Managing People and Organizations: Alibaba Sustainability Report

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This report analyzes the sustainability characteristics of the Alibaba Group, a multinational e-commerce company. It examines how Alibaba integrates environmental, social, and economic sustainability into its business model, drawing on the characteristics of a sustaining corporation as defined by Benn, Edwards, and Williams (2018) and the United Nations. The report details Alibaba's initiatives in environmental sustainability, such as green logistics, renewable energy usage, and waste reduction through packaging optimization. It explores the company's social sustainability efforts, including poverty relief programs, support for rural development, and initiatives to provide educational opportunities. Furthermore, the report discusses Alibaba's economic sustainability, focusing on job creation, investment in non-profit sectors, and fostering economic growth through technology. The analysis concludes by assessing whether Alibaba can be considered a sustaining corporation, considering its commitment to waste reduction, employee engagement, and the integration of social and natural capital into its business strategy, as highlighted in the provided resources and the UNE Business School assignment brief.
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Alibaba
Managing people and organizations
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Contents
Introduction......................................................................................................................................2
Sustainability...................................................................................................................................2
Sustainability characteristics...........................................................................................................3
Environmental sustainability...........................................................................................................3
Social Sustainability........................................................................................................................4
Economic sustainability...................................................................................................................5
Sustaining Corporation....................................................................................................................6
Conclusion.......................................................................................................................................7
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Introduction
Alibaba group is Chinese-Multinational Company specializing in the E-commerce
industry. Alibaba group have a business of retail or internet technology. Company founded in
1999 and its current market value is US$231 billion (Alibaba, 2019). Alibaba offers C2C, B2C,
and B2B through the web portals. Social sustainability feature is best suited on the Alibaba group
because the company creates values for small-medium enterprises and provides job opportunities
for the society (Suzanne, Melissa, & Tim , 2018). The company runs many projects relating to
education, medication, and environmental protection. The company fulfills its socially
responsibility as it is a part of the business model. This essay includes the sustainability
characteristics applies to the organization through the sustainable characteristics suggested by the
Suzanne, Melissa, & Tim (2018), and the United Nation in the essential readings This essay also
includes the sustainability characteristics, economic, social and environmental.
Sustainability
The company pursues many sustainable programs with the core values and mission.
Company to maintain its sustainability established a technology-driven charitable ecosystem to
outspread the benefits of effective technological capabilities. According to the Suzanne, Melissa,
& Tim ( 2018), sustainability become an integral part of the competitive advantage and
contributing factor in the influencing investment decisions (Suzanne, Melissa, & Tim , 2018).
Environmental sustainability characteristic applies to the Alibaba group as company work with
the enterprises that help to implement the ecologically sustainable business programs in different
divisions such as manufacturing retail and cloud computing (Blackburn, 2012). Sustainability
termed as a significant factor for the corporation as scandals are increasing day-by-day.
Sustainability in the corporation becomes trend in last some recent years among the businesses
and brands. Sustainability in e-commerce business viewed in terms of economic, environmental
and social environments. Sustainability adopted by the corporations as it helps them to evaluate
the opportunities and strength in the emerging changing environment. Integrated sustainability
strategy for the Alibaba group is core business strategy for the business. Sustainability in the
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business includes cost reduction and brand value that develops the company socially and
environmentally. The sustainability in the business helps in the effective utilization of resources
and reduction in the waste. In recent years, companies are struggled with including sustainability
and corporate business strategy into their business processes (Dempsey, 2011).
Sustainability characteristics
Corporate Sustainability characteristics help the company to reduce the risk and
managing the risks. Sustainability helps the business to improve the focus on the sustaining
brand image and goodwill among the stakeholders. Sustainability termed as a significant factor
for the corporation as scandals are increasing day-by-day. Sustainability in the corporation
becomes trend in last some recent years in the electronics industry. The sustainability
characteristic that applies to the Alibaba group is Environmental, Social, and Economic (Ebuka ,
2018).
Environmental sustainability
According to the Journal of Environmental Science and Technology, 60% of global
consumers suggest that packaging of the product needs to be sustainable and 50% consumers
prefer the packaging of the product in carbon-neutral ( Keisler, 2011). Environmental
sustainability in the corporation emphases on decreasing the carbon footprints, packaging
products, and carbon emissions while delivering the product. Environmental sustainability
characteristic applies to the Alibaba group as company work with the enterprises that help to
implement the ecologically sustainable business programs in different divisions such as
manufacturing retail and cloud computing (Alibaba, 2019).
The cloud-computing business concern about the environment sustainability reduces the
necessity for computer hardware and develops the ideas for the effective sustainability such as
company launched innovative cooling system that helps to reduces energy costs by using lake
water (Elliot, 2011). Environmental sustainability feature in the applies to the Alibaba group
because a company with the partnership in Cainiao Network and other key Chinese companies
take an initiative of green logistics through Cainiao Green Alliance that includes “Green
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Packaging” in which company utilizes tape-free boxes, package recycle bins and degradable
courier bags. The company fulfills environmentally sustainability by installing green warehouses
and solar panels. The company uses packaging optimization algorithm the decreases the
packaging material by 15 percent (Alibaba, 2019).
Alibaba Group develops high standard relationship with the consumers, government and
other stakeholders. The company takes employee feedback upon the environmental sustainability
that helps the company to achieve sustainable goals (Haanaes , 2019). According to the Alibaba
group sustainability, that it focuses on the long-term value creation those initiatives sustainable
profits. Alibaba group serves to the 2 billion consumers and creates 100 million jobs. According
to the management of the company, it suggests that company should be a mission-driven with the
motive to achieve sustainability. Alibaba -group in 2016 donates US$47 to the environmental
fund in order to reduce environmental pollution. Alibaba groups spend 0.3% of their yearly
turnover of US$15.7 billion (Alibaba, 2019). The four steps taken by the company can
understand the environmental sustainability of Alibaba group; firstly, company planted 55M
trees in North China as portion of the Ant Forest program. Secondly, company uses 100%
renewable energy in Hebei. Company’s Zhangbei data center runs the solar and water power in
Northern China with effective technology. Thirdly, Company’s Cainiao network motive is to
substitute the 50% packaging material with the 100% biodegradable products. Fourthly,The
Cainiao network of Alibaba group decrease the packaging by the 15% and this technology
applies to the 250 million delivery boxes or courier boxes in financial year 2018 ( Hoffman ,
2018).
Social Sustainability
Social Sustainability feature applies to the Alibaba group as the company strongly
devoted to society. The Alibaba Poverty relief fund implemented with the motive to eliminate
the poverty-stricken families and communities to achieve the social sustainability goal. The
company spends 10 billion on the poverty-relief fund in 2017, which focuses on rural
development, commerce advancement and empowering the women. Companies focus on health
and social sustainability. The company enters into the partnership with many foundations to
promote social security to other people. Alibaba group supports rural development in china and
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gives opportunities to the people to improve the standards of living. The company helps residents
to sell agricultural growing are to urban consumers with efficient access to high-quality products.
The “reunion platform “implement by the company is to provide safety children of China. Social
sustainability is a vital part of the organization (Judit, 2018).
A company with the help of the law enforcement authorities found 2,777 missing
children and reflecting a rate. The company evaluates innovative ways to fulfill its social
responsibility. Company one of the social initiative is to provide education to the children who
come under the below poverty line (BPL) by donating books and colleges free of charge.
Company in the environment of climate change and technological advancement focuses on the
society and environment and give more preference than earning profits (Leichenko, 2011).
Sustainability in the corporation becomes a trend in the last some recent years among the
businesses and brands. Sustainability in e-commerce business viewed in terms of economic,
environmental and social environments. Sustainability adopted by the corporations as it helps
them to evaluate the opportunities and strength in the emerging changing environment. Social
sustainability feature is best suited on the Alibaba group because company creates values for
small-medium enterprises and provides job opportunities for the society. The company runs
many projects relating to education, medication, and environmental protection. The company
gives preference to the customers and fulfills its social responsibility such as company provides
60 percent discount to the small and medium enterprises to social sustainability (Melville, 2010).
Economic sustainability
Economic sustainability literal meaning is that it gives the long-term economic growth
without destructively affecting social and cultural aspects of the community. Sustainability in the
business includes cost reduction and brand value that develops the company socially and
environmentally. The sustainability in the business helps in the effective utilization of resources
and reduction in the waste. Ali Baba maintains its economic sustainability by investing in the
non-profit sector with the help of the UMW (University of Mary Washington) Foundation.
Economic sustainability is equally important in comparison with social and environmental. The
company engaged with many service providers to create a substantial employment opportunity.
The company opens opportunities in logistics, marketing, and local operations (Noe, 2017).
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The reason that economic sustainability applies to the company as its Ali-research center
in the retail marketplaces delivers over 36 million direct and indirect job opportunity to the
residents. Economic sustainability is about the conserving resources for the value and it is an
integrated part of sustainability (Qi, 2018). Company conserves the resources for the long-term
that stabilize sustainability. Long-term conservation of natural resources is a part of economy
sustainability. Sustainability in the corporation becomes trend in last some recent years among
the businesses and brands. Sustainability in e-commerce business viewed in terms of economic,
environmental and social environments. Sustainability adopted by the corporations as it helps
them to evaluate the opportunities and strength in the emerging changing environment (Quental,
2011).
The innovative technology of the company helps inclusive foster growth in the economy.
In the fiscal year of 2018, china retail marketplaces provide more employment opportunity to the
women compared with the male workers. Economic sustainability is a key feature that promotes
the consumption of socio-economic resources in the best efficient manner. Economic
sustainability refers to the process in which there is an equal distribution of the resources. The
efficient use of resources through economic sustainability sustains the long-term benefits and
establishes profitability (Reza , 2014). Company conserves the resources for the long-term that
stabilize sustainability. Long-term conservation of natural resources is a part of economic
sustainability. Sustainability in the corporation becomes trend in last some recent years among
the businesses and brands. Alibaba management ensures that it does not create social or
environmental issues through the economic environment. Economic sustainability does not only
include the earning profit but company should efficiently use the resources (Schalteggen, 2011).
Sustaining Corporation
According to the Suzanne, Melissa, & Tim (2018), they redesign the structure of
sustainable corporation by observing the corporate scandals of British petroleum and Tokyo
Electric Power co. Company vision must include sustainability and should include as an integral
line of the bottom line. Sustainability initiatives by the Alibaba group help the company maintain
itself as a sustainable corporation (Simon, 2012). One of the characteristics of sustainable
corporation is “waste reduction” in which company must evaluate the method to reduce the
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waste in the production and Alibaba launched Cainiao network motive is to substitute the 50%
packaging material with the 100% biodegradable products. Fourthly, The Cainiao network of
Alibaba group decrease the packaging by the 15% and this technology applies to the 250 million
delivery boxes (Alibaba, 2019). Employee Engagement is significant feature of the sustainable
corporation and engaging employees is successful initiative for the company. Employee
engagement refers to engaging employees in decision-making to discuss sustainable ways to
make change. Alibaba Group has a recycling program in the management or community
involvement program that directly comprises the employees in society focused sustainability
initiatives (Yan, 2016).
The new sustainable approach suggested by the Suzanne, Melissa, & Tim ( 2018), is that
traditional economics in, which company must include social and natural capital in the ecological
and social environment. Social and natural capital refers to the world’s stock of natural assets
and preserving of ecological resources and in case of Alibaba entered into a partnership with the
environmental protection organization to preserve the water resources in a country. The social
and environmental capital helps to reduce gas emissions and reduce pollution in the environment
(US Essential Readings , 2019). The United Nation in its essential readings suggest the
sustainable development goals that directly indicates the UN member states to use in the next 15
years to maintain the economic and environmental sustainability. Sustainability is vital for
business success with sustainable products and services. UN in its essential readings considers
sustainable issues because of the climate change, shortage of water and carbon-emissions. In
today’s polluted environment, companies must largely focus on sustainability. Alibaba in order
to cut the gas emissions and pollution implement the gas logistics in which there will be
production of degradable green bags. (Suzanne, Melissa, & Tim , 2018).
United Nations suggests that today businesses must transform and focuses on the
business sustainability that solves the problem of environmental degradation. UN in its essential
readings suggests some sustainable characteristics such as enterprise integration, market
transformation, and system corporate strategies. The enterprise integration states that the
company must focus on the sustainability technology advancements and establish a model that
improves operational efficiency (US Essential Readings , 2019). Alibaba in sustainability
technological advancements performs deployment of block chain applications along with
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sustainable commercial value. According to the UN, Sustainability in the business includes cost
reduction and brand value that develops the company socially and environmentally. The
sustainability helps Alibaba in the effective utilization of resources and reduction in the waste. In
recent years, companies are struggled with including sustainability and corporate business
strategy into their business processes. Market transformation and system corporate strategies
direct Alibaba towards the CSR (Corporate Social Responsibility) that helps company in many
other ways and should contribute to the environmental attributes. The Alibaba through the
strategies can integrate sustainability into business operations and structures. The strategies that
company can conclude is that increased use of carbon-neutral and must adopt the carbon
negative. The company must use resources in effective and efficient manner (Singh, 2012).
Conclusion
Alibaba Group is successfully operating on the global stage in some last years. This study
provides the description of a sustainable corporation as company has more opportunities to
improve sustainability through the supply chain and other sustainable models. In the changing
emerging environment, the current businesses must focus on environmental sustainability as
growing population and large level of consuming natural resources reflecting a negative impact
on the environment. Companies must use non-conventional energy resources that help to achieve
sustainable development. The company should promote the conservation of natural resources and
take steps towards sustainable development. Sustainability must be implemented with planning.
The sustainable business defined on, as it will integrates the principals of sustainability in every
decision, supply environmentally products and services and ensures the environment principals
in the business operations. Alibaba can be defined as sustainable corporation as it follows the
principals of sustainability by implementing the Cainiao sustainability network. Alibaba supply
environmental products and services such as LED solar outdoor camping lantern, Heat Resistant
Tumble Cups and environmental outdoor water filter. Alibaba divide its business structure into
25 operations to ensure the sustainability. In the end, it is declared that Alibaba groups are
sustainable corporation.
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Bibliography
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