Traditional businesses have been compelled to “adapt” to meet the new market needs as a result of a global shift toward green consumerism.
As a result, they are adopting the triple bottom line. This shows that organizations are focusing on things beyond making profits alone or the “bottom line”. Their focuses have shifted to include the three P’s – people, planet, and profit.
Here’s why sustainability and social responsibility are more important in business, now than ever before.
• Promotes economic sustainability
This type of sustainability helps the economy with healthy growth and development, improving the living standards and reducing the chance of future economic crises.
• Promotes social sustainability
Social sustainability includes education training opportunities, employment opportunities and safety and security, to name a few. This will reduce the risk of social conflict.
• Promotes environmental sustainability
Environmental sustainability is about interacting with the planet to preserve natural resources and enable future generations to meet their needs. This way, people will be able to live in a green world.
• Improves brand and competitive advantage
Businesses that conduct their affairs with the economy, society, and environment in mind also improve their reputation and build trust with stakeholders or those who are able to impact the business in the process.
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Business Sustainability Tips
Here are a few simple tips to keep in mind when coming up with your business sustainability.
• Set a long-term, holistic vision
Business sustainability should be about more than pleasing the consumers. Set targets
that are well-researched and achievable for the betterment of the economy, society and
environment.
• Research
Do more than “follow the trend”. Through research, you can learn more about the right
steps to take toward a sustainable future. It will help you produce a well-structured,
properly planned sustainability strategy.
• Develop your strategy
When coming up with a sustainable business strategy, think of ways you can also remain profitable. No company can help a cause if it goes out of business. With the “triple bottom line” mentioned earlier in mind, explore strategies related to your specific industry and develop your sustainable business strategy.
• Foster innovation
Investing in sustainability and coming up with new ways to incorporate it into your strategy will lead to enhanced innovation. For instance, when Nike created the $1 billion-plus Flyknit line using a specialized yarn system, this required minimal labor and generated large profit margins.
Conclusion
Most studies today show that sustainability strategy is becoming more and more mainstream in the business landscape. However, companies would have to define their objectives and create a detailed sustainable strategy to start off on the right foot.
There are undeniable benefits to running your business sustainably including increasing brand value, meeting consumer demands, enhancing efficiency, and developing new opportunities.