A business is sustainable when it contributes towards the economic growth of the country making profits while obeying the law, being ethical and environmentally friendly. Sustainable business needs to have positive overall impact on business stakeholders and ensure its survival in the future.
Example 1: Samsung, one of the world’s leading electronics manufacturers from South Korea, has been leading the way in sustainable development in the technology industry for years. Samsung has introduced many environmentally friendly products such as solar-powered computers or energy efficient home appliances.
Despite the possible costs of sustainable development, some businesses try to do what is right for the environment and the community in which they operate by minimizing pollution and waste in production processes, participating in charitable actions and selling healthy-only goods.
How to become a sustainable business?
Sustainable development is achieved through combining social elements, economic indicators, knowledge and technologies, and environmentally friendly policies. For example, a business can take the following steps to be developing sustainably:
Social indicators of sustainable development:
- Working fairly with employees, customers and suppliers.
- Fair compensation and benefits to all employees depending on education level, skills, knowledge and experience.
- Making ethical business decisions by conducting a social cost-benefit analysis of each project.
- Gender equity by implementing relevant Human Resources policies.
- High life expectancy by generating less pollution.
- Avoiding unnecessary travel among employees by promoting ‘work from home’ policies (telecommuting).
Economic indicators of sustainable development:
- Growing GDP by generating new goods and services.
- Providing work opportunities to local people therefore contributing to low unemployment.
- Improving standards of living by paying employees fairly; constantly improving working conditions.Â
- Setting up training and knowledge-sharing programmes for employees to improve literacy rates.
Environmental indicators of sustainable development:
- Using renewable energy sources, e.g. solar and wind power, to reduce greenhouse gas emissions.
- Using energy-efficient processes and equipment to minimize the use of energy.
- Conserving natural resources, forests, and habitats for animals and plants.
- Controlling pollution levels by managing waste properly, e.g. recycling, reducing waste, finding a market where waste from one business can be used as raw materials for another business.
- Avoiding or reducing the use of chemicals that produce toxic waste.
- Using packaging that is made of recycled materials that can be further reused.Â
Example 2: The Body Shop, a British cosmetics, skin care and perfume company, has been developed on the idea of not producing products and testing them on animals as well as using green production methods to protect the environment.
To achieve sustainable development, businesses need to integrate and weigh up the social, economic and environmental impacts of their business activities on both the society, the whole economy and the natural environment.
If tse are met, the business can and should proudly promote its sustainable development.Â
