The Rise Of Sustainable Issues (Research Paper Sample)

1.Explain and justify, how the rise of sustainability issues might impact firms sourcing strategies and sourcing decisions
People are being made aware of sustainable issues daily. The United Nations have been at the forefront of promoting Sustainable Development Goals (SDGs) globally. Businesses have also been targeted to promote SDGs (Pedersen, 2018, p.21-22). Sustainable issues impact firms negatively and positively, making managers make informed business decisions (Cordova and Celone, 2019, p.7043). Sustainability issues that may impact firms comprise the business approaches that create long-term value for an organization (Purvis, Mao, and Robinson, 2019, p.685-686). The ecological, social, and economic environments are crucial in defining the sustainability of a business. The strategies used to enhance sustainability issues enhance a company's success in the market (Doane and MacGillivray, 2001, p.14).
Different researchers and scholars define sustainability differently, but there is unison in what sustainability issues entail in business and how they impact firms' sourcing strategies and decisions. The adherence to most of the sustainable problems in business that affect firms has been viewed as a complex task by managers (Porter and Derry, 2012, p.35). In the modern world, firms enhance corporate, social, and environmental sustainability. There is a focus on such issues that seek to add brand value, meet customer demands and create new opportunities. Economic sustainability is elemental in the success of most firms, together with corporate social responsibility (Sharma et al., 2010, p.337). The rise of sustainable issues may impact firms' sourcing strategies in the way firms obtain materials, products, and services and the relationship with locals, suppliers, and the immediate environment. Sourcing decisions made by the leadership of certain businesses are also affected by the rising sustainability issues. The transport and landing cost, trading policies and regulations, and supplier-buyer relationships are some of the considered parameters in firms that sustainable issues may impact. The total value contribution and business value proposition are also considered in firms since they affect decision-making processes. These processes are affected by sustainability issues (Gray, Helper, and Osborn, 2020, p.740).
The rise of sustainable issues might impact sourcing strategies and decisions made by a company. Such companies adopt sustainable souring. Sustainable sourcing entails the acquisition of materials, products, and services of an organization from a supplier in a sustainable manner (Schneider and Wallenburg, 2012, p.246). A holistic approach to the business-as-usual model is applied by taking sustainability issues that may impact a business (Dyllick and Muff, 2016, p.173). Sustainable sourcing is seen to exceed accountability through regard to sustainability issues laid in policies and regulations and surpasses some relevant backing acts in the business. There is a relationship between sustainability, strategic sourcing, and sourcing decisions (Akhavan and Beckmann, 2017, p.140). Companies that conduct strategic sourcing based on sustainability have registered higher cost savings. The relationship between the firm and the suppliers is also good, making such businesses vibrant in the market. Before decisions are made in organizations, leaders come together to evaluate the available sourcing strategies. This makes most of these companies align with their goals and objectives. Firms that do well in the market tend to maintain their suppliers (Veit et al., p.2519). Having one trusted supplier delivers products and services effectively can help the firm adopt the best sourcing strategies and make the most effective sourcing decisions. The relationship between the supplier and the firm is moulded in the best way possible, enabling a long-term relationship that enhances quality services and product provision. This allows the firm to utilize the sources' strategies and decisions.
The choice of the supplier is affected by sustainable issues that a firm practice (Foerstl et al., 2010, p.120). This, in turn, affects the sourcing strategies and decisions made in a business. For a company experiencing rising demand, there is a need to make a good choice of supplier. The sourcing strategies and decisions directly impact a firm's choice of the supplier; the assessment and development are done. This results in fostering of good relationships between the firm and the supplier (Sillanpää, Shahzad, and Sillanpää, 2015, p.230). According to Bai and Sarkis (2010), sustainability leads to developing a model that directs the supplier on the selection criteria of tangible and intangible goods (Bai and Sarkis, 2010, p.255). The extension of CSR in sustainability issues affects the sourcing strategies and decisions of a company. The evaluation of environmental, social, and economic responsibility is enhanced in certain instances (Baxi and Ray, 2012) Seurium and Muller (2008) reviewed how sustainable issues and sourcing strategies were interrelated. They found out that a company's performance depended on sustainable problems adopted based on its location. This was a survey they conducted based on places believed to have strong government policies regarding environmental sustainability (Hofmann et al., 2014, p.160). Sustainability issues touch on supplier selection for a business that impacts a company's strategic sourcing and sourcing decisions.
Sustainability issues may also affect purchasing behavior based on locations and regulations (Rees, Tremma, and Manning, 2019, p.845). Some of the sustainable issues that business practices affect purchasing behavior that directly affects sourcing strategies and decisions taken by firms. Traditional views in purchasing behavior have been used in some businesses to their success in the current age. The impact on the firms has been felt when making sourcing decisions (Ciasullo et al., 2017, p.1617). There is also an effect on the buyer-supplier relationships. The trickle-down model of business affects sourcing strategies and decisions that are made in the organization (Bocken and Geradts, 2020, p.456)
Most businesses that can deal with the rising sustainable issues make good profits since they can attract more customers and maintain good relationships with their suppliers and most local ones. (Lambert and Schwieterman, 2012). Based on environmental, social, and economic sustainability, most businesses can thrive in the market by having sound decisions, sourcing materials, and coming up with strategic sourcing methods. As a result, there is a saving on costs from vendor rationalization and administration; companies have a competitive advantage over others by endorsing sustainability, and attraction of new customers is possible. Company brands and reputations are also realized through sustainable issues. There is a need to adopt sustainability methods in firms to enhance profitability, acceptability, and good reputation towards customers while promoting environmental, social, and climate responsibility, among other sustainability issues.
2.When Tender Greens was deciding how to source its beef, explain how:
(a)Sustainability issues impacted their choices
The management of Tender Greens had a hard time deciding whether to continue paying premium prices for sustainably sourced beef or switch to conventionally raised beef. The company's stakes were higher, and the business was looking at expanding further. The management was keen on having a reliable and affordable beef supply that would be appealing to the investors. The demands made by the chefs, price sensitivity, and customers had to be met while addressing sustainability issues. The quality of their products, ethical beliefs, and financial implications was also evaluated on the decisions and choices that were to be made at Tender Greens.
The need to attract more customers while enhancing sustainability was a challenge. The attraction of more customers and increased brand value were one of the impacts the sustainability issues had on Tender Greens. Tender Greens chose to prepare high-quality foods, leading to a good reputation for the company that increased sales and rapid growth. The management use of some of the sustainability issues that emphasized the quality of its products, like the steak plate that was the best-selling, increased the number of customers and sales. In 2014, Tender Greens was among the best restaurants globally, according to Conde Nast Traveller.
The sustainability issues of Tender Greens impacted different choices made in the business leading to the creation of new opportunities, good relationships, and reputation among the locals. The products used in the company were purchased from local ranchers, farmers, wineries, artisans, breweries, and coffee roasters. The company was successful and made good relationships with farmers and other suppliers. The founding principles and marketing strategies were based on ethical meat sourcing. The sustainably raised Angus beef was loved by customers most and was raised on open pasture until two months before its processing. Poultry and beef farmers were also engaged in agricultural practices by the company, with the cows being fed on open pastures free from antibiotics and hormones. Tender Greens was reliant on grass-fed beef that was widely accepted by its customers and benefitted farmers.
Innovative strategies were also born out of the sustainability issues that impacted choices made in the business. The chefs led by Oberholtzer had to develop innovative strategies to woo more customers. One of the ways of innovations used by Tender Greens based on sustainability issues was implementing a unique business model that engag...