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Sustainable management combines the principles of sustainability with the principles of management. The climate, present and future generations’ demands, and the economy are the three main pillars of sustainability. Because it is proactive instead of reactive, sustainable management contributes to a company’s long-term viability. It is the responsibility of a manager to invest his time in ensuring decent working conditions for the employees of an organization (Seuring, S., & Gold, S., 2013). A sustainability manager will be responsible for designing, implementing, and evaluating environmental policies for a business or organization. He or she will also oversee coordinating plans, developing budgets, and selling the company’s sustainable initiatives to sellers, clients, and coworkers. A career as a sustainability manager allows a person to make a difference in how companies, big and small, affect the environment (Baumgartner, R. J., & Rauter, R., 2017). Sustainable goals are being pursued by an increasing number of organizations across a range of fields (retail shops, food, agricultural technology, insurance, automotive, healthcare, utility, etc.). All the world’s leading sectors are known for their commitment to sustainability. But the question remains, what is the role of managers in the sustainability of an organization? To answer this question, we shall look at the function and responsibility of a manager in terms of sustainability for an organization.

For-profit and Non-profit organizations:

In general, there are two basic types of organizations: For-profit (Business) and non-profit organizations. A for-profit organization’s main goal is to make money or to take in more money than it spends. The owners have the option of keeping all the profit or investing some or all of it back into the company. Alternatively, they may choose to share some of it with workers through their compensation plans, such as employee profit-sharing (Anheier, H. K., 2000). On the other hand, a non-profit organization exists to provide a specific community service. The term ‘nonprofit’ refers to a company that is structured in such a way that profits are not distributed to the owners. In this context, ‘profit’ refers to a financial reporting term that is related to but not comparable to the concept of a revenue surplus over expenses (Cornforth, C. (Ed.)., 2002). Management in not-for-profit organizations is very different from management in for-profit businesses. In a for-profit firm, a manager’s performance is measured in terms of return on investment and corporate growth. So, is a manager in charge of leading employees toward these objectives? The goals of a not-for-profit organization are determined by the organization’s success in achieving its mission, which is to help people or positively change society. In a not-for-profit, management is likely to share, if not completely take over, much of the work that would normally be done by the board of directors (Paton, R., Mordaunt, J., & Cornforth, C., 2007). This is due to a lack of resources, as well as the fact that the charity’s mission must be driven by both the board and management. Charity boards are unable to engage in discussions about market conditions or how the market is evolving; instead, they must be honest with management about whether people are being helped or whether the good that the organization tries to accomplish is being accomplished (Hwang, H., & Powell, W. W., 2009). A manager for a for-profit manager has only one thing on his agenda; profits for the organization. All his actions and policies towards maximizing the profits (Townsend, R. C., & Bennis, W., 2007). And so here are some methods used by for-profit managers to maximize profits: Creating policies and goals for a for-profit or non-profit organization. Choosing, endorsing, and evaluating the chief executive’s achievement. Approval of annual operating plans as well as strategic direction. Responding to stakeholders, particularly shareholders and members. Regulatory audits and compliance with the appropriate authorities are required. Appointing auditors and giving final approval to the audited financial statements. Assuring the creation, maintenance, and achievement of short- and long-term plans. Improving the public image of the group (Hatten, M. L. 1982). The food and beverage industry may be the most vulnerable to climate change’s effects. Changes in weather patterns, water availability, and crop growing conditions may have long-term implications for the industry’s business and supply chain. More than 2 billion people currently live in water-stressed zones. Due to population growth and climate change, this figure is expected to increase considerably over time. The Coca-Cola Company’s executives have taken notice. Because water is the primary ingredient in nearly all their products, water quality and availability are vital to their success. Coca-Cola is working to become a more responsible global citizen by sourcing agricultural ingredients sustainably, lowering its carbon footprint, retrieving, and recycling bottles and cans, and increasing water efficiency (Walsh, H., & Dowding, T. J. (2012).

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Stakeholders and their types:

In every business, some stakeholders are affected by the progress of an organization. A stakeholder is someone who has a vested interest in a company and may influence or be influenced by its operations and performance. Investors, workers, consumers, vendors, groups, ministries, and trade associations are all examples of stakeholders (Greenwood, M., 2001). Generally, the stakeholders in a business are categorized in two main ways: Inside stockholders, and outside stakeholders. Inside stakeholders are those who exist within a company. Employees and workers are another example of stakeholders that are directly impacted by a project. Outside stakeholders, on the other hand, are those who have a vested interest in a company’s success but are not directly involved in its projects. A common example of an outside stakeholder is a supplier. Further sub-stakeholders are divided concerning their positioning and interest in the organization. The different types of stakeholders are Owners, investors, suppliers, communities, creditors, trade unions, employees, media, government agencies, and customers Savage, G. T., Nix, T. W., Whitehead, C. J., & Blair, J. D., 1991). Each stakeholder has their interests and it is the job of the manager to keep these interests from colliding with each other. Managers can assist stakeholders in resolving conflict by recasting it as a problem-solving activity (Greenwood, M. (2001). They work to understand and make differences of opinion visible, carefully guiding people and groups to common ground. This is more than just an agreement. Problem-solving encourages stakeholders to commit to each other, resulting in higher buy-in and support. It’s no secret that solving problems takes time and effort. Now, the strategies proposed by Coca-Cola as a profit organization are not profitable for their stakeholders. This is an awkward position where the company must make exceptions for balancing profitability with sustainability (Gandy, D. L. (2015). Coca-Cola is working to advance its renewable energy program in the long run. The Clean Energy Toolkit has been presented by executives to local teams. This tool will assist local teams in making informed decisions about potential renewable energy investments. Coca-Cola was seeking 50 renewable energy projects in addition to the 81 that were already operational at the end of 2016.

Sustainability and Performance for an organization:

Managers are finding that the intangible indicators used to assess sustainability can also be used to assess effectiveness, or how well a business is run. A sustainable business plan would enhance all aspects of corporate activity, from managing corporate liabilities to launching new market projects. Indeed, some argue that environmental management is a good proxy for assessing overall management capabilities at both the strategic and operational levels. Environmental concerns, according to Matthew Kiernan, founder of investment research company Innovest Strategic Value Advisors, are a strong metaphor because they have ramifications for a wide range of stakeholders, from the government to investors to community leaders, and because they touch on all aspects of a business’s operations, from product design to financing. Coca-leadership Cola’s in sustainable packaging was recognized at the Green Food and Beverage Awards in 2020 when it was named ‘Sustainability Team of the Year’ and ‘Best Sustainable Packaging’ in the second category. These awards recognize their achievements in the World Without Waste journey, as well as their ongoing commitment to reducing and eliminating their overall use of plastic. In 2019 Coca-Cola was named one of the most sustainable beverage businesses in all of Europe. This was the seventh time in eight years that they have taken the first rank in Europe, and also the tenth year in a row that they were ranked among the top three most sustainable global and eurozone organizations (ZsAka, A., & Vajkai, A., 2018). So, sustainability does have great performance-enhancing applications.


In conclusion, Corporate responsibility, also known as ‘sustainability,’ is an important aspect of any business’s responsibilities. It is also an opportunity for the company to create a positive image in the eyes of its clients and shareholders. As a result, an integrated sustainability program like Coca-Cola is an important and effective way to manage environmental, and economic risks. Furthermore, a proper strategy aids in exploring new opportunities, services, products, and markets for organizational expansion. The sustainability strategy used by Coca-Cola is influenced heavily by the sustainability strategies used by influential international retailers such as Wal-Mart and Marks & Spencer (White, P., 2009). It is these strategies that have helped Coca-Cola move forward as an international household name.

Reference List

    1. Seuring, S., & Gold, S. (2013). Sustainability management beyond corporate boundaries: from stakeholders to performance. Journal of Cleaner Production, 56, 1-6.
    2. Baumgartner, R. J., & Rauter, R. (2017). Strategic perspectives of corporate sustainability management to develop a sustainable organization. Journal of Cleaner Production, 140, 81-92.
    3. Anheier, H. K. (2000). Managing non-profit organizations: Towards a new approach (No. 1). Centre for civil society, London School of economics and Political Science.
    4. Cornforth, C. (Ed.). (2002). The governance of public and non-profit organizations (Vol. 6).
    5. Routledge. Paton, R., Mordaunt, J., & Cornforth, C. (2007). Beyond nonprofit management education: Leadership development in a time of blurred boundaries and distributed learning. Nonprofit and Voluntary Sector Quarterly, 36(4_suppl), 148S-162S.
    6. Hatten, M. L. (1982). Strategic management is not for profit organizations. Strategic Management Journal, 3(2), 89-104.
    7. Townsend, R. C., & Bennis, W. (2007). Up the organization: How to stop the corporation from stifling people and strangling profits (Vol. 144).
    8. John Wiley & Sons. Hwang, H., & Powell, W. W. (2009). The rationalization of charity: The influences of professionalism in the nonprofit sector. Administrative Science Quarterly, 54(2), 268-298.
    9. Greenwood, M. (2001). The importance of stakeholders according to business leaders. Business and Society Review, 106(1), 29-29.
    10. Savage, G. T., Nix, T. W., Whitehead, C. J., & Blair, J. D. (1991). Strategies for assessing and managing organizational stakeholders. Academy of Management Perspectives, 5(2), 61-75.
    11. Walsh, H., & Dowding, T. J. (2012). Sustainability and The Coca-Cola Company: The Global Water Crisis and Coca-Cola’s Business Case for Water Stewardship. International Journal of Business Insights & Transformation,
    12. Gandy, D. L. (2015). Small business strategies for company profitability and sustainability. White, P. (2009). Building a sustainability strategy into the business. Corporate Governance: The international journal of business in society.
    13. Funk, K. (2003). Sustainability and performance. MIT Sloan Management Review, 44(2), 65.
    14. ZsAka, A., & Vajkai, A. (2018). Corporate sustainability reporting: Scrutinising the requirements of comparability, transparency, and reflection of sustainability performance. Society and Economy,

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