Analysis of the sustainability management -Essay

Introduction:

Sustainability is defined as the process of support and maintenance over a long period. In terms of business sustainability practices are policies and regulations that prevent the depletion of natural resources so that humanity can exist for longer periods. Sustainability practices are policies that are essential to counter the present and future global issues that are not confined to the environmental context (Ruggerio,2021). Sustainability analysis is the strategic process of implementing sustainability requirements in the organisational goals, including social, economic and ecological factors to ensure the viability and success of the organisation for a long time (Torelli et al, 2020).

This analysis provides insight into the practices implemented by Orica in the sustainability change matrix and provides it with strategies to further achieve its ideal position. Orica is considered one of the leading mining industries and provides infrastructure solutions. It produces and supplies explosives, mining chemicals and geotechnical monitoring services with cutting-edge digital solution, it claims to sustainably mobilize the earth's resources (Orica, 2019)

Critical analysis of the sustainability management

As a mining industry, Orica has a crucial role to play when it comes to addressing climate change and protecting the environment, it aims to reduce its environmental footprint and deliver a commercially beneficial solution that helps the organisation achieve its sustainability goals.

Orica's sustainability strategy includes collaboration with the customers and other stakeholders to work towards the mining industry's biggest issue of reducing carbon print to nearly zero in the future. The company aims to mobilise the resources, minerals and metals that are essential for the global economy, grow and reach net zero emissions. It will be achieved by innovation and advancing the technology all across the mining value chain and reaching the decarbonization level efficiently. The core pillar of the company's strategy is promise to achieve net zero emissions by 2050(Orica, 2024).

Figure 1 ;(Ashraf et al., 2012)

According to Ashraf et al. (2012), a sustainability change matrix is a framework that serves as a basis to identify the performance of an organisation and provide a guideline to acquire sustainability. There can be pathways that change the infrastructure, such as diagonal change which is implemented when change is needed for unsustainable organisations to move towards sustainability while lateral change whether vertical or horizontal is needed for socio-economic and eco-friendly infrastructure. This matrix can provide pathways for decision-makers to choose from transformational or incremental change towards sustainability.

With increasing environmental and social expectations, Orica's practices can be mapped through the Sustainability Change Matrix;

Commitment to Environmental:

Orica's practices of environmental stewardship can be seen through its efforts to manage water usage and reduce greenhouse gas emissions. According to Orica’s sustainability report (2022), Orica promised to minimize its Scope 1 and 2 greenhouse gas (GHG) emissions by 30% by 2030, this decision aligns with Orica's proactive environmental management.  It has also amalgamated innovative technologies including the deployment of lower emission blasting agents and processes, and its BlastIQ technology that has enhanced blast precision and reduced the environmental damage due to mining. This indicates the transition from compliance-driven to strategic and integrated environmental sustainability (Orica, 2023).

Social Engagement

Orica implements sustainability strategies with its social responsibility initiatives. The company aims to foster positive community relations along with ensuring well being of their workforce. Orica’s community investment program supports, the health, education and environmental projects of the area where it operates, which shows the shift from thoughtless and traditional philanthropic activities to impactful and strategic community engagement (Orica, 2023).

Orica also practices inclusivity and diversity within its organisation. It has set goals to increase gender diversity at all levels of the organisation as the company aims to acquire 30% female representation in senior leadership roles by 2025, to transform organisational culture (Orica, 2022).

Ethical Practices

Orica's practices include commitment to ethical business ventures and transparency. The company has implemented policies on ethical behaviour, human rights and anti-corruption. In the Orica Code of Conduct, the company's governance structure includes sustainability-focused committees, and feedback mechanisms, to practice accountability and transparency (Orica, 2023).

Innovation and Technological Advancement

Orica's investment in Research and Development demonstrates its commitment to sustainability through advancement. The company has enhanced its sustainable blasting equipment and improved operational functionalities to reduce environmental harm demonstrating Orica's progression along the matrix, moving towards an innovation-driven sustainability model (Orica, 2023).