Business Impacts ON THE SDGs for Cookie Company PDF

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essay for cookie company regarding impacts of SDGs...

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BUSINESS IMP IMPA ACTS ON THE SDGs

BUS30024: Advanced Innovative Business Practice Benjamin Fusco 102538532

What are the SDGs? Introduction The following report explores the importance of SDG’s and their purpose within an ever-evolving economy. SDG’s impact both the physical environment in which we inhabit, but also the businesses and decision making that drives an economy. Within this economy specifically, an analysis conducted into the company Peta-Marron, will explore the fundamentals of SDG’s and the impacts on decision making for the organisation. With a specific focus on one SDG, we will explore what Peta-Marron must complete to achieve success. Furthermore, stakeholder engagement and impact assessments will be conducted to understand they key groups impacted whilst achieving comprehension of sustainability within the business as well as maintaining a competitive stance. What are the SDGs SDG, which stands for Sustainable Development Goals, are established both at an individual and organisational level with a goal to achieve sustainability of the environment. These goals include, but not limited to, addressing the issues of ever-increasing poverty within society, uplifting the systems available to the public, for exampling improved education, access to health provisions within struggling countries. Reducing the aperture between the ‘rich’ and ‘poor’ to achieve monetary growth through the introduction of new supported businesses are within the SDG scope. The goals are designed to protect the environment to achieve sustainability, including looking after the frangible environment such as waterways and wood lands (UNDESA 2019). Improving education, the equality between genders and obtaining basic needs such as water and hygiene are some of the goals that the United Nations work towards within their 17 sustainable development targets. Interesting fact, these goals are not confined to only labelled ‘poor’ countries. Referring to The United Nation’s ‘World Economic Situation Prospects PDF, Australia is classified as a ‘Developed Economy’ as well as a country with a ‘High-income’ with a GDP of 2.1 in 2020. With unemployment rate at 7.4% in Australia compared to a 8.1% rate in the United States (Nation, U. 2020), one can consider Australia to be a country of wealth. However, despite the wealth within Australia, as a nation we fail to oblige to all 17 SDGs set out by the United Nations group. In 2020, Australia ranked 37 out of 166 participating countries, with an SDG score of 74.87/100. The Annual ‘The Sustainable Development Report’ (2020) indicates that Australia has only succeeded in 1 out of the 17 SDGs, which is ‘Good Health and Well-being’ (Employment and unemployment - Australian Institute of Health and Welfare, 2021). This is a key area for all nations involved as one is yet to pass a code orange (Significant challenges remain) and into a code green (SDG achievement). Peta-Marron SDG Goal Peta-Marron is the company been identified for further assistance outlining the requirements to achieve at least 1 of the SDG’s. The company profile is within the production and distribution of cookies with a base ingredient of cocoa, produced within their region. The company has a business vision to become sustainable within a country that is extremely poor, with a large proportion of society living in poverty, lacking education and health care services. This in turn has impacted the country of Marronia, placing a hinge on its ability to develop and thus impacts Peta-Marron’s ability to also develop and expand. Such poverty can also impact the resources necessary to evolve the company. On top of this, the country is facing issues with politicians and gender equality with a male majority workforce. With these issues potentially impacting the success of the business, an SDG that benefits both the company and the country is to be considered. Sustainable cities and communities are an SDG that Peta-Marron should consider, considering that the cocoa that they use to produce their cookies is of the result of deforestation and the clearing of land. This can also lead to the lack of recyclable goods, meaning that resources are potentially being wasted. The Marron-Goose is an example of a species that is facing extension within the next 10-years due to its homelands being removed as a direct result of deforestation, something the company should consider as the process of obtaining the required cocoa has an impact on this animal. This should be a concern for PetaMarron as even though the product itself isn’t causing any direct harm to the environment, the resources required has an impact on environment, raising the question around does Peta-Marron care for the 2 BUSINESS IMP ACTS ON THE SDGs IMPA

environment at all? Peta-Marron should address this with consideration of alternative options to the original obtaining process for the cocoa and seek sustainable options that consider the environments wellbeing. What action(s) Peta-Marron might adopt to address the issue(s) Peta-Marron should incorporate such masseurs to address the issues at hand around sustainability and to uplift the performance within their SDGs. To achieve such improvements, Peta-Marron is advised to implement a recycling program into the business model. This change has been adapted by many small to large organizations around the globe and such changes has been successful in obtaining a completive stance against others alike. “The main opportunities for sustainable plastic include competitive advantage and improving resource per efficiency” (Dijkstra 2020, p.9). For Peta-Marron to implement such a change within their resource flow, this could drive, not only a positive look on the business, but also a positive change within the communities that surround the business. They could recycle a portion of the supplies required to produce the cookies and in doing so potentially release these supplies back into the community for needs such as cans, milk cartons or paper. These, small everyday items can drive large changes in a small, poverty driven community to enable them to collect water for example or utilise the additional paper for school children to practice basic learnings. All of which can be the start of a bigger change in the right direction, driving the local economy and society stance upwards. This change at the base level for the business may not drive a lot, however the fundamentals are vital for the benefit of the community and country. These changes could mean a better life for the people of Marronia, to live a quality life instead of one of lacking. In doing so, the business is also contributing to the SDG of responsible consumption and production, as well as sustainability. In doing so could also be prosperable for the organization as other entities alike would observe and acknowledge the change towards a sustainable operation and potentially lead to discussions about partnerships/investments into the production. Such deals could open the doors to the selling of goods outside of Marronia and into the global economy which contains endless opportunities. The second issue to address to also drive the business forwards is the issue around deforestation for the cocoa. An alternative would need to be considered as the impacts on both the environment and the local communities can be devastating. Nestle (2020) have implemented changes in the business model to achieve sustainability in their production by resourcing within new farming methods which in return protects the environment. I would suggest that Peta-Marron to establish an interested towards Nestle and enter an agreement to partner with them to obtain the required cocoa and move towards a more sustainable model. A partnership would be at a greater cost than to inhabit such a farm, however the time required to research, build, and sustain this farming method would take an extensive amount of investment and time. A partnership with Nesle would reduce the time required to obtain these resources and enable the business the time required to move forwards. Two Stakeholders that are impacted by action and how these actions impact on sustainability and competitiveness of Peta-Marron The first stakeholder, which is an incredibly important once, is the customer. The customer(s) are the stakeholders that enable the business to exist and operate in the first place, without a customer base who would the business sell its goods to? We must consider the impacts to the business if they customer stakeholder was to witness Peta-Marron not operating under a business model built on recycling and sustainability. If such a witness was to take place, their customer(s) could turn their business elsewhere to a more sustainable company due to their morels. This could lead to the loss of sales, resulting in a drop in profits and in turn would make expanding the business extremely difficult. For Peta-Marron to continue upwards and to achieve a sustainable business model, staying competitive within the market, they would be required to enable a recycling program within the organisation and back this with sourcing their ingredients from an environmentally friendly supplier. This would demonstrate to their customers that they care about the environment and the future of this planet. This competitive stance would also enable them the footing to potentially explain into the global market, with a customer profile based on trust and sustainability. The second key stakeholder is the employees within the organisation, whom which assist in running the business end-to-end. If Peta-Marron decided to not enable a sustainability program within the business, this 3 BUSINESS IMP ACTS ON THE SDGs IMPA

could prompt the employees to resign from the business and transition into another company that upholds their values to care for the environment. To care for the environment is a strong attribute within individuals within today’s society and thus Peta-Marron may experience a high turnover within their staff profile if they were to fail at implementing such changes. However, if Peta-Marron was to change its ways, implement the suggested changes and strategies, they have a high chance at, not only holding onto current staff members who can progress within the company, but also attract new talent from both local towns and globally, due to its stance to protect and care for the nature, environment, and world through its sustainability plans. Enabling employees and leading the way is a massive positive for an organisation who is looking to be both successful and expanding.

Reference: Australian Institute of Health and Welfare. 2021. Employment and unemployment - Australian Institute of Health and Welfare. [online] Available at: [Accessed 5 December 2021]. Dijkstra, H, Van Beukering, P & Brouwer, R 2020, ‘Business models and sustainable plastic management: A systematic review of the literature’, Journal of Cleaner Production, vol. 258, (2020), pp. 1-14. Nation, U. (2020). World Economic Situation Prospects. [online] https://www.un.org. Available at: https://www.un.org/development/desa/dpad/wpcontent/uploads/sites/45/WESP2020_Annex.pdf [Accessed 5 Dec. 2021]. (Table A, Developed Counties)

Nestle, 2019, Sourcing Cocoa Responsibly, viewed 30 August 2021, . Nestle, 2020, Sourcing Cocoa Responsibly, viewed 30 August 2021, . Sdgindex.org. 2021. Sustainable Development Report 2020. [online] Available at: [Accessed 7 December 2021].

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Statista. 2021. United States - unemployment rate 2020 | Statista. [online] Available at: [Accessed 7 December 2021]. Sdgindex.org. 2021. Sustainable Development Report 2020. [online] Available at: [Accessed 7 December 2021]. S3.amazonaws.com. 2021. Sustainable Development Report. [online] Available at: [Accessed 6 December 2021].

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