Sustainability is being able to endure and survive in an environment into the future.
Environmental sustainability is an increasingly important aspect of modern business management. Market pressure from regulators and consumers holds organisations accountable for their actions that may harm the environment.
Is more than environmental sustainability! Incorporates social, economic and environmental factors into business decisions. It involves placing an emphasis on future, long term goals for the business rather than focusing on short term profits.
Includes concepts such as corporate social responsibility and business ethics. Takes into account the effects of globalisation - increased the level at which organisations rely on each other to deliver products and services to the market. Takes into account the impact of improved technology, communications and distribution channels.
Excellent corporate governance is considered to be a crucial part of managing a sustainable business. Poor decision making processes and a lack of accountability eventually lead to the failure of a business. In financially sustainable businesses, long term profitability takes priority over any short term gains
Effective operations management is an important part of sustainability as it helps to ensure that the business is able to meet the needs of its customers over a sustained period of time. Sustainability of operations involves improving efficiency to help reduce costs, utilise available capacity and achieve business objectives. Efficiently using resources means that the business is getting as much positive return from them as possible. Leads to lower prices to consumers while maintaining profit margins.
You can use innovation to improve the sustainability of a business. Businesses that offer innovative products and services are able to differentiate themselves from the competition and attract or maintain a share of the market. Sustainable market share is crucial to the long term viability of your business. Innovation can also lead to new opportunities in industries that have potential for strong future growth.