How To Understand How Sustainable Development Is About Economic Growth

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1 Understanding sustainability Dr Nick Barter and Dr Sally Russell MBA Program and the Asia Pacific Centre for Sustainable Enterprise Griffith Business School, Griffith University

2 Griffith MBA Values If you undertake the Griffith MBA you will graduate with an understanding of responsible leadership, sustainable business practices and what it means to work globally within the Asian Century - as such you will be equipped to be an effective businessperson in the 21 st century. Responsible leadership Giving our students the knowledge and skills and values to encourage them to become responsible leaders in the future, with a concern for planet and people as well as profit. Sustainable business practices Researching, developing and promoting social, financial and environmental approaches that lead to sustainable businesses and communities. Global orientation Providing education and research that recognises we operate in a fast-changing global environment, and that prepares global citizens, with a special focus on the Asia Pacific region.

3 Abstract This paper explores the meaning of sustainable development. It does this by looking at the concept through the lens of two United Nations publications. The documents, published 25 years apart, highlight how sustainable development is primarily concerned with ensuring economic growth. However in ensuring economic growth the challenge is to move away from traditional modes of thinking that treat the environment as a separable concern. In this regard as indicated below it is important to understand that sustainable development is not about saving the environment and to think in such a way is naive. Rather sustainable development is a concept to be embraced by corporate strategists in the pursuit of new value frontiers that will enable continued economic growth and prosperity that can be shared by all.

4 Introduction This essay provides a brief commentary on the concept of Sustainable Development across the space of 25 years. It does this by discussing two United Nations (UN) publications. The first is Our Common Future (World Commission on Environment and Development (WCED, 1987). A publication that numerous authors agree brought the concept to popular attention. The second is Resilient People, Resilient Planet: A Future Worth Choosing (United Nations Secretary-General s High Level Panel on Global Sustainability (UNSGHLPS, 2012), a report that aims to reaffirm... [the]...landmark report that is Our Common Future (UNSGHLPS, 2012, p. 11). In exploring these two publications, the commentary that follows brings forward how sustainable development is about economic growth and new forms of thinking for corporate strategists. Our Common Future - Economic Growth and a Challenge to Understandings Our Common Future (WCED) was published in In it sustainable development is discussed as a global agenda for change (WCED, 1987, p. ix) that cuts across the divides of national sovereignty, of limited strategies for economic gain, and of separated disciplines of science (ibid, 1987, p. x). Further sustainable development is argued as striving for new norms of behaviour at all levels and in the interests of all (WCED 1987, p. xiv). Where sustainable development will unleash a new era of economic growth... [where that]...growth that is forceful and at the same time socially and environmentally sustainable (WCED 1987, p. xii). To enable continued economic growth, Our Common Future suggests that humanity needs to move away from categorical thinking, thinking that for example, separates humans and nature and treats them as separate categories. To explain, Our Common Future outlines how until recently the planet was a large world in which human activities and their effects were neatly compartmentalised within nations, within sectors and within broad areas of concern (environmental, economic, social)...[however] these compartments have begun to dissolve (WCED, p.4). And now, ecology and economy are becoming ever more interwoven into a seamless net of causes and effects (ibid, p.5). Thus because the real world of interlocked economic and ecological systems will not change (ibid, p. 9) there are problems for 1

5 institutions, national and international, that were established on the basis of narrow preoccupations and compartmentalised concerns (ibid, p.9). With a key understanding through all this being that the environment does not exist as a sphere separate from human actions, ambitions, and needs, and attempts to defend it in isolation from human concerns have given the very word environment a connotation of naivety (WCED, p. xi). In sum Our Common Future indicates a move away from distinction and difference where things have intrinsic attributes and exist independently and in advance of their relations with anything else (Ingold, 2011). Rather it points towards considerations whereby things are not bounded entities set aside from their surroundings (Ingold, 2011, p. xv), rather things are a nexus of creative growth and development within an unbounded and continually unfolding field of relations (ibid). By moving to a new way of thinking there are inherent challenges to traditional understandings of business, organisations and strategy. Nevertheless the argument offered in Our Common Future is clear, new ways of thinking that moves us away from narrow concerns are needed in order to enable a new era of economic growth (WCED, p.1). Resilient People, Resilient Planet A Business Plan Resilient People, Resilient Planet: A Future Worth Choosing builds upon Our Common Future (1987). This 2012 publication argues that sustainable development provides the best opportunity for people to choose their future (UNSGHLPS, 2012, p.6) and that the choosing of sustainable development will help in delivering a long term vision to eradicate poverty, reduce inequality and make growth inclusive, and production and consumption more sustainable (UNSGHLPS, 2012, p.6). In a similar fashion to Our Common Future, it argues that in order to deliver sustainable development there is a requirement for economic growth and a shift to green growth (ibid, p. 7) where social and environmental costs are fully accounted for and a new range of progress measures brought forward. Further a key requirement to enabling sustainable development is empowering people to make sustainable choices (UNSGHLPS, 2012, p.6) and that real choice is only possible once human rights, basic needs, human security and human resilience are assured (ibid, p.6). To develop its argument a series of recommendations are offered. These recommendations fall into three key areas (1) empowering people to make sustainable choices, (2) working towards a sustainable economy and (3) strengthening institutional governance. While these recommendations are important, 2

6 the role of organisations and in particular corporate strategists (UNSGHLPS, 2012, p.22) is discussed as being critical. This is because corporate strategists are viewed as key players who can enable new innovations, practices and technologies which can help realise sustainable outcomes. Discussion While much has changed in the last 25 years one thing has remained constant. Sustainable development is not about saving the environment it is about economic growth and in turn new ways of thinking for corporate strategists and business organisations. The challenges the concept lays down are with regard to individualistic, narrow strategies for organisations. Challenges that also impact the conventional theories of business and organisations taught in many business schools. To enable sustainable development organisations have to develop new understandings of what they are and aren t responsible for and in turn this means new models, theories and concepts. Often sustainable development is discussed using the heuristics of fear and hope (Pesquex, 2009, p. 231). The use of fear and hope are not helpful and they can result in the concept being dismissed as just being about saving the environment or being a slogan (Banerjee, 2011), an ideal like love or patriotism (Mitcham, 1995, p. 311) or a cliché akin to motherhood and apple pie (Lele, 1991). While dismissing the concept is perhaps useful if there is a desire to avoid change or new thinking. The dismissal also closes down new avenues of growth. To close, Our Common Future highlights the environment does not exist as a sphere separate from human actions, ambitions, and needs, and attempts to defend it in isolation from human concerns have given the very word environment a connotation of naivety (ibid, p. xi). Consequently sustainable development is not about saving the environment, because to do so separate humans from the environment. Rather the environment is a relative term, relative to humans or any other being whose environment it is (Ingold, 2011). Thus as told through Our Common Future and Resilient People, Resilient Planet sustainable development is a concept that will enable human progress through continued economic growth. Further it is a call for humanity to realise its fullest potential as managers of the earth and our future on it (Yates, 2012, p. 22) a call which demands a new type of corporate strategist. 3

7 References Banerjee, SB (2011) Embedding Sustainability across the organisation: A Critical Perspective Academy of Management Learning and Education, 10:4, pp Ingold, T (2011) The Perception of the Environment, London: Routledge. Lele, S (1991) Sustainable Development: A Critical Review World Development, 19:6, pp Mitcham, C. (1995) The concept of sustainable development: Its origins and ambivalence Technology in Society, 17:3, pp Pesquex, Y. (2009) Sustainable development: a vague and ambiguous theory Society and Business Review, 4:3, pp United Nations Secretary General s High Level Panel on Global Sustainability (2012) Resilient People, Resilient Planet: A future worth choosing. New York: United Nations World Commission on Environment and Development (1987) Our Common Future, Oxford: Oxford University Press. Yates, J J (2012) Abundance on Trial: The Cultural Significance of Sustainability The Hedgehog Review, Summer, pp

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