“A Systematic approach to resource
utilization, whereby more of renewable
energy sources are replenished for
optimum utilization over non-renewable
resources in a sustainable manner, such
that one complies with the laws and legal
procedures as laid down by the state,
using an extensive Environmental
Management System (EMS) to achieve
• Population Explosion
• Unplanned urban land use
• Technological advancements
• Non-Biodegradable wastes
• Rapid industrialization
• Hazardous wastes / Bio-medical wastes
• Use & Throw concept
• NIMBY – Not In My Backyard
• Green Revolution
• Damn the DAMS projects
Some solutions to Environmental
• Application of soft technology like biogas, wind energy,
solar cooker, CNG driven cars.
• Use of bio-degradable materials
• Solid waste management programmes
• Treatment of water effluents
• Afforestation in pollution zones
• Use of Green Labels
• ISO 14001 certification
• Water harvesting
• Environmental education in schools and colleges
• Environmental movements like Chipko and NBA
“is the development that meets the needs
of the present without compromising the
ability of future generations to meet their
– World Commission on
Board of directors
in which the
Regulatory Agencies and
• The basic premise is that business organisations
have responsibility to various groups in society
(the internal and external stakeholders) and not
just the owners/ shareholders
• The responsibility includes a responsibility for
the natural environment
• Decisions should be taken in the wider interest
and not just the narrow shareholder interest
What characterizes these
• They are vital to the survival and success
of the organization.
• Their relationship with the organization
enables them to be benefited by the
organizations’s actions and operations.
• This relationship also makes it possible for
the organization to harm them or to violate
• Primary stakeholders;
– Those most vital to the organisation.
– A group without whose continuing participation the company
cannot survive as a going concern. e.g. customers, suppliers.
• Secondary stakeholders:
Those without whose continuing participation the
company can still exist. e.g. the community.
• Active stakeholders
Seek to participate in the organisation’s activities. e.g.
managers, employees, pressure groups.
• Passive stakeholders
Do not normally seek to participate in an organisation’s
policy making. e.g. most shareholders, government, local
Mendelow’s Matrix for Stakeholder
Power to Influence
Adapted from Mendelow (1991)
Prioritising actions based on impact and influence
Impact on achieving our
Our ability to
High impact &
High impact &
Depends on other
people – can we
Low impact &
Why would we
High influence &
Doing this because
The Triple Bottom Line
• The Triple Bottom Line (TBL) is one
way to report on sustainable
• TBL defines sustainability in terms of
three separate elements: economic,
environmental, and social
perspectives of operations.
Three Elements of the
Triple Bottom Line
• Economy – reflects activities related to shaping
demand for products and services, employee
compensation, community contributions, local
procurement policies, and other monetary issues
related to company activities.
• Society - reflects activities in shaping local,
national and international public policy, equality,
treatment of minorities, employee issues and
public concern. That is, organizational
• Environment – reflects the impact made
through processes, products or services that
affect the environment. These may include air,
water, land, natural resources, flora, fauna and
Some Indian Companies following
Triple Bottom Line
• Infosys – Infosys Foundation for funding
NGO’s related to Education and Primary
Healthcare in Rural India.
• TATA Group – TATA Business
Excellence Model (TBEM) initiatives
across group companies
• ITC Group - e-Choupal.com
• Hindustan Unilever Ltd – Project Shakti
for promoting rural women
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