Critically assess the changes taking place in business approaches to Essay

Critically assess the changes taking place in business approaches to sustainability, including the roles of NGOs and national go - Essay Example However, presently, it has been noticed that the companies are developing policies and goals considering the regional and national goals and also, focus towards sustainability rather than giving importance to piecemeal. There are examples of various individual firms, which are working in collaboration with the NGOs and even government-regulated organisations, in order to achieve corporate goals sustainably (Ekwueme, Egbunike and Onyali, 2013). However, before discussing the change or shift in the business environment towards sustainability, the implication of business sustainability needs to be understood. Business sustainability is also known as the way to manage people through a set procedure by which the financial, environmental and social risks are handled and the opportunities and obligations are met. Business sustainability impacts three most significant aspects namely, planet, people and profits (Zu and Kaynak, 2012). Business health not only signifies the financial health of the company, but also the ability of the business to survive shocks. Business which creates value economically and also, contributes towards a healthy ecosystem and stable communities are considered to be a sustainable business. Further in this study, the discussion would throw light on the changes occurring in the business environment, where organisations are moving towards sustainability (Gadenne, et al., 2002). CHANGES TAKING PLACE IN BUSINESS APPROACHES TO SUSTAINABILITY Sustainability and implication of sustainable development in business The notion behind sustainable development has received increasing acknowledgment, yet it is a new concept for various business executives. A well-accepted principle is protecting the capital base of the organisation. Yet these organisations do not think of extending this practice towards the human resource or nature. Sustainable development signifies achieving those potentials which can be integrated into the measurement system and planning of the organisation. Sustainability development theory has a collaboration of various theories, which assist in bring about transformation. However, in this case, only the modernisation theory would be discussed. Modernisation theory depicts the analysis of contemporary ways to eliminate the obstacles by availing modern ways to progress (Hakala and Zsuzsanna, 2012). The manager at Chevron Corporation dealing with environmental affairs believes that environment is indeed a significant issue which presents with both opportunities as well as challenges for the business (Soderbaum, 2008.). It has been put forward by OECD that the practices and attitudes of sustainable change reveal a realistic prospect towards harmonising the economic and environmental considerations. It has been observed by managers that pursuing sustainable strategies is a sign of superior business sense (Eisenhardt, 2000). The concept of sustainable development has also been integrated into the process and policies of business, which are assisting in re-designing the management methods. Two aspects have come forward in sustainable management methods such as, accountability towards non-traditional stakeholders and continuous improvement in the reporting practices. Governance is becoming an increasingly important factor. The stakeholders’