Module 1 Section I: Sustainability Strategies

Question 1

Sustainability

Answer 1

-organizational focus on activites that provide present benefit without compromising the needs of future generations

-may inclue contribution to:
1. economic growth
2. environmental protection e.g. reduction of emissions and waste, using renewable energy resources
3. social progress

Question 2

Social Responsibility

Answer 2

commitment by top management to behave ethically and to contribute to community development

Question 3

Logistics Social Responsibility

Answer 3

-subset of corporate social responsibility that relates to logistics, including minimizing negatie impacts, monitoring and controlling, reporting, and continuously improving in social responsibility areas that include the environment, health and safety, and labor issues related to warehousing, transportation, and other logistics areas

Question 4

Forces Driving Sustainability Strategies

Answer 4

1. organizational ethics and values
2. regulations
3. community relations
4. economic value

Question 5

Stakeholders

Answer 5

-people with vested interest in a company, including managers, employees, stockholders, customers and suppliers

Question 6

Triple Bottom Line (TBL)

Answer 6

-an approach that measures the economic, social, and environmental impact of an organization’s activities with the intent of creating value for both its shareholders and society

Question 7

Choosing a Strategic Focus

Answer 7

1. general sustainability issues - these issues are important to society as a whole but not directly influenced by the org
2. value chain issues - these are directly affected by the org’s actions
3. issues that have strategic effects - these issues can affect the way an organization competes or its success

Question 8

Life Cycle Costing

Answer 8

-in evaluating alternatives, the consideration of all costs - including acquisition, operation, and disposition costs, that will be incurred over the entire time of product ownership

Question 9

Risks to Sustainable Performance

Answer 9

1. 1st issue involves identifying and analyzing source of risks from perspective of sustainablity; analysis of risks to org’s sustainability must include full range of internal & external sources
2. 2nd risk assessment issue is difference between real and perceived risks
3. 3rd issue involves need to apply life cycle concept to calculating the true cost of a sustainability issue

Question 10

Internal Sustainability Audits

Answer 10

-serve several purposes:
1. confirm reported performance and part of process of providing accountability for reosurces the org has invested
2. feedback gathered during audit can be used to improve initiatives
3. auditors may uncover change in org’s risk profile that affect the stratefy

common areas examined:
1. compliance with regulations
2. hazardous waste treatment, storage, disposal
3. pollution prevention mechanisms

Question 11

External Sustainability Audits

Answer 11

-tools used may be more extensive than internal audits, involving interviews and surveys conducted throughout org.

-provide higher level of verification, often required by government agenies, certification organizations, and org’s customers

Question 12

Global Reporting Initatives (GRI)

Answer 12

-a network-based organization that pioneered the world’s most widely used sustainability reporting framework

-reporting framework sets out the principles and performance indicators orgs can use to measure and report their human rights, labor environment. and anticorruption practices/outcomes

-framework was developed to standardize sustainability reporting; explains how to report and what to report