Abstract
Elaboration of steps for the strategic management of environmentally sound business solutions is essential for achieving sustainable development goals in Ukraine. Although strategic directions for decarbonization of the transport sector have already been developed at the national level, effectiveness of sustainable decision-making is closely related to the greening initiative on the local level. The purpose of the paper is to form a framework of greening strategy and sustainable decision-making for transport companies that is based on the necessity to reduce emissions. The research findings are obtained using the systems analysis, SWOT analysis, and cost-benefit method. The paper proves that choosing biogas (methane) as a main transport fuel is a viable and cost-effective initiative and can be used as a financial ground for the company’s strategic formation process that involves both tactical and organizational dimensions. The analysis results also showed threats and opportunities for greening based on switching transport companies to biogas and requiring steps of governmental support in developing biogas station networks. According to the green course, this study also reveals the possibility of establishing strategic management due to an authority delegation map between services and top management of a transport company. The study has made it possible to improve strategic management of a transport company by developing an optimal scheme of interaction between stakeholders and departments in strategic leadership for greening. AcknowledgmentThis study is a part of the Scientific Project “Modeling the Transfer of Eco-Innovations in the Enterprise-Region-State System: Impact on Ukraine’s Economic Growth and Security” (№ 0119U100364), which is financed by the state budget of Ukraine.On behalf of Zuzana Juhaszova’s contribution, this paper was supported by the Slovak Research and Development Agency under the contract No. APVV-16-0602 Enhancement of the relevance of the accounting data in the SR – from expenses to value.
Highlights
Ukraine is one of the countries facing climate change challenges, and transport is a primary source of air pollution in Ukrainian cities
The purpose of the paper is to form a framework of greening strategy and sustainable decision-making for transport companies that is based on the necessity to reduce emissions
According to the green course, this study reveals the possibility of establishing strategic management due to an authority delegation map between services and top management of a transport company
Summary
Ukraine is one of the countries facing climate change challenges, and transport is a primary source of air pollution in Ukrainian cities. Today the most critical problem is the absence of a strategic plan for switching the transport companies to a green course that requires additional costs and specific instruments to develop and implement cost-effective solutions to respond to emissions challenges in the transport sector. Energy consumption and transport impact on the environment in Ukraine do not meet modern requirements (MIU, 2018). Inefficient fuel use in conditions of energy shortages and an increase in the number of cars create prerequisites for increasing carbon dioxide emissions, nitrogen oxide, non-combustible hydrocarbons, lead, benzene, carbon monoxide, particulate matter, etc. Ukraine is one of the six countries of the Eastern Partnership where environmental pollution dynamics are deteriorating year by year.
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