Lesson 1 - Motivations for Sustainable Management Flashcards
(21 cards)
What are the three primary concerns that drive sustainable management?
Destruction of natural resources, impact of chemical pollution on people and the environment, and the impact of population growth and consumption
What is the definition of sustainable development according to the UN?
Development that meets the needs of the present without compromising the ability of future generations to meet their own needs
What is corporate social responsibility (CSR)?
Being socially accountable to all stakeholders and operating in ways that enhance society and the environment
What is the triple bottom line?
Accounting framework with three bottom line: people, planet and profit
What is corporate citizenship?
Fulfilling responsibilities to all stakeholders
What is sustainability?
Tridimensional construct focused on economic progress, environmental integrity, social equity, fairness, and inclusiveness
What are the three concepts by Schwartz and Carroll?
Value, balance and accountability
What are some scarce resources that impact business?
Minerals and metals, water, land, energy, and agricultural commodities
What is water stress?
When water use is high relative to water availability
What is a water shortage?
When there is insufficient local water to meet human needs
What are possible implications of overconsumption?
Waste and environmental pollution, inability to be replenished by the Earth, hunger and poor health, higher prices, supply chain disruptions, economic losses, resource competition and conflict, and increased poverty
What is GDP relative basis?
It accounts for differences in cost of living, and is based on purchasing power parity. You calculate the PPP exchange rate between nations by dividing the price of basket in one nation by the price of basket in another
What is GDP absolute basis?
Directly comparing GDP between nations. A more direct comparison of the amount of income between nations
What is the Ceres Roadmap for Sustainability?
20 specific expectations divided into 4 areas: governance for sustainability, stakeholder engagement, disclosure, and performance
What are the four components of CSR?
Economic, legal, ethical and philanthropic responsibilities
What does the Pyramid of CSR represent?
It graphically depicts the four components of CSR as a unified whole: economic responsibilities form the base, followed by legal, ethical, and philanthropic layers
What is socially responsible investing (SRI)?
It is an investment strategy focused on environmental, social, and governance (ESG) criteria aimed at generating competitive financial returns while achieving societal impact
What is CSR greenwashing?
It refers to companies misleadingly promoting themselves as socially responsible while not adhering to genuine practices
How does corporate citizenship differ from CSR?
Corporate citizenship emphasizes companies as members of society, fulfilling duties and responsibilities toward stakeholders and communities
Explain “Creating Shared Value” (CSV)
the concept of generating economic value in ways that also create societal value, such as addressing social challenges
What are the stages of corporate citizenship?
Elementary, Engaged, Innovative, Integrated, and Transforming
