Sustainable Management

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The Environmental Roots of SD Environmental Issues Today

Carson brought to our attention the delicate connection that we share with our surroundings, but more importantly, she awakened public interest and dialogue

The types of environmental issues that prompted Carson to act continue to persist today. Create a list of no fewer than five current environmental issues that challenge ‘business as usual’.

The Business Case for Sustainability In-Class Activity

Select a multinational organization and answer the following questions:

What actions has the multinational taken to implement sustainability practices for bottom line results? Consider specific policies and practices. (Sustainable Actions)

What factors may motivate an organization to adopt a “lens of sustainability”? (Motivations)

Be prepared to share your results!

The Comprehensive Business Case for Sustainability (HBR, 2016)

How does sustainability benefit the bottom line?

Driving competitive advantage through stakeholder engagement

Improving risk management

Fostering innovation

Improving financial performance

Building customer loyalty

Attracting and engaging employees

Worldviews & Values Weak & Strong Sustainability

Each of us has our own perspective about what supports the business case for sustainability, shaped by our worldviews and values

Two categories have been created to capture our sustainability-worldviews; weak vs. strong - however, in reality they exist on a spectrum; where do you fit in? How may this impact your management approach?

Equally, if not of greater importance is being able to effectively assess and communicate to other worldviews

Week 1: Summary & Review

An introduction to sustainable development (SD)

The environmental roots of SD

The business case for sustainability

Worldviews & Values

Schedule & Learning Objectives

A timeline of key events: from Carson to COP 25

Fundamental causes of unsustainability: a selection of theories

Introduction to assignment #1 (value – 10%)

A Timeline of Key Events First Wave of Environmentalism

While industrialization brought unprecedented improvements in the quality of life for many people, by the 1960s, there was no denying its by-products: excessiveness, wastefulness and environmental/social degradation

In response, the international community, and national governments and began to take action – launching the first wave of environmentalism

Photos: Newsweek, 2015

A Timeline of Key Events Second Wave of Environmentalism

By the 1990s it was becoming difficult to ignore the high price of this so-called “progress”, as global-scale environmental and social issues became a common topic of conversation

In response, a variety of global-scale treaties and protocols were formed including acknowledgement that business must play a key role in ensuring a more sustainable future

A Timeline of Key Events The Paris Agreement

The Paris Agreement was introduced at the Conference of the Parties (COP 21) in Paris, on December 12th, 2015

The Paris Agreement’s central aim is “keeping a global temperature rise this century well below 2 degrees Celsius above pre-industrial levels” (UNFCCC, 2018)

What does this mean for business?  

So, how did we get here?

What factors are responsible for unsustainability?

Fundamental Causes of Unsustainability Malthus on Population

Among the early theories warning of environmental limits, in a 1798 essay on population, Thomas Malthus (1766 – 1834) suggested that overpopulation will result in a Malthusian Catastrophe

Was Malthus correct?

Fundamental Causes of Unsustainability Ehrlich’s on Population

By the 1960s, a growing number of demographers were connecting rapid population growth and environmental degradation

Anne and Paul Ehrlich – two such academics – offered one such theory:

Where: I = environmental impact, P = population, A = affluence & T = technology

I = PAT

Complete the following table: According to I=PAT, which country is the greatest environmental offender?

Country Population (in millions) Energy use per capita (kWh/year) I = PAT
China 1 412 2406
India 1 347 753
United States 325 9538.8
Brazil 210 1814
Nigeria 194 950
Philippines 106 699
Canada 36.8 9825

Data from the World Bank (2018)

Why may energy use per capita fail to provide an accurate surrogate measure for affluence and technology?

Fundamental Causes of Unsustainability Garrett Hardin & the Tragedy of the Commons

Garrett Hardin reflects on two theories:

Adam Smiths’ “Invisible Hand” - population will stabilize itself

Do we continue in the spirit of Adam Smith or will this lead to our demise?

Forster Lloyds’ ‘Tragedy of the Commons’

Example of raising cows in a common pasture

Masai cattle pen near Masaï Mara National Reserve, Kenya (Yann-Arthus Bertrand, 2009)

Fundamental Causes of Unsustainability White: an Alternative View

The Historical Roots of Our Ecological Crisis” (1966) was a controversial speech where Lynn White Jr. suggested;

“...development of modern science and technology coupled with a literal interpretation of Western Christianity is responsible for the ecological crisis.”

Fundamental Causes of Unsustainability White – 1. Science & Technology

The evolution of agriculture – from medieval ploughs to the Green Revolution

“…technological advances will continue to support unfettered (unlimited) consumption of energy, food and stuff….genetically modified organisms, space colonization – none of these advances, if that is what they are, are going to rescue us from ourselves” (Buck, 2013)

What do you think; is technology the solution?

Fundamental Causes of Unsustainability White – 2. Literal Interpretation of Christianity

Humankinds understanding of nature was developed in light of Christian dogma (recall scientific revolutionaries of the Renaissance, such as Copernicus & Galileo)

Further, a literal interpretation of Christianity would suggest that humans are the most valuable creation of God, but are not part of nature

“God said….have dominion over the fish of the sea and over the birds of the air and over every living thing that moves upon the earth." (Genesis I:28)

What is your version; what is the fundamental driver of unsustainability today; and what is the solution?