Skills for a Sustainable Business Enterprise

AIM To appreciate the term sustainability is in the context of enterprise. Learning Outcomes: To understand the meaning of sustainability in terms of economic, social and environmental perspectives.

Sustainability is the ability to meet today's global economic, environmental and social needs without compromising the same opportunity for future generations. SUSTAINABLE BUSINESS INSTITUTE SUSTAINABILITY

Business Sustainability is the opportunity for business to improve its profitability, competitiveness, and market share without compromising resources for future generations. SUSTAINABLE BUSINESS INSTITUTE

Sustainable Business There are many initiatives to improve business practices around the use of renewable resources, the environmental and human rights impact of business practices. This includes businesses that may want to operate in a socially responsible manner, as well as protect the environment.

Includes financial bottom line, socially- and environmentally-responsible investing. Sustainable Business

Environmental Sustainability Financial Sustainability Social Sustainability Sustainable Business

Environmental: energy, water; materials; emissions and waste; operational and design efficiencies; new product or service opportunities; life systems impact.

Financial: revenue growth; productivity; profit margin; return on investment (ROI); capital costs; risk management; valuation of enterprise; appeal to investors.

Social: community and social impact; health and safety; fair compensation; equal opportunity; education; recognition.

Sustainable development is the simple idea of ensuring a better quality of life for everyone, now and for generations to come. Another widely used definition is 'development that meets the needs of today without compromising the ability of future generations to meet their needs.'

The Government believes that four objectives need to be met at the same time in order to achieve sustainable development: social progress which recognises the needs of everyone; effective protection of the environment; prudent use of natural resources; maintenance of high and stable levels of economic growth and employment.

ENVIBE – Environmental Business Excellence example of a business focused environmental project; hands on support and rewards environmental business excellence; network of organisations; predominantly financed by government funding so most of what is on offer is free.

Social Enterprise Economic Enterprise Environmental Enterprise SUSTAINABLE ENTERPRISE Social only Economic only Environment only (Source: Young & Tilley, 2003) (Source: WRCE)

‘Economic’ Enterprise Usually what we think of as a classic business enterprise; Prime value: financial returns; Other values are secondary and often ‘tacked-on’; Example: IBM (a for-profit organization to create financial wealth for its shareholders) © 2004 Fiona Tilley & Bradley D. Parrish.(Source: WRCE)

Often non-profit organizations but increasingly for-profit social ventures or hybrid profit/non-profit Prime value: social goods; Economic and environmental values play a secondary role; Example: Cafédirect (a for-profit company launched by non-profit organizations to accomplish a social mission) © 2004 Fiona Tilley & Bradley D. Parrish.(Source: WRCE)

‘Environmental’ Enterprise A business whose activities seek to improve the environment; Prime value: environmental benefits; Economic and social values play a secondary role; Example: Aquatectura (a for-profit ecological engineering company) © 2004 Fiona Tilley & Bradley D. Parrish.(Source: WRCE)

‘Sustainable’ Enterprise Seeks sustainable wealth generation (including economic, social, and environmental wealth); Prime values: Economic, Social, Environmental; All values considered holistically; Example: ??? (At present probably not a reality but an ideal toward which to aspire.) © 2004 Fiona Tilley & Bradley D. Parrish.(Source: WRCE)

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