Integrated Strategy Formulation and Seeking Sustainability

Business operations can simply be defined as efforts aimed at ensuring the generation of sustainable value. However, sustainability in business operations is a complex issue that involves reorganisation of internal systems and developing appreciation of what sustainable operations entails within organisations. Failure to address sustainable development requirements through adopting non-integrated approach to strategy development could result in ineffective strategies that complicate business operations. There are multiple requirements that businesses have to address as part of efforts aimed at developing effective integrated strategies and improving operational efficiency. This paper will analyse the requirement in developing sustainability strategies and how an integrated strategy can be used in driving at sustainability agenda. This is achieved by analysing the existing literature and theories on sustainable development and strategy formulation within businesses and applying the findings to the research issue. In general, development of appreciation of the need for sustainability within an organisation and communicating this appreciation is vital to the adoption of an integrated approach to seeking sustainable business operations.

Schools of Thought in Strategy Formulation
There have been numerous studies that have sought to develop a better understanding of strategic formulation and what it entails. Strategy development can be looked at from the following ten schools of thought design, planning, positioning, entrepreneurial, cognitive, learning, power, culture, environment and configuration.

Design is mainly concerned with developing a fit between organisational values and the norms that will be developed as result of adopting specific directions. The design school of thought has been criticised for lacking intuition and laying little emphasis on analysis (Kotelnikov 2009). Furthermore, design school of thought results in strategies that tend to be static and therefore irrelevant in rapidly changing environments.
Planning is a form of programming activities to ensure that they are directed to attaining clearly defined goals. Planning school of thought is characterised by setting goals and activities that will be accomplished in the future (Kotelnikov 2009). This school of thought neither supports real time strategy making nor encourages adoption of ad hoc strategies for instance unplanned creative efforts.

Positioning school of thought is derived from Sun Tzu and is mainly concerned with analyzing. Calculation rather than creation or commitment of resource is awarded preference under the positioning school of thought (Kotelnikov 2009). This school of thought has come under fire with critics arguing that it reduces strategy formulation to formalised analysis of industrial situations.

The entrepreneurial school of thought is mainly concerned with envisioning a state that a business will be in with the development of effective strategies. Centralisation of strategies on the envisioned state and hoping for the best are some of the definitive characteristics. This school of thought emphasises on leaders intuition which is considered its main weakness (Kotelnikov 2009).

Cognitive school of thought is developed under the assertion that strategy formulation is concerned with coping with environmental conditions and creating chances for development. The realised message under this school of thought tends to be increase in the levels of concern by organisation when they fail to cope (Kotelnikov 2009). This school of thought has been criticized for being too subjective and impractical.
Strategy as a learning process is a school of thought that champions experimentation, adaptability, and ambiguity as approaches to learning. This descriptive school of thought tends to transmit the message that a firm should try instead of pursuing (Kotelnikov 2009). This school of thought lays little emphasis on results-oriented operations which is a requirement in practical operations.

The power school of thought to strategic formulation seeks to transmit the ideology that strategic development should be concerned with promotion of dominant norms or values that are considered relevant (Kotelnikov 2009). The school of thought tends to results in the perception that playing hard is better than sharing. This descriptive school of thought lacks mainly due to its focus on clash of self-interest during strategy development.

Culture school of thought to strategy formulation is concerned with coalescing values and norms. The practical implication of the adoption of this school of thought tends to be perpetuating values and norms rather than change (Kotelnikov 2009). This school of thought is clearly not suited for radical changes that businesses have to deal with once in a while in their operations.

The environment school of thought advocates for the ideology that strategic formulation is concerned with reacting to change in the operational environment. In practice, this tends to be translated as preference for capitulating rather than confronting the challenges and threats that a business faces (Kotelnikov 2009). This approach to strategy formulation limits the options that strategists have in addressing operational issues.
The configuration school of thought to strategic development asserts that strategy formulation is about integration and transformation of an organisation and its resources. This school of thought is considered to be both prescriptive and descriptive and tends to be mistaken for the need to adopt collective approaches rather than splitting and adapting to the situation (Kotelnikov 2009). This school of thought results in indecision when one has to choose between radical and incremental changes when developing strategies.

Sustainability
Sustainability is a wide issue irrespective of the context of its usage. There has been notable increase in awareness on sustainability due to development in knowledge of the effects that businesses have on their operational environment. Environmental sustainability is mainly concerned with responsible use of resources and aims at ensuring their preservation for future usage. Environmental sustainability also involves operating in a manner that conserves the environment for instanced via minimising greenhouse emissions through use of environment friendly energy sources (Gane 2007). Operational sustainability is mainly concerned with developing internal systems that improve resiliency and continuity of organisations operations irrespective of uncertainty and threats associated with businesses operations. Developing robust internal systems and emphasis on business continuity management are example of systems that businesses can have in place as part of efforts aimed at ensuring operational sustainability (Schot  Geels 2008). Development of effective internal systems and improving internal competencies such as human resource ability via training are systems aimed at ensuring that firms maintain robust internal systems.

Sustainable business operations is a state in which firms operates in a manner that is appreciative of the different forms of sustainability. It is therefore evident that the attainment of sustainable business operations can never be a coincidence rather is a planned development. The complexity associated with seeking sustainability goals in business operations is that their effects is not clear or direct though the requirements place considerable pressure on organisational resources. Owners and even employees to companies that build dykes to prevent erosion or adopt expensive waste management approaches to protect the environment should be able to visualise the potential benefits associated with such measures (Hitt, Ireland  Hoskisson 2008). However, this is not always easy since different stakeholders have competing interest in a firms operations (Hitt, Ireland  Hoskisson 2008). This brings out the importance of effective internal communication systems and leadership in developing appreciation and awareness on sustainability and how it affects business operations.

Recent trends in business management reveal that many firms are increasingly adopting corporate social responsibility as part of efforts aimed at ensuring sustainability. Corporate social responsibility is considered a form of organisational commitment to paying back to the community that it operates within. Corporate social responsibility strategies often involve the immediate community within which a firm operates and the market and may involve relief food, helping address social issues such as waste management and dealing with disasters and human suffering (Lopez 2008). Though the main rationale of corporate social responsibility is giving back to the community, recent studies show that CSR is continually being linked and adopted as part of efforts aimed at developing positive reputation in industry and market segments. This change in rationale is considerably affecting the perception  that is developed of sustainability as giving back is awarded minimal preference relative to development of a reputation in instigating CSR strategies (Schot  Geels 2008). The high levels of competition being witnessed in various industry segments that make generation of sustainable value and competitive advantage a requirement that businesses cannot afford to ignore is also to blame for the high emphasis placed on development of positive reputation.

Sustainability is associated with loss or gain of value to an organisation depending on the approaches adopted by a firm. Effective sustainability strategies can result in not only address of corporate social responsibilities but also help an organization preserve and conserve important resources and develop a robust internal operational system (Figge  Hahn 2005). In general, there are varied issues that have to be considered by businesses in ensuring that their strategies are effective in driving at different sustainability goals.

Sustainability has to be approached strategically due to its complexity and influence on organisational resources and operations (Lopez 2008). There are different issues that have to be addressed as part of efforts aimed at sustainability which further bring out the importance of adopting a strategic approach. Furthermore addressing sustainability within organization requires the inclusion of sustainability requirement in strategies that a business adopts in addressing other operational requirement. Simply addressing sustainability affects every aspect of a firm and should therefore be managed strategically to minimise any associated risks and maximise potential benefits and advantages associated with sustainable business operations.

Integrated Strategy Formulation
Adopting an integrated approach in formulating strategies aimed at addressing sustainability within an organisation is a vital operational requirement. It is noteworthy that strategy formulation as a process requires considerations on the internal and external environment that have to be monitored throughout the formulation and implementation of the strategy. The development of a strategy is an organisational process and therefore representation of all stakeholders is vital to its success. Developing strategies aimed at addressing sustainability have to involve all organisational stakeholders to be successful. Though adopting sustainability strategies may be for the good of all stakeholders, it may not be appreciated by all of them considering that the benefits made by a firm as a result of implementing sustainability strategies are not necessarily direct (Schot  Geels 2008). Inclusion of different stakeholders in the strategy formulation helps ensure that all are informed of the potential benefits associated with the adoption of sustainable development strategy. To ensure that different organisational stakeholders are fully appreciative of the importance of sustainability before formulating the strategies it is important to carry out an extensive research to determine how a firm is affected by sustainability. Furthermore, such researches help determine the areas that an organisation should focus on in the sustainability agenda (Warner 2006). Data that compares project performance by a firm if it adopts effective sustainability strategies and if they do not can also be used to bring out the impact of sustainability to a firm in the medium and long term.

Organisational leadership also plays a vital role in determining if sustainability strategies would be accepted by a firm. Decision making within firms though formulated under democratic principles that allow for the representation of different stakeholders interest, practical decision making environment is highly influenced by organisational leaders and the management (Mog 2006). A management team that has displayed high levels of coordination and ability to harness resources for organisational good is likely to take on a steering role in determining the strategic direction adopted by a firm than those that record poor performance. In fact, sustainable development in an organisation is to a large extent affected by the human resource management and leadership systems that have been adopted by a firm. The importance of leadership is also brought out in the implementation of sustainable development strategies. Effective leadership would ensure that queries raised by employees are promptly answered and different shareholders are consistently informed of the developments that have been made towards attaining the sustainability goals (Warner 2006)).

Alignment of the sustainable development goals to a firms vision is important in ensuring that they are fully appreciated. This can only be attained if the role of sustainable development in steering a firm towards its desired state or vision is developed and communicated to all stakeholders. Moreover, the vision has to be considered in developing the specific sustainable development objectives that will be sought by a firm. This alignment ensures that employees are appreciative of the sustainability agenda which goes a long way in improving their participation (Warner 2006). Determining the impact of sustainability strategies and activities on the organisational culture is also important in minimising instances of resistance from within the firm (Marjolein  Romijn 2008). Though alignment of the sustainability goals to organisational objectives help ensure relevance to the organisational cultures, any instance of differential values and norms resulting from the interaction of organisational culture and sustainability goals within a firm have to be addressed. Resistance to a strategy from within a firm is a key risk to the actualisation of sustainability goals that must be addressed through communications and realignment of specific strategic directions to stakeholders expectations if need be.

Inclusion of effective assessments is a requirement that must be incorporated in organisational systems developed to address sustainability goals. Within any operational environment firms have to operate with minimal resources which imply that the existence of assessment systems is a mandatory requirement (Clark  Holliday 2006). Though all firms have a form of assessment system their efficiency varies a great deal. This realization has led to research on assessment which has led to findings showing that the level of appreciation displayed by different stakeholders and their understanding of the assessment predictors used by a firm in its assessment system determine the suitability of the adopted evaluation framework (Clark  Holliday 2006). Simply, organisations must ensure that their assessment systems are understood and appreciated by all stakeholders.

Assessment is a powerful tool that can be used to maintain high levels of motivation towards attaining strategic goals (Maples 2005). Having assessment systems that are not understood and appreciated by employees result in poor knowledge of the development that have been made towards attaining sustainability objectives. This reduces the platform that a firm has for injecting additional resources to such efforts, increasing employee involvement and determining how well the firm is performing with respect to attaining sustainability goals. It is noteworthy that though sustainability is an ongoing agenda, there are different platforms that can be used by firms in addressing this important aspect. A continuous review of the operational environment and developments that have been made by a firm as a result of the incorporation of strategies helps a firm determine the areas that may be in need of better strategies. Innovation help depict if organisational efforts towards attaining sustainability goals have been a success or failure which is important in ensuring continuity of processes and strategies adopted by a firm (Larson 2007). Assessing the developments being made by a firm in seeking sustainability goals is also important in ensuring that they are well supported. A key risk that businesses face in adopting robust and rapid strategies is that their resource or infrastructure ability may not be able to support their efforts. This is a risk that can be mitigated by the inclusion of multiple systems that help determine the levels of growth and therefore organisational ability to ensure they are adequately supported.

Communication is vital to the success of any strategy that involves more than one entity. Organisational operations are shaped by multiple internal systems that have to coordinate and be in tandem for a shared goal to be attained. Communication in formulating, implementing and evaluating sustainability goals is critical for it determines the level of synergy attained by parties that have to be considered at the highlighted stages. Effective communication systems provide a stable platform for leaders to motivate employees and other stakeholders to attaining sustainability goals, help ensure that any questions and problems affecting and arising from the implementation of sustainable strategies are adequately addressed and help organisations adopt effective strategies through sharing expertise and information on sustainability. Sustainability has taken on centre stage in contemporary debates on human existence which had led to numerous studies and researchers seeking alternative inputs and efficient machines and sources of energy. Effective waste management, tree planting, electric trains and minimising the use of automobiles are all strategies that have come up as a result of awareness on sustainability (Bake  Eckerberg 2008). Firms can only adopt the most effective sustainable development strategies if they are aware of the latest and most effective strategies being adopted in addressing sustainability thus the need for good research systems.

Though an integrated approach that involves the stated multiple considerations helps in improving the chance of success in implementing sustainable operations strategy, relevance to the sustainability issues facing an organisation is a critical requirement. Addressing waste management as a sustainability issue whereas an organization is worst affected by the felling of trees does not count for an effective approach to sustainability. Firms have to analyse their operational environment so as to come up with a concise picture of the factors that affect sustainability of their operations. The available approaches to addressing various sustainability issues must also be considered before a strategy is formulated and implemented. Luckily, strategy management and planning are areas in business that have been widely researched and there are varied frameworks that organisations can use to determine and prioritise sustainability issue (Laboy-Nieves 2008). It is important to note that unlike most business needs and wants, sustainability within firms may be a result of the interaction of different causative factors. Furthermore, there are many environment and resource sustainability issues that firms address which require input by industry players and external entities to handle effectively. An issue like global warming which threatens ecotourism can not be addressed by a single firm rather it require strategies at different levels and commitment by all members of the community. In such cases there is a valid ground for sustainability agenda to be implemented in tandem with corporate social responsibility. Moreover, coordination between the different groups determines the efficacy of such efforts.
There are other sustainability issues whose address requires concise and direct steps by a firm for instance sustainable profitability and resource development. Such issues place a requirement on a firm to analyse its internal environment and capabilities so as to ensure its growth within the market, industry and as an entity is well supported. Determining and understanding the specific sustainability areas that firms have to consider can be done with the aid of existing frameworks for instance SWOT, PESTEL and Value chain analysis (Harrison  St. John 2007). It is noteworthy that such an approach ensures objectivity and improves the accuracy of sustainability strategies to a firms needs and expectations. Under integrated strategies, firms are more likely to have both internal and cooperative efforts aimed at sustainability.

Conclusion
There are several issues that firms have to consider in formulating and implementing strategies aimed at sustainable development. Appreciation of sustainability by all organisational stakeholder which is developed via their inclusion in formulating strategies  targeting sustainability, alignment of sustainability goals to organisational vision and inclusion of various strategic and  management requirements have to be considered in formulating an integrated strategy. Having effective leadership and communication systems and awareness on specific sustainability issues that affect a firm are requirements for formulating and supporting sustainability strategies. In summary, an integrated approach to sustainability requires considerations on sustainability issues and considerations on strategic issues that firms face in carrying out ordinary strategies.

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