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Question:

Discuss about the Case Study on Wesfarmers Limited.
 
 

Answer:

Wesfarmers Limited is one of the most famous Australian Company, which is headquartered in the Western part of Australia, specialising in the retail sectors as also in case of the chemicals, fertilizers, safety products, coal mining and so on. The business of Wesfarmers is resilient and the operations as well as the global competition are necessary to be maintained in case of the outside competition. The organisation is committed to operating in a sustainable manner and the environmental as well as the social responsibilities of the company are taken extremely seriously by the company. The different aspects of the business in which the organisation specialises in are equally important to the authorities in order to remain the global supergiant it already is and also aims to improve the future performances in order to ensure that the business is sustainable in the long term. The company authorities as well as the workers are never undeterred by challenges and perceive them as every opportunity to grow (Jones, Comfort and Hillier 2014).

The organisation is committed to managing the community as well as the environmental impact along with the effects on the community. The company provides safe and comfortable workplaces for the employees. The people working with the organisation are always provided with opportunities to increase the quality of their overall job performance. The work environment is inclusive and gender diversity is also an important part of it (Wood, Tony, and Carter 2013). Strong as well as respectful relationships with the suppliers are encouraged in the organisation and it also takes full responsibility for the products it sources and the relationships with the suppliers. The relationships are maintained in a way to always positively contribute to the communities of operation. The consumers are also provided with safe products so that the company does not face any complaints from that sector. The intensity of the emissions related to the business of the organisation is reduced as much as possible in order to have no amount of impact on the climate and the changes in the climate might be controlled to a certain extent. The wastage is also reduced, along with all these requirements the corporate governance of the organisation is maintained at all times (Daley 2012).

The organisation acknowledges that the World is changing due to the advent of newer technologies and climate changes of significant magnitude. The rising temperatures, shortage of water as well as the scarcity of the food supplies are affecting the people (Niesche 2014). Unless the issues are addressed soon enough, they will severely impact the environment as well as the public. In order to ensure that the risks and their management will have economic, social as well as environmental benefits, the company works towards the common goal. The organisational divisions respond to the climate changes in two specific ways. At first, the green house gas emissions are managed actively as well as monitoring is done by the company.  The cases in which the emissions can be reduced are done as soon as possible (Islam, Azizul, Jain, and Haque 2016). The organisation always aims to understand the specific nature of the risks that are created by the climatic change for the businesses and tries to solve the risks immediately. The Australian commitment under the Paris Agreement towards a global agreement to limit the magnitude of global warming is supported by Wesfarmers. They support that the global warming should be kept 1.5-2 degrees Celsius above the pre industrial levels. The organisation believes that the industry as well as the governments should work together in order to achieve the positive outcome. The long term policy certainty is a pre-requisite for the decarbonisation to occur efficiently as well as affordably. The company aims to improve the greenhouse gas efficiency of their operations in order to reduce their own business costs as well as risks as also the contribution to the climate change mitigation the company is always responsible as well as efficient (Akbar, Suraiyah, and Ahsan 2014).

 


With the growth of the global population, the continued development of the emerging economies depends on the access to the affordable energy. Renewables as well as the lower-emission fossil fuels are to form an integral part of the generation of the energy mix throughout the transition to a low emission of the global economy.

The company adjusts to the climate change in order to manage the increased weather volatility, the extreme weather events, the higher average temperatures, as also the vdriuer climates may all possess the potential to impact the operations as well as the supply chains in a variety of ways. The focus was increased on the robustness of the businesses against the climate changes as well as its integration. The business continuity plans are essential in order to ensure that regions will get supplies even in times of extreme weather conditions. The company ensures that biodiversity as well as flora and fauna are protected, in order to meet the conditions for the environmental approval. The company also successfully maintains its responsibility towards the maintenance of the natural resources. The investment in the coal assets is responsible as well as all the standards are maintained. Apart from reducing their own greenhouse gas emissions, the customers are also assisted by organisation in avoiding the harmful emissions of the greenhouse gases (da Silva 2012).

In addition to this, the Wesfarmers organisation is committed to creation of the value for the shareholders, communities as well as employees for more than a century. The long term value creation is possible in case a positive role in played in the communities served by the organisation. The sustainability as well as social responsibility consists understanding as well as managing the ways in which the community is impacted. It is also ensured that value will be created in future. The company is committed to minimising the own footprint as well as delivering the solutions which assist customers as well as the community to do the same. The continuous improvement of the company’s performance is evident from the sustainability performance of the organisation.

The organisation being a market leader is always under the scanner for any type of critical decision they take. Since the experiences related to the Australian areas are limited, the low geographic presence acts against the company. On the other hand, strengths in the organisation include the sales through online formats, the special offers as well as discounts in order to suit the customers and also huge number of stores.

Opportunities for citizens of Australia are provided by the Wesfarmers and more than half of their created wealth is distributed as salaries, wages as well as in case of employee benefits. The greatest competitive advantage of the company lies in their services made available to the people and also the contribution to their careers.

The company uses the water resource as well as manages the waste responsibly as the reduction of the waste helps in creating environmental as well as business benefits for the organisation’s different divisions. Wesfarmers participates in the surveys related to carbon emission and also the surveys related to the forests in order to show their responsibility towards the environment. There are several instances of non-conformity to the environmental laws, but in case of Wesfarmers no major harm, injury or prosecution has been reported.

The principles which the company aims to follow comprise social, economic, environmental as well are consistent with the principles of integrity, honesty, fairness as well as respect. It is essential for every worker and individual in the Wesfarmers Company to act with honesty, integrity, and they should also be accountable for all sorts of decisions. The organisation’s responsibility to all the shareholders as well as the financial markets needs to be maintained at all times which is followed by the Company without any scope for complaint. It is always imperative to maintain the privacy as well as the confidentiality of the information pertaining to the business records of the organisation. The conflicts which might arise in the company due to different sorts of interests need to be managed at all times to ensure smooth running of the company. The authorities always ensure that these factors are kept in mind at all times. The resources of Wesfarmers should not be misused at any time and it is always ensured that the information systems are kept safely and not tampered with. The business relationships should be maintained at all levels which in reality are always maintained.

From the available sustainability reports as well as the relevant information on the social as well as corporate responsibility, it can safely be said that the Wesfarmers organisations maintains all the required parameters for being a global supergiant.  It needs to maintain its operations in a similar way in order to retain the position as well as the requirements necessary to balance the environmental as well as the social needs. The climate changes and their impact also should not be ignored.

 

References:

Akbar, Suraiyah, and Kamrul Ahsan. "Analysis of corporate social disclosure practices of Australian retail firms." International Journal of Managerial and Financial Accounting 6, no. 4 (2014): 375-396.

da Silva, Matthew. "A broad business challenge-Sustainable Company of the Year." Ethical Investor 98 (2012): 14.

Daley, Jason. "THE GAME-CHANGERS." Entrepreneur-Irvine (2012): 92.

Islam, Muhammad Azizul, Ameeta Jain, and Shamima Haque. "A preliminary analysis of Australian Government’s Indigenous reform agenda ‘Closing the Gap’and corporate accountability." In Key Initiatives in Corporate Social Responsibility, pp. 341-354. Springer International Publishing, 2016.

Jones, Peter, Daphne Comfort, and David Hillier. "Environmental and Social Programmes and Rapidly Growing Retailers." Economia Seria Management17, no. 1 (2014): 5-17.

Niesche, Christopher. "Creating a future of opportunities." Company Director30, no. 8 (2014): 16.

Wood, Tony, and Lucy Carter. "Shock to the system." Grattan Institute, December (2013).

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