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Corporate Sustainability Training

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Sahana Naganathan

on 20 October 2015

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Transcript of Corporate Sustainability Training

Corporate Sustainability Training
An alternative to the traditional growth and profit-maximization model.
The Training Package
The Proposed Curriculum
What is Corporate Sustainability?
The 4 Elements
Planning Commission Low Carbon Strategy report - to achieve 8-9% growth, 10% of energy growth required (2010)
Total consumption in India will quadruple by 2025 (from 2005 levels) -2007 McKinsey Report
Focus on economic gains
Production and Consumption growth not in sync
Resource utilization and natural capital not part of the growth agenda
Costs of pollution abatement too high, but remains an externality
Sustainable Green Growth Model (SGG)
Is this a Sustainable Growth model?
A new and evolving corporate management paradigm
Recognizes importance of profit and growth but also sustainable development goals
Misconceptions - Saving the plant , Charity projects, conflict with financial goals
The goal of sustainability requires a more extended timeline for return on investment (ROI) but once initial investments are made, they can actually lead to increased profitability.
Sustainability is a business strategy that drives long-term corporate growth and profitability by mandating the inclusion of environmental and social issues in the business model. OR Improves management of business risks and opportunities whilst enhancing long-term social and environmental sustainability
The costs of following an unsustainable growth model are too high to ignore the SGG model

The objective to shift towards a SGG model is both realistic & achievable through policy changes & programmatic approach

To support this objective begin to account for environmental costs of development and use of depleteable resources in generating income.
Sustainable Development
Corporate Social Responsibility
Stakeholder Theory
Corporate Accountability
Sustainable Development
The 3 Pillars
CSR deals with the role of business in society
Provides ethical arguments as to why corporate managers should work toward sustainable development and address needs of Society
The Triple Bottom line: 3 P's (People, Planet, Profit)
Integrating sustainability into business strategy takes care of CSR activities
Stakeholder Theory
Goal of stakeholder theory : To help corporations strengthen relationships with external groups in order to develop a competitive advantage.
“Every business creates, and sometimes destroys, value for customers, suppliers, employees, communities and financiers. The idea that business is about maximizing profits for shareholders is outdated and doesn’t work very well, as the recent global financial crisis has taught us. The 21st Century is one of “Managing for Stakeholders.” The task of executives is to create as much value as possible for stakeholders without resorting to tradeoffs. Great companies endure because they manage to get stakeholder interests aligned in the same direction.” - Edward Freeman
Provides business argument for sustainability : Stakeholder theory suggest it is in companies own best economic interest to strengthen relationship with stakeholder
One of the major challenges of the SGG model is to build capacity to deliver its objectives.

There is a dearth of trained manpower, both at the strategic and operations level, to conceptualize and deliver a SGG model.

This package is a first step towards training leaders and managers who are interested in building a new growth model
Basics: Understand the difference between consuming, marketing and responsibly giving and getting.

Conceptual clarity: Understand that the three pillars of sustainable development-social, economic and environment and their role in “creating value”(production) and “capturing value”(marketing) in businesses.

Linking and Networking: Understand that sustainable development cannot be achieved by a single enterprise-linking across sectors of businesses

Individual: Understand that self is at the core of any kind of change. Equip the individual with the right skills and tools necessary to transform to a new growth model.
Duration and Target Audience
Three days of intensive schedule

Corporate planning managers and business development strategists

Managers who are indirectly involved in doing or working on Sustainable Development related projects

Participants would be able to assess the sustainability of a project with the help of indicators (tools)

Develop sustainability indicators and parameters for a specific project,
conduct in-house trainings and periodic assessment of the SGG model

Fresh assessment of the sustainability reporting and other CSR activities.

Be in a position to evaluate their transit from an existing business model to a sustainable green growth model.

Part I : What we need to know
Principles of sustainable development

Traditional growth models, economic instruments in vogue, consequences on extreme focus on economic growth

CSR and ISR inter-relation

Transition to sustainable green growth model for businesses - From Theory to Practice

Case Studies
Part II : How we can achieve it
Integrated resources management plan-sustainable consumption and production

Reducing uncertainty and risk mitigation

Importance of investments in natural capital and creating green jobs

Sustainable technology

Part III : Issues and Challenges
Sustainable reporting

Case studies


Cross sectoral interlinkage

Importance of networking, linkages and Community Participation
Legal or ethical responsibility to provide an account of actions

Traditional fiduciary model: corporate management and shareholders.

Corporate accountability theory to corporate sustainability : Helps define the nature of the relationship between corporate managers and the rest of society.

Why companies should report on their environmental, social, and economic performance - not just financial performance
Corporate Accountability
Duration and Target Audience
Full transcript