By Nils Peters, Prof. Dr. Wolfgang Stölzle
Businesses face major demanding situations within the layout of voluntary sustainability projects (VSIs): They realize attractiveness difficulties via diverse strategic stakeholders and competition by means of competing tasks and event major source calls for had to organize VSIs and ask for extra effective options.
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Extra resources for Inter-organisational Design of Voluntary Sustainability Initiatives: Increasing the Legitimacy of Sustainability Strategies for Supply Chains
40 Sharma et al. (1999) connect these two differentiation approaches, arguing that compliance strategies aim for reduced risk and liabilities – in other words, ensuring legitimacy in order to maintain the current competitive position – whereas proactive strategies are voluntarily adopted in order to create additional competitive advantage. Firms that voluntarily undertake sustainability strategies may aim for two different types of competitive advantage. When pursuing a market-based strategy on the one hand, companies compete on the market by increasing efficiency due to the environmental sophistication of processes (by being ‘lean and green’) or targeting environmentally and socially conscious consumers and investors while proactively dealing with environmental and social problems.
Chakraborty et al. (2004: 109), in turn, view CSR as a means of “achieving commercial success in ways that honour ethical values and respect people, communities, and the natural environment”, encompassing all those actions of organisations that affect society and its wellbeing. 36 Some scholars abbreviate corporate social responsiveness as CSR too, thereby addressing what companies do in order to be socially responsible (Black, 2006). , 2008). ” 37 Another related term in the literature is corporate citizenship.
2002; 2004; 2007). According to Krause et al. (2000), coordination of supplychain members is either externalised via competitive pressures on supply-chain partners, assessment and incentives or internalised via direct involvement through specific investments into the supply chain relationships by the focal firm. , negotiations, standardisation, incentives, specific-investments). , 1998). , 2001)47, and its relational benefits (Dyer & Singh, 1998)48. 45 For the sake of completeness it has to be noted that supply chain management covers, besides the management of material and information flows across supply chains, the financial flows.