The Assumptions of Sustainability and Effects on Companies and Nations - Coursework Example

Sustainability is all about the Environment

Currently, the United Nations is working with the other stakeholders in the international community to develop new development criteria which is likely to replace the Millennium Development Goals after the year 2015. According to specialists and those privy to this development, the new development framework places environment sustainability as its main agenda through the enactment of the Sustainable Development Goals. These goals were conceptualized at the Rio Conference which targeted sustainable development. As it is now, the environment is at the biggest risk from human degradation, causing alarm that there is need to concentrate of protecting it. Despite past developments and progress towards realizing environmental sustainability, there is still a lot to be done because of the increasing challenges that local and global actors pose. The sustainable environment gains which have been achieved are being endangered by non-cooperative states and private companies across the entire globe. The resolutions to be adopted post-2015 were based on concentrating on certain areas of the environment in connection with economic conditions. These factors to be considered include, but are not limited to the management of natural resources, rapid reduction of poverty levels especially in Africa and Asia, and more importantly, facing and taming the challenges that arise which can be referred to as environmental challenges around the globe (Ekins, 2002, p. 241).

There was definitely need for policy reforms to realize the goals of sustainable development. The policies were geared towards improvement of the well being of humans all over the world through the sustainability of the environment. OECD, which is the Organization for Economic Co-operation and Development, is among the bodies which were ready to champion policy implementation years following 2015 Sustainable Goals. The organization had strategies to ensure they advocated and set an example for other companies and individuals to follow. These strategies include the advancement of clear and coherent policies which ensure development is sustained by integrating the culture of practice and knowledge dissemination. The organization also developed a policy to change the manner in which data was collected and statistics calculated, so as to ensure that finances for climate change and biodiversity were monitored in a better way. OECD also pledged to monitor the development of states towards adopting the post 2015 sustainable goals. This was to be attained through reviews from peers, support through governance and guided policy reforms. The last resolve of the organization was to come up with strategic partnerships among international players and strengthen their capacity to share important knowledge. This would attain the objective of promoting policies, causing cohesion among communities so that there is experience shared. The policies were wholly based on the experience during the implementation of the Millennium Development Goals (MDGs).

Reasons for Focusing on Environmental Sustainability

Ekins, (2002) indicates that there are multi-faceted reports and panelists within the United Nations including the Outcome Document of the UNGA 2013, the UN Secretary General Report made in 2013 on the life of dignity, and the United Nations Level Panel of Eminent Persons continue to aggressively fight towards a world that implements sustainable development. According to the mentioned reports, sustainable development remains the center pillar of the post 2015 goals. The reports clearly indicate that environmental sustainability encompasses other sectors and cultural themes, including international and local governance. Environmental Outlook to 2050, a report from OECD, is clear that the globe needs new models towards development which are majorly centered to the wellbeing of humans. This can only be achieved by protecting the interface of natural environment. As the recommendations indicate, the conventional way of doing business, where no regard is given to environmental sustainability cannot operate in the contemporary world. By the year 2030, projections indicate that well over a billion people will be living in undesirable conditions where there is scarcity of resources like water and energy. Generally, the terrestrial biodiversity around the globe will have diminished greatly. Essentials brought through the eco-system will therefore be tampered with. By the year 2050, if the trend still remains and no reforms are implemented, then there will be an excess of air pollution because of dangerous emissions. Mostly, these emissions are contemplated to be from the industries and transportation sectors. The end result is that the number of people dying prematurely shall increase gradually at a fast rate, due to airborne diseases. Gas emissions from greenhouses are also becoming uncontrollable and imminent reforms are necessary. The mean temperatures of the world are increasing every decade meaning there is high likelihood to suffer immeasurably from natural disasters. The disasters include conditions such as floods, landslides, cyclones and heat waves. Another concern relates to the earth’s planetary boundaries of the environment, which are at the risk of irreversible changes on the system of life on earth. The well being of the future generations therefore depends on the decisions and policies developed presently. This is the reason why the Millennium Development Goals were salient on environmental issues and aimed to adopt good principles to reduce loss of resource degradation, biodiversity loss and sustainability of clean water and sanitation.

Towards an Environmentally Sustainable Globe

As new challenges emerge in the contemporary times, certain steps are necessary to fully realize the potential of sustain the environment for the present and future generation. One of the ways this can be achieved is through integrating knowledge and developing policies that can be adopted beyond a single nation’s boundary. Policies that are coherent on the use of water, energy and food security have to be sold out for people to accept and implement. Another way that environmental sustainability can be realized is through the development of a reliable statistics analysis tool, which can give realistic indications of progress and growth. Financial statistics, for instance, have the capability to show the various ways in which a country can successfully implement environmental safeguards without hurting its economic regulations (Ekins, 2002, p. 357).

Implementation of Policies in Individual Countries and Corporates

The OECD has positioned itself to assist the United Nation’s member states implement the Environment Sustainability Goals. The mechanisms are developed well to ensure there is national partnerships between countries, regularly monitor policy implementation, create tools to access each country’s progression and customize policies for member states that are ready to indulge in positive change. Private corporations such as Pepsi and BMW have adopted policies and implemented what is referred to as sustainable value. The companies are said to have invested heavily to ensure that the production or manufacture of their products meet the standards set for environmental friendliness. There are direct implications that result from the application of proper environmental safeguards. Environmentally credited companies have the ability to increase the awareness of their brands, ensure greater consumer satisfaction, and as an ultimate goal, a larger shareholder value for themselves.

Economic Effects of Adopting Environmental Friendly Policies

As earlier stated, BMW is among the car manufacturing brands that has fully adopted a sustainable policy. Though sustainability is a current trend, not all multi-national corporations fully adopt the policies because of the extra expenses incurred when trying to implement environmental sustainability policies. BMW as a company more cautious of the environment, precisely through ensuring the air is retained within good quality, there is zero or limited emission to the environment during manufacturing and use of their cars, that the fuel consumption is such that it supports biodiversity and is generally eco-friendly. There are rampant campaigns by corporations to assure their consumers that they remain committed to the goodwill of the environment. I most cases, advertisements consume a lot of expenses. Economically, companies are being tasked with setting aside a lot of money to transform their manufacturing processes so as to involve eco-friendly policies. Consumers are also concerned and hence exerting immense pressure of manufacturers to provide the best products they can. As a result, employees have been laid off, corporations pushed to close down and directors losing their jobs because of incompetency in sustaining the environment. It is also necessary to note that companies are making it a contemporary trend to account to stakeholders of the company their adherence to regulations and policies on environmental considerations. The responsibility of companies to be environmentally friendly increases by the day and non-compliant companies face extinction. Managers and directors are urged to change the business models and production systems to ensure compliance (Sioshansi, 2011, p. 45).

Sustainability: An Expensive Affair

There is great pressure on the economy of many states and corporates and lending has turned to be a norm. In most countries, especially the developing countries, budgetary implications are very tight. The issue of corporate sustainability and whether such sustainability is indeed financially sustainable has remained a matter of contention for a long period of time. Some economic proponents such as Hoeskstra who is a sustainability director, opine that with an effective program, the results of implementing the environmental friendly policies can ensure profit maximization for a corporation, or nation for that matter. The summarized recommendation is that states are expected to encourage their organs to balance their investments effectively, so as to prove their capabilities to sustainability. This is because of the future trend which will have zero-tolerance policies for non-compliant companies, whether or not such companies make good profits or just break even. Costs have to be made behind sustainable environments, which is an objective in this time and era where sustainability id gradually becoming a compulsory regulation for companies.

Managers of companies have to develop strategies that merge with sustainability objectives. There has to be planning for better returns on investment and environmentally sustainable business processes. An example, for companies that deal with greenhouse production, managers of such organizations have to have operational strategies which will ensure energy is utilized in a sparing manner, and on the other hand, gas emissions are reduced as much as possible. In the event of any wastages from the greenhouses, the organization is expected to improve their waste management and allocate costs towards this endeavor. When weighed on their beneficial capability, there is a long-view regarding sustainability. An instance is the case of an apparel company, whose business is to produce clothing and other accessories. Because of the globalization trends, and the diversity in apparel business, the supply and value chains of the company are very sophisticated. When there is complexity, a myriad of risks emanates, as well as a great scope of opportunities. As such, it is critical to understand, from a global perspective, the implications and magnitude of factors touching on sustainability. These factors range from scarcity of water, climatic changes, working conditions and the wellbeing of employees of the organization and also the community around such a firm. There is a great link between companies and protection of the environment. Take an instance of the NYMEX company, which is in the production of clothing and cotton products. Often than not, for the company to remain in business, there is need for constant supply of cotton. In the event the eco-system fails, water levels fall and there is significant reduction of cotton production, the company faces imminent danger of closure. Even when the company remains in business, the citizens and consumers will suffer inflation and heavy purchasing costs. The basis remains that if a company takes the proper initiatives to develop lasting strategies, the expenses towards environment’s sustainability can be recovered on the return on investment.

Investments in Sustainability and The Repercussions

The assumption by companies that sustainability is expensive continues to eat up the society’s world view as regards sustainability. Because of the harsh economic times, there is a commonality of belief that among the unaffordable strategies of a company, falls sustainability. However, this assumption does not consider the economic semantics that precede environmental sustainability. For some companies, leaders have decided to invest heavily to produce products that are not only effective for the consumer, but also beneficial towards sustaining a stable environment, which is human’s only habitat. The reality is that some companies are making extreme savings from adopting sustainable policies. Attractive savings continue to eliminate waste and reduce consumption of energy. Most of the companies like the United States Food Services, PRIMEDIA and Dollar general have reported to have saved millions of dollars just in the year between 2008-2009, because of undertaking green programs.

Another Advantage and economical effect of green programs or rather sustainable programs is their ability to motivate and ignite innovations (Sridevi, 2014, p. 73). Because of the demands that come with sustaining the environment, people have a chance to prove their innovative skills which later create value for companies. Intending to implement sustainability, though viewed as an expensive deal, leads to value development hence profits. As it is currently, especially in the United States, there is clean technological advancement transitioning, and the major infrastructures are being reengineered. Sectors such as water and energy supplying, and construction of buildings are all complying with environmental friendly policies. This means that infrastructural specialists benefit from the transition of the conventional to modern environmental friendly buildings and water systems. All the actions undertaken in the market of business in this century allow for production costs which are to be made external by the organization’s management, but by all means issues such as emissions, decrease in biodiversity and wastage programs are to be catered for to ensure effective protection of the environment.

Though sustainability can be expensive for some individuals, nations and corporations, especially those that trade internationally through compilation of capital and mergers are better placed to deal with sustainable development. The instance of DuPont is very essential in explaining the successes of companies that have invested in themselves through sustainability. Expenses incurred from investing on environmental friendly production are only felt in the short-run, but become more beneficial with time. This is not the case for all companies, as some are actually able to adopt the sustainability policy, implement it and still feel nothing heavy on their budgets.

Examples of Individual Sustainable Projects

There are vast examples to indicate that sustainability is achievable, even by individuals who run small farming companies. As Menalled, et. Al. observes,

“A large multi-family farm in central Montana runs diversified livestock and crop operations on several thousand acres. The ranching operation includes hogs, cattle and poultry. The poultry is processed and direct-marketed. Garden, greenhouse and ornamental horticultural production also take place with some garden crops direct-marketed. No-till farming is used on cropland whenever possible, including a rotation of wheat and barley. While the hog operation is conventional from a modern swine housing standpoint, the manure is separated into solid and liquid components for the most beneficial use. The solids are composted and stored on a stacking pad before being used for flower production in spring and fall gardens, as well as greenhouse production. The liquid fraction is stored and treated in a 6 million gallon lined anaerobic lagoon before being used for irrigation to supply wheat, barley and hay fields with water and nutrients. Due to the wide variety of agricultural commodities produced, the separation of manure is vital to keeping costs of fertilizer low, as well as providing irrigation. This example demonstrates how a large operation with modern means of production can incorporate many sustainable practices to the benefit of the farm, ranch and community. David Weaver, an entomologist at Montana State University, and his students found in a comparative survey that adoption of no-till practices during fallow increased mortality of the wheat stem sawfly by native parasitic wasps in adjacent crops. In the majority of the locations studied, heavy tillage of fallow fields had no impact on numbers of the wheat stem sawfly in the adjacent crops, but these sites had fewer parasitic wasps. In contrast, lightly-tilled or no-till fallow fields had greater numbers of parasitized wheat stem sawfly larvae in the adjacent crop. The study was conducted almost exclusively in fields growing solid-stem winter wheat which is partially resistant to lodging caused by mature wheat stem sawfly larvae. Earlier research has shown that parasitism levels are not impacted by the solid-stem trait and it appears that no-till management of fallow ground enhances survival of the delicate parasitic wasps, allowing them to attack the wheat stem sawfly larvae in the nearby crop.”

This excerpt indicates that indeed, there is likelihood that individuals with a strategy can protect the environment and by so doing, help corporations and governments in their daunting task of ensuring environmental friendly activities (Menalled, Bass & Buschena, 2008, p. 19).

Does Sustainability Make Us Poor?

There have been claims that when sustainable policies are imposed on people, they are likely to become poor as a result of the expenses involved, and hence reduce their standards of living to a degrading nature. There are no magic numbers, only trade-offs. Any given area of land can sustain many more very low-consuming poor people at bare subsistence than it can very high-consuming rich people living like millionaires. Better technology always helps; but basically, the richer we all become, the fewer of us the planet, or any country in it, can sustain; and the more of us there are, the lower our sustainable standard of living will be. The choice is fewer who will get richer from the benefits of sustainability, and the very poor who retain their status as they cannot afford to implement the sustainable policies.

Population Matters seeks an optimal balance, offering the best quality of life, not the greatest quantity of possessions. This implies modest but reasonably comfortable standards of living free from hunger or insecurity, which enables fulfillment without increasing physical consumption. Only non-physical things such as like quality of relationships, intelligence and education, knowledge and skills, health, arts, spiritual growth, respect and fun. Sustainable business and governmental policies would ensure the take-up of renewable energy and material sources while phasing out those with adverse side effects. Increased effort is needed to minimize waste of energy, water, food and other commodities. In a finite world even renewable resources are only available in limited quantities. Halting of population growth and in many countries reversing it, is a vital part of living sustainably. In some societies, population growth has already slowed or stopped. Typically, the empowerment of women and improved availability of contraception have played major roles. Compared with the challenge of asking people to reduce their living standards or change the fundamental technological basis of their society, approaches seeking a reduced birth rate are low cost and proven. The unborn people who never existed, and all their non-existent descendants in perpetuity, have no impact on our planet. Gradually reducing our numbers back to the levels of one or two generations ago is one of the best ways of addressing the environmental and resource challenges we face (Essex, 2005, p. 11).

A good instance when sustainability can be termed to be accommodative and favorable for users is when people indulge in sustainable agriculture, especially in Africa. The term sustainable agriculture has been used and interpreted in many ways. A common thread running through these definitions is that sustainable agriculture comprises site-specific ranching and farming practices designed to meet current and future needs for food and fiber, energy protection, and ecosystem management including; soil conservation, clean water and biodiversity. Sustainable agriculture emphasizes production and food systems that are profitable, environmentally sound, energy efficient and improve the quality of life for both farmers and the public.

Sustainable farming can elevate many from poverty to richness (Oliver, et. al. 2013, p. 59). For instance, a community has an aquifer of fossil groundwater, like a large water reservoir or tank to protect and store water. Because of reliability of weather where the farmers reside, over 100milliliters of water adds up daily. To live sustainably, the community can use up to 100 m3 of this water a day. If they use more one day, they have to use less the next. The fact that the tank/aquifer is large and was full when they began beguiles some members of the community into believing they can use more. But their leaders resist; simple arithmetic indicates to them that however huge the aquifer they cannot take out more than is put in, otherwise the tank will eventually drain empty. Yet in huge areas of the world, for instance China, South Asia and even the USA, groundwater for irrigation and households is depleting daily increasing the risk of water shortage largely.