reshape a rapidly changing field by enhancing collaboration among scholars devoted to studying CSR and CS issues.

Governance and sustainability: an investigation into the relationship between corporate governance and corporate sustainability

Abstract: – The purpose of this paper is to show that corporate governance is fundamental to the continuing operation of any corporation; hence much attention has been paid to the procedures of such governance. Similarly sustainability is fundamental to the continuing operation of any corporation, and is arguably the fashionable concept of the moment. While it is clear what is generally meant by corporate governance it is much less clear what is meant by sustainability and the paper starts by investigating this concept., – For two such fundamental concepts however it would seem that there should be a relationship between the two, although little work has been undertaken on exploring this relationship. The central part of this paper is therefore based upon an exploration of the relationship between governance and sustainability, by investigating the FTSE100 companies and their corporate governance policies., – This analysis found some strengths – and hence cause for optimism – and some weaknesses – and hence cause for concern. Areas where further work is needed are identified., – The paper has implications in enhancing the understanding of the necessary components of corporate governance, although it is necessarily limited by the size of the sample., – This paper increases the understanding of the relationship between corporate governance, sustainability and sustainable development.

Teaching Sustainability to Business Students: Shifting Mindsets

Abstract: – This paper seeks to describe a framework used to help MBA students understand and reconcile the different sustainability perspectives., – A review of the corporate sustainability literature is undertaken to develop the sustainability framework., – The sustainability framework relates basic concepts and assumptions within the ecocentric, ecological modernization and neoclassical paradigms to organizational practice and behavior. For the most part, the MBA students have only been exposed to neoclassical economic thinking within the other MBA subjects. The aim of the sustainability framework is to shift the students' thinking by engaging with sustainability from different perspectives, rather than presenting one version of sustainability to them. The framework has proven to be useful in developing critical and reflective thinking and discussion., – The paper provides a summary of sustainability concepts as applied to business practices and describes how this is used in teaching sustainability to business students.

Environmental Management Accounting for Cleaner Production

Abstract: Sustainability requires companies to develop in an economically, environmentally and socially sustainable manner. Corporate sustainable development in turn requires movement towards cleaner production. In order to recognize the potential from cleaner production reduced costs and fewer environmental impacts through the reduced use of materials environmental management accounting (EMA) is a necessary information management tool. Environmental Management Accounting for Cleaner Production reveals a set of tools for companies to collect, evaluate and interpret the information they need to estimate their potential to use cleaner production to realize cost savings and to make the best decisions about the available cleaner production options. EMA is therefore the key for driving environmental progress, cost savings, increased competitiveness and corporate sustainability through the means of cleaner production.

Does explicit contracting effectively link CEO compensation to environmental performance

Abstract: Empirical research in the area of corporate sustainability highlights potential conflicts between corporate financial performance and environmental performance. In such a situation, agency theory arguments applied to the corporate environmental context predict that top management compensation should be explicitly linked to environmental performance in order to bring about proper alignment of organizational environmental goals and management incentives. We test this proposition for a sample of 207 Standard & Poor 500 firms in the US in 1996 who explicitly report in Investor Responsibility Research Council (IRRC) surveys the presence or absence of a contractual link between environmental performance and executive compensation. We find that only in firms with an explicit linkage between environmental performance and executive contracts is there is any evidence of a significant impact of firm-level environmental performance on CEO compensation levels. However, even this impact is not very impressive since (a) it holds only for IRRC compliance and spill indices and does not hold for IRRC toxic emission indices, and (b) even the effects for compliance and spill indices do not hold relative to industry levels of these indices. Copyright © 2008 John Wiley & Sons, Ltd and ERP Environment.

Public policy and corporate environmental behaviour: a broader view

Abstract: Corporate strategies to manage the business–ecological environment interface have evolved against the backdrop of regulatory pressures and stakeholder activism. Despite its relevance with respect to sustainable development, a well developed theory encompassing all aspects of corporate environmental behaviour, especially incorporating incentive compatible public policy measures, is yet to be developed. This paper is a step in this direction, aiming to assimilate contributions related to different aspects of corporate environmental behaviour, capturing the transition from environmental management to environmental strategy. In the process we identify areas where there is a need for further research. We find that there is plenty of scope in developing more complex models to explain a manager's rationale for adopting sustainable strategies in the backdrop of the policy regime, and in conducting more empirical (both descriptive and quantitative) work to obtain clearer insights into managerial decisions. Copyright © 2007 John Wiley & Sons, Ltd and ERP Environment.

The effects of sustainable development on firms' financial performance – an empirical approach†

Abstract: This research studies firms' sustainable development in term of economic, environmental and social dimensions and their financial performance, which includes a broader coverage of stakeholder engagement of both sustainability and profitability in a structural equation model (SEM). The secondary data of 311 firms' sustainability scores are analyzed and our observations reveal that (1) the better sustainability performers may have a tendency of positive influence on firm profitability in the same and later periods, (2) a positive reciprocal causality may exist between sustainability and profitability among the better sustainability group, (3) profitability affects corporate sustainability positively in both higher and lower sustainability groups and (4) sustainability influences firm profitability negatively in the lower sustainability group. Copyright © 2008 John Wiley & Sons, Ltd and ERP Environment.

Sustainability challenges and solutions at the base of the pyramid : business, technology and the poor

Abstract: Foreword Stuart L Hart Introduction Farewell to pyramids: how can business and technology help to eradicate poverty? Prabhu Kandachar, Delft University of Technology, The Netherlands, and Minna Halme, Helsinki School of Economics, Finland Part I Inclusive markets and BoP strategies 1 Understanding the markets of the poor: a market system approach to inclusive business models Christina Gradl, Emergia Institute/Martin-Luther-Universitat Halle-Wittenberg, Germany, and Sahba Sobhani, Afke Bootsman and Austine Gasnier, United Nations Development Programme 2 Lights on or trade off? Can base-of-the-pyramid approaches deliver solutions to energy poverty? Emma Wilson, Business and Sustainable Development Programme, International Institute for Environment and Development (IIED), Lyuba Zarsky, Monterey Institute for International Studies, Brian Shaad, Partnerships in Development, Ltd, and Ben Bundock, freela Part II Local enterprises at the BoP: cooperative efforts 3 WIZZIT: mobile banking for the poor in South Africa Brian Richardson and Nicolas Callegari, WIZZIT South Africa 4 The GP Community Information Centre: helping the poor through technology AHM Sultanur Reza, Head of Community Information Centre, Grameenphone, Bangladesh 5 Edenor SA: energy and development for the base of the pyramid Miguel Angel Gardetti, Centre for Study of Corporate Sustainability, Argentina Argentina Base of the Pyramid Learning Lab, and Ma Griselda Lassaga, Centre for Study of Corporate Sustainability, Argentina 6 Pro-poor enterprises and the base of the pyramid concept: learning from natural plant product ventures in South Africa Cori Ham and Wolfgang Thomas, Stellenbosch University, South Africa 7 Integrating poverty reduction and environmental protection among BoP producers: Van Chang craft village in Vietnam Nonita T Yap, University of Guelph, Canada 8 The challenges and opportunities of creating sustainable shared values at the base of the pyramid: cases from sub-Saharan Africa Samuel Petros Sebhatu, CTF Service Research Centre, Karlstad University 9 SEWA members: wheels of the pyramid A case study Reema Nanavaty, Self Employed Women's Association, India 10 Reutilisation of glass residues and social and environmental sustainability in Brasilia Adriana Villela, Leila Chalub Martins, Maria de Fatima Makiuchi and Donald Sawyer, University of Brasilia, Brazil 11 Sustainable solid waste management using a base-of-the-pyramid approach John Stutz, Tellus Institute, USA 12 Small is beautiful: solar product and market development should be scaled to the actual needs of end-users in the developing world KM Arkesteijn and AE Maaskant, Free Energy Europe, The Netherlands, and P Steemers, Umeme Jua Ltd Part III Are BoP consumers and citizens included? 13 Consumer integration into innovation processes: a new approach for creating and enhancing innovations for the base of the pyramid (BoP)? Aline Kramer and Frank-Martin Belz, Technische Universitat Munchen, Germany 14 Research methods for subsistence marketplaces Madhu Viswanathan, Roland Gau and Avinish Chaturvedi, University of Illinois at Urbana-Champaign, USA 15 Investments at the base of the pyramid: reducing poverty through sustainable asset development Janet Boguslaw, Heller School for Social Policy and Management, Brandeis University, USA, and Mary Ellen Boyle, Clark University Graduate School of Management, USA Part IV Capabilities, opportunities and challenges for developing BoP business by MNCs 16 Empowering creativity: a design-led innovation experience based on value co-creation and user insights Simona Rocchi and Yasushi Kusume, Philips Design, The Netherlands 17 Affordable communication for rural communities Mika Skarp and Raj Bansal, Nokia Siemens Networks, and Raimo Lovio and Minna Halme, Helsinki School of Economics, Finland 18 Understanding business models at the BOP: lessons learned from two South American utility companies Juliana Mutis, Universitat Politecnica de Catalunya (UPC), and Joan Enric Ricart, IESE Business School, University of Navarra, Spain 19 Finding value and sustainability at the base of the pyramid Naomi Wynburne and Rosalind Wilson, Emerging Markets Group (EMG) Ltd 20 Fortifying the business model: the case of Tetra Pak and the Nasarawa State school feeding programme in Nigeria Aileen Ionescu-Somers and Ulrich Steger, Forum for Corporate Sustainability Management, IMD 21 Building dynamic capabilities for the base of the pyramid: a closer look at firm practices Patrick Vermeulen, Judith Bertisen and Jac Geurts, Tilburg University, The Netherlands 22 Opportunities and challenges for multinational corporations at the base of the pyramid Christine Keating and Tara Schmidt, London Business School, UK Part V Sustainability challenges and solutions 23 Transforming innovation and development practice in the Global South? Myths, realities, and the prospects for base-of-the-pyramid approaches James T Murphy, Clark University, USA 24 The environmental (un)sustainability of the base-of-the-pyramid (BoP) philosophy: a governance perspective Frank Wijen, Rotterdam School of Management, Erasmus University, The Netherlands 25 Sustainable development at the BOP: on integrated approaches beyond trade-off thinking Rudiger Hahn, Heinrich-Heine-Universitat Dusseldorf, Germany 26 When CSR Met BoP: ethical concerns at the base of the pyramid D Kirk Davidson, Mount St Mary's University, USA 27 Towards "Human Development through the Market": a comparative review of business approaches benefiting low-income markets from a sustainable consumption and production perspective Burcu Tuncer, Fisseha Tessema, Martin Herrndorf and Nadine Pratt, UNEP/Wuppertal Institute Collaborating Centre on Sustainable Consumption and Production (CSCP), Germany, and Martin Herrndorf, University of St Gallen, Switzerland

Types of corporate responsibility and engagement with NGOs: an exploration of business and societal outcomes

Abstract: Purpose – This paper aims to classify different corporate responsibility (CR) actions into three types – philanthropy, CR integration and CR innovation – and examines different forms of corporate engagement with nongovernmental organizations (NGOs) through this categorization. The focus is on the societal and business outcomes of engagement.Design/methodology/approach – The study analyzes 20 business‐NGO collaborations of three case companies – Hindustan Unilever, Nokia and Stora Enso. Cases are chosen based on revelatory sampling and data are gathered through documentary research of corporate sustainability reports, project reports and websites. Data analysis focuses on engagement forms, business and societal outcomes of engagement and utilizes a categorization of CR.Findings – Different CR types involve different forms of cooperation ranging from sponsorship to partnership. Furthermore, CR integration and CR innovation seem to have more potential for long‐term positive business outcomes than philanthrop...

Sustainability quotients and the social footprint

Abstract: We argue that most of what passes for mainstream reporting in corporate sustainability management fails to do precisely the one thing it purports to do - which is make it possible for organizations to measure and report on the sustainability of their operations. It fails because of the lack of what the Global Reporting Initiative calls sustainability context, a shortcoming from which it, too, suffers. We suggest that this missing context calls for a new notion of sustainability ( the binary perspective), which can be conceptualized in the form of sustainability quotients. We provide specifications for such quotients in ecological and social contexts, and suggest that sustainability is best understood in terms of the impact organizations can have on the carrying capacity of non-financial capital, or what in the social case we call anthro capital. We conclude by introducing a quantitative quotients-based method for measuring and reporting on the social sustainability of an organization, the social footprint method. Copyright (C) 2007 John Wiley & Sons, Ltd and ERP Environment.

Achieving sustainability in the construction supply chain

Abstract: Sustainable construction and supply chain management (SCM) have, in recent years, become two of the most important performance-related issues within the construction industry. To achieve corporate sustainability within any organisation, it is essential that sustainability issues are addressed throughout the organisation's whole supply chain, a process referred to as sustainable supply chain management (SSCM). The implementation of SCM and sustainability is, however, an extremely complex undertaking. Through an extensive literature review and detailed interviews, this research has identified the conditions and strategies for achieving SSCM within construction organisations. The research also investigated the meaning, barriers and enablers, issues, tools and techniques for achieving successful SCM and SSCM. The study was based on the perspectives of senior managers of exemplar organisations with a proven track record in sustainability and SCM. It has been possible to identify best practice from which other ...

An ecological modernist interpretation of sustainability: the case of Interface Inc.

Abstract: This article seeks to extend understanding of how sustainability is operationalized in firms by considering the example of Interface Inc. In particular, we assess the sustainability policy and strategies of Interface Inc. within the frame recourse of an ecological modernization (EM) perspective of sustainability. One question of particular interest is whether organizations are able to implement an EM-aligned worldview through their own internal capabilities or whether changes to the wider socio-economic system are required. The analysis of Interface's experiences suggests that, at this stage, an organization cannot fully adhere to an EM perspective of sustainability; its success is also dependent on changes to the wider socio-economic system in which the firm operates. The critical factors in implementing sustainability that emerged from the Interface case study are discussed.

Sustainable innovation and entrepreneurship

Abstract: In recent years our understanding of corporate sustainability has moved from exploitation to exploration, from corporate environmental management to sustainable entrepreneurship, and from efficiency to innovation. Yet current sustainability trends indicate the need for radical innovation via entrepreneurial start-ups or new ventures within existing corporations. However the financing and marketing of such schemes remains a problem. Presenting both conceptual and empirical research, this fascinating book addresses how we can combine environmental and social sustainability with economic sustainability in order to produce innovative new business models.

Combining faith and CSR: a paradigm of corporate sustainability

Abstract: Purpose – Engaging corporate social responsibility (CSR) is essential to attain corporate sustainability. This paper aims to take the CSR from the viewpoints of a believing system, Christianity in an attempt to bridge a gap in the existing literature.Design/methodology/approach – Through related literature reviews, research questions asked and grounding in the Christians' sacred text, the author seek to explore the Christians' social responsibilities and their relatedness to the CSR.Findings – This paper highlights the interlocking principles – honoring God, one's neighbor, God's creation, great commissions and eternality concept – that shape the Christians' fundamental approaches toward their social responsibilities. These collective faith driven principles would redefine the existing CSR conceptions in a refined form that the author call a faith‐based CSR.Practical implications – The paper discusses the applications of the faith‐based CSR in the areas of corporate philanthropy, environmental preservatio...

Environmental Management Accounting (EMA) as a Support for Cleaner Production

Abstract: The potential for Cleaner Production (CP) to benefit businesses is well-demonstrated, but it is not yet as widely adopted as might be expected. This is unlikely to be entirely because of the lack of adequate information—other possible reasons could be that (i) CP is commonly seen as being only relevant to manufacturing, (ii) the institutional framework does not encourage the adoption of CP as well as it might do, and (iii) there is no single one-to-one relationship between organisational change (such as a move to CP) and accounting change.

Corporate sustainability as a challenge for comprehensive management

Abstract: Corporate Sustainability as a Challenge for Comprehensive Management.- Human Factors, Business Excellence and Corporate Sustainability: Differing Perspectives, Joint Objectives.- Comprehensive Management Concepts and Sustainable Excellence.- Performance Excellence: Path to Integrated Management and Sustainable Success.- Developing Sustainable Competitive Advantage through Operational Excellence and Adaptation Excellence with Value-Innovations.- Sustainable Improvement: Six Sigma - Lessons Learned after Five Years of Training and Consulting.- A Strategy for Building Sustainable Innovation Excellence - A Danish Study.- The Impact of Cultural Issues and Interpersonal Behavior on Sustainable Excellence and Competitiveness: An Analysis of the Italian Context.- Human Factors in Organizational Design and Management - Creating Sustainability.- Building Sustainable Human-Centered Systems: A Grand Challenge for the Human Factors and Ergonomics Discipline in the Conceptual Age.- Achieving Sustainability through Macroergonomic Change Management and Participation.- Continuous Technology Implementation and Sustainability of Sociotechnical Change: A Case Study of Advanced Intravenous Infusion Pump Technology Implementation in a Hospital.- The Influence of Project Duration and Focus on Involvement in Participatory Processes.- The Role of Ergonomics in Securing Sustainability in Developing Countries.- Participation as Precondition for Sustainable Success: Effective Workplace Improvement Procedures in Small-scale Sectors in Developing Countries.- The Future of Work in a Sustainable Society.- Sustainability as Challenge for Human Factors and Integrated Management Systems.- Social Responsibility, Strategic Management and Comprehensive Corporate Development: Old Roots, New Issues?.- Human Factors and Comprehensive Management Concepts: A Need for Integration Based on Corporate Sustainability.

What does GRI-Reporting tell us about Corporate Sustainability?

Abstract: Originality/value We critically analyze the most common framework for sustainability reporting on an empirical basis. Our qualitative study delivers insights into sustainability reporting in an industry with large impacts on global climate change and living conditions. Purpose We discuss what the business contribution to sustainable development is (or should be) and propose criteria for assessing corporate sustainability. These criteria are applied for the analysis of GRI-reports of five major cement manufacturers. This will result in a discussion if GRI-based sustainability reports really contain the information needed for judging corporate sustainability. Methodology/approach Starting from a literature review of common definitions and principals we develop main criteria of corporate sustainability and propose a set of evaluation criteria for analyzing sustainability reports. We consider definitions and principals from concepts such as Ecoefficiency, Triple-Bottom-Line, The Natural Step and stakeholder value. Using these criteria we analyze the GRI-based sustainability reports of five major cement manufacturers in order to find out to what extent the reports really address the sustainability performance of the companies. We chose the companies because of their dominant position in the building material supply chain. The building industry has multiple impacts on the environment as well as on the social system. The decisions and actions of the cement manufacturers have influence on the entire supply chain, from raw material suppliers to the end customer. Findings Our findings lead to the conclusion that the current GRI guidelines are not sufficient to make sustainability reporting for the cement industry relevant and clear. In other words, the guidelines are not sufficient for assuring that a report answers the questions of how sustainable a company is and how quickly it is approaching sustainability. Within the GRI guidelines the needs of the customers are not considered sufficiently. This points at an important area where business excellence ideas can support sustainability reporting. This could be done, for instance, by including the concept of cost of poor quality into sustainability reporting guidelines.

A Systems Approach to Corporate Sustainability in Energy Management of Industrial Units

Abstract: This paper presents a ldquoproof of conceptrdquo system methodology for the energy management of industrial units examining them as socio-technical systems. The cybernetic viable system model (VSM) of Beer is used to consider an industrial unit as a viable organization and through this consideration to diagnose the technical and managerial gaps identifying the Best Interventions Plan according to principles of sustainability. Based on a case study concerning a Fertilizers Production Plant, a framework is developed that could be extensively used for energy management of industrial units. The systems approach of this framework emerges as a unique available tool to implement the principles of sustainability in industrial energy management.

Achieving Sustainability through Macroergonomic Change Management and Participation

Abstract: This article argues that sustainable development can be achieved through a conscious effort to work through people and organizations to drive change (bottom up strategy) at the societal and political, legal and global levels (top down). This will require a cultural shift that allows people and institutions to be receptive to change. Macroergonomic change management is a vital part of making this possible. Moreover, participation is a means for driving change because it has emotional and psychological components beyond the rational facts of sustainability.

Links between sustainability-related innovation and sustainability management

Abstract: This paper analyses the link between sustainability-related innovation and sustainability performance and the role that family firms play in this. This theme is particular relevant from a European point of view given the large number of firms that are family-owned. Governments often support environmentally and socially beneficial innovation with various policy instruments with the intention is to increase international competitiveness and simultaneously support sustainable development. In parallel, firms use corporate social responsibility (CSR) and environmental management systems partly in the hope that this will foster such innovation in their organisation. Hence the main research question of this paper is about the association of CSR and environmental management with environmentally and socially beneficial innovation and its determinants. Based on panel data, the paper analyses the link of corporate sustainability performance with sustainability innovation and the effect of being a family firm using panel estimation techniques. The paper discusses the results of the analysis, which point to a moderating role of family firms on the link of sustainability innovation and performance and assesses the policy implications of this insight.

Sustainability, innovation and entrepreneurship: introduction to the volume

Abstract: Sustainability is back on the global agenda. After intense debates in the late 1970s and early 1980s about limits to growth, rising oil prices, forest dieback (Waldsterben) and the like, environmental and social issues received less attention in European public opinion during the 1990s. In the US, the timing was different, with an increasing level of attention to sustainability issues across businesses and non-governmental organizations (NGOs) occurring in the 1990s. With a new focus on climate change, we have recently seen the discussion about sustainable development return with increased intensity. The threat of uncontrolled changes in the atmosphere has led to an unprecedented wave of public attention to environmental challenges. At the same time, there is also increased awareness of social challenges such as high unemployment rates, increasing inequalities and poverty in developing countries. Global policy makers and corporate leaders are expressing the need for action. Governments have started to embark on ambitious emission targets. Corporate sustainability seems to have become a mainstream issue, at least on paper. At the same time, though, it becomes apparent that the magnitude of the sustainability challenge calls for more than just incremental changes to existing patterns of production and consumption. Just as global greenhouse gas levels have embarked on a steep path of discontinuous change, we seem to be in need of fundamentally new solutions in the way we do business and govern our economies. And even if we succeed in making substantial changes to corporate strategies and consumer behaviour, it seems to be an open question whether this will be successful. John Doerr, a prominent representative from the cradle of American optimism, the venture capital community of Silicon Valley, recently talked about the accelerating

Linking Stakeholder Relationships and Corporate Reputation: A Public Relations Framework for Corporate Sustainability

Abstract: “Over the next decade or so, sustainable development will constitute one of the biggest opportunities in the history of commerce,” predicts Stuart Hart, Cornell University professor and world authority on the implications of sustainable development for business strategy. In this chapter, the authors argue that a stronger link should exist between stakeholder relationships and corporate reputation. Public relations strategy and activity in organisations should be the nexus that binds stakeholder relationships and corporate reputation together in order to work towards corporate sustainability. All the above indicators and expectations require strategic thinking skills from public relations strategists that will contribute to much needed synergy, integration and alignment of activities, processes and systems in organisations. In a certain sense public relations strategists need to go back to the basics and remember that communication is in essence the sharing of meaning and the creation of understanding that can only be established by solid stakeholder relationships. By assisting business to become more sustainable in creating and maintaining good stakeholder relationships whilst solidifying strong corporate reputations public relations as practice and as discipline could also become better sustainable and socially more relevant in future.

Business ethics? A global comparative study on corporate sustainability approaches

Abstract: Purpose – The purpose of this paper is to see whether ethical and sustainable corporate strategy is not just an “add on” for good community relationships and publicity, and whether companies across the globe are approaching sustainability differently.Design/methodology/approach – This paper is based on the assumption that company publications reflect the principle and philosophy of its business approach.Findings – The paper identifies stark differences in global sustainability practice, with the USA, in particular, falling behind in terms of sustainability leadership, compared with similar organisations in both the European Union and the Asia Pacific region.Research limitations/implications – This paper implies that US multinationals need to improve their sustainability practice and to begin to think in terms of triple bottom line management, ethical standards and governance.Practical implications – This paper implies that corporations need more effort in developing and managing ethics and sustainability ...

Corporate Sustainability/CSR Communications and Value Creation : A Marketing Approach

Abstract: The purpose of this study is to explore the current practices in corporate sustainability/CSR communications and how this trend contributes to corporate value creation. More specifically, this study looks at this subject from the angle of how companies can use corporate sustainability/CSR communications in marketing activities to attain corporate marketing objectives. To achieve the aim of this study, an examination of the current practices in corporate sustainability /CSR communications was performed through a pertinent empirical and theoretical literature review as well as a quantitative and qualitative empirical method using a survey questionnaire. The author attempted, in the same way, to illustrate how corporate sustainability/CSR communications can strengthen corporate reputation and directly enhance financial performance. For theory, two bodies of literature (corporate communications and corporate sustainability) were selected for review in terms of the degree of synergy and integration between them and their implications for this thesis. The key findings from literature review and empirical study showed that the practices of corporate social responsibility communications occurs through CSR, Triple Bottom Line (PPP) or corporate sustainability reporting, stakeholder dialogue on sustainability issues and social and environmental communication programs. Also, the auditing and assurance of CSR reporting is carried out through different measures including internal (i.e. human resources management, CSR and/or PR department) and external (i.e. business partner, consulting or risk management firm) or both measures. It was also found that sustainability has been a part of corporate culture and strategy development for a number of organizations pursuing the sustainability path for decades. Moreover, public relations activity is ranked the most effective in communicating sustainability at corporate level and has the potential to reach a wide spectrum of stakeholder audiences. However, a level of skepticism was noticed among stakeholders towards corporate sustainability/CSR communications. Nonetheless, knowing how stakeholders perceive corporate image and what they expect in return for their support is fundamental in designing effective corporate and marketing communications strategies. Stakeholders’ relations management is the bottom line for success and sustainability of the business and lies at the core of CSR practice and its reporting. Further, the growth of corporate sustainability/CSR communications has reflected the keen interest from all stakeholders; hence, it has become a topic of major importance and also, as it was found, a key factor that experts and planners in the field should capitalize on and watch in competitive marketplaces. Furthermore, having a pro-social and environmental agenda means having a sound corporate and marketing communications strategies that can build a company’s reputational standing and create sustainable competitive advantages. The trend towards injecting sustainability into corporate decisions making and strategy development has come about through what organizations have achieved in terms of value creation pertaining to reputation and financial performance enhancement. The author’s review of the literature makes an advance on extant reviews of the literature by highlighting the importance of corporate sustainability/CSR communications in marketing with respect to corporate value maximization. Overall, this thesis endeavours to present contributions, avenues and departure of journeying for further empirical research and development.

Corporate sustainability performance: methods and illustrative examples

Abstract: The concept of sustainable development is of increasing importance for societies. Corporations are as relevant societal actors in an essential role for the realization and implementation of sustainable development. Therefore, it is necessary to assess the performance of corporations in the light of sustainable development. In this paper, basic methods and instruments for the assessment of corporate sustainability performance are compared. Sustainability assessments can be divided into two groups: The fi rst group consists of methods based on monetary units; the second group consists of methods based on non-monetary units. The methods of Sustainable Value Added, Composite Sustainable Development Index and Integrated Sustainability Assess- ment are discussed in detail and evaluated regarding the criteria applicability, contribution to basic goals of sustainable development and completeness. The methods are used to assess the sustainability performance of BP and Royal Dutch/Shell Group. Keywords: assessment, Composite Sustainable Development Index, corporate sustainability assessment, Integrated Sustainability Assessment, monetarization, sustainable business management, sustainable development, Sustainable Value Added. Assessing the sustainability performance of corporations is an important aspect within the transition of societies towards the principles of sustainable development. In this paper, three methods (Sustainable Value Added, Composite Sustainable Development Index, Integrated Sustainability Assessment) are presented. Sustainable Value Added is based on monetary units and assesses the value a company creates by using resources compared to a benchmark. Composite Sustainable Development Index and Integrated Sustainability Assessment are based on non-monetary units. These methods use different indicators for each dimension of sustainable development and combine them either with benefi t analysis or with fuzzy logic. Depending on the goals used for the benchmark, relative and absolute contributions to sustainable development can be assessed. The objective of sustainable development (1) is sustainability, which can be characterized by four principles. First, contribution to systematic increase in concentrations of substances from the earth's crust has to be eliminated. This means substituting certain minerals that are scarce in nature with others that are more abundant, using all mined materials effi ciently, and systematically reducing dependence on fossil fuels. Second, contribution to systematic increases in concentrations of substances produced by society has to be eliminated. This means systematically substituting certain persistent and unnatural compounds with ones that are normally abundant or break down more easily in nature, and using these ones in an effi cient and effective way. Third, contribution to the systematic physical degradation of nature through over-harvesting, introductions and other forms of modifi cation has to be eliminated. This means drawing resources only from well-managed eco-systems, systematically pursuing the most productive and effi cient use both of those resources and land, and exercising caution in all kinds of modifi cation of nature. Fourth, contribute as much as possible to the meeting of human needs in our society and worldwide, over and above all measures taken in meeting the fi rst three objectives. This means drawing resources only from well-managed eco-systems, systematically pursuing the most productive and effi cient use both of those resources