The role of organizational culture and structure in implementing sustainability initiatives

Abstract

AbstractTo address the multiple grand challenges facing humanity, there is an urgent need for businesses to become more sustainable. This study explores the implementation of sustainability initiatives through an interview‐based single case study of an organization in the food and beverage industry. Specifically, this study adopts a Natural‐Resource‐Based View of the firm to examine the role of organizational culture and structure in the implementation process. It argues that to successfully implement sustainability initiatives, a flexible structure and a green organizational culture grounded in a shared sustainability vision are essential. The findings reveal that, despite the in‐practice flat organizational structure of the case organization, there was limited knowledge of the organization's sustainability vision among organizational members across all organizational levels. This could be attributed to a lack of internal communication within the organization, which constitutes a barrier to the successful dissemination of green values throughout the organization's family‐like, inclusive, and diverse work environment. This study proposes a three‐part approach for practitioners attempting to implement sustainability initiatives: (1) enhance organizational awareness and communication of the sustainability vision; (2) cultivate a green organizational culture; and (3) advocate for a collaborative, inclusive and decentralized approach to fostering sustainability. This approach is vital not only for sustaining the organization's competitive advantage but also for achieving improved environmental and social outcomes.