economic impacts.Current costs related to current operatio.docx

economic impacts.
Current costs related to current operations
How to account for current social, environmental, and economic
costs related to current
operations is less controversial; these costs should be reflected
in operating activities, processes,
and products. However, the difficulty for many organizations
has been to separately identify and
account for those costs as social, environmental, and economic
costs. In some companies, social,
environmental, and economic costs related to production are
accounted for as manufacturing
overhead costs and are arbitrarily allocated to activities,
processes, and products using a cost
driver that does not reflect the relationship between the cost
incurred and the activity, process, or
product. Still other social, environmental, and economic costs
are accounted for as administrative
overhead costs, and are never allocated to activities, processes,
or products. This makes it
difficult to understand the social, environmental, and economic
cost impacts of operational
decisions, which again impedes effective decision-making.
Tools such as life-cycle costing,
activity-based costing, and full social and environmental cost
accounting can help managers to
better capture and assign these costs.
Future costs related to current operations
It can be difficult to accurately predict the future social,
environmental, and economic benefits,

costs, and liabilities related to past or even to current
production. Estimating future impacts
depends on many factors that may be unclear today, including
changing social and legal structures.
It is unlikely that Philip Morris understood, 40 years ago, that
changes in the social and legal
climate in the US would result in extensive product liability
costs for cigarettes. Recognizing
potential future liabilities may cause a company to modify its
strategy, product or production
processes, or its accounting and management decisions.
The difficulty of predicting changes that may occur in the social
and legal climate, along with
the inability to reasonably estimate and measure the economic
impact of those changes, is one
reason why many future costs are not accounted for in the
formal accounting system. However,
there are some future costs that can be reasonably understood
and should feature in the decision-
making process, such as post-consumer use and recycling costs,
disposal costs, facility
decommissioning costs, natural resource restoration costs, and
risk and legal liability costs. Other
costs that are less predictable, such as those related to changing
social and legal structures or
reputational costs and the changing costs of technology, also
need to be factored into the decision-
making process.
Many managers find that practices such as life-cycle analysis
and full social and environmental
cost accounting are useful in helping them to identify and
evaluate the longer-term impacts of
current decisions. Other approaches identified in this book
provide ways to measure and integrate

social, environmental, and economic costs and benefits into
operational and capital investment
decisions.
Costing systems
Identifying the full range of corporate sustainability impacts is
an important step toward better
management decision-making. Once identified, the impact of
these costs on the company’s
activities, processes, products, and services can be analyzed
using available tools. A number of
companies have begun the transition to improved social and
environmental cost accounting in two
109
ways: by clarifying their understanding of internal social and
environmental costs through ABC
(activity-based costing), and by placing a value on significant
external costs, through LCC (life-
cycle costing) or other approaches. Other companies have
chosen to use FCA (full cost
accounting) to include a broader set of external costs along with
future costs into management
decision-making.
Activity-based costing
Two often-stated reasons for unreliable accounting data are the
tendency to allocate social,
environmental, and economic costs to overhead and the
tendency to combine social,
environmental, and economic costs in cost pools with
nonenvironmental costs. This hampers
management’s ability to assess social, environmental, and

economic costs and make informed
decisions. For example, AMP Ltd., an Australian-based global
financial services organization,
analyzed its environmental accounting and identified areas
where costs were being inaccurately
aggregated. Costs for waste collection and disposal and
wastewater were included in the rent
expense paid for buildings. The aggregation of these services
made it difficult to identify
opportunities to reduce waste and its associated costs. The
company conducted a waste audit of
one of its offices and identified that general and kitchen waste
could be reduced by 65–80%
through recycling.9
Increasingly, companies have seen the benefit of methods such
as ABC to identify, measure, and
track social, environmental, and economic costs and to assign
them to activities, processes,
products, services, customers, and channels. While traditional
cost accounting assumes that
producing products and services causes costs, ABC assumes that
activities performed for
products, services, and customers cause the costs. ABC first
assigns costs to the activities
performed by the organization (direct labor, employee training,
regulatory compliance), and then
attributes these costs to products, customers, and services based
on a cause-and-effect
relationship.
Better cost management requires the accumulation of social,
environmental, and economic costs
and tracing those costs to the activities that cause them.
Carefully identifying all social,
environmental, and economic costs has often produced totals

that are four to five times the
estimated amounts. These costs often hidden in manufacturing
overhead include: permits, penalties
and fines, water and air treatment costs, energy costs, waste
treatment and disposal, training,
inspections, and protective equipment. Also frequently
overlooked are social, environmental, and
economic costs that are buried in administrative overhead, such
as record-keeping costs,
community relations costs, site studies, legal costs, and audits.
By attributing social,
environmental, and economic costs to the activities that
generate them, managers and employees
can be motivated to find alternatives that lower those costs and
increase profitability.
An ABC methodology provides detailed activity-cost and
related information, and is especially
useful for an organization that has many social, environmental,
and economic costs embedded in its
manufacturing and administrative overhead cost structures, and
that also has some degree of either
process or product variation. An ABC analysis provides a better
understanding of a company’s
costs, links social, environmental, and economic costs to
management objectives and activities,
improves decision-making, and supports full cost accounting as
well as LCC.10
Life-cycle costing
LCA (life-cycle assessment) is a design discipline used to
minimize the environmental impacts of
110

products, technologies, materials, processes, industrial systems,
activities, or services. LCC, an
extension of the basic LCA, attempts to identify all the costs—
internal and external—associated
with a product, process, or activity throughout all stages of its
life. Life-cycle cost has been
defined as the amortized annual cost of a product, including
capital costs, and disposal costs
discounted over the lifetime of a product.11 With regard to
social and environmental costs, LCC
consists of monetizing social and environmental impacts
throughout a product’s life-cycle. It
requires the measurement of present and future costs and
benefits of a company’s products,
services, and activities and can be an important part of the
implementation of a sustainability
strategy.
Canon assesses the CO2 emissions of its products over their
entire life-cycle (Fig. 4.1) and
implements concrete plans based on findings. Entire life-cycle
CO2 emissions in 2012 were
approximately 4,890,000 tons, an approximately 14% decrease
over 2011.12
FIGURE 4.1 Canon evaluates life-cycle CO2 emissions of its
products
Source: Canon (2013) Sustainability Report
Full cost accounting
Some companies use FCA to include a broader set of external
costs along with future costs into
management decision-making. FCA allocates all direct and
indirect costs to a product or product

line for inventory valuation, profitability analysis, and pricing
decisions. In other words, LCC
translates social and environmental performance into financial
currency, and FCA integrates these
values into the framework of accounting. For example, Baxter
International calculates and reports
its positive and negative sustainability impacts as subsets of
traditional accounts, allowing
sustainability items to be easily identified.13 The combination
enables managers to integrate
sustainability impacts into decisions such as product costing,
product pricing, capital investments,
product design, and performance evaluations.
An FCA framework allows for consideration of external or
societal costs and benefits (e.g.
costs to human health and the natural environment) along with
internal or private costs and benefits
in the decision-making process. This requires a company to
integrate present and future social,
environmental, and economic impacts into its process and
product costing system, including costs
related to contingent liabilities and image and relationship costs
and benefits.
111
FCA adapts existing management decision support systems to
accommodate the new information
generated through LCC. An important element of FCA is the
consideration of future social,
environmental, and economic costs and allocation of these costs
to products. Then, present and
future environmental costs should be integrated into the product

costing system.
Full cost accounting versus full cost pricing
A common misconception is that FCA implies the expression of
full costs in prices as well. It is
important to separate the decision to adopt FCA methods (or
any of the other methods discussed
here) from the decision to incorporate these costs into product
pricing. Corporations should adopt
FCA so that they will better understand both the present and
future costs of current production and
can use that information to guide decisions throughout the value
chain. Whether to make this new
information transparent in product pricing is another issue.
Prices may continue to be determined
by the market, but an assessment of the company’s profitability
must use more complete
information about present and future social, environmental, and
economic costs.
Summary of costing systems
Companies are increasingly trying to improve their costing of
social, environmental, and economic
impacts. In 2003, Canon introduced a program in which each
department bears the financial
burden of its own waste processing. Prior to this program, the
general affairs division handled all
the costs of waste disposal. In the new program, waste,
including papers and plastics, generated
by each workplace is collected at a recycling center where the
department, type of waste, and
amount are recorded. Each department is then assessed a waste-
processing fee for the waste
produced.14 Using a full environmental costing system is
beneficial because:

• Many environmental costs can be eliminated by simple
changes
• Some environmental costs add no value to the process or
product and usually constitute cost
savings
• Understanding the environmental costs can lead to better
pricing and creation of value of
goods and services15
Part of the reason that more companies have not adopted FCA is
the difficulty in valuing social,
environmental, and economic impacts.16 However, an
estimation of these impacts (discussed in
Chapters 6 and 7) can help companies internalize external costs.
As companies improve the
costing of social, environmental, and economic impacts, they
gain a clearer understanding of the
complete costs of products, services, processes, and other
activities. This should lead to a better
understanding and improved management of both sustainability
and financial performance.
Risk assessment
Today, risks are both larger and more varied than previously
thought and have been seen in
companies and countries that thought they were shielded.17
With globalization increasing rapidly,
a common challenge is how to integrate social, environmental,
and political risks such as political
instability, political corruption, business corruption, child labor
practices, anti-corporate
sentiment, terrorism, and environmental pollution into
management decisions.

Some businesses are prone to social, environmental, and
political risks because of the location
112
MBA 640 Final Project Milestone Two Guidelines and Rubric
Overview: The final project for this course is the creation of an
external capital funding proposal.
Most businesses face a landscape of uncertainty and a never-
ending stream of risks and opportunities. Managers must
continually project the likely financial
impact of decisions, make recommendations, act on those
decisions, determine how to pay for them, and evaluate the
costs and effectiveness of what has been
done. Many decisions are short-term, routine, and operational.
Others are longer-term investment decisions that require
substantial new resources, such as
developing new services, expanding into new geographic
markets, or undertaking business combinations or spin-offs.
Each requires managers to forecast, plan,
and make decisions based on a thorough understanding of both
internal and external factors that can affect a company’s
financial success.
For the summative assessment in this course, you will bring
your finance and economics knowledge to bear by preparing an
external capital funding proposal for
a major international investment at a publicly traded
corporation. In order to secure the support of potential financial

backers, your proposal will need to lay out
what the proposed investment opportunity is, how it fits within
the company’s broader mission and goals, its financial impact,
and the amount being requested
and why (including alternative funding mechanisms
considered). In addition, it will also need to include information
on the organization’s context, risk factors,
and microeconomic assumptions that could affect the success of
the investment.
Prompt: Submit a paper that addresses critical element IV,
Risks, of the final project. Discuss any risks that might affect
the success of the project and how you
have planned for those contingencies.
Note: The risks (and opportunities) you identify should
demonstrate your understanding of the company you selected,
the industry, the investment project you
are proposing, and your project’s country and timing. Your
estimates of financial impacts will be only preliminary; you will
most likely revise them in your final
submission at the end of Module Nine.
Specifically, the following critical elements must be addressed:
Section IV Risks:
1. Internal. What are the company’s most significant internal
risks and opportunities related to the project? How might they
affect your financial estimates
and how will you address them? Support your response with
specific examples.
2. External. How will you address significant qualitative risks
outside the company that might affect project success? Give

specific examples. For example,
how might culture or politics in the target country affect the
proposed investment’s financial success? Natural disasters?
How have you planned for
these risks?
3. Microeconomic. Assess the microeconomic factors that might
affect decisions about the proposed investment. Support your
response with specific
examples. For example, how competitive is the market you will
be entering? How elastic is the price for your product or
service?
4. Alternate financial scenarios. Use this section to discuss the
sensitivity of your financial projections to different scenarios.
Be sure to address:
a. How would your projected financial performance change if
sales fall 20% short of or are 20% higher than your base
assumption? What does your
analysis of these two scenarios imply for the proposed
investment? Justify your response.
b. What do the net present value, internal rate of return, and
payback values from your base scenario and the sales variation
scenarios above imply
for the proposed investment? Be sure to explain how the time
value of money affects your calculations and analysis.
Rubric
Guidelines for Submission: Your risk assessment paper should
be approximately 8-10 pages in length (excluding any tables,

other exhibits, and list of references
as necessary). It should be double-spaced with 12-point Times
New Roman font and one-inch margins, and should use APA
format for references and citations.
Instructor Feedback: This activity uses an integrated rubric in
Blackboard. Students can view instructor feedback in the Grade
Center. For more information,
review these instructions.
Critical Elements Proficient (100%) Needs Improvement (75%)
Not Evident (0%) Value
Risks: Internal Projects how company’s most
significant internal risks and
opportunities might affect
financial estimates and how they
will be addressed, supported by
specific examples
Projects how company’s most
significant internal risks and
will be addressed, supported by
specific examples, but response
contains inaccuracies, omits key
details, or links between
projections and planning are
tenuous
Does not project how company’s
most significant internal risks and

will be addressed
18
Risks: External Evaluates how significant
external, non-financial risks that
might affect project success will
be addressed, giving specific
examples
Evaluates how significant
be addressed, giving specific
examples, but response contains
inaccuracies, omits key details, or
examples are not relevant
Does not evaluate how significant
be addressed
18
Risks:
Microeconomic
Assesses the microeconomic
factors that might affect decisions
about the proposed investment,
supported by specific examples
Assesses the microeconomic
factors that might affect decisions
about the proposed investment,

supported by specific examples,
but response contains
inaccuracies, omits key details, or
examples are not relevant
Does not assess the
microeconomic factors that might
affect decisions about the
proposed investment
18
http://snhu-
media.snhu.edu/files/production_documentation/formatting/rubr
ic_feedback_instructions_student.pdf
Risks: Alternate
Financial: Sales
Fall
Projects how financial
performance would change if
sales fall 20% short of or are 20%
higher than base assumption,
including what analysis of two
scenarios implies for the
proposed investment, justifying
response
Projects how financial
higher than base assumption,

including what analysis implies
for the proposed investment, but
response contains inaccuracies,
omits key details, or is poorly
justified
Does not project how financial
higher than base assumption
18
Risks: Alternate
Financial: Time
Value of Money
Assesses what net present value,
internal rate of return, and
payback values from base and
sales variation scenarios imply for
the proposed investment,
including how time value of
money affects calculations and
analysis
Assesses what net present value,
internal rate of return, and
the proposed investment,
including how time value of
money affects calculations and
analysis, but response contains
inaccuracies or omits key details

Does not assess what net present
value, internal rate of return, and
the proposed investment
18
Articulation of
Response
Submission has no major errors
related to citations, grammar,
spelling, syntax, or organization
Submission has major errors
that negatively impact readability
and articulation of main ideas
Submission has critical errors
that prevent understanding of
ideas
10
Total 100%

Running head: INSERT FIRST 50 CHARACTERS OF TITLE 1
SAMPLE PAPER
Identifying the Best Practices in Strategic Management
Gertrude Steinbeck
ORG500 – Foundations of Effective Management
Colorado State University – Global Campus
Dr. Stephanie Allong
August 6, 2015
Page numbers
should be inserted
in the top right
corner.
The Running head is required for CSU-Global
APA Requirements. The title page should
have the words, Running head: followed by
the first 50 characters of the title in call

caps. Use the template paper located in the
Library under the “APA Guide & Resources”
link for a paper that is already formatted in
APA.
Papers should be
typed in a 12 pt,
Times New Roman
font with 1 inch
margins on all 4
sides and the entire
paper is double
spaced.
Information on the Title
Page is centered in the
top half of the paper. All
major words should be
capitalized and not bold.

IDENTIFYING THE BEST PRACTICES IN STRATEGIC 2
Identifying the Best Practices in Strategic Management
Strategic management and corporate sustainability are two
important dynamics of
modern-day organizations. It is important for organizational
leaders to have an understanding of
the theoretical applications of strategic management as a means
of addressing corporate
sustainability. The purpose of this paper is to provide
definitions and an understanding of
strategic management and corporate sustainability. An overview
of the Walgreen Company, the
organization of study, is also provided in order to understand
how the company has utilized
strategic management to implement sustainability initiatives for
long-term financial performance.
Strategic Management
The function of management is to plan, organize, lead, and
control the operations of an
organization (Robbins & Coulter, 2007) and includes strategic
management. Strategic
management is an approach in which organizations create a
competitive advantage, enhance

productivity, and establish long-term financial performance.
Chandler (as cited in Whittington,
2008) defines strategy as “the determination of the basic long-
term goals and objectives of an
enterprise, and the adoption of courses of action and the
allocation of resources necessary for
carrying out these goals” (p. 268). Similarly, Wheelen and
Hunger (2008) define strategic
management as the managerial decisions and actions of an
organization that achieve long-run
performance of the business, with benefits such as:
proved understanding of a changing environment
The Strategic Management Model (SMM) provides the
framework for integrating strategic
planning into an organization so that the aforementioned
benefits are realized.
All subsequent pages should
only have the first 50
characters of the paper’s title
in all caps for the running head.

Repeat the title of your paper at the
beginning. This is not a header;
therefore it is not to be bold, but all
major words are capitalized. Do not add
a header at the beginning of your paper
as the first paragraph should clearly
identify the objective of your paper.
Each paragraph
should be indented
½ inch or 5 spaces
from the left
margin.
A level 1 header should be bold,
centered and all major words
capitalized. See
https://owl.english.purdue.edu/owl
/resource/560/16/on how to
format headings in APA.

If you using a source (Whittington) that is
citing another author (Chandler), use the
author’s last name found in your source
(Chandler) at the beginning of your
sentence followed by the citation - (as
cited in Your Source, year). Only the source
you are reading (Whittington) will be listed
in your references. See
https://owl.english.purdue.edu/owl/resour
ce/560/09/for more information
Spell phrase out the first
time in document with
acronym in parentheses.
From that point forward,
the acronym can be used.
https://owl.english.purdue.edu/owl/resource/560/16/

Strategic Management Model
Research indicates as the concept of strategic management
evolved, many
theoretical models were proposed. Ginter, Ruck, and Duncan
(1985) identify eight
elements of the normative strategic model: vision and mission;
objective setting; external
environmental scanning; internal environmental scanning;
strategic alternatives; strategy
selection; implementation; and control. Long (as cited in Ginter
et al., 1985) stated that
normative strategic management models are an “explicit,
intentional, planned and rational
approach” (p. 581) to management. Similar to Ginter et al.,
Wheelen and Hunger (2008)
established the SMM (see Figure 1) which includes four main
elements: environmental
scanning, strategy formulation, strategy implementation, and
evaluation and control.
Environmental scanning is the monitoring, evaluating, and
extracting of information from
the external and internal environments in order for management

to establish plans and
make decisions. Strategy formulation includes creating long-
term plans for the
organization, including the mission, objectives, strategies and
policies. Strategy
implementation is the process of executing policies and
strategies in order to achieve the
mission and objectives. Evaluation and control require
monitoring the performance of the
organization and adjusting the process as necessary in order to
achieve desired results
(Wheelen & Hunger, 2008).
The SMM assumes the organizational learning theory, which
states that an
organization adapts to the changing environment and uses
gathered knowledge to
improve the fit between itself and the environment. The SMM
also assumes the
organization be a learning organization in which the gathered
knowledge can be used to
change behavior and reflect new knowledge (Wheelen &
Hunger, 2008).
This is an example of how to cite authors

using a narrative citation. The year must
follow the author’s last name in parentheses.
The authors are being used as a part of a
sentence, therefore the word “and” is used
and not the symbol “&.”
A level 2 header should
be bold, left-justified
and all major words
capitalized.
When citing 3-5 authors, list all the
authors the first time (see above)
and then use et al. for the following
in-text citations. If you have 6 or
more authors, use et al. for all in-
text citations.
When quoting, you must include the
page number or the paragraph
number of where you found the
quote and cite the source and/or page

number immediately after the
quotation marks even it if it is in the
middle of a sentence.
Environmental
Scanning
Strategy
Formulation
Strategy
Implementation
Evaluation
and
Control
External:
Opportunities
Threats
Mission

Objectives
Strategies
Policies
Programs
Budgets
Procedures
Performance
Societal
Environmental
Task Environmental
Internal:

Strengths
Weaknesses
Structure
Culture
Resources
Figure 1. The strategic management model was adapted from
Strategic management and business policy
(11th ed.) by T. L. Wheelen, & J. D. Hunger, 2008, Upper
Saddle River, NJ: Pearson Prentice Hall.
Corporate Sustainability
In addition to enhancing financial performance through strategic
management,
organizational leaders have the responsibility of increasing
shareholder value through
corporate sustainability (Epstein, 2008). Corporate
sustainability is defined in a variety of
ways. Hollingworth (2009) described a sustainable organization
as “one that strives for
and achieves 360-organizational sustainability” (p. 1). The
author claimed an
organization is sustainable when it can endure, or maintain,
over a long-term without

permanently damaging or depleting resources including: the
organization itself; its human
resources (internal and external); the community/society/ethno-
sphere; and the planet’s
environment. He then claimed that if one of the four resources
is not sustainable, issues
with the remaining resources will eventually develop
(Hollingworth, 2009). Brundtland
(as cited in Epstein, 2008) described sustainability as the
economic development that
addresses the needs of the present generation without depleting
resources needed by
When using a Figure in your paper, make sure there
is no title above the figure. Underneath the figure
you must have the word, “Figure” italicized and the
figure number in your paper followed by a period.
Then mention where the information was adapted or
general information about the figure. Follow the
example above. Notice it does not follow the
reference citation format.
1

2
3
When you are using the same source for a
paragraph, you need to start the paragraph with
a 1- narrative citation, 2- refer to the author
again so your reader knows you are still talking
about the same author (try not to use pronouns
such as “he” or “she” as APA believes this could
lead to a gender bias, and 3-end the paragraph
with a parenthetical citation.
future generations Epstein (2008) adds to the definition from a
business perspective by
including corporate social responsibility. Epstein also states
that organizations have a
responsibility to stakeholders to improve management practices
in order to add value by
addressing corporate social, environmental and economic
impacts (Epstein, 2008).

Organizational leaders are the strategic decision makers of a
company and have a
responsibility to stakeholders (Wheelen & Hunger 2008).
Therefore, it is important to
have an understanding of why corporate sustainability is
important, and how the nine
principles of sustainability performance guide strategic
management.
Importance of Corporate Sustainability
In addition to making a profit, organizations have a
responsibility to society,
which includes addressing its economic, social, and
environmental impacts, otherwise
known as social responsibility. Friedman and Carroll had two
opposing views of
corporate social responsibility. Friedman argued that the sole
responsibility of business
was to use resources and activities that enhanced profits
(Wheelen & Hunger, 2008).
Carroll (1979) argued that social responsibility included much
more that making a profit;
he proposed businesses must include the economic, legal,
ethical and discretionary

categories of business performance.
services to meet the
needs/wants of society in order to make a profit;
the
company is expected to
abide by;
statements, but also
include the norms and beliefs held by society;
This is another example of
narrative citation. The year must
follow the author’s last name. If
there was a quotation, the page or
paragraph number would be listed
immediately after the quote in
parentheses.
This is an example of a parenthetical
citation. It includes the authors’ last
names and the year. If there was a

quotation, a page or paragraph
number would also be included.
Notice that the period is at the end
of the parentheses.
on by the
organization including voluntary activities and philanthropic
contributions
(Carroll, 1979).
The importance of corporate sustainability, therefore, is that an
organization is
responsible for financial performance, but it also has additional
responsibilities to
stakeholders and society in general.
The Nine Principles of Sustainability Performance
The nine principles, as presented by Epstein and Roy (2003)
(see Table 1), further
define sustainability, are measureable, and can easily be
incorporated into strategic

management (Epstein, 2008). These principles include ethics,
governance, transparency,
business relationships, financial return, community
involvement, value of products and
services, employment practices and protection of the
environment.
A table or figure should fit all on one
page even if there is a gap left in
your paper. It is easier for the reader
to view the table or figure when
presented as a whole instead of split
on two pages.
Table 1
The Nine Principles of Sustainability Performance
1. Ethics The company establishes, promotes, monitors and
maintains ethical
standards and practices in dealing with all of the company

stakeholders.
2. Governance The company manages all of its resources
conscientiously and effectively,
recognizing the fiduciary duty of corporate boards and managers
to focus
on the interests of all company stakeholders.
3. Transparency The company provides timely disclosure of
information about its
products, services and activities, thus permitting stakeholders to
make
informed decisions.
4. Business
relationships
The company engages in fair-trading practices with suppliers,
distributors
and partners.
5. Financial return The company compensates providers of
capital with a competitive return
on investment and the protection of company assets.
6. Community
involvement/
economic
development
The company fosters a mutually beneficial relationship between

the
corporation and community in which it is sensitive to the
culture, context
and needs of the community.
7. Value of
product and
services
The company respects the needs, desires and rights of its
customers and
strives to provide the highest levels of product and service
values.
8. Employment
practices
The company engages in human-resource management practices
that
promote personal and professional employee development,
diversity and
empowerment.
9. Protection of the
environment
The company strives to protect and restore the environment and
promote
sustainable development with products, processes, services and

other
activities.
Note. There should be a general note about the table here.
Adapted from “Improving
sustainability performance: Specifying, implementing and
measuring key principles” by M.
Epstein, & M. Roy, 2003, Journal of General Management,
29(1), pp.15-31.
Walgreens Company
Walgreens Company is a retail drugstore that is in the primary
business of prescription
and non-prescription drugs, and general merchandise including
beauty care, personal care,
household items, photofinishing, greeting cards, and seasonal
items (Reuters, 2010). More
recently, the organization diversified its offerings through
worksite healthcare facilities, home
care facilities, specialty pharmacies, and mail service
pharmacies (Walgreens Company, 2010).
When using a Table in your paper, make
sure you use the word “Table” with the
Table number. Then insert the title of the

Table in italics, with all major words
capitalized. Underneath the Table you must
have the word, “Note” italicized followed by
a period. Then mention where the
information was adapted from or general
information about the Table. Follow this
example. Notice it does not follow the
Reference citation format.
Walgreen Company established a strong organizational culture
focusing on consumer and
employee satisfaction. The mission of Walgreens is:
We will provide the most convenient access to consumer goods
and services . . .
and pharmacy, health and wellness services . . . in America. We
will earn the trust
of our customers and build shareholder value. We will treat
each other with
respect and dignity and do the same for all we serve. We will

offer employees of
all backgrounds a place to build a career. (Walgreens, 2010a,
para. 1)
Walgreens was established in 1901 by pharmacist Charles R.
Walgreen Sr. (Walgreens, 2010b).
Prior to establishing the company, Mr. Walgreen struggled with
the direction the pharmacy
industry was headed; the lack of quality customer service and
care for people concerned him.
Today, Walgreens is the largest drugstore chain in the United
States employing over 238,000
people. Sales in 2009 exceeded $63 billion, in which 65% of
sales were from prescriptions
drugs. The organization has expanded into all 50 states, as well
as the District of Colombia and
Puerto Rico, for a total of 7,496 stores and 350 Take Care
clinics (Walgreens Company, 2010,
para. 3).
Conclusion
Strategic management and corporate sustainability are two
important practices in today’s
competitive global environment. In order to effectively
implement strategic management in light

of corporate sustainability, leaders must have an understanding
of such concepts. This paper has
provided a background and understanding of strategic
management and corporate sustainability.
An overview and history of Walgreen Company was also
presented in order to identify best
practices in strategic management that enhance corporate
sustainability.
If you are using information from
multiple web pages from one
website, you need to distinguish
which citation came from which
web page. You can distinguish each
page, by putting the letters, “a,”
“b”, etc. with the year.
If a quotation is longer than 40 words, it
must be in a block format. The block
format is indented ½ inch (or 5 spaces
from the left) from the left margin. Do not
use quotation marks for this quote.

References
Carroll, A. B. (1979). A three-dimensional conceptual model of
corporate performance. The
Academy of Management Review, 4(4), 497.
Collins, J. (2001). Good to great. New York, NY: HarperCollins
Publishers Inc.
Epstein, M. J. (2008). Making sustainability work. San
Francisco, CA: Greenleaf
Publishing Limited.
Epstein, M., & Roy, M. (2003). Improving sustainability
performance: Specifying, implementing
and measuring key principles. Journal of General Management,
29(1), 15-31.
French, S. (2009). Critiquing the language of strategic
management. The Journal of Management
Development, 28(1), 6-17. doi: 10.1108/02621710910923836
Ginter, P., Ruck, A., & Duncan, W. (1985). Planners’
perceptions of the strategic management
process. Journal of Management Studies, 22(6), 581-596.

Hollingworth, M. (2009, November/December). Building 360
organizational sustainability. Ivey
Business Journal, 73(6), 2.
Walgreens. (2010a). Mission statement. Retrieved from
http://news.walgreens.com/article_display.cfm?article_id=1042
Walgreens. (2010b). Our past. Retrieved from
http://www.walgreens.com/marketing/about/history/default.html
Reuters. (2010). Walgreen Co. Retrieved from
http://www.reuters.com/finance/stocks/companyProfile?symbol
=WAG.N
Robbins, S. P., & Coulter, M. (2007). Management (9th ed.).
Upper Saddle River, NJ: Pearson
Prentice Hall.
Walgreens Company. (2010). 2009 Annual report. Retrieved
from
List sources in
alphabetical order.
The word, References
should be capitalized,

centered, but not bold.
When a citation
runs over to the
second line,
indent 5 spaces to
the right. This is a
“hanging indent.”
Make sure that the links
are not live (you should
not be able to click on
them to go to the
website). If they are live,
in Word, right click and
then click on “Remove
Hyperlink.”
If you are using information
from multiple web pages
from one website, you need

to be able to distinguish
what information came from
each web page. To do this,
you need to add the letters,
“a,” “b,” etc. to the year of
each citation.
http://investor.walgreens.com/annual.cfm
Wheelen, T. L., & Hunger, J. D. (2008). Strategic management
and business policy (11th ed.).
Upper Saddle River, NJ: Pearson Prentice Hall.
Whittington, R. (2008). Alfred Chandler, founder of strategy:
Lost tradition and renewed
inspiration. Business History Review, 82(2), 267-277.
Note: Level Headers 3, 4, and 5 are also used but much less
frequently. Click here for
more information on their format and use.

For more information on CSU-
Global APA requirements for
formatting in APA, and examples of
in-text and reference citations, see
the CSU-Global Guide to Writing
and APA Requirements.
References
Carroll, A. B. (1979). A three-dimensional conceptual model of
corporate performance. The
Academy of Management Review, 4(4), 497. [This is a journal
article citation. Articles
from the Library databases are based on print journals so the
citation will end with page
numbers.]
Collins, J. (2001). Good to great. New York, NY: HarperCollins
Publishers Inc. [This is a book
citation.]

Epstein, M. J. (2008). Making sustainability work. San
Francisco, CA: Greenleaf
Publishing Limited.
Epstein, M., & Roy, M. (2003). Improving sustainability
performance: Specifying, implementing
and measuring key principles. Journal of General Management,
29(1), 15-31.
French, S. (2009). Critiquing the language of strategic
management. The Journal of Management
Development, 28(1), 6-17. doi: 10.1108/02621710910923836
[This is a journal article
citation from a Library database. Include a doi number if
available.]
Ginter, P., Ruck, A., & Duncan, W. (1985). Planners’
perceptions of the strategic management
process. Journal of Management Studies, 22(6), 581-596.
Hollingworth, M. (2009, November/December). Building 360
organizational sustainability. Ivey
Business Journal Online. Retrieved from
http://www.iveybusinessjournal.com/article.asp?intArticle_ID=
868 [This is a journal that
is published online, so you would include the URL.]
Reuters. (2010). Walgreens Co. (WAG.N). Retrieved from

http://www.reuters.com/finance/stocks/companyProfile?symbol
=WAG.N
Walgreens. (2010a). Mission statement. Retrieved from
http://news.walgreens.com/article_display.cfm?article_id=1042
[This is a website citation
with a corporate author. If you retrieve information from
various pages of this particular
website, you need to cite each web page. However, because the
author and the year will
be exactly the same, the lowercase letters, “a,” “b,” etc. need to
be added to the year. The
in-text citation would be: (Walgreens, 2010a).]
Walgreens. (2010b). Our past. Retrieved from
http://www.walgreens.com/marketing/about/history/default.html

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