Executive Summary

The report has been designed for identifying the sustainability measures that can be adopted by Gorilla Health Bars to increase the efficiency of their problems. The methods through which the information has been derived are the case study that was presented along with the use of the journal articles. The findings that have been derived indicates that there are three major difficulties that are being faced Gorilla Health Bars regarding their operations such as poor working conditions along with the increasing cost of water. Further problems have been identified with respect to the increasing transportation cost of the organization. The recommendations that have been presented are the development of the effective workplace along with the recycling of the water resources and the identification of the alternative procurement sources.

 

Introduction

The aim of the current report is to assist Gorilla Health Bars in the development of the specific recommendations related to their CSR practices. As the top management is intent to enhance the sustainability of Gorilla Health Bars; therefore, this report has been conducted to assist them in achieving their purpose.  The report has been written as the organization has been facing different challenges in conducting their operations such as the unusual temperature at the factory building which caused serious problems for the workers. Further problems that were needed to be resolved by the organization to increase their efficiency are the increasing nature of the transporting cost along with the increase in the consumption of the water which is creating a huge drain on to the resources of the organization.

The aspect of the sustainability in the business organization refers to management of the triple bottom line of an organization which includes the management of the financial, social and environmental aspects of the organization. It is further suggested that the sustainability in the management of the business does not only consider about the financial aspects of the business but it also takes a great deal of care about the impact that the activities of organization are having on the overall society and environment (Sustainability, 2015).   Considering the increasing awareness regarding the environmental issues the organizations these days are compelled to fulfil their environmental responsibilities. Achievement of the long-term sustainability requires the commitment of the top management of the organization. Furthermore, it is stated that many organizations these days include the element of sustainability within their operations to comply with the different environmental rules and regulations in different countries (Alblas, Peters and Wortmann, 2014).

One of the major advantages that an organization can obtain from the adoption of the sustainability measures is the establishment of the strong goodwill among the consumers. The use of the sustainability measures in the business organization gives confidence to the customers that the organization is not only concerned about their financial objectives but is also concerned about the impact that their activities are having on the overall society. The increase in the goodwill can directly result towards the increase in the sales and long-term profitability for the organization (Wagner, 2010). The other advantage that an organization can avail in this respect includes advantage of employee recruitment and retention as employees generally want to associate themselves with the organizations that are doing things in the right way (Eccles, Ioannou and Serafeim, 2012).

Some of the limitations that are related to this report are the problems that are linked with the operations of Gorilla Bars such as increasing transportation cost along with the increasing cost of water consumption and the lack of renovation of the office building in which they are operating. The further elements that have been covered in the report include the description of the problems that were being faced by the organization along with the presentation of the solutions of those problems and the evaluation of those solutions as well. The concluding part of the report includes the recommendations that have been put forwarded to Gorilla Health Bars to enhance their sustainability measures.

 

Problems faced by the organization

Problem 1

The first major problem that is being faced by the organization is related to the workplace condition. The case study has suggested that the factory area in which they operate has corrugated iron due to which it becomes extremely hot in the summers and extremely cold in the winter. The lack of renovation of the building was also highlighted as one of the primary reason for that. The management of the organization should invest substantial amount in the renovation of the building to provide its workers with a suitable working atmosphere. Another solution that can be presented in this respect is the use of the knowledge of the experts regarding the minor or the necessary changes that are needed in the workplace.

The investment in the development of the effective workplace or factory is beneficial for the effective growth and the development of the business as it is indicated in the literature of (Luis Daniel, 2010). However, according to Kerzner (2013), the vast development projects that are undertaken can lead towards the disruptions in the normal flow of the activities of the organization. As far as the use of experts is concerned then it is highlighted by Marques and Berg (2011), that technical expertise is essential in the development of the effective organizational infrastructure. However, the assessment of the expertise that is needed is a challenging task for the management of the organization.

Problem 2

The second problem that has been identified is the increase in the consumption of the water in the production of the health bars. The solutions that can be adopted to overcome this challenge are the recycling and reuse of the water along with the adoption of the effective water management techniques (Mckinsey, 2015). The recycling of the water is helpful in the minimization of the waste of water along with reduction of the cost that is associated with the purchase of water (Wateruseitwidely, 2015). However, recycled water can be unhygienic and can cause health related issues as well along with the involvement of the high initial cost (Dolnicar, Hurlimann and Grün, (2011). The water management technique is beneficial as it assists in the optimum use of water at the production sites. Contrary to that, intensive amount of water management can create complexities in the management of the water resources in the organization.

Problem 3

The third problem that has been highlighted is the problem of transportation cost. The transportation cost of the organization is on a rise as the Gorilla Bars procure dried tropical fruits from Darwin and grains from South Australia which increases their transportation cost. The solutions to overcome these problems are the identification of the sources that are cost-effective along with the use of effective transportation vehicles. The identification of the alternative sources reduces the dependency of the organization on a single source (Malatesta, and Smith 2011). However, the switching or the organization towards other source can be detrimental for their operations if the alternative source is unreliable. The use of effective vehicle enhances the efficiency of the business. However, increasing use of high profile vehicles can also increase the logistical cost of the organization.

 

Conclusion and recommendations

The purpose of the report is to recommend solutions to Gorilla Bars regarding the effective implementation of the sustainability measures in the organization. The findings that have been derived in the report highlights that Gorilla Bars have been facing three major problems such as increasing transportation cost, increasing water expenditures along with the sub-standard quality of the working place. It has been further analyzed that these problems are due to the lack of proper management of the resources along with the inability of the management to invest substantially to improve the condition of the workplace in which they are carrying out their operations.

The recommendation that can be provided to the organization related to the problem of workplace is the substantial amount of investment as it will assist in the increase in the efficiency of the organization. Recommendation related to the problem of water usage can be solved by the effective recycling of the water resources. The recycling of the water resources is favourable for the environment and reduces the possibility of water shortage. Finally it has been recommended that in order to overcome the problem of transportation Gorilla Bars can identify alternative procurement sources to avoid heavy dependency on a single source.

 

References

Alblas, A.A., Peters, K. and Wortmann, J.C., 2014. Fuzzy sustainability incentives in new product development: An empirical exploration of sustainability challenges in manufacturing companies. International Journal of Operations & Production Management, 34(4), pp.513-545.

Dolnicar, S., Hurlimann, A. and Grün, B., 2011. What affects public acceptance of recycled and desalinated water?. Water research, 45(2), pp.933-943.

Eccles, R.G., Ioannou, I. and Serafeim, G., 2012. The impact of a corporate culture of sustainability on corporate behavior and performance (No. W17950). National Bureau of Economic Research.

Epstein, M.J. and Buhovac, A.R., 2014. Making sustainability work: Best practices in managing and measuring corporate social, environmental, and economic impacts. Berrett-Koehler Publishers.

Kerzner, H.R., 2013. Project management: a systems approach to planning, scheduling, and controlling. John Wiley & Sons, (UK)

Luis Daniel, J., 2010. The effect of workplace spirituality on team effectiveness. Journal of Management Development, 29(5), pp.442-456.

Malatesta, D. and Smith, C.R., 2011. Resource dependence, alternative supply sources, and the design of formal contracts. Public Administration Review, 71(4), pp.608-617.

Marques, R.C. and Berg, S., 2011. Risks, contracts, and private-sector participation in infrastructure. Journal of Construction Engineering and Management, 137(11), pp.925-932.

Mckinsey and Publication (2015) the business opportunity in water conversation [online] Available at http://www.mckinsey.com/insights/energy_resources_materials/the_business_opportunity_in_water_conservation [Accessed on 23rd December 2015]

Victoria State Government [2015] Sustainability Victoria [Online] Available at http://www.sustainability.vic.gov.au/ [Assessed on 23^rd December 2015]

Wagner, M., 2010. The role of corporate sustainability performance for economic performance: A firm-level analysis of moderation effects.Ecological Economics, 69(7), pp.1553-1560.

Water use it wisely [Online] Available at http://wateruseitwisely.com/ [Assessed on 23^rd December 2015]