achieving competitive edge

sustainable leadership

In principle, achieving sustainability is simple. It requires only 3 core elements:

  1. Commitment (the knowledge that sustainable management is not a cost-, but success-factor)
  2. Clear vision (knowing which direction to go)
  3. Measuring (what gets measured gets done)

And 4), of course, capable and motivated personnel- Applying this approach throughout all divisions and levels of a company according the scheme below will get any company sufficiently far and allows to increase competitiveness - to remain sustainable profitable AND profitable sustainable.

Depending on the nature of the business and its operations, key challenges/opportunities differentiate significantly from company top company. Some key issues include -

  • Risk management. Having operational risk management systems in place is now standard in most companies. Having what-to-to-if manuals is a key element of guaranteeing smooth operations, regardless of the business nature, and can prevent crisis'/emergencies from happening in the first place. However, strategic risk management - comprehensive systematic and rules-based regular screening of a wide risk pool- including the so-called non-financial risks - and determining the potential impacts on the business is not yet widely disseminated.

  • Innovation. In addition to reducing cost, systematic future issue and risk/opportunity screening  allows for early anticipation of future trends and development of new products/services based on this analysis.

  • Environmental monitoring. Environmental performance and resource use needs to be monitored and tracked. Energy usage, water usage, waste to landfill are all significant cost factors. In order to reduce those cost, companies have to first know where these costs are coming from in order to develop cost-reduction programs.

  • The value chain. Bot downstream and upstream. Companies need to know what's happening n their value chain (not only within their direct suppliers). Significant resources are being wasted along the value chain - i.e. increasing final costs. These costs cannot be reduced without knowledge of where the resources are being lost. The same applies for upstream considerations - vital not only to minimise product/service liabilities and warranties, but also for feedback to improve future products/services.

  • The motivation. People remain the face of most service companies, and in productive business the cornerstone of innovation, quality, and cost. Measuring employees motivation, well-being and corporate identification is therefor a key issue for sustained business success.

SUstainabilty challenes differ from company to company and have therefore have to be carefully adjusted to the respective business and operational needs.

Sucessfull businesses incorporate sustainability in all their operations

Sustainable business vs. conventional business - risk and cost reduction through comprehensive analysis and superior decision making knowledeg basis.

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