THE CONCEPT OF MANAGING ENTERPRISE SUSTAINABLE DEVELOPMENT

Keywords: sustainable development, sustainability, environmental safety, economic stability, social wellbeing

Abstract

At the center of economic and social  development of environmentally friendly business there is a concept of sustainable development, which was originally formulated for solving problems of society. However it has eventually become the basis for the study of trends in enterprise development. An important element of the sustainability management system is the choice of mechanisms for responding to changes in the operating environment. The article clarifies the term “the sustainable development of an enterprise” as well as the essence of approaches to the classification of types of enterprise sustainability. It is emphasized that sustainable development at the micro level is possible when a balanced solution to problems of an economic, social and environmental components is provided. The proposed concept of sustainable enterprise management has two levels: theoretical one, which implies the formation of theoretical foundations of sustainable development as a basis for the development of new management approaches from the standpoint of sustainability; practical one, which should ensure the prediction of sustainability of enterprises. The universality of the concept has been proved by constructing a casual loop diagram to illustrate the interaction of influence factors among themselves and on the sustainable development of the enterprise. The authors consider that the interactions of existing subsystems of enterprise generate and increase a certain level of enterprise development potential, which can be the basis for the further development of the company. For implementation of the concept in management practices there has been proposed a schematic expression of the conceptual model which represents stages and tools the implementation of which will provide a solution to the problem of managing enterprise sustainable development. The authors consider that the shifts in sustainable management will allow enterprises to implement the integrated policy of managing needed changes, which will help to optimize business processes, to ensure the necessary level of transparency in the functioning and compliance with the foundations of sustainable development.

References


1. Daly H.E. (1995). On Wilfred Beckerman’s Critique of Sustainable Development. Environmental Values. Vol. 4, pp. 49–55.
2. Fien J., Macclean R.& Park M.-G. (2009). Work, learning and sustainable development. Opportunities and challenges. Technical and vocational education and training: Issues, concerns and prospects. Vol. 8. 516 p.
3. Jackson, T. (2011). Prosperity without Growth: Economics for a Finite Planet. Earthscan. 276 p. DOI: 10.1016/j.ecolecon.2010.07.019
4. Kasych A., Vochozka M. (2017). Theoretical and methodical foundations of sustainable management in modern companies. Marketing and management of innovations. Vol. 2, pp. 298–305.
5. Kasych A., Vochozka M. (2018). Medothological support of the enterprise sustainable development management. Marketing and management of innovations. Vol. 1, pp. 371–381.
6. Kasych A., Vochozka M. (2019). The Choice of Methodological Approaches to the Estimation of Enterprise Value in Terms of Management System Goals. QUALITY Access to Succes. Vol. 20, no. 169, рр. 3–9.
7. Meadows D.H., Randers J., Behrens W.W. (1972). The Limits to Growth. Universe Books, New York, NY. 161 p.
8. Simms A., Johnson V. Growth Isn’t Possible. URL: http://www.neweconomics.org/publications/entry/growth-isnt-possible. (accessed 14 November 2019)
9. Artyukhov V.V. (2014). Obshchaya teoriya sistem: Samoorganizatsiya, ustoychivost, raznoobraziye, krizisy [General systems theory: self-organization, sustainability, diversity, crises]. Moscow : Knizhnyy dom «Librokom», 224 p. [in Russian]
10. Gusarov Yu.V. (2003). Upravlenie: dinamika neravnovesnosti : nauch. izdanie [Management: non-equilibrium dynamics]. Moscow : Ekonomika, 382 p. [in Russian]
11. Kasych A.O., Glushchenko D.O. (2016). Teoretichnі ta praktichnі aspekti upravlіnnya konkurentospromozhnіstyu pіdpriєmstva [Theoretical and practical aspects of enterprise competitiveness management]. Economy and the state, no. 11, pp. 65–70. [in Ukrainian]
12. Novikova O.F., Amosha A.I., Antonyuk, V.P. (2012). Staliy rozvitok promislovogo regіonu: sotsіalnі aspekti [Sustainable development of the industrial region: social aspects]. Donetsk : NAN of Ukraine, Іnstitut yekonomіko-pravovikh doslіdzhen, 534 p. [in Ukrainian]
13. Eshbi U.R. (1959). Vvedenie v kibernetiku [Introduction to cybernetics]. Moscow : Foreign Literature Publishing House, 432 p. [in Russian]
Published
2019-12-25
Pages
75-81
Section
SECTION 3 ECONOMY AND ENTERPRISE MANAGEMENT