How Corporations Translate Environmental Sustainability Strategy into Action A Case Study of Volvo Penta

Abstract

This paper examines how corporations translate their environmental sustainability strategies into actions, using Volvo Penta as a case study. Given the global environmental challenges and the critical state of the marine ecosystems, businesses must adopt effective environmental sustainability strategies, especially in the maritime sector. This study explores a leading manufacturer within the maritime industry, Volvo Penta, and its approach to integrating and communicating its environmental sustainability strategy across its organization. Furthermore, common pitfalls and key factors for the successful implementation of sustainability initiatives are examined by conducting a qualitative interview and a quantitative survey together with a comprehensive literature review. The findings indicate that although Volvo Penta possesses well-formulated environmental sustainability objectives, the communication and understanding of these strategies and objectives among employees require significant improvement. This thesis emphasizes the importance of clear, actionable directives and highlights the crucial role of middle managers in bridging the gap between strategic intentions and operational actions. Additionally, this thesis underscores the need for education regarding corporation's environmental sustainability initiatives to enhance employee engagement and motivation Furthermore, this thesis contributes to existing literature by examining the challenges and suggestions for successfully implementing environmental sustainability strategies. The insights from the case study of Volvo Penta offer valuable lessons for other corporations that are aiming to improve the communication and implementation of their environmental sustainability initiatives. This thesis concludes with practical recommendations for enhanced strategy communication, employee engagement, and organizational alignment in environmental sustainability initiatives.