This document discusses integrating sustainability into corporate strategy and operations. It begins by outlining key concepts in corporate sustainability and ways for organizations to become more sustainable. It then provides an overview of the evolution of sustainability thinking over time. Next, it describes how sustainability relates to an organization's core values and impacts its various stakeholders. The document outlines a roadmap for creating sustainable value through stakeholder engagement, governance, and incorporating sustainability into business processes. It emphasizes measuring sustainability performance using a balanced scorecard approach. Finally, it discusses seven key benefit areas that result from more sustainable business practices.

1. Corporate Sustainability
Management
Integrating Sustainability into Strategic
Planning & Business Operations
PHILIPPINES :: MALAYSIA :: VIETNAM :: INDONESIA :: INDIA :: CHINA

2. Learning Bites
• Understand the concept of Corporate Sustainability
• Identify key drivers of Corporate Sustainability
• Determine ways of becoming a sustainable enterprise
• Establish a roadmap for your organization for Corporate Sustainability

3. Sustainability Timeline – The Perspectives
Established sects
Established Corporate Corporations &
and hierarchy in the
Structures with globe Ideas evolve in the Individuals acting on a
society for effective
seen as Business form of The Ecology sustainable
governance
Enterprise of Commerce environment practices
Business ethics & People get first hand
idea of CSR idea of sustainability and
Care and fear to Contribution to the
preached the lifecycle thru Cradle
protect the society & CSR practice
to Cradle.
environment in the acknowledged (SA
name of God 8000).
Triple bottom-­line
established & driving
organizations towards
SUSTAINABILITY
Early Ages Early -­‐ Mid 1900 1980 -­‐ 1999 2000 & Beyond

4. Company Value “Iceberg”
1980s 2000 & beyond
Tangibles
Financials – 29%
Tangibles
Financials – 83%
Intangibles
Intangibles Non-­financials – 71%
Non-­financials – 17%

5. Triple Bottom Line Concept of Sustainability

6. Concept of Triple Bottom line & Corporate Sustainability
The triple bottom line has significant impact and defines the way stakeholders of an organization
view sustianability
Stakeholders
Customers Employees Society Partners
Stewardship
Economic
Trust Long-­‐term
Themes – Triple Bottom line
value
Increased
PAY-­‐OFFs
revenue
Loyalty
Environment
Reduced risk
& costs
Increased
Motivation productivity
Social Resp.

7. Key Drivers of Sustainability
The prime aim of sustainability is to minimize all negative effects and maximize all positive
effects to meet stakeholder objectives.
It is driven by 6 major factors which also represent the impact that sustaibility has on
supply, demand and the rules of the game itself
1. Employees
2. Natural Resources
6. Policies & 3. Capital Markets
Regulations
4. Consumers (as citizens)
5. Stakeholder Influence

8. Typical Holistic Sustainable Enterprise
© Institute for Sustainable
Enterprise, 2006
How do we get there?...

10. Roadmap to Creating Sustainable Value
The Key Components of Sustainable Business
Stakeholder Engagement
Corp. Governance &
Sustainability Mgmt
Economic
Sustainable
Environmental ERM Reputation
Stakeholder
Value
Social
The The PIllars Business Understanding & The Benefits
Foundation Processes, Reputatio Influecing
n & Risk Mgm‘t

11. Organizational Value Chain
HR IT ADM PRC
INTERNAL
Sales & Marketing
THE COMPANY
Implementation
CUSTOMERS
Operations /
Production
PRODUCTS /
SERVICES
Group
U’
STAKEHOLDER
EXTERNAL SATISFACTION
CUSTOMERS
OTHER SHARED SERVICES
Demonstrate and deliver a sense of connection for
integration osf sustainability within the whole group
Ensure Practice of Sustainability

12. Typical Holistic Sustainable Enterprise
“You don’t have to be a weatherman to know
which way the wind blows”
-­ Bob Dylan

13. Keys to Become a Sustainable Enterprise
1. Understand the CASES of Sustainability and address the “Shear zones”
The Three Sustainability Cases The Human Case The Green Case
Economic Sustainability 1,2,3 – Shear zones
Eco-­effectivity Economic Equity
1 2
Eco-­efficiency Social Productivity
3
Ecological Equity Sufficiency
Ecological Sustainability Social Sustainability
These zones created due to constant flux of the triple bottom line
It is in these zones that most of the challenges and opportunities arise

14. Keys to Become a Sustainable Enterprise
2. Identify and Appreciate Strategic Options to Practice Sustainability
Key Options
Differentiate based on Partner with NGOs & agencies
1st mover advantage to win stakeholder trust
ex: ex:
TOYOTA Prius LaFarge with WWF
PHILIPS Greenlighting 1 2 Marks & Spencer with MAS
Holdings
Combine the strategies to
4 3 Proactively engage in shaping
achieve maximum benefits the rules that benefit society
ex:
US Climate Action Partnership

15. Keys to Become a Sustainable Enterprise
3. Apply the best practices of Performance Measurement (BSC) & Incorporate
Sustainability Management
Why Balanced Scorecard Approach?
BSC tries to establish an equilibrium among various critical aspects of the business
Considers and focuses on both short term & long term goals
Address both Internal & External perspectives
Provides enablers that relate to the future goals and results which provide the history
Balances the qualitative (soft) and quantitative (hard) facts of the business to make decisions
Can be easily extended to address and accept the sustainability component either as a shared
service or as an individual component

16. Keys to Become a Sustainable Enterprise
Typical Balanced Scorecard
SHARED CORE VALUES
Shared
CORPORATE LEVEL
Vision
Shared Mission
Group Goals
Group 3
Group 2
Group 1
Group 3
Group 2
Group 4
Group 1
GROUP LEVEL
GROUP SCORECARD
Financial
Core Business Units
People
Support Groups Operational
Market / Customer

17. 7 Benefit Areas
1. Reduced recruiting costs
2. Reduced attrition costs
3. Increased employee productivity
4. Reduced expenses in manufacturing
5. Reduced expenses at commercial sites
6. Increased revenue -­ market share
7. Lower insurance & borrowing costs

18. In Closing…
Sustainability is smart business
New market forces -­ risks are in play
Public expectations are rising
Talk business language
Show relevance to existing priorities
You are not alone;; find partners
Opportunity for leadership

20. Thank you very much!
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