Introduction
The current business world is increasingly faced with the need to address issues related to environment and sustainability as authorities increase their pressure on environment conservation in addition to investors’ demand for more sustainable business operations. In that respect, a number of arguments have been fronted by businesses and some stakeholders in support of organizations’ adaption of sustainability initiatives. However, some stakeholders have views that argue against such initiatives citing the initiatives contradiction with business managers’ primary goal of profit making, businesses’ lack of expertise to make a decision regarding sustainability and environment issues as well as their lack of accountability hence stating that the initiatives should be the responsibility of government agencies and officers who are accountable to voters. In that reference, this discussion refutes the three stated arguments by providing views that contradict them in support of sustainability initiatives.
Discussion
- Sustainability initiatives sidetrack managers’ business goal of profit making.
Although the primary goal for any business is profit making in a bid to deliver suitable return to its investors, this is necessary for the short-run as well as the long run. In addition, investors have a view of long-run benefits while allocating their funds hence a need for businesses to enhance performance in both time frames. In that respect, measures that can improve long-run performance and business value are good for managers. In that view, managers use sustainability initiatives to enhance their brand’s image in the view of the society which comprise its market segments hence ability to earn loyalty and support from the communities within which they operate. (Willard, 2000)
In addition, the market place is increasingly paying attentions to businesses’ overall effect on the society’s welfare before purchasing their products hence a need for managers to have such initiatives in order to be in good terms with the society and its customers that will eventually enhance its performance both in the short run and long run. Further, the initiatives seek to support environmental conservation hence preventing negative effects that could hamper business operations and performance in the long run. (Hitchcock & Willard, 2006)
- Businesses lack expertise on decision making regarding sustainability and environment issues.
Despite the fact that businesses could lack expertise that is necessary to make effective decisions on sustainability and environment issues, they are in a better position to understand the issues that face stakeholders who are relevant to their business operations. In that respect, businesses can effectively pick the part of the community as well as the stakeholders who should be the focus of its sustainability initiatives. (Willard, 2000) In addition, the lack of expertise argument against the initiatives is a weak one since businesses can partner with other stakeholders in addressing environmental and sustainability related issues hence tapping the partners’ expertise in such issues in order to engage in effective initiatives. Thus, by businesses having suitable plans that are unique to their operations and having the right partners to support them, they can make effective decisions on sustainability and environment issues contrary to the view of those against the initiatives. (Tencati & Perrini, 2011)
- Sustainability issues should be the responsibility of government agencies and officers who can be held accountable by voters.
With globalization taking a greater effect on business operations and their market’ reach, businesses are increasingly becoming subject to evaluation ranging from international agencies and financial markets platforms as well as their customers whose rating for businesses is dependent not only on their products quality and pricing but also on their operations’ effects on the society and the environment. (Hitchcock & Willard, 2006) In that respect, businesses have an increasing need to be accountable to the society, their stakeholders and customers on their operations’ effects. Thus, businesses rating by environmental agencies as well as financial markets’ social and environmental indices make them accountable enough to make the right decision on the initiatives contrary to the view that they could lack accountability unlike the government agencies and officers who are accountable to voters. (Willard, 2000)
Conclusion
In the light of this discussion, it is clear that businesses could be better off with engagement in sustainability initiatives since they enhance business performance in the long-run as well as enhance community’s welfare. This is demonstrated by the facts that sustainability initiatives place businesses in better terms with the society that in return provide loyalty which enhances short-run and long-run performance. In addition, the discussion has shown that lack of expertise can be countered by partnering with key environmental partners in a bid to make effective decisions regarding sustainability and environment issues. Finally, the view on accountability has been that businesses would have to be responsible as there is increasing trend for rating businesses in respect to their sustainability and environmental issues engagement hence increasing their responsibility to initiate effective operations that have positive, clear results that can be easily judged by the society. In conclusion, the three arguments against sustainability initiatives are not strong enough as shown by the contrary views hence businesses should engage in sustainability initiatives.
References
Hitchcock, D. & Willard, M. (2006). The Business Guide to Sustainability: Practical
Strategies and Tools for Organizations. New York: Routledge.
Tencati, A. & Perrini, F. (2011). Business Ethics and Corporate Sustainability.
Massachusetts: Edward Elgar Publishing.
Willard, B. (2000). Sustainability Advantage. Gabriola: New Society Publishers.
