Sustainability in Organizations: Bhutan’s Perspective

Abstract

Sustainability and sustainable development are two buzzwords gaining significance globally because of glaring challenges that are threatening the sustainability of the earth in the form of climate change, shortage of energy resources, food security, global warming, etc. Unlike conventional sustainability that considers only the environmental perspective, the modern view of sustainability is three-dimensional comprising of social values, stewardship of the natural environment, and economic benefits. This study examines the factors influencing the behavior of organizations in Bhutan towards sustainability explicated in terms of opportunities and risks in order to understand Bhutan’s perspective on sustainability or sustainable development. A deductive approach and quantitative online survey method were used in this study. One hundred and seventeen eligible respondents from various public organizations in Bhutan responded to the online survey questionnaires. Email was used as the main source of dissemination of the survey. Factor analysis was performed to discover underlying unobserved factors that are impacting on the observed variables. The results indicated that Bhutan places relatively high importance on the protection of the environment and reduction of health hazards, and also believes that sustainable practices in organizations can satisfy stakeholders’ expectations and improve business performance. On the other hand, the study also found that Bhutan apparently feels that integrating sustainability practices in organizations’ business models might increase fraud and environmental responsibility, which could escalate cost and investment, increase the number of regulations. In a nutshell, it can be concluded that Bhutan is aware of sustainability but its perception regarding sustainability is inclined more towards the environmental elements.