Linking strategy with sustainable development.

Abstract

The population growth and sophisticated demands of present day lifestyle place

tremendous pressure on organisations resulting in industrialisation and diminishing

the planets natural resources. Sustainability of the environment for both the present

and future generations calls for a paradigm shift of stakeholders especially business

organisations to take measures to curb wastage and become more environmentally

conscious.

A business's survival depends on the strategy it pursues in conjunction with the

demands it faces in its operating environment. This thesis has evaluated Total's

business using the tools of strategic management and studies the sustainable

development strategies and initiatives adopted by this multinational corporation. The

study is exploratory and links Total's business strategy to sustainable development.

An in depth literature review was carried out on the theoretical aspects of strategic

management and sustainable development. These included the strategic process,

macro; industry; and internal environments, Porter' five forces model, core

competencies, strategic intent, and the evaluation of strategy using the criteria of

suitability, acceptability and feasibility by Johnson and Scholes.

This followed through with a discussion of the major landmarks on sustainable

development including the World Conservation Strategy, Brundtland Report,

evolution of sustainable development, evaluation criteria, indicators, and the

development of a model that was used in chapter four.

The case study of Total is also presented discussing historical, financial, strategic and

sustainable development material both at Total's international operations in France

and the South African subsidiary.

The research findings indicate that Total is a world-class company demonstrating

success in the business, environmental and social arenas. It committed resources to

both sustainable development and business development, producing good results in

2003. The company acceded to the requirements of Agenda 21, which called on

countries to reduce pollution, emissions and the use of precious natural resources.

Governments need to lead this change but emphasises that everyone can play their

part in tackling non-sustainable practices. In this way, local actions can lead to the

solution of global problems.

Successful realisation of sustainable development involves a change in both ideas and

actions. Globally sustainable development has gained prominence and hence it is time

that it became an integral component of the strategy development process.