Analyzing BAE Systems' Sustainability Efforts and Stakeholder Impact

This report examines the sustainability efforts of BAE Systems, a global defense, security, and aerospace company, focusing on its electronic systems sector. It contrasts and compares the company's initiatives, including incorporating sustainable thinking, industry best practices, and reducing energy and water consumption. The report analyzes how these efforts impact various stakeholders, such as employees, suppliers, customers, and NGOs. It highlights BAE Systems' commitment to corporate responsibility, ethical standards, and stakeholder engagement, particularly emphasizing the importance of customers and their vital interests. The analysis includes the company's approach to environmental projects, employee involvement, and the development of an Environmental Sustainability Maturity Matrix (ESMM) to improve environmental performance. The report concludes by emphasizing BAE Systems' commitment to the environment, society, and stakeholders for business growth and success, highlighting the importance of these commitments for the company's survival.

Running Head: INCORPORATE SUSTAINABILITY
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Business Ethics and Sustainability
Organization: BAE Systems
Student Name:
Student University:

INCORPORATE SUSTAINABILITY 1
In business, sustainability is to protect and maintain natural resources by ways of
living life practice mainly focusing on the environment based on the activities performed in
companies. Across the globe, BAE Systems is a security, global defence and aerospace
company with the workforce of around 88,200 individuals. It also consists of road-ranging
products and services cover naval forces, air and land along with information technology,
advanced electronics, support services and security (Barton, 2017). In business, the
sustainability initiative by BAE Systems in the sector of electronic systems is incorporating
sustainable thinking, best practices of industry, ownership’s total cost, and reducing or
managing water and energy consumption related operations and decreasing waste
(Gopalakrishnan, Yusuf, Musa, & Abubakar, 2012). This paper will focus on contrasting and
comparing the efforts made by BAE Systems in sustainability efforts that affect stakeholders
of the company. Also, analysing sustainability compliance efforts of the company affects and
includes its stakeholders as well. There is every type of employee within an organisation both
internal and external where it is essential to know the impact of sustainability efforts on them.
This paper will also discuss the most critical part of the company that is stakeholders based
on their survival and not the success of the company with its importance in various other
reasons.
In electronic systems, BAE Systems have been an active part in reducing the carbon
footprint and lowering its operating expenses of sector significantly. This paper is discussing
about the sustainability efforts of the company affecting stakeholders by comparing and
contrasting. The company’s important part of effort is made by employees within
environmentally conscious projects. The business sustainability of the company takes an
initiative to incorporate sustainable thinking, industry best practices, ownership’s total cost
turning to facility designing and reducing or managing operations in relation to water and
energy consumption and decreasing waste. These projects allow ES (Electronic Systems) for
involving employees, enhancing environmental performance, and impacting local
communities positively (Roberts & Brown, 2014). The company is socially responsible while
making commitment for employees’ betterment and lowered costs where it shows the
company’s care towards the environment and employees in the workplace. BAE Systems is
concerned about the initiative of environment projects considering site impact, energy,
employee engagement, waster, programs, or water. It requires a well-rounded approach to
make sure of at least one project getting executed yearly (Flewelling, 2017). Such efforts in
sustainability provided by these environmental projects as sector’s multi-faceted benefit and

INCORPORATE SUSTAINABILITY 2
reducing the environmental impact overall, engaging employees, exploring new technologies,
and lowering operating expenses.
It is based on analysing the sustainability compliance efforts including stakeholders
with its affects. BAE Systems responds to stakeholders both internal and external including
suppliers, employees, investors, customers, business partners, communities and NGOs (non-
governmental organisations). The impact is based on delivering along with achieving vision
to be the premier international defence, security company and aerospace unless committing to
high ethical standards. The company aims at communicating with stakeholders in relation to
way of working and business by understanding them helping in concerning and viewing
among explaining the approach (BAE Systems, 2020). There is prevention through national
security concerns from talking freely about each and every aspect of the company’s
operations. The stakeholder’s feedback is essential for the company for informing approach
and strategy to manage CR (Corporate Responsibility). There is an interaction with
stakeholders as a business practice’s part normally that consists of dialogue with trade unions
and employee surveys. BAE Systems closely work with suppliers strategically on joint bids
and projects, and communicating standards expecting to meet. Also, the company work with
NGOs and governments on common issues concerning through industry or directly and trade
bodies (Dobkowski-Joy, 2010).
The focus is on impact of the company’s sustainability initiatives on the stakeholders
and the one most critical stakeholder for the survival and success of the business. BAE
Systems uses the approach of corporate responsibility for recognizing the exceeding and
meeting the expectations of each and every stakeholder critically focusing on customers for
long-term success in business and majorly helping them of keeping individuals and nations
safe uncertainly across the globe. The stakeholder engagement among different regions is for
helping to achieve across nations focusing on sustainability efforts and impact on
stakeholders. There are high expectations for stakeholder continuously counting doubts
related to governance and ethics within large businesses along with contribution to make in
the society (Sodhi & Tang, 2018). There is providing of additional opportunity for engaging
with stakeholders by providing and increased spotlight through the EU Non-Financial
Reporting Directive and the new UK Corporate Governance Code. In business, the
company’s core strategy is driven through the top within the broad range of stakeholders
input. It is done for reaching towards implementation and success with accurate programmes
to meet such requirements. Furthermore, it is the duty of continuous engagement with

INCORPORATE SUSTAINABILITY 3
stakeholder ensuring to address the relevant issues related to CR (Mefford & Johnston, 2016).
BAE Systems informs and listens equally measuring on-going dialogue and formal
mechanisms with the conscious need of finding a balance between confidentiality and
transparency among stakeholders and their interest’s areas. Also, the company make
stakeholders and employees to take pride in doing the right thing and in a right way for being
a leader in conducting responsible business by working hard based on ethical standards. BAE
Systems is guided by the “Global Community Investment Strategy” aiming to nurture and
build within beneficial relationships mutually between the business, local stakeholders and
people (BAE, 2018).
Stakeholders and their interests
Source: (BAE, 2018).
The priority given by the BAE systems is their customers and for enhancing and
protecting their vital interests. It is essential to earn customers’ trust critically for the success

INCORPORATE SUSTAINABILITY 4
of business and further opportunities. Also, functioning of supply chain is critical and
extensive within the business along with following standards and principles on ethical
behaviour and governance while treating with fairness and respect (BAESystems, 2015). This
helped in gaining confidence and making the future positive impacting solders lives receiving
significant BAE Systems Bursaries disbursed within a critical time and enabling beneficiaries
with positive outlook considering the future of civilian careers. And, for improving
environmental performance, the company developed an ESMM (Environmental
Sustainability Maturity Matrix) (BAE Sys, 2020).
From the above discussion based on sustainability efforts of BAE Systems, it is to
conclude that the company is committed with the environment, society, community and
stakeholders for better growth and success in business. There are way that works positively
including and affecting the company’s stakeholders along with their area of operation
business. It was shown that the survival of the company is in hands of customers, suppliers
and NGOs mainly along with fulfilling the commitment as aimed.

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References
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