Sustainability is a comprehensive approach to management of organizations which is focused on creating and maximizing long-term economic, social and environmental value. It is a response to the challenges of the modern world facing organizations from the public and private sectors.
Sustainable development is best described by four key words
Sustainability is responsibility for the impact that the organization exerts on its surroundings, in business, environmental and social terms. Conscious management of the impact translates into lower costs, improved external relations and better managed risks.
Sustainability is skilled positioning of the organization in the economic reality, taking account of the social and economic challenges, environmental opportunities and threats. The awareness that the organization functions within a broader framework, amid complex interrelations with many stakeholder groups, allows it to get ready and make use of the opportunities linked with sustainability.
Sustainability is awareness that each entity is surrounded by stakeholders. Building and cultivating good relations with stakeholders based on engagement and dialogue is crucial, because it not only affects the possibilities to manage risks, but also supports development and gives the organization a competitive edge.
Sustainability is transformation and development of the organization as well as creation of its long-term value based on innovation as well as intellectual and relation capital.
Benefits for businesses
Business transformation and sustainable approach to management translate into:
- Identification of the areas that create the organization’s long-term value
- Reduction of operating costs due to more effective resource management across the entire supply chain
- Effective economic, social and environmental risk management
- Business stability relying on good relations with key stakeholders
- Building loyalty and trust of customers through a dialogue and engagement
Sustainability is a response to the challenges of the modern world which transforms potential threats and risks into development opportunities for organizations from the public and private sectors.