21654 Lecture Notes - Lecture 10: Creating Shared Value, Root Mean Square
Environmental Sustainability
Sustainability involves meeting the needs of the present without compromising the ability of future
generations to meet their own needs.
Accountability means being anwsrerbae for oneās actions, accepting blame and liability for any
mistakes and being responsible to provide an account.
Organisations are accountable to seek to improve both individual and group conduct, as well as
sustainable social and environmental practices, held account to account by rules, norms, the
media, and regulation.
The āmany handsā problem in organisations describes the difļ¬culty in identifying the person
accountable for outcomes due to the numerous actors in the decision and policymaking in large
organisations. Proposed solutions evolve holding management accountable.
Environmental sustainability is compromised by increasing human population placing enormous
pressure on earthās resources, further endangered by reckless MNC production.
Prominent Societal Responses
Conservatism:
ā¢modest reform that conserves scarce resources through voluntary actions and regulation
ā¢sensible legislation includes fuel efļ¬cient cars, recycling, efļ¬cient production
ā¢Voluntary corporate greening is centred on environmental literacy, critical thinking, trill bottom line
Guarded Optimism and Technical Solutions:
ā¢Guarded optimists argue that claims about the destruction of the environment by global warming
and population explosion are exaggerated
ā¢Technology facilitates solving problems of population, hunger, energy, resource scarcity and
pollution
Sustainable Development:
ā¢Ecology and development may be compatible without compromising needs of future generations
ā¢Sustainability is a growing trend
ā¢CSR, TBL, PPP (proļ¬t, planet, people), CSV (corporate shared value)
Creating Shared Value
Redeļ¬ne productivity in value chain:
ā¢Minimising pollution through increased costs ie taxes
ā¢Major improvements achieved better through technology
Recreate products and markets:
ā¢Society needs efļ¬cient transport, housing, and energy
ā¢Opportunities to whole new avenues of business innovation
find more resources at oneclass.com
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Document Summary
Sustainability involves meeting the needs of the present without compromising the ability of future generations to meet their own needs. Accountability means being anwsrerbae for one"s actions, accepting blame and liability for any mistakes and being responsible to provide an account. Organisations are accountable to seek to improve both individual and group conduct, as well as sustainable social and environmental practices, held account to account by rules, norms, the media, and regulation. The many hands" problem in organisations describes the dif culty in identifying the person accountable for outcomes due to the numerous actors in the decision and policymaking in large organisations. Environmental sustainability is compromised by increasing human population placing enormous pressure on earth"s resources, further endangered by reckless mnc production. Conservatism: modest reform that conserves scarce resources through voluntary actions and regulation, sensible legislation includes fuel ef cient cars, recycling, ef cient production, voluntary corporate greening is centred on environmental literacy, critical thinking, trill bottom line.
