Objective

Corporate sustainability is introduced as new and innovative corporate management structure, and this approach is used in deliberate manner, and considered as alternative in terms of both models that are growth and profit-maximization. Corporate sustainability also stated that both growth and profitability are most important factors of organization to survive. Corporate sustainability also stated that corporation must consider societal goals, especially those goals which are directly relating to the sustainable development, protection of environment, social justice and equity, and development of economy (Robecosam, n.d.).

As per literature, concept of corporate sustainability is mixture of four other elements, and these elements are sustainable development, corporate social responsibility, Stakeholder Theory, and corporate accountability theory. In these elements the most important element are sustainable development and corporate sustainability.

Sustainable development is a broad and dialectical concept which mainly balances the need of the economic growth, environmental protection, and social equity. The contribution of sustainable development to corporate sustainability is two-fold. Firstly, it established those areas which must be considered by the organization at priority basis, and these areas are environmental, social, and economic performance. Secondly, it provides the common societal goal for corporations, governments, and civil society to work toward: ecological, social, and economic sustainability.

Corporate sustainability is also a broad and wider concept, and it mainly deals with the role of business in the society. The basic principle of this CSR states that managers of the corporate are under ethical obligation to consider the needs and requirement of society also and not only the needs of the shareholder of the company. There are number of ways through which CSR is addressed, but in actual corporate managers are not under obligation to consider the needs of the society, but the extent to which they must be considered these needs (Wilson, 2003).

On the other hand, stakeholder theory states any group or individual who can affect or is affected by the achievement of the objectives of the organization. The basic principle behind this theory is that if company builds stronger relations with outsider parties, then it became easy for company to achieve its target. If company builds week relations with outsider parties, then it became hard for company to achieve its target.

This paper defines the concept of corporate sustainability and also the strategy plan to achieve the corporate strategy. For the purpose of making strategic plan, we choose Woolworths Limited. Woolworth Limited is a retail chain which is made from some trusting brands.

In 2007, Woolworths introduce its first Sustainability Strategy, called “Doing the Right Thing,”. From that time, company also primarily focus on corporate responsibility and sustainability programs, and also ensures that company focus on this issue in future also.

Current strategy of Woolworth’s group related to Corporate Responsibility identified 20 corporate responsibilities, sustainability goals, and commitments that Woolworths decide to achieve by the end of FY’20. This strategy is named as Corporate Responsibility strategy 2020. The goals and objectives of this strategy covers wide range of stakeholder’s of Woolworth such as customers, team members, suppliers and the communities in which Woolworths conduct its operations.  This strategy uses Corporate Responsibility framework of Woolworth’s that is People, Planet, and Prosperity. This framework was introduced by the company in 2015, and this framework includes following goals in its ambit.

• Company ensures gender equality in the organization, and targeted that at least 40% position of executives and senior executives must be held by woman.
• There must be no salary wage gap between the male and female employees of the organization at equivalent positions, which means wages at per hour rate at all the levels of the company.
• Increase diversity in the working by increasing the indigenous people in the team in context of commitment made by Woolworth’s under the Federal Government’s Employment Parity Initiative.

• Company targeted zero wastage of food which is going to landfill.
• Company committed to reduce the carbon emission up to 10% in comparison of 2015 levels.

• Organization targets to achieve top ranking in the fairness and equity, which means how Woolworth’s engages fairly and equitably with the suppliers of Woolworths, and this is measured by independent supplier surveys.
• Woolworth inspires the consumer to consume all the products of the Woolworth in healthy and sustainable way.
• Investing the equivalent of almost 1% of 3 year rolling average of total Group Earnings before Interest and Tax (EBIT) in community partnerships and programs (Woolworths, n.d.; AFN, 2017).

Situational Analysis

This section of the report includes the strategic analysis with respect to the strategy conducted by the Woolworth in achieving its target of corporate sustainability:

Strength	Weakness
Woolworth is the one of the oldest and well- known brand in Australia. This company has large number of supermarkets and also has big share in market. Company offers wide range of products and services. Efficient and effective CSR program is operated by the company. Strong commitment of the organization towards environment and safety. A good amalgamation in terms of online and brick and motor based sales channel.	Company has very low presence at international level. Losing competitive advantage in terms of competition. Company took very late entry in online retail market.
Opportunity	Threats
Growth in the retail sector, and company can ensures this growth by framing effective policies and procedures. Company can make better promotions for the purpose of getting their customers back and increase the loyalty of consumers. Company can ensure huge retail market because of the emerging economies. Company can use the social media as a tool for the purpose of engaging the consumers. Company can also introduce new and innovative products in the market, for meeting the changing needs of the consumer (FernFort University, n.d.).	The biggest threat for Woolworth is discounting wars and coles. In last few years, company lost various consumers because of the changing trends of the shopping. Expansion of competitors of Woolworth, such as Aldi. In Australia, there is slow growth of online retail industry.

political	Economic factors
Woolworths is the big name in retail industry, and this organization is fulfilling the needs of its customers through its different retail outlets. Woolworth get benefit from the economic relations of Australia and New-Zealand, named as Australia-New Zealand Closer Economic Relations Trade Agreement (ANZCERTA). This trading cooperation gets two economies to Woolworth at that time when Woolworth is operating in single economy (Woolworth Limited, 2015).	Two economic factors that are recession and unemployment strongly affect the financial performance of the business entity because both the factors result in lower sale which ultimately decrease the financial performance of the company. Condition of Woolworth also decline because of the global financial crises which cause severe effect on the financial aspects of the business (Hall, 2009). Company also suffers major loss at the time when it has to close its operations to UK, which result in unemployment of around 30000 people.
Social factors	Technological factors
Customers are considered as important source of revenue in the business and for the purpose of sustained profitability in the business, it is necessary that organization identifies the needs of the target market and also develop the plan which mainly focuses on the fulfillment of those needs. This concept was recognized by the Woolworth, and companies include the experience of customer as part of the sales strategy and profitability. Company introduce new and innovative ways foe fulfilling the needs of the customers and encourage the concept of customer’s delight (Woolworth Limited, 2015; Business Tech, 2015).	In case of retail sectors, the new form of technology that increase the shopping experience of the consumers can be considered as great source of profitability in the organization. This can be understood through example, such as RFID has long been part of the retail stores and it mainly helps in managing the inventory and keep check on the stock availability. Woolworths also involve SOA while conducting the operations for the purpose of supporting this technology (Wynne, 2015).
Legal factors	Environmental factors
The basic legal framework related to retail industry includes taxation policies, recruitment, and employee management. Some other regulations are also important for retail industry sector such as food safety regulations, and it becomes compulsory for Woolworth to meet with these regulations. In other words, food items available at store must meet the food regulations of the country and opening of new stores in any country required the approval of central government (Research topics, n.d.).	Retail industry can ensures environmental factors by adopting the business practices which are environmental friendly or conduct activities which cause minimum harm to the environment. Woolworth tries to conduct such activities which ultimately reduce the carbon footprint in the environment (Woolworth Limited, 2012; Iseal, n.d.).

Strategy of the Woolworth is divided into three sections that are people, planet, and prosperity. Strategies related to all the sections of Woolworth strategy are stated below:

The goal of Woolworth is hiring greater number of women’s in the management of Woolworths, by 2020. For the purpose of achieving this goal Woolworths strongly represent the women in their business such as in support department as well as in operation department. Almost 50% workforce includes the women in Woolworths. Woolworths try to improve the representation of women in management roles by posting the women talent at all the levels of the organization.

Workforce of Woolworths which understood the needs of the customers can helps the organization in giving the best experience to the consumers in the shopping.  For the purpose of achieving this target, Woolworth mainly focus on the team members which mainly includes store teams and these teams must reflect the communities in which the organization is serving. The 2020 goal of the organization is to focus on driving cultural diversity with a commitment that team members of the organization reflects the community in which organization serves (Woolworth Group, 2017).

Target set by Woolworth ‘Towards zero food waste going to landfill’ is very ambitious in nature, and this target was also set in the strategy of 07-15 but company does not achieved this target. Currently, almost half of the waste stream is still wasting the food mainly because of the insufficient sorting at the stores. Every year till 2020, company achieved a year-on-year increase in tons of food waste which is diverted from the landfill. Company achieves this target by continuously make reduction in the stock loss, by improving the behavior of the store management, and also by improving the effectiveness of the farmers’ program and the food rescue program. There are number of social benefits related to the zero waste because food rescue programs which offer opportunities on continuous basis for the purpose of contributing to communities. Customers except from the Woolworth that company provide cooperation to the community for the purpose of providing support food rescue, farmer and regional support. Woolworth initiate various programs such as farmer and food rescue programs, and these programs help the company in reducing the carbon footprint and also add value to the communities in which company operates.

Australians are considered as serious recyclers, and customers of Woolworth considered it as their responsibility which helps them in contributing their efforts in protection of environment. Woolworth targeted to improve the recyclability in their own brand packaging and make their contribution in the circular economy. Woolworths tries to decrease the non-recyclable packaging and increase recycled content. This can be understood through example, working towards the elimination of expanded polystyrene and all these instructions are considered as important guidelines for environment safety.

Woolworths share strong relationships with their suppliers which help the organization in delivering the better value to their customers through the trust, collaboration, and innovation. Woolworth’s management of supplier’s relationships receives high level of scrutiny. Company gets success in their ‘Good Buyer and Supplier Principles’ in our Endeavour Drinks Group, but still there is scope of improvement. Woolworth’s Corporate Responsibility Strategy 2020 and new brands help the organization in improving the trust of the consumers. Trust is built through fair and equitable dealings which provide value to the consumers of the organization and also fair return to the suppliers. Strategy 2020 set an ambitious target that ‘We will achieve a top quartile ranking in how we engage fairly and equitably with our suppliers as measured by independent supplier surveys’. While supporting this target, organization is moving from Annual Surveys to Biannual Surveys, and has developed a bimonthly ‘Voice of Supplier’ pulse survey (Woolworth, 2017).

SWOT Analysis

Woolworth has trust of the consumers and it is the biggest competitive advantage which Woolworths have. Woolworths earn the trust of their consumers because of the sustainable practices conduct by the organization, such as current strategy of Woolworth’s group related to Corporate Responsibility identified 20 corporate responsibilities, sustainability goals, and commitments that Woolworths decide to achieve by the end of FY’20.

Woolworth has competitive advantage in Australia because of the size and scale of operations conducted by Woolworths. Woolworth also holds leadership in the market of food and liquor in Australia. There are number of house hold brands which are introduced by the Woolworth, and these brands also help the organization in getting competitive advantage. Some of these brands include Big W, Dick Smith, Beer Wine Spirits (BWS), Dan Murphys, Cellarmasters, Caltex/Woolworths petrol offering, Masters home improvement and Danks. Woolworth also used their market position for the purpose of creating new streams in recent years such as offering financial services and movement into the home improvement sector.

By delivering the better value to the supplier, Woolworths tries to create better relation with their suppliers which help the organization in creating trust with their customers and provide competitive advantage to the company. Relationship between company and suppliers is also considered the most important thing, because it helps the organization in creating competitive advantage with the company. This can be understood through example, Company gets success in their ‘Good Buyer and Supplier Principles’ in our Endeavour Drinks Group, but still there is scope of improvement.

However, company gets competitive advantage through the value they delivered to their customers and also by providing the customers all the products on timely manner and this will only happen when organization creates good relations with their suppliers.

Conclusion and Recommendations:

After conducting thee critical analysis of Woolworth strategic plan, it is clear that company implement various important strategies for the purpose of achieving corporate sustainability. These policies are undertaken by the company and the complete performance of the Woolworths shows that company attains higher level of growth in its operations. This growth of the company shows higher commitment of the company towards its customers and the employees. Evaluation of external environment conditions faced by retail industry shows that various factors such as governmental influences, changing social patterns and trends within customer, adverse economic conditions have all negatively affected the strategy and growth of the Woolworth. Above facts also show that internal environmental also affects the growth and profitability of the Woolworth on the basis of above stated strategies. Following are some recommendations which are essential in nature, and stated below:

• Woolworth must ensure that strategies framed by the management are consistent with the political factors such as prevalent across the country, and it must aim in adapting the strategies of fair pricing policy to its customers.
• It must be aim that Woolworth must ensure innovation in the organization at continuous basis, and this factor must be included as most important factor in the strategy framed by the organization. This is mainly because consumer social trends and preferences are changing on continuous basis can be efficiently addressed through considering this strategy of higher growth levels.
• Strategy of the Woolworth also considered the future support of the skilled employees through the way of additional training and development mechanism to its customer. 

References:

AFN, 2017. Woolworths sets 2020 corporate responsibility strategy. Retrieved on 25^th November from: https://www.ausfoodnews.com.au/2017/02/13/woolworths-sets-2020-corporate-responsibility-strategy.html.

Business Tech, 2015. Woolworths takes sweets and chocolates off checkout shelves. Retrieved on 25^th November from:  https://businesstech.co.za/news/general/97057/woolworths-takes-sweets-and-chocolates-off-checkout-shelves/.

Fern Fort university. Woolworths SWOT Analysis / Matrix. Retrieved on 25^th November from: https://fernfortuniversity.com/term-papers/swot/1433/1138-woolworths.php.

GreenBiz, 2008. Corporate Sustainability: It’s All About Survival. Retrieved on 25^th November from: https://www.greenbiz.com/news/2008/06/22/corporate-sustainability-its-all-about-survival.

Hall, J. 2009. Woolworths: the failed struggle to save a retail giant. Retrieved on 25^th November from: https://www.telegraph.co.uk/finance/newsbysector/retailandconsumer/6570626/Woolworths-the-failed-struggle-to-save-a-retail-giant.html.

Iseal. Woolworths sees benefits of working with sustainability standards. Retrieved on 25^th November from: https://www.isealalliance.org/online-community/blogs/woolworths-sees-benefits-of-working-with-sustainability-standards.

Research Topics, 2017. Pest Analysis Of Woolworths Limited. Retrieved on 25^th November from: https://research-topics.blogspot.in/2011/07/pest-analysis-of-woolworths-limited.html.

Robecosam. Corporate Sustainability. Retrieved on 25^th November from: https://www.sustainability-indices.com/sustainability-assessment/corporate-sustainability.jsp.

WECU. Corporate Social Responsibility Strategy. Retrieved on 25^th November from: https://www.wecu.com.au/about-us/csr-strategy/.

Wilson, M. 2003. Corporate sustainability: what is it and where does it come from? Retrieved on 25^th November from: https://iveybusinessjournal.com/publication/corporate-sustainability-what-is-it-and-where-does-it-come-from/.

Woolworth Group, (2017). Woolworths Group launches Corporate Responsibility Strategy 2020. Retrieved on 25^th November from: https://www.woolworthsgroup.com.au/page/media/Latest_News/woolworths-group-launches-corporate-responsibility-strategy-2020/.

Woolworth Group, 2017. Environment and sustainability. Retrieved on 25^th November from: https://www.woolworthsgroup.com.au/page/community-and-responsibility/group-responsibility/environment.

Woolworth Group, 2020. Corporate responsibility Strategy 2020. Retrieved on 25^th November from: https://www.woolworthsgroup.com.au/icms_docs/183950_Doing_the_Right_Thing.pdf.

Woolworth Limited, 2012. Environment. Retrieved on 25^th November from: https://www.telegraph.co.uk/finance/newsbysector/retailandconsumer/6570626/Woolworths-the-failed-struggle-to-save-a-retail-giant.html.

Woolworth Limited, 2015. Annual Report. Retrieved on 25^th November from: https://www.woolworthsgroup.com.au/.

Woolworth, (2017). trusted relationships. Retrieved on 25^th November from: https://crs.woolworthsgroup.com.au/page/prosperity.

Woolworth’s Group, 2017. Corporate Responsibility. Retrieved on 25^th November from: https://www.woolworthsgroup.com.au/page/community-and-responsibility/group-responsibility/corporate-responsibility.

Wynne, E. 2015. Self-service checkouts risking consumer loyalty: marketing expert. Retrieved on 25^th November from: https://www.abc.net.au/news/2015-07-21/forcing-shoppers-to-self-checkout-risks-consumer-backlash/6636702.