Assessing the challenges and mitigation mechanisms associated with sustainable strategies

Abstract

In recent decades, the world has undergone a medley of changes which has grown to impact all aspects of how societies’ function. The contemporary world has introduced an omnipresent component in how organisations strategise and operate: sustainability. The increasing importance of addressing, implementing, and maintaining sustainability in an organizational setting has been accompanied by a growing managerial emphasis on understanding the challenges and risks which one may face in reference to sustainable strategies. This dissertation aimed to assess the challenges highlighted by literature in application through a multiple case study of two financial services firms who are acknowledged as sustainable actors. More specifically, empirical research aimed to reveal any challenges which are not assessed by literature, and which operative mechanisms serve to mitigate the many risks associated with sustainability, to enhance success in strategies. Research conducted leads to the conclusion that sustainable strategies may face friction when looking at the ambiguity of the term “sustainability.” In addition to this, rapidly changing standards over time have led decision-makers to struggle in maintaining fixed strategies which translates into efficient measures, given the necessity to make constant modifications. Derived from the ambiguity and multi-layered nature of sustainability over time, a number of further challenges were identified. It was discovered that in order to increase preparedness for change and mitigate the risk of failure, a myriad of mechanisms are available which do indeed aid in diminishing the risk of failure and ensure success in strategy implementation over time. Measures included clearly defined definitions and guidelines over time, in addition to a strategically flexible counterpart. By assessing two firms differing in size and culture, it was discovered that highly differing measures may equally contribute to diminishing risks and challenges. More specifically, there seems to be a link between measures used and company culture and management mentality towards sustainability.

Date of Award	18 Oct 2022
Original language	English
Awarding Institution	Universidade Católica Portuguesa
Supervisor	Ann-Charlotte Teglborg (Supervisor)