Sustainable Business Practices and Strategies

This article discusses sustainable business practices and strategies for KIA Motors. It includes recommendations for actions, SMART framework, measurable metrics, potential challenges, and ways to address them. The article also emphasizes the importance of research and development, market management, acts and actions, leadership distribution, partnership, and real-time feedback. The data needed for the implementation of these strategies is also discussed.

Running head: SUSTAINABLE BUSINESS PRACTICES AND STRATEGIES
Sustainable business practices and strategies
Name of the student
Name of the university
Author Note:

2
SUSTAINABLE BUSINESS PRACTICES AND STRATEGIES
Table of Contents
Part 1................................................................................................................................................3
Recommendations for actions of the organization..........................................................................3
SMART Framework........................................................................................................................5
Part 2................................................................................................................................................6
Measurable Metrics.........................................................................................................................6
Importance of Proposed Metrics......................................................................................................7
Identification of the Data Needed....................................................................................................9
Collection of the Data....................................................................................................................10
Potential Challenges to be faced by the Organization...................................................................10
Ways of addressing the Challenges...............................................................................................11
References......................................................................................................................................12

3
SUSTAINABLE BUSINESS PRACTICES AND STRATEGIES
Part 1
Recommendations for actions of the organization
KIA Motors is the second largest automobile manufacturer in South Korea with annual
sales of 3.3 million vehicles. The company has achieved success just because of the coordination
between the employees and the shareholders of the business. The decision making process of the
company is dependent on both the employees and the shareholders. However there are some
specific actions that need to be implemented by the management of the organization to achieve
the desired results and stay sustainable for the coming future (Wells, 2017).
Recommendations from Apple Sustainable Strategy
1. The company must study the example of Apple and focus on research and development
activity. Engaging in research and development will help the organization to create a
value for their products (Upward & Jones, 2016). The company must design and develop
new cars and vehicles that are rich in their design and user experience. Like Apple which
has created a brand culture by attracting customers who identifies the brand value of their
products, innovativeness and simplicity the company must also create and maintain a
brand value of their own. Adopting the following measures will help the organization to
create a brand value of their own and help them to achieve a competitive advantage in the
market.
2. Marketing and sales has been a problem for KIA motors in case of international
expansion. The company must preserve confidentiality while the development phase of
its new products to increase the desirability and curiosity in the market (Rothaermel,

4
SUSTAINABLE BUSINESS PRACTICES AND STRATEGIES
2014). KIA can also use the Teaser Marketing Campaign that involves the leakage of
some of the features of the new product before the launch of the product. KIA can also
adopt strategic alliance of Apple which can be of great help during international
expansion (Smink, Hekkert & Negro, 2015).
3. The company can partner with local automobile companies to gain ground in the host
country. Partnering with local automobile companies will be of great help as it will help
in the creation of a brand value for the organization and will also help them to secure a
competitive advantage in the market (Kim & Mauborgne, 2004)
Blue Ocean Strategy
1. According to, Geissdoerfer, Bocken & Hultink, (2016) the management of the company
can also utilize the blue ocean strategy to improve their current condition. The
management of the organization must focus on the acts and the activities to provide a
certain leap in the motivation and business results that are driven by the people.
2. The management of the mentioned company must keep a real time feedback of the state
of affairs which will help the employees to get motivated (Bohnsack, Pinkse & Kolk,
2014).
3. The proper implementation of the Blue Ocean Strategy can also help the organization to
distribute leadership abilities to different people in the management of the organization
(Rawson, Duncan & Jones, 2013). The market of the modern days demands leaders at
every level of the management. If KIA Motors is able to distribute different leadership
tasks to the different people in the organization including the senior, middle and lower
levels of the organization, the company will be able to achieve the desired goals.

5
SUSTAINABLE BUSINESS PRACTICES AND STRATEGIES
SMART Framework
SMART stands out for Specific, Measurable, Attainable, Relevant and time Based
objectives that are taken up by the organization. The recommended strategies for KIA Motors
can be easily gauged by the following framework.
1. Specific- The recommendations that are provided in the following report are precise in
nature as because they address the issues that are currently faced by KIA Motors. The
improper use of strategies and the inability of the4 management to segregate leadership
are among the basic issues that needs a change (Porter, 1975). Thus the improvement
strategies provided in the first part of the report are surely specific enough. The proper
follow up to the results are certainly beneficial for the organization in the long run.
2. Measurable- The lack of dynamic strategies within the organizational structure of the
business is certainly measurable as because it helps the organization to sort out the issues
according to their chain of occurrence or the nature of importance (Bohnsack, Pinkse &
Kolk, 2014). For example the issue with the research and development must be addressed
by the management of KIA Motors at the earliest as such a step can ensure an increase in
their brand value. Thus the implementation of the recommended strategies will certainly
help the organization to attain a competitive edge in the market.
3. Attainable- The implementation of the blue ocean strategy as well as the sustainable
strategy like the one followed by Apple Inc. can be implemented quite easily by bringing
a steady change in the management of the organization. The main change in the
organizational management can easily be achievable by means of proper allocation of the
resources and innovative promotional strategies. This is certainly achievable for a
company with the stature of KIA Motors.

6
SUSTAINABLE BUSINESS PRACTICES AND STRATEGIES
4. Relevant- The recommendations of the report is based on the sustainable strategies of the
organization and thus the following is quite relevant with the modern time. It is perhaps
ahead of its time as because it leads the organization to success in the future.
5. Time Based Objectives- Time management is key to the success of the organization as
because the implementation of the blue ocean strategy and the sustainable strategies must
be adopted by the organization in proper steps as wrong implementation of the strategies
can lead to disaster.
Part 2
Measurable Metrics
1. Research and Development- The management of the mentioned automobile giants can
adopt the strategy of Apple and introduce a separate research wing in their Company to
innovate new products and develop the old ones (Galpin, Whitttington & Bell, 2015).
The management must employ engineers, researchers and other expert professionals who
will be in charge of the research and development process.
1. Market Management- A complete overhaul of the marketing department and employing
the best persons can solve the crisis that KIA currently faces.
2. The management of the aforesaid company must also adopt new marketing strategies to
arise curiosity for their products (Evans et al. 2017).
3. Acts and Actions- The management must focus on their acts and actions and implement
new strategies that are much more realistic and helps to provide real time information on
the daily progress.

7
SUSTAINABLE BUSINESS PRACTICES AND STRATEGIES
The implementation of contemporary business ideas and measuring the daily metrics can
help to create motivation.
4. Leadership Distribution- The distribution of leadership must start with the senior level
managers and there must be a policy for allocation of leadership to various peoples in a
single department (Bocken, Rana & Short, 2015).
The management of the organization must conduct regular review sessions with the
different leaders to make sure that the operations of each and every of the departments
are running smoothly.
Importance of Proposed Metrics
METRICS IMPORTANCE
Research and Development Research and development is utmost necessary
for the organization to make sure that they are
addressed accordingly to make use of the best
in the class. The recruitment of able employees
in the different departments is necessary for
contemporary changes and innovation
Market Management The appointment of the right people having
experience in the market is necessary for
implementing revolutionary marketing
techniques and bringing drastic managerial
changes. This will include innovative
marketing and promotion to arise curiosity

8
SUSTAINABLE BUSINESS PRACTICES AND STRATEGIES
among the customers
Acts and Actions The company must concentrate on the acts and
actions that it does. Such an action will help the
employees to be dedicated towards their work
Leadership Distribution Selecting new and able leaders in each of the
departments and providing them with different
responsibilities can help to reduce the load of a
single person. Creating multiple leaders can
help to take the correct decisions at the correct
time
Partnership Partnering with different other local companies
in host countries will be of a real help to the
organization as because such a unique
partnership will help in the formation of a
competitive advantage in the market of the host
country

9
SUSTAINABLE BUSINESS PRACTICES AND STRATEGIES
Real-Time feedback Different real time feedback processes must be
implemented rather than relying on reports of
monthly or quarterly basis. The real time inputs
helps to gauge the performance of the
employees and bring changes accordingly.
Identification of the Data Needed
The identification of the various data of the organization needs to be done in an organized
manner so that the information collected is genuine in nature. The data should be collected by
gathering the marketing statistics and sales figure of the organization. The following statistics
and the data should be analyzed properly and strategies should be fixed accordingly. The
analysis of the results will help in the identification of the areas where the organization needs
improvement. The management of the organization must also check the skill levels of the
employees by seeing the employee records and amending them accordingly (Elliott, Roche,
Reddy & Brar, 2017). The main parts of the research will include the qualification results of the
employees and the other necessary results that are needed by the management to utter new
changes to the management of the organization. The data can also be identified after gathering
different information from the customers as well as the employees of KIA Motors. The
management of KIA Motors can also have a look into the different models followed by
organizations like Apple to ensure the success of the business in the long run. Proper and
effective data is thus the key to the success of the following organization (Beske, Land &
Seuring, 2014).

10
SUSTAINABLE BUSINESS PRACTICES AND STRATEGIES
Collection of the Data
As mentioned in the earlier part proper and accurate data is the key to the success of the
organization as it helps the management to ensure success of the company. After the
identification of the data from different authentic sources, the company management must collect
them and analyze them accordingly to implement them as early as possible (Breuer & Lüdeke-
Freund, 2014). This is because any late implementation can result in the increase in competition
in the market and will result in its strategic failure. The company must use both the primary as
well as the secondary analysis to complete the strategic planning. It is better for the company to
collect information from the market by appointing an independent organization that will be
responsible for collecting the primary information and providing the results to them. On the other
hand the management of the company will have to analyze the secondary resources accordingly
to complete the collection of the information (Baldassarre et al. 2017). The strategic planning can
only be completed once both the results of primary and secondary analysis are completed.
Potential Challenges to be faced by the Organization
1. The establishment of a separate research wing will be a huge challenge to the
organization as because such an establishment will need huge resource allocation and will
also involve the recruitment of a huge number of experienced people. The recruitment
process of such a group of research members is a tough task for the management.
2. KIA Motors has to overhaul the total marketing structure of the organization to innovate
a new range of products to attract more and more customers for the business.
3. The assignment of leadership positions to new people within the organization will be a
major challenge for the organization as because such choices may lead to disputes and

11
SUSTAINABLE BUSINESS PRACTICES AND STRATEGIES
tension within the department as many able persons who might not get a chance will feel
deprived which will lead to loss in motivation.
4. The implementation of the real-time feedback programs will be a challenge to the
organization as because the company has to overhaul the traditional set up totally which
will involve a huge investment and other changes. Such changes will involve a change in
the total organizational set up.
Ways of addressing the Challenges
1. The establishment of an open door policy for the employees will help the organization to
avoid any form of challenges and issues within the workplace. The leaders must be open
to all the employees and should solve all the different queries of the employees whether
they are small or big.
2. The stakeholders of the company must be well informed about the importance of
establishing a research center. The management of the company will have the
responsibility of earning the nod of the shareholders and manage to establish the research
center (Baldassarre et al. 2017).
3. A new group of talented individuals must be employed by the organization to implement
the latest marketing and sales strategy for the organization.
4. The company must address international expansion issues by means of tie ups and
partnerships with local organizations. The local organizations can help KIA to attain
competitive advantage in the market (Bohnsack, Pinkse & Kolk, 2014).

12
SUSTAINABLE BUSINESS PRACTICES AND STRATEGIES
References
Baldassarre, B., Calabretta, G., Bocken, N. M. P., & Jaskiewicz, T. (2017). Bridging sustainable
business model innovation and user-driven innovation: A process for sustainable value
proposition design. Journal of Cleaner Production, 147, 175-186.
Beske, P., Land, A., & Seuring, S. (2014). Sustainable supply chain management practices and
dynamic capabilities in the food industry: A critical analysis of the
literature. International Journal of Production Economics, 152, 131-143.
Bocken, N. M. P., Rana, P., & Short, S. W. (2015). Value mapping for sustainable business
thinking. Journal of Industrial and Production Engineering, 32(1), 67-81.
Bohnsack, R., Pinkse, J., & Kolk, A. (2014). Business models for sustainable technologies:
Exploring business model evolution in the case of electric vehicles. Research
Policy, 43(2), 284-300.
Breuer, H., & Lüdeke-Freund, F. (2014). Normative innovation for sustainable business models
in value networks.
Elliott, E., Roche, C., Reddy, J., & Brar, B. (2017). U.S. Patent No. 9,849,914. Washington, DC:
U.S. Patent and Trademark Office.
Evans, S., Vladimirova, D., Holgado, M., Van Fossen, K., Yang, M., Silva, E. A., & Barlow, C.
Y. (2017). Business model innovation for sustainability: towards a unified perspective for
creation of sustainable business models. Business Strategy and the Environment, 26(5),
597-608.

13
SUSTAINABLE BUSINESS PRACTICES AND STRATEGIES
Galpin, T., Whitttington, J. L., & Bell, G. (2015). Is your sustainability strategy sustainable?
Creating a culture of sustainability. Corporate Governance, 15(1), 1-17.
Geissdoerfer, M., Bocken, N. M., & Hultink, E. J. (2016). Design thinking to enhance the
sustainable business modelling process–A workshop based on a value mapping
process. Journal of Cleaner Production, 135, 1218-1232.
Harvard Business Review. (2018). The Truth About Customer Experience. [online] Available at:
https://hbr.org/2013/09/the-truth-about-customer-experience [Accessed 3 Apr. 2018].
Hbr.org. (2018). Apple (in 2013): How to Sustain a Competitive Advantage?. [online] Available
at:https://hbr.org/product/apple-in-2013-how-to-sustain-a-competitive-advantage/
MH0019-PDF-ENG [Accessed 3 Apr. 2018].
Kim, W. C., & Mauborgne, R. (2004). Blue ocean strategy. If you read nothing else on strategy,
read thesebest-selling articles., 71.
Porter, M. E. (1975). Note on the structural analysis of industries (pp. 9-376). Harvard Business
School Case Services.
Smink, M. M., Hekkert, M. P., & Negro, S. O. (2015). Keeping sustainable innovation on a
leash? Exploring incumbents’ institutional strategies. Business Strategy and the
Environment, 24(2), 86-101.
Upward, A., & Jones, P. (2016). An ontology for strongly sustainable business models: Defining
an enterprise framework compatible with natural and social science. Organization &
Environment, 29(1), 97-123.

14
SUSTAINABLE BUSINESS PRACTICES AND STRATEGIES
Wells, P. (2017). Alternative business models for a sustainable automotive industry. In System
Innovation for Sustainability 1(pp. 90-108). Routledge.