IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v11y2019i18p4871-d264672.html
   My bibliography  Save this article

The Distribution of Sustainable Decision-Making in Multinational Manufacturing Enterprises

Author

Listed:
  • Therese Fagerlind

    (Department of Industrial Engineering and Management, KTH, Royal Institute of Technology, 10044 Stockholm, Sweden)

  • Martin Stefanicki

    (Department of Industrial Engineering and Management, KTH, Royal Institute of Technology, 10044 Stockholm, Sweden)

  • Andreas Feldmann

    (Department of Industrial Engineering and Management, KTH, Royal Institute of Technology, 10044 Stockholm, Sweden)

  • Jouni Korhonen

    (Department of Sustainable Production Development, KTH, Royal Institute of Technology, 10044 Stockholm, Sweden)

Abstract

In order to contribute to research on implementing business sustainability, this study aims to explore the distribution of decision-making authority related to economic, environmental, and social sustainability. Sustainability objectives between different organizational levels in multinational manufacturing enterprises (MMEs) are investigated. The research is fundamentally exploratory. We conducted a multiple case study endeavor with nine participating case organizations. The study identified five different decision-making approaches to sustainability in multinational manufacturing enterprises. The findings showed that there was no consistent way of deciding upon sustainability issues. Some case organizations seemed to regard sustainability as a global concern, while others regarded it as a more local concern. In general, the economic sustainability dimension was regarded as more of a global concern, while the environmental dimension was more of a local concern, and the social dimension more of an integrated concern. The findings of this study can act as guidance for managers when implementing or improving sustainability strategies. The findings will also serve as a map to navigate and understand what should be given the strongest priority in different situations concerning decision-making relating to sustainability in manufacturing processes and networks.

Suggested Citation

  • Therese Fagerlind & Martin Stefanicki & Andreas Feldmann & Jouni Korhonen, 2019. "The Distribution of Sustainable Decision-Making in Multinational Manufacturing Enterprises," Sustainability, MDPI, vol. 11(18), pages 1-17, September.
  • Handle: RePEc:gam:jsusta:v:11:y:2019:i:18:p:4871-:d:264672
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/11/18/4871/pdf
    Download Restriction: no

    File URL: https://www.mdpi.com/2071-1050/11/18/4871/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Gunasekaran, Angappa & Spalanzani, Alain, 2012. "Sustainability of manufacturing and services: Investigations for research and applications," International Journal of Production Economics, Elsevier, vol. 140(1), pages 35-47.
    2. Golini, Ruggero & Longoni, Annachiara & Cagliano, Raffaella, 2014. "Developing sustainability in global manufacturing networks: The role of site competence on sustainability performance," International Journal of Production Economics, Elsevier, vol. 147(PB), pages 448-459.
    3. Rupert J. Baumgartner, 2014. "Managing Corporate Sustainability and CSR: A Conceptual Framework Combining Values, Strategies and Instruments Contributing to Sustainable Development," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 21(5), pages 258-271, September.
    4. Thomas P. Seager, 2008. "The sustainability spectrum and the sciences of sustainability," Business Strategy and the Environment, Wiley Blackwell, vol. 17(7), pages 444-453, November.
    5. Jouni Korhonen, 2003. "Should we measure corporate social responsibility?," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 10(1), pages 25-39, March.
    6. R. J. Welford, 1998. "Editorial: Corporate environmental management, technology and sustainable development: postmodern perspectives and the need for a critical research agenda," Business Strategy and the Environment, Wiley Blackwell, vol. 7(1), pages 1-12, February.
    7. Longoni, Annachiara & Golini, Ruggero & Cagliano, Raffaella, 2014. "The role of New Forms of Work Organization in developing sustainability strategies in operations," International Journal of Production Economics, Elsevier, vol. 147(PA), pages 147-160.
    8. Colin Hales, 1999. "Leading Horses to Water? The Impact of Decentralization on Managerial Behaviour," Journal of Management Studies, Wiley Blackwell, vol. 36(6), pages 831-851, November.
    9. Chen, Lujie & Olhager, Jan & Tang, Ou, 2014. "Manufacturing facility location and sustainability: A literature review and research agenda," International Journal of Production Economics, Elsevier, vol. 149(C), pages 154-163.
    10. Michael Gibbert & Winfried Ruigrok & Barbara Wicki, 2008. "What passes as a rigorous case study?," Strategic Management Journal, Wiley Blackwell, vol. 29(13), pages 1465-1474, December.
    11. Korhonen, Jouni & Snäkin, Juha-Pekka, 2015. "Quantifying the relationship of resilience and eco-efficiency in complex adaptive energy systems," Ecological Economics, Elsevier, vol. 120(C), pages 83-92.
    12. Rajesh Kumar Singh & H.R. Murty & S.K. Gupta, 2007. "An approach to develop Sustainability Management Systems in the steel industry," World Review of Entrepreneurship, Management and Sustainable Development, Inderscience Enterprises Ltd, vol. 3(1), pages 90-108.
    13. Epstein, Marc & Roy, Marie-Josée, 1998. "Managing corporate environmental performance:: A multinational perspective," European Management Journal, Elsevier, vol. 16(3), pages 284-296, June.
    14. Marian Chertow & John Ehrenfeld, 2012. "Organizing Self‐Organizing Systems," Journal of Industrial Ecology, Yale University, vol. 16(1), pages 13-27, February.
    15. Gimenez, Cristina & Sierra, Vicenta & Rodon, Juan, 2012. "Sustainable operations: Their impact on the triple bottom line," International Journal of Production Economics, Elsevier, vol. 140(1), pages 149-159.
    16. Jouni Korhonen & Fredrik von Malmborg & Peter A. Strachan & John R. Ehrenfeld, 2004. "Management and policy aspects of industrial ecology: an emerging research agenda," Business Strategy and the Environment, Wiley Blackwell, vol. 13(5), pages 289-305, September.
    17. Berkhout, Peter H. G. & Muskens, Jos C. & W. Velthuijsen, Jan, 2000. "Defining the rebound effect," Energy Policy, Elsevier, vol. 28(6-7), pages 425-432, June.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Ramin Gharizadeh Beiragh & Reza Alizadeh & Saeid Shafiei Kaleibari & Fausto Cavallaro & Sarfaraz Hashemkhani Zolfani & Romualdas Bausys & Abbas Mardani, 2020. "An integrated Multi-Criteria Decision Making Model for Sustainability Performance Assessment for Insurance Companies," Sustainability, MDPI, vol. 12(3), pages 1-24, January.
    2. Adolfo Carballo-Penela & Emilio Ruzo-Sanmartín & Carlos M. P. Sousa, 2020. "Influence of Business Commitment to Sustainability, Perceived Value Fit, and Gender in Job Seekers’ Pursuit Intentions: A Cross-Country Moderated Mediation Analysis," Sustainability, MDPI, vol. 12(11), pages 1-18, May.
    3. Teresa Kupczyk & Andrzej Wiatrak & Elwira Gross-Golacka & Joanna Kubicka, 2022. "Evaluation of Corporate Sustainability Strategies and Practices in this Area in the Opinion of Employees – A Comparative Analysis in Poland and India," European Research Studies Journal, European Research Studies Journal, vol. 0(4), pages 308-322.
    4. Jouni Korhonen & Birk Granberg, 2020. "Sweden Backcasting, Now?—Strategic Planning for Covid-19 Mitigation in a Liberal Democracy," Sustainability, MDPI, vol. 12(10), pages 1-15, May.
    5. Teresa Kupczyk & Elwira Gross-Golacka & Joanna Kubicka, 2023. "Training Employees in Sustainability and Assessing their Ability to Implement Bottom-up Changes in Companies for the Green Revolution – A Comparative Analysis in Poland and India," European Research Studies Journal, European Research Studies Journal, vol. 0(1), pages 94-107.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Korhonen, Jouni & Honkasalo, Antero & Seppälä, Jyri, 2018. "Circular Economy: The Concept and its Limitations," Ecological Economics, Elsevier, vol. 143(C), pages 37-46.
    2. Jouni Korhonen & Birk Granberg, 2020. "Sweden Backcasting, Now?—Strategic Planning for Covid-19 Mitigation in a Liberal Democracy," Sustainability, MDPI, vol. 12(10), pages 1-15, May.
    3. Chen, Lujie & Zhao, Xiande & Tang, Ou & Price, Lydia & Zhang, Shanshan & Zhu, Wenwen, 2017. "Supply chain collaboration for sustainability: A literature review and future research agenda," International Journal of Production Economics, Elsevier, vol. 194(C), pages 73-87.
    4. Jouni Korhonen & Thomas P. Seager, 2008. "Beyond eco‐efficiency: a resilience perspective," Business Strategy and the Environment, Wiley Blackwell, vol. 17(7), pages 411-419, November.
    5. Vickie Coleman Gallagher & Mary Wilson Hrivnak & Sorin Valcea & Christine Brown Mahoney & Diane LaWong, 2018. "A comprehensive three‐dimensional sustainability measure: The ‘missing P’ of ‘people’ – a vital stakeholder in sustainable development," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 25(5), pages 772-787, September.
    6. Wilhelm, Miriam & Blome, Constantin & Wieck, Ellen & Xiao, Cheng Yong, 2016. "Implementing sustainability in multi-tier supply chains: Strategies and contingencies in managing sub-suppliers," International Journal of Production Economics, Elsevier, vol. 182(C), pages 196-212.
    7. Guo‐Ciang Wu, 2017. "Effects of Socially Responsible Supplier Development and Sustainability‐Oriented Innovation on Sustainable Development: Empirical Evidence from SMEs," Corporate Social Responsibility and Environmental Management, John Wiley & Sons, vol. 24(6), pages 661-675, November.
    8. Sarah Behnam & Raffaella Cagliano, 2016. "Be Sustainable to Be Innovative: An Analysis of Their Mutual Reinforcement," Sustainability, MDPI, vol. 9(1), pages 1-18, December.
    9. Xiao, Chengyong & Wang, Qian & van der Vaart, Taco & van Donk, Dirk Pieter, 2018. "When Does Corporate Sustainability Performance Pay off? The Impact of Country-Level Sustainability Performance," Ecological Economics, Elsevier, vol. 146(C), pages 325-333.
    10. Golini, Ruggero & De Marchi, Valentina & Boffelli, Albachiara & Kalchschmidt, Matteo, 2018. "Which governance structures drive economic, environmental, and social upgrading? A quantitative analysis in the assembly industries," International Journal of Production Economics, Elsevier, vol. 203(C), pages 13-23.
    11. Korhonen, Jouni & Snakin, Juha-Pekka, 2005. "Analysing the evolution of industrial ecosystems: concepts and application," Ecological Economics, Elsevier, vol. 52(2), pages 169-186, January.
    12. Yousif Munadhil Ibrahim & Norsiah Hami & Susan Sabah Abdulameer, 2020. "Assessing Sustainable Manufacturing Practices and Sustainability Performance Among Oil and Gas Industry in Iraq," International Journal of Energy Economics and Policy, Econjournals, vol. 10(4), pages 60-67.
    13. Ozgur Isil & Michael T. Hernke, 2017. "The Triple Bottom Line: A Critical Review from a Transdisciplinary Perspective," Business Strategy and the Environment, Wiley Blackwell, vol. 26(8), pages 1235-1251, December.
    14. Fung, Yi-Ning & Chan, Hau-Ling & Choi, Tsan-Ming & Liu, Rong, 2021. "Sustainable product development processes in fashion: Supply chains structures and classifications," International Journal of Production Economics, Elsevier, vol. 231(C).
    15. Marc J. Epstein & Marie‐Josée Roy, 2007. "Implementing a corporate environmental strategy: establishing coordination and control within multinational companies," Business Strategy and the Environment, Wiley Blackwell, vol. 16(6), pages 389-403, September.
    16. Jarmo Uusikartano & Hannele Väyrynen & Leena Aarikka-Stenroos, 2020. "Public Agency in Changing Industrial Circular Economy Ecosystems: Roles, Modes and Structures," Sustainability, MDPI, vol. 12(23), pages 1-27, November.
    17. Anette Hallin & Tina Karrbom‐Gustavsson & Peter Dobers, 2021. "Transition towards and of sustainability—Understanding sustainability as performative," Business Strategy and the Environment, Wiley Blackwell, vol. 30(4), pages 1948-1957, May.
    18. Luzzini, Davide & Brandon-Jones, Emma & Brandon-Jones, Alistair & Spina, Gianluca, 2015. "From sustainability commitment to performance: The role of intra- and inter-firm collaborative capabilities in the upstream supply chain," International Journal of Production Economics, Elsevier, vol. 165(C), pages 51-63.
    19. Silvia Amato, 2016. "East Asia Industrial Conversion Activity: Outlook at Post-Disaster Crisis Assessments with Technology Integration and Competitive Assimilation Modes," China Economic Policy Review (CEPR), World Scientific Publishing Co. Pte. Ltd., vol. 5(01), pages 1-44, June.
    20. Liu, Yang & Zhu, Qinghua & Seuring, Stefan, 2017. "Linking capabilities to green operations strategies: The moderating role of corporate environmental proactivity," International Journal of Production Economics, Elsevier, vol. 187(C), pages 182-195.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jsusta:v:11:y:2019:i:18:p:4871-:d:264672. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.