Promoting sustainable palm oil in supply chain strategy: a food business case study

Abstract

PurposeThe study aims to enhance our understanding of strategizing sustainable palm oil at company level and to bridge the gap between strategy formulation and implementation. In this case-based study, the way a food company is tackling the challenges faced during the promotion and incorporation of sustainable palm oil into core business strategy is explored. By taking a strategy-as-practice approach, this research sheds light on the microlevel activities and the role of formulated plans, implemented actions and engagement in activities.Design/methodology/approachAn ethnographic case study was carried out using participant observation, semi-structured interviews, informal interviews and documentary review.FindingsThe findings demonstrate the complexity of implementing a sustainability strategy for a controversial commodity such as palm oil in supply chains. External pressure was one of the most important drivers for taking action regarding environmental and social sustainability issues. Moreover, formulating and implementing supply chain strategies for sustainable palm oil required effective communication and collaboration between different departments within the organization.Research limitations/implicationsAlthough important insights were obtained through this six-month long ethnographic case study, additional valuable information could have been obtained if the research had been carried out for longer.Practical implicationsThe paper includes implications for strategizing sustainability at company level from a strategy-as-practice perspective.Originality/valueThrough this study, a better understanding of the challenges faced from the downstream perspective in sustaining food supply chains can be obtained.