Sustainable Approach to Business Strategy and CSR

Foundations of Business
Communication
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Table of Contents
PART 1............................................................................................................................................3
INTRODUCTION...........................................................................................................................3
Explain sustainable approach to business strategy and management..........................................3
Analyse different approaches to CSR of micro, SME and corporate business and how success
of CSR strategy is measured........................................................................................................5
Evidence of research and reading................................................................................................7
CONCLUSION................................................................................................................................7
PART 2............................................................................................................................................9
Reflective statement.....................................................................................................................9
REFERENCES..............................................................................................................................12
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PART 1
INTRODUCTION
For every business it is necessary to follow certain CSR practices so that they are able to
sustain in market for long term. Also, it enables in creating a positive image of firm within
society. Alongside, it is ethical responsibility of organisation as well to maintain and protect
environment. Through that, it becomes easy to apply relevant concept and approaches of CSR
and how it affects on organisation in positive way (Yusliza, and et.al., 2019). CSR enable in
specifying that what initiatives are taken by company in contribution towards society. It provides
a framework on how to form policy, what concepts to be followed, etc. With that it becomes easy
for organisation to evaluate their own goals in context towards society. In this report it will be
explained about sustainable approach to business strategy and management. Also, it will be
described about different approaches to CSR of micro, SME and corporate business along with
how success of CSR strategies is measured. There are some examples given as well of CSR
initiatives take by big firms.
Explain sustainable approach to business strategy and management
Sustainability refers to approach of protecting and conserving environment and ecosystem. In
this every firm has to follow this approach with help of strategic management. The use of
approaches differs on basis of needs of organisation. However, sustainability also means to
sustain in market for long term. It has been found that there are 3 pillars of sustainability which
is ecological, economic and socio cultural. So, since 16th century this concept was first applied.
In order to implement this business strategy is developed. This idea is often referred to as the
model of the three pillars of sustainable development. In the corporate and financial world, the
triple bottom line approach is similarly used based on a triple division of the concept of
sustainability (John, and et.al., 2019). The citizenship of the company is related to the theory of
the social contract - by which it is said that a company belongs rather to the community in which
it activates than to some persons as an extension of it, the company becoming a citizen of the
community with which it has some rights and obligations. The 3 pillars are defined as below
 Environmental sustainability: natural resources can only be used to the degree that they
can be regenerated.
 Economic sustainability: the economic system is considered to be sustainable if it can
function continuously.
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 Social sustainability: social networks should be structured in such a way as to reduce
social conflicts and avoid escalation.
These all concept are equally important as it focus on all areas of society and sustainability in it.
Besides that, it is essential that big organisation apply CSR concept in effective way. This is
because they need to maintain positive image in society. CSR has emerged as new concept in
business ethics. In that all stakeholder needs are identified such as government, society,
employees, customers, management, etc. (Al-Shammari, Rasheed, and Al-Shammari, 2019) On
basis of that an effective sustainable approach and business strategy is formed and applied. There
are various examples of strategies which is being implemented by business in ethical and
sustainable way.
When it comes to implementing an effective Corporate Social Responsibility (CSR)
strategy, small business leaders can often feel overwhelmed. Because not only big business can
manage the CSR practice. The advantages of the successful CSR program may also support local
enterprises. Studies show in order to help attract and retain a skilled, loyal workforce;
organizations should aim for a long-term CSR strategy. Also, study suggests that workers who
also engage in charitable events in their business are more likely to be loyal to their employers
and are almost twice as happy with their career progressions. It does not require to be a massive
enterprise, to have a positive impact on society and to profit from the advantages of a CSR
strategy. CSR can be practiced by any small business serving a local community. However, it
doesn’t really apply to something like a small web development agency that has clients across
the world (Broadstock, and et.al., 2019). So, there are many benefits of CSR in it such as
happier employees, high sales, more customer base, etc. the main pillar of CSR in SME is
attainment of goals. Basically, main purpose of CSR initiative is to conserve environment and
fulfill needs of people. They focus on profit, people planet and promotion. SME does not do
good with CSR as they know growth and development depends on promotion and retaining of
people.
There are various example of strategic implementation of CSR by business. IKEA has
implemented CSR initiative to Bright future, Livable planet, etc. this has provided a lot of
opportunities to contribute towards society. Along with that, firm is helping to remove poverty
and improving climate change in it. For that a specific policy is formed as well through which
IKEA in involved in CSR. It has impacted in positive way on their brand image and reputation.
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