Estratto degli elaborati didattici per il Master’s Degree "Management For Sustainability" dell'Università IULM di Milano #PowerpointPresentation #UniversityLesson

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2. 2
HOW COMPANIES
EMBED SUSTAINABILITY
INTO STRATEGY

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October 30
3pm-6pm
Monday
October 23
3pm-6pm
Monday
October 16
3pm-6pm
Monday
September 25
3pm-6pm
Monday
October 2
3pm-6pm
Monday
COURSE
SCHEDULE October 9
3pm-6pm
Monday

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02
Slide 16
INDEX Module 1
ESG, a greatest challenge
Starting with purpose
(Sustainable Development Goals)
The 5Ps of the SDGs
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adipiscing elit, sed do eiusmod.
Threats and opportunities
04
Slide 27
01
Slide 7
Interrelation between human and
ecological system
03
Slide 19
05
Slide 29

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What Companies do
CEO’ S FOCUS
The question for CEOs is whether their
strategy makes the most of the market,
technology, customer and regulatory trends
created by sustainability imperativesA
sustainability-driven strategy refresh should
enable both a healthier environment and a
better, more resilient business.
Treating sustainability as a new theme to be
integrated into corporate strategy development
and implementation across all functions of a
company is the most effective way. The
alternative – addressing sustainability issues
through a dedicated function – is a stepping-
stone.
5

6. To go above, and beyond
Step One
Prominence for
stakeholders
Step Two
Uniqueness of
contribution
Step
Three
Business values
Answers to these questions can provide insights as to how industry value chains or
ecosystems are likely to evolve as sustainability has greater influence. And
relating to areas where there could be a significant impact, three interrelated qualifiers can
help identify them:.
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7. 7
Instruments to go above,
and beyond
Sustainability initiatives can and should be executed
with the same rigor as traditional strategic initiatives.
Sustainability objectives and initiatives
will only reach their full potential if they
are captured in the scorecards of key
business functions.
7
CEOs need to identify early the new internal business and
impact data they will use to create a true measurement of
progress and achievement. The digital technology
to continuously monitor performance —
such as supply chain carbon emissions or
plastic use — is often not just a goal in
itself but a condition for successful
execution.

8. 8
Achieving maximum
Value
The end in sustainability is increasingly clear: to focus on
meaningful action that delivers value for a firm’s
chosen stakeholders, which in today’s world
includes society, the planet and others, alongside
shareholders. For CEOs, the challenge is to avoid processes
that stop before this end is reached, leaving behind a set of issues
that, while worthy, remain outside the organization’s mainstream
strategy.
STRATEGY
CEOs and business leaders are tasked with achieving maximum
value for their organizations’ stakeholders in this
transformative age. To design and deliver strategies that help
improve profitability and long-term value, companies can
achieve these dual goals by integrating their corporate and
sustainability strategies.
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9. 9
Threats and opportunities:
sustainability impacts and effects analysis
Sustainability Assessment
Step 1
Sustainability Risk Identification
Step 2
Sustainability Risk Analysis and
Evaluation
Step 3
Sustainability Risk Treatment and
Communication
Step 4
1
3
4
2
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10. Threats and opportunities:
Risk assesment
Competitive Risk
Supply Chain Risk
Reputational Risk
Litigation Risk
Regulatory Risk
Strategic Risk
Competence and
productivity risk
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11. 11
Risk assesment
Once this context has been established, a risk
assessment evaluation follows.
Risk assessment is subdivided into:
Risk
identification
Risk
analysis
Risk
evaluation

12. 12
Risk assessment
Establishing the
context
Risk assessment
Risk treatment
External
Internal
Risk
identification
Risk
analysis
Risk
evaluation
Plan, audit and
monitoring
MONITORING
AND
REVIEW
RISK
COMMUNICATION
AND
CONSULTATION

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3 Types of Human
Environmental
Interaction
1. Dependence of the Environment
INTERACTIONS
2. Modification of the Environment
3. Adaptation to the Environment
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14. To get essential resources, humans depend on the
environment for survival (e.g. air, water, food, and
shelter). Humans cannot survive without some
form of interaction with the environment.
Dependence of the
Environment
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15. Tofulfill their needs, humans modify the
environment to meet their own goals and needs.
Human activities can impact the environment in
both positive and negative ways.
Modification of the
Environment
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16. Humans can change and adapt to various
environmental conditions for survival and to meet
their needs. Humans have settled and adapted to
natural settings worldwide (e.g. the Arctic) and
created advanced systems (e.g. heating) to help
them survive and thrive.
Adaptation to the
Environment
16

17. Top 12 Examples
of Human-Environment Interactions
Human interaction with the environment has
changed drastically over time. Humans have
evolved from hunters and gather living a
nomadic lifestyle to farming and
industrialization living a sedentary lifestyle.
Industrialization
The environmental impacts associated with
energy generation and consumption include
air pollution, climate change, water pollution,
thermal pollution, and solid waste disposal.
Energy Generation
Natural resources, such as oil,
metals, and timber, play a significant
role in humans’ day-to-day lives. The
demand for natural resources
continues to increase as the global
population keeps growing.
Use of Natural Resources
1
2
3

18. Mining is the process of extracting
materials and resources from the
earth, such as coal, gold, or iron ore.
Mining
Manufacturing involves the creation of new
products from raw materials or related
components. The demand for
manufactured goods steadily increases as
the human population increases and the
consumption of resources increases.
Manufactoring
The degradation of the environment
can be driven by economic and
population growth, urbanization,
agricultural activities, manufacturing,
and the extraction of resources. .
Environmental Degradation
4
5
6
Top 12 Examples
of Human-Environment Interactions

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Do employees believe that people
outside the company recognize
its purpose?
How well is it recognized?
Have leaders communicated a clear
and compelling statement that
employees know and understand?
How is it articulated?
04 01
03 02
Does the purpose guide core business
decisions and ways of working
throughout the organization?
How deeply is it integrated?
Does the company purpose
reasonate with employees and
motivate them to take action?
Does it inspire?
Embedded purpose
determined by four
characteristics
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20. We believe
technology should
lift humanity and enrich
people’s lives in all the
ways people want to
experience it.
ARTICULATION
20

21. Employees are well aware of the public’s love for
the company – its iconic marketing, social
consciousness, and continued growth.
RECOGNITION
21
Embedding purpose in a
deep and enduring way is not
a one-and-done endeavour.

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An authentic ESG Strategy
COMPANY’S FOCUS
Four principles and four steps will
help companies to chart a path to
an authentic ESG strategy and to
leadership in an age when companies are re-
evaluating their role in society, stakeholders are
demanding change, and capital is flowing to the
companies that are shaping a sustainable future.
Principles and steps.
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23. 23
Introducing
Marta Luca
General Manager @Snam Foundation ETS
Head of Diversity, Equity & Inclusion @Snam
Snam, our way to
the purpose
23
Focus on meaningful action that
delivers value for a firm’s chosen
stakeholders, which in today’s world
includes society, the planet and
others, alongside shareholders.

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1 4
What exactly is a supply chain?
How supply chain management can contribute to strategic goals and competitive advantage?
The Supply chain consists of the network that
contribute to responding to the customer demand.
The supply chain encompasses all activities associated with the flow and transformation of goods from row materials stage (extraction)
through the end user, as well as the associated information flows. Material and information flow both up and down the supply chain.
INDIVIDUALS ORGANIZATIONS RESOURCES ACTIVITIES
This architecture includes:
Web of Suppliers
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Manufacturing and assembling
centressystems
Warehouses and transport systems
Information and technologies
Retailers and distribution outlets
Work in progress inventory and the
finished product
Technologies
Data management systems

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The
company role
1. The upstream phase that extends from row materials,
through multiple tears of suppliers, to the local company
In the supply chain architecture, the company plays the role
of designer of the network, orchestrator of the flows of goods and
information, designer of the product and services offered.
The company also has the responsibility to align the interest of the
multiple entities, participating in the network, that sometimes can be in
contrast with the companies since single organisations pursue their own
agenda.
The supply chain can be separated into two main parts:
2. The downstream phase, that links the
company and its final product to the final
customers through the web of distributors and
retailers

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Innovating business models
for sustainability
The importance of
a stakeholder approach

27. 27
The innovative
What is a business model for sustainability?
Although business models consist of a number of
elements highly interconnected, we can identify
the major components that contribute to value
generation.
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How does business model innovation link with
sustainability?
Why can sustainability-oriented opportunities
be better captured through business model
innovation?
for sustainability
business model

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Surveys
Media
campaigns
Building consensus requires
an «integrated approach»
that involves public affairs,
advocacy and media relations
Advocacy
Studies
Grassroots
Public opinion plays a fundamental role in supporting or
hindering an issue. And these reactions, stimulated by advocacy
initiatives, can guide public policies.
Advocacy is an important piece of the lobbying puzzle and can
be achieved through various tools:

29. Circular Economy

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Circular Economy and
Industrial ecology
The circular economic model incorporates some of
the basic elements of industrial ecology, which
means that circular economy provides the new
framework to favour the development of sustainable
business models and the design and formulation of
sustainable supply chain and products.
Among policy makers, the European Commission is probably the
leading actor in this area. A package that included several revised
legislative proposals on waste management was delivered in 2015.
And this package also included the Action Plan, which is
considered to be instrumental in reaching the SDGs by 2030, in
particular Goal 12 of insuring “sustainable consumption and
production patterns”.
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THE ROLE OF EU

31. Purpose-led strategy
Short, medium and long-term
value strategy
Risk Management
Human-environment
interaction
Stakehokder engagement
Conclusions - Module 1
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32. Thank
you!
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