Strategies of Sustainable Management and Business Performance: An Analysis in Innovative Companies

Abstract

The main objective of the study was to understand how sustainable business strategies relate to business performance considering different sectors, sizes and levels of international integration. Thus, we identified the major social and environmental management practices of Brazilian companies and the leading indicators that make up the performance of the companies surveyed. The research was characterised as a quantitative research. Among the main aspects highlighted in the analysis one should mention the supremacy of the environmental variable in the relationship with the business performance. With less intensity arise the variable reputation/image, showing that this variable is among the priorities in the socio-environmental agenda of companies. The social variable seems to be among the least concerns of firms, or it is not yet seen by managers as a strategic element to their business competitiveness. The methodological procedures adopted allow us to confirm the existence of a relationship between socio-environmental management practices and business performance.

Power of Innovation on Performance and Socio-Environmental Sustainability

“…In addition to that, the company's ability to adopt environmental practices focused on reducing the energy consumption and the pollution, as well as the establishment of partnerships with suppliers and other institutions to implement those practices, has a positive impact in market performance. Annunziata et al (2018) and Gomes et al (2013) say that companies tend to integrate corporate sustainability practices with organizational performance. Despite the model expressed in studies, in which socio-environmental practices influence performance, this study points out that performance influences socio-environmental practices.…”

“…We understand performance is made of several dimensions, and unlike financial measures, nonfinancial measures can provide strategic information, such as some projections to prevent, anticipate and influence future results, constituting trend indicators. It does not mean that financial measures should be abandoned, but when it comes to evaluating strategies, it is necessary to complement them with nonfinancial measures (Bititci et al, 1997;Gomes et al, 2013). H3: Performance in product, market and technical innovation has a positive and significant relation with social and environmental sustainability.…”

Innovation and Performance: An Analysis of Sustainable Firms in Brazil and Europe

“…While exploitative (incremental) innovation meets short-term market demands, exploratory innovation strengthens competitive advantage in the long run. Thus, by carefully balancing investments in innovation, firms can consolidate their competitive advantage, aggregate value and boost long-term performance (Gomes et al, 2013). Almahendra and Ambos (2015) highlight that, due to limited corporate resources, the choice of type of innovation (exploratory vs. exploitative) for the organizational structure involves tradeoffs which are often determined by the expected impact of innovation on performance.…”

Capacidades organizacionais para a inovação frugal

“…Pode ser perceber então, que ser socialmente responsável não implica o abandono, pôr da administração do negócio dos objetivos econômicos e não atender os interesses dos proprietários e acionistas. Em vez disso, uma empresa é socialmente responsável se eles desempenham um papel social na comunidade através da produção de bens e serviços, gerando empregos e retorno aos acionistas dentro das normas legais e éticas da sociedade (Gomes, Scherer, Gonçalves De Menezes, Da Luz Neto, & Kruglianskas, 2013).…”

“…O desenvolvimento de um modelo de inovação sustentável, onde as empresas possam inovar de forma sustentável e ao mesmo tempo aumentar a sua competitividade nos mercados globais, atendendo as exigências e regulações internacionais é um desafios do milênio para as entidades econômicas (Gomes et al 2013;Nidumolu, Prahalad, Rangaswami 2009).…”