Embedding Sustainable Development into the Organization

At the same time as the framework was being rolled out, the Chemicals Business was putting in place a new operating model that would define its core business activities and provide a backdrop for decision-making (Fig. 8.20). It was agreed that SD would be placed at the heart of this model, emphasizing that SD is the way Shell chemicals companies do business.  

As the development of sustainable thinking in the Chemicals Business grew, a further step was taken to move from a high-level commitment to SD to embedding a practical action plan. This plan was built around four strategic priorities  

That makes it essential to provide learning opportunities to help managers deal with what are often complex dilemmas. That exposure is provided both within the organization but also with the help of external providers. Recognizing that sustainable development is still a relatively new concept for business, Shell supports a number of academic institutions in their provision of leadership development and research into approaches to sustainable development within business contexts. 

The embedding process is reinforced by appraisal and reward systems. Since 1997, contributing to sustainable development has counted in the remuneration of Shell s most senior executives and in the appraisal of Group Business. Similar reward schemes are adopted across Shell s operating companies, providing very powerful incentives to operate in a sustainable way. 

---