Sustainability Is All about Values: The Challenges of Considering Moral and Benefit Values in Business Model Decisions

Abstract

Despite indications in the literature about the existence of win-win business opportunities regarding sustainability, most companies are still producing limited social and environmental results that are disconnected from their value propositions. Studies on the rationales underlying decisions regarding sustainability can offer a better understanding of this challenge. In particular, substantive rationality suggests that the decision-making process consider collective values for sustainability. This study investigates the following research question: What are the main challenges of making business decisions based on moral values of sustainable development? Using strategic decisions as a unit of analysis, action research in a start-up environment identified the following business challenges: (1) recognizing the limits of applying the moral values of sustainable development to the current business context dominated by maximization of economic and financial benefit values; (2) recognizing the normative nature of sustainability goals, which implies that moral values related to sustainable development are still external and not naturally occurring in people’s personal moral values; (3) addressing conflicts between moral and benefit values and between collective and individual goals when including substantive rationality in business decisions; (4) engaging business stakeholders according to their personal moral values, as people are value driven; and (5) engaging workers in sustainable development values, as they play a central role in enabling benefit value creation for sustainable development. The paper offers interesting insights into moral value and benefit value. The former is the basis for individual decisions, while the latter represents benefits created by business models. Both concepts have been separately investigated, but this research delimits and differentiates them. Future studies can further investigate decision rationalities to enable sustainability in practice, as this is usually a theoretical discussion. Research on other start-ups and more mature organizations can also provide interesting insights.

Person-centered approach effectiveness in Human Resource Management in the agriculture of Azerbaijan

“…The results correlate with studies such as Rickaby, Glass & Fernie (2020); Nedelko & Potocan (2021); Mazilescu et al (2021); and Bolis et al, (2021) on the significant impact of the EV on labor productivity. But the uniqueness of the results obtained in this study, in contrast to Rickaby, Glass & Fernie (2020); Nedelko & Potocan (2021) and Bolis et al (2021), lies in the substantiation, considering the characteristics of agriculture, of the impact on labor productivity not only of the priorities of EV but also their consistency between all structural units of agricultural enterprises.…”

“…The questionnaire for assessing the priority of the EV of enterprises operating in the agriculture, forestry, and fisheries sectors in Azerbaijan was based on the basic values of Schwartz (Sortheix & Schwartz, 2017), as well as other studies (Mazilescu et al, 2021;Bolis et al, 2021). The developed questionnaire can be found at the link (Assessment of the priority of personal values, 2021).…”

“…It is personal values, as an integral part of a person, that determines where he invests his energy, resources, and time. The results of modern research indicate a direct relationship between the EV (Rickaby, Glass & Fernie, 2020;Mazilescu et al, 2021;Bolis et al, 2021) and management (Rickaby, Glass & Fernie, 2020;Nedelko & Potocan, 2021;Mazilescu et al, 2021) on organizational performance by influencing labor productivity. Thus, the EV is a decisive factor in labor productivity, and effective Personnel Management is the basis of the key to its increase.…”

“…As the analysis of modern scientific literature shows, research in a person-centered approach is focused on other industries (Wagner, 2020;Nedelko & Potocan, 2021;Bolis et al, 2021).…”

“…Consequently, the majority of the employees in the industry are middle-aged. As a rule, a person already reaches a certain peak in social and professional development, which leads to the emergence of a sense of self-efficiency in the important areas of life and a reorientation of life (Bolis et al, 2021). The possibility of realizing long-term professional goals, adjusting career development and solving complex professional problems, and relative freedom in decisionmaking and taking the initiative are factors that increase people's tolerance to work and, consequently, their productivity (Nedelko & Potocan, 2021).…”