MCE/MCE+1 – Blog Post Prompt – July 17, 2019 – Shared Value/Triple Bottom Line
Your Name: Connor Damon
Shared Value – People/Planet/Profit: The shared value approach to analysis for business decision-makers has a conceptual focus through perspectives like the “Triple Bottom Line” – in which a manager reviews how a business model addresses issues of People, Planet and Profit. Based on what you see in the 55 second video on Thread International, how is Thread’s business model reflective of People, Planet and Profit:
Thread uses recycled plastics and garbage to create a thread to use in the production of clothing and other textiles, which helps get garbage off the street and out of landfills, putting it to a better and more environmentally friendly use. This helps the planet immediately by depleting the surplus of plastic that fills the world’s landfills, while also helping the people in lower-income communities sustain a higher quality of life. Thread also hires locals in these lower-income communities to help produce and distribute the products that are created with the recycled fibers. The profit in Thread’s business model comes from selling their products that have been created from the threads as well as selling the thread itself to companies such as Timberland, who uses it in some of their products.
Shared Value – Social/Economic/Environmental : The shared value perspective to analysis for business decision-makers through measurement approaches like documenting Social Sustainability, Economic Sustainability and Environmental Sustainability. Based on what you see in the 55 second video on Thread International (also on the website), how does Thread International demonstrate its impact in one (or more) of these areas:
I personally believe that Thread’s business model does a seemingly good job at addressing all three of these areas regarding sustainability. They improve social sustainability by giving workers in lower-income communities, such as the workers in Homewood, PA, the opportunity to create something and make money, while also creating for the communities a higher standard of living by getting rid of the garbage on the streets and in the landfills. Thread’s model is economically sustainable because if humans continue to consume, there will be an abundance of trash, and thus Thread will virtually never run out of the materials to make their products. This venture is also environmentally sustainable because it helps clean the trash out of the environment, benefitting humans, plants, and animals alike as this diminishes the spread of harmful toxins in the environment.
Other Examples Like This?: As a future manager facing complex environments, where do you see the utility of either of these approaches to shared value in your future work?
I think that the “Triple Bottom Line” is an interesting concept to base a business around because it forces the manager and the employees to remain open-minded about the externalities that result from their actions in the private and business worlds. Likewise, the TBL inspires morality and integrity in the business world and encourages people to think about the bigger picture of business rather than the smaller picture of personal gain. In the future, I think it will be imperative to adopt an approach similar to the TBL because the world is growing increasingly more environmentally conscious, and the work that companies do is essentially all out in the open, thanks to social media, making it harder for companies to not consider people as an important portion or segment of their ultimate bottom line.