Business and Economy: Management Priorities

Until recently, business activities were generally focused on modern American consumerism and growth. Industry experts viewed the market through a limited lens, paying less attention to the sustainability of activities than some suggest may have been merited. However, in recent years there has been a shift ideology within the sector, where sustainability has become a growing priority for business managers. In looking to the future, these managers have worked to adjust both the mindset and the practices of an entire industry.

In Adapting Institutions for Life in a Full World, authors Costanza, Farley, & Kubiszewski (2010) review the current global economy and advocate for changes in ideology. The authors discuss that the sector’s activity is based on an antiquated model, developed too many years ago to still be relevant today (Costanza et al., 2010, p. 84-85). They also argue that this thinking does not mirror current market demands, as businesses are challenged with increasing population and changing resources (Costanza et al., 2010, p. 85). As a solution, the article proposes that businesses be proactive in their approach, and anticipate these changes in order to avoid an economic crisis (Costanza et al., 2010, p. 88). They should work to redefine economic metrics, insulate the population during periods of transition, expand the “commons sector”, and employ technology into their activities (Costanza et al., 2010, p. 88-90). However, these are not the only shifts advocated by business professionals.

In Sustainable Work Schedules for All, author Schor (2010) discusses the importance of the work/life balance for employees. She advocates for reducing the number of hours that employees spend working, and compares the U.S. standard to those in other countries (Schor, 2010, p. 92-93). The author also compares working hours to dollars spent and levels of consumption, and argues the business model for the entire industry needs to change (Schor, 2010, p. 93). She also argues that not only will these changes benefit employees, but the environment and ultimately employers. Shor (2010) explains that even with reduced schedules, American businesses can still thrive, citing several examples of successful modification (Schor, 2010, p. 94-95). However, not only do managers need to reassess their responsibilities to their employees, but they also need to reassess the responsibilities of large corporations to society as a whole.

In Changing Business Cultures from Within, authors Anderson, Amodeo, and Hartzfeld (2010) discuss the important role that businesses play in society and, similarly, the importance of integrating sustainability into the corporate mindset (Anderson et al., 2010, p. 97). Much like the organization culture needs to change to increase work/life balance for employees, corporations need to modify the culture to not only commit to sustainability efforts, but ultimately advocate others to follow suit (Anderson et al., 2010, p. 98-101). Given the dominance of industry in society, the impact of these changes will influence the general public and bring about what the authors posit is the necessary level of engagement from the rest of the world (Anderson et al., 2010, p. 98-102). In keeping with the theme of modifying business culture, other authors suggest that the change needs to reach a far deeper level, and serve to address the fundamental purpose of business as a whole.

In Social Entrepreneurs: Innovating Toward Sustainability, authors Mair and Ganly discuss the increasing demand for social entrepreneurships, as well as examine their growing popularity in the United States. The authors argue that profit should no longer be the motivating factor for companies, but instead, effectuating social change should drive these companies to produce (Mair & Ganly, 2010, p. 104). They suggest that social entrepreneurs target activities such as “excessive consumption, environmentally unsustainable practices, and a culture of individual private gain over shared community or public benefit” to improve the globe’s collective social health (Mair & Gainly, 2010, p. 104). Again, these authors suggest that there has to be a balance between the economy and the people and the world that supports it (Mair & Gainly, 2010, p. 109). The text also presents one final position on management priorities.

In Relocalizing Business, author Shuman discusses the important contributions that local businesses make to social and environmental concerns. In cyclical fashion, the grass roots sustainability campaigns of these companies also serve to improve the communities that support them, as these corporations also receive contributions from other local businesses (Shuman, 2010, p. 110-11). The author compares these efforts to those of larger, non-local companies whose activities can be manipulated by publicly-held conglomerates. These companies are motivated by profit and economic development, instead of sustainability and preservation of community (Shuman, 2010, p.111). In moving away from this mindset, companies are free to engage in activities that are mutually beneficial for both the business and the consumer.

The relevancy of these articles is clear – the entire business sector, and not just individuals, have a commitment to both society and sustainability efforts. As explained in the text, businesses need to first begin with their employees and make modifications to their business practices. Companies need to increase work/life balance and work to change the attitudes of their employees. In doing so, these companies may revise the existing corporate culture to accommodate sustainability efforts. Only then will Americans be in a position to adjust their own attitudes towards consumerism (Costanza et al., 2010, p. 85-90; Schor, 2010, p. 91-95). The articles also provide a road map for those companies who wish to continue along the trajectory to becoming socially conscious. The next step would be modification of their own activities, as described by the remaining authors. Movement away from pure profit and towards sustainability is key in the re-definition of more responsible management priorities (Anderson et al., 2010, p. 96-102; Mair & Ganley, 2010, p. 103-09; Shuman, 2010, p. 109-15). In modifying their business practices, businesses may refocus priorities where they belong.

The articles are not only relevant for facilitating change in current business practices, but they are also relevant for guiding the future of sustainability. As described by Coulter and Morris (2011), one of the most significant challenges for business managers is finding ways to make changes to existing business culture, and then putting those changes into practice (p. 2). While it is far simpler to embrace the idea of change, it is something far different to actually implement that change. With thirty percent of businesses expressing concern regarding their ability do so, it is especially useful for these business to rely on existing models for guidance when planning for the future (Coulter & Morris, 2011, p. 6). However, even with these concerns the outlook for sustainability efforts in business is still encouraging.

There is significant motivation for managers to realign their priorities and embrace sustainability activity in business. In an article regarding the future of sustainability in business, Coughlin (2012) posits that market opportunities alone may guide businesses to revise the way that they conduct business. Combined with other influences, such as new management preferences and business opportunities, there is justification to make the cultural modifications suggested by the text (Coughlin, 2012). This movement away from consumerism and the quantitative easing of growth, and towards sustainability, will inevitably become the priority for business managers in the future.

References

Anderson, R., Amodeo, M., & Hartzfeld, J. (2010). Changing business cultures. 2010 State of the world transforming cultures from consumerism to sustainability (pp. 96-102). New York: W.W. Norton & Company.

Coughlin, C. (2012, May 13). What does the future of sustainability mean for small business? GreenBiz. Retrieved from http://www.greenbiz.com/blog/2012/05/13/what-does-future-sustainability-mean-small-business

Coulter, C., & Morris, J. (2011, November 2). State of sustainable business poll 211. BSR. Retrieved from http://www.bsr.org/reports/BSR_Globescan

Costanza, R., Farley, J., & Kubiszewski, I. (2010). Adapting institutions for life. 2010 State of the world transforming cultures from consumerism to sustainability (pp. 85-90). New York: W.W. Norton & Company.

Mair, J., & Ganly, K. (2010). Social entrepreneurs: Innovating toward sustainability. 2010 State of the world transforming cultures from consumerism to sustainability (pp. 103-109). New York: W.W. Norton & Company.

Shor, J. (2010). Sustainable work schedules for all. 2010 State of the world transforming cultures from consumerism to sustainability (pp. 91-95). New York: W.W. Norton & Company.

Shuman, M. H. (2010). Relocalizing business. 2010 State of the world transforming cultures from consumerism to sustainability (pp. 110-115). New York: W.W. Norton & Company.