Discuss about the Sustainable Business for Destructive or Negative Impacts.
A sustainable business is one that aims at minimizing destructive or negative impacts on the surrounding. It is an enterprise that focuses on providing goods and services that enhance and maintain the state of the consumers and the society as a whole. It is done by reducing the adverse effects that may result in the course of business operation within a given environment. The impacts minimized are mainly based on the society and consumers as well as the various ecosystems within the environment (Fields, 2015).
The decisions made within the enterprise are based on the consumer and the society's well-being. Long-term satisfaction and clean environmental conditions, as well as a balance in the ecosystem, are realized in this particular enterprise as the primary services and goods provided are made to rhyme and fit the target group. A sustainable business within given environment operates in a flexible and universal way when all its products and services are acceptable (Neva & Jonathan, 2012).
Five Forms of Capital Used In Business
Capital refers to consolidated assets that are utilized by a business enterprise in generating income. The assets are used in the production of goods and services. Some of the assets include:
Natural capital: this refers to all resources (renewable and non-renewable) that are used in the production of goods and services. The impacts of these resources determine the sustainability of the society and consumers as well as the environment. It is because they identify the output product. For example, renewable energy sources like the sun, they result in the production of solar panels which are eco-friendly.
In their natural form, the resources extracted from the earth's crust during mining are important in making suitable products that are not harmful to humans and the environment. It does not apply to all the goods as some modifications based on human skills and knowledge do result in environmental pollution. Take for example the cement manufacturing process which results in dust emissions during processing.
The effects can be minimized through innovative ways that are preferred by the business firm to promote the well-being of the environment as well as the human beings especially the workers involved in the production process. The ecological integrity to provide biological conditions and productivity is thereby enhanced.
Human capital is the human labor offered regarding skills and knowledge. Sometimes human experience may be productive, but when used in extremes, it turns out to be dangerous. Concerning production of nuclear-based weapons, human knowledge and the entire company associated pollutes the environment hence sustainability is not achieved. Careful choice and eco-friendly innovations based on various skills promote the sustainable business e.g. use of plant-based raw materials to produce medical products.
All individuals are subject to equal opportunities and resources for the development of their well-being and high standards. These are built through effective relations created between people. The aftermath of this is access to varied and satisfying opportunities of work, innovation, creativity and long-term satisfaction.
Social capital refers to organizations that help build and maintain the human capital kinship. They may be government agencies and various co-operations championing for the well-being of the environment, consumers, and the society. A good example is the civil aviation authority which gives airworthiness directives to various aircraft manufacturers as well as the operators (Jonathan, 2013).
Society organizations and related institutions act as pacesetters for the business verge towards sustainability. Trusted and accepted systems of law and governance take control of the various environmental and human aspects that aim at sustenance. A good example is the world green energy movement which emphasizes on eco-friendly sources of energy such as solar energy which have minimal environmental effects. The various parties interact in the society and communicate ideas that can be used to promote healthy working environments through implementation of ideologies shared.
Manufactured capital: it refers to the material goods that are utilized in the production of goods and services. They are majorly fixed assets. For sustainability, these goods should be eco-friendly, e.g., low Sulfur content diesel for the operation of industrial machinery.
All these resources concerning technology and infrastructure make minimum use of the natural resources and maximize on personal ideas and skills. Since people are critical in the process, they have the ability to modify the manufactured goods to suit a given sustainability target production line. The necessary adjustments reduce the risk of a particular product/service to both humans and the environment. A good example is minimization of chemical additive to given natural and human-made products (Kevin, 2014).
Financial capital combines all the four other forms of capital. It has no absolute measured value as the value of various aspects of labor are not subject to absolute measurements. It complements all the efforts towards sustainable business. It acts as the measure of achievement of sustenance as it consists of all possible aspects and assets within as given business.
Examples of Businesses Successfully Engaging In Sustainable Business
Most companies focus on sustainability. Most of the are based on energy farm chemicals and human medicine. They include: Dell- the company recycles materials and incorporates them in the various components they make e.g. laptop casings. Davis and sheriff- they major in solar panels and solar water pumps. Ayurvedic medicines India- makes herbal medicine. Chetna Organic- promotes organic farming via its organic products (Scott, 2013).
Corporate Social Responsibility & Sustainable Business: A Guide to Their Leadership Tasks & Functions. (2013). Place of publication not identified: Center for Creative Leadership.
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