A

MINI PROJECT REPORT

ON

“GREEN BUSINESS MANAGEMENT”

SUBMITTED BY:

P.SUMANTH

18HX1E0035

SUBMITTED TO:

Ms.E.PRASHANTHI (P.hd)

(Assistant professor)
In partial fulfillment for the award degree

IN

MASTER OF BUSINESS ADMINISTRATION

SANSKRITHI SCHOOL OF BUSINESS

(Approved by AICTE, Affiliated to JNTUA-ANANTAPUR)

PUTTAPARTHI-515134

(2018-2020)

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 INDEX
S.NO TOPICS PAGE.NO

1 INTRODUCTION TO GREEN BUSINESS 3-7

MANAGEMENT

2 RELEVENANCE OF GBM IN 21ST CENTURY 8-9

3 BRIEF INTRODUCTION TO COMPANY 10-11

4 COMPANY PRODUCTION PROCESS AND ITS 12-14

EFFECT ON ENVIRONMENT

5 EXTERNAL AND INTERNAL FACTORS AFFECTED 15

BY THE COMPANY

6 CSR AND CER ACTIVITIES PERFORMED BY THE 16-17

COMPANY

7 GREEN STRATEGIES IMPLEMENTED IN THE 18

COMPANY

8 FINDINGS AND SUGGESTIONS 19

9 CONCLUSION 20

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 INTRODUCTION
There is a global consensus on the need to reduce our collective carbon footprint. Due
to external pressures such as legislative requirements as well as an increase awareness of the
general public (choosing products from organizations with environmentally sustainable
profile), organizations are forced to capture details about, understand and minimize their
carbon footprint. We argue that by transforming the problem into the domain of Business
Process Management (BPM) we can leverage the rich expertise in this field to address issues
associated with identifying areas for improvement, understanding the implication and
performing carbon footprint minimization. Transforming a problem into a more researched
domain is a powerful principle often applied in mathematics and science. BPM is known for
its focus on the understanding and improvement/optimization of an enterprise’s business
processes. Process modeling technology has applications beyond what we would traditionally
describe as business processes. We can also model and improve manufacturing and other
“physical” processes. To leverage the BPM technology we need to inform the business
process design with its associated emission impact. This article shows how business process
designs can be informed by capturing and utilizing the relationship between resources and
activities and how this paves the way for future green business process optimization.

 CONCEPT OF GREEN MANAGEMENT:

Concept of Green Management describes the construction of business. In other
words, business management styles focuses on the utilization of competent and
talented employees to produce profits on behalf of the business.
Green is the great balancer of mental, emotional and physical energies which
is why there is so much green on our planet. Green is the heart centre of the body.

 MEANING:
Green Business Management is not a concept describing new business
management style. It describes the construction of businesses. A Business functioning
in a capacity where no negative impact is made on the local or global environment or
the community or the economy.
A Business that serves to meet the triple bottom line often, businesses have
progressive environmental and human rights policies. A Green Business will also
engage in forward thinking policies affecting human rights.
These businesses adopt principles, policies and practices that improve the
quality of life for their customers, employees and environment.

 DEFINITION:
According to Brown and Rat ledge, "Green Management is defined as an
establishment that produces green output".

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 EVOLUTION:
Green Movement and Green Policies began in the late 1970's when the first
Green party was formed in Germany. The Term 'Green' is the English translation of
the German word 'Grun'. Green politics advocated issues pertaining to Ecology,
Environment, Feminism, Conservation and Peace.
It is believed that Green politics draws its inspirations from Mahatma Gandhi,
Spinoza and Uexkull who advocated and urged personal responsibility to make the
right moral choices is the pillar of the green politics ideology.

 GREEN BUSINESS MANAGEMENT IN INDIA:

Green Management is an initiative aiming at continuously improving the
foundation of environmental management, such as the development of personnel
responsible for environmental activities, environmental management systems, and
environmental communication as well as conservation of biodiversity.
The Companies in India themselves are now more aware about the ways in
which their factories often affect the ecosystem and have taken a greener path to
success.
Some of them are:
 LG
 HCL
 Haier
 Samsung
 TCS
 ONGC
 ITC
 WIPRO
 MRF Tyres
 Suzlon Energy
 Infosys
 Indus Ind Bank

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 An Eco friendly product is not harmful to the environment whether in their
production, use or disposal. Environmentally friendly also referred to as eco friendly,
nature friendly and green are sustainability and marketing terms referring to goods
and service, laws, guidelines and policies that claim reduced, minimal or no harm
upon eco system or the environment. This term most commonly refers to products that
contribute to green living or practices that help conserve resources like water and
energy. Eco friendly products also prevent contributions to air, water and pollution.
This kind of products is easily recognizable and which can help you to reduce waste
and make this planet a better place to live.

Some of them are using eco friendly products in India are:

 Reusable Papers/Books
 Reusable Water Bottles
 Solar Powered Outdoors speakers
 Solar Phone Charges
 Eco Friendly Umbrella
 Led Bulbs
 Eco Friendly Chair
 Bio Degradable Pots
 Bamboo Desktop Dry erases board
 Cotton Shopping Bags
 Rechargeable Batteries

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 SCOPE OF GREEN MANAGEMENT:
1. Green Foods: Green Business ideas allow people to grow garden parks or
small seeded trays. Green foods are an extremely important part of a healthy
diet. There are numerous options to choose from and they can easily be
incorporated into meals.

2. Green Consulting: An increasing number of individuals, families and

business are starting to look for ways to reduce the carbon footprint and
decrease their use of the earth's resources.

3. Green Vehicles: Green Vehicles are nothing but clean vehicles or eco
friendly vehicles or an environmentally friendly vehicle which produces less
harmful impacts to the environment than the conventional one's which run
on Diesel or gasoline or some other.

 Fuel Efficient Cars

 Alternative Fuel Vehicles
 Hybrid Electric Cars
 Electric Vehicles

4. Green Appliances: The more efficient the appliance, the less energy it will
use. Lower energy use means less pollution.

 IMPORTANCE OF GREEN BUSINESS MANAGEMENT:

1. Cost Saving: Companies that focus on reducing energy consumption not only help
the environment but also reduce their costs in the form of lower energy bills. Smaller
businesses can also benefit from reduced energy costs by taking simple steps like
switching off lights and fans when they are not required for usage.

2. Reduced Energy Use: Green Management often include measures to reduce energy
use. To increase the efficiency of the building envelope it may use high efficiency
windows and insulation in walls, ceilings and floors.

3. Other Importance:

 Green Businesses are socially and environmentally responsible

 Green Businesses care for their workers
 Green Businesses protect their customers and clients
 Green Business improves their communities

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 Triple Bottom Line
Businesses must pick up the three elements of the sustainability to help society
achieve the interlinked goals of environmental protection and social equity.

BUSINESS SUSTAINABILITY
Sustainable business, or a green business, is an enterprise that has minimal negative
impact on the global or local environment, community, society, or economy—a business that
strives to meet the triple bottom line. Often, sustainable businesses have progressive
environmental and human rights policies.

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RELEVANCE OF GREEN BUSINESS MANAGEMENT IN 21ST CENTURY
The relevance of green business management in 21st century is where most of the
business worldwide is switching on to adopting Green Philosophy in Management function.
Some reason or forces for driving such movements are:

1. Social Responsibility: Social Responsibility in business or corporate social

responsibility (C.S.R.) people and organizations behaving and conducting businesses
ethically sensitive towards social, cultural, economical and environmental issues.

2. International Standard Norm: The International Organization for Standardization (ISO)

is a specialized International agency for standardization and at present comprises the national
standard bodies of all 91 countries. It facilitates International trade of goods and services. It
obtains competitiveness by obtaining required quantity in a cost effective way. It also
promotes a single third party assessment of quality standard.

3. Statutory Law: It is the law that's written by a legislative body. It's a law that a
government deliberately creates through elected legislators and an official legislative process.
Statutory Law is the term used to define written laws usually enacted by legislative bodies.

4. Growth and Opportunity: These support a strong economy, fiscal accountability,

competitive tax rates, great schools, domestic energy plan and a government that gets out of
the way of private sector.

5. Competition: One of the major forces that strive to adopt green management into their
corporate structure face overwhelming competition and desire to maintain their competitive
position in the market. Competition for better brand and to create image in the eye of the
society seek strategy which help them to remain sustain for long.

6. Improved Public Image: The public image of a famous person or organization is the
character or attitude that most people think that they have and attempts to improve the same.
The perception people have of your business when they hear your company's name; a
business image is composed of an infinite variety of facts, events, personal history,
advertising and goals that work together to make an impression on the public. How to
improve them:

 Define your Brand

 Build an amazing website
 Value your employees and establish a healthy company culture
 Recycle, Reduce, Reuse
 Implicitly express your company values
 Build trust and authenticity between your clients and your brand
 Focus on creating high quality products or services.

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7. Increases profit in the organization: A profitable organization is one that generates more
money than it expends. Profitable organizations are businesses that use a variety of tactics to
make a profit. Business may use different managerial skills and leadership approaches to
increase employee motivation and satisfaction which has been shown to increase worker
productivity calculating rate of investment will help business determine whether they are
generating a profit.

8. Better Employee Retention Rate: It refers to the ability of an organization to retain its
employees. Employee Retention can be represented by a simple statistics. However many
consider employee retention as relating to the efforts by which employers attempt to retain
the employees in their work force. In this sense, retention becomes the strategies rather than
the outcomes.

9. Stimulates Innovation: Self Confidence is a barrier to Innovation that is tough to turn

around in the organization. As the leader you have to be willing to go out and take some risks
to inspire self confidence and stimulate innovation from your team. Green Innovation can be
used to achieve CSR goals but can also take place without the existence of CSR Innovation.
Management is controlling and making decisions about Innovation process.

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 A BRIEF INTRODUCTION OF SAMSUNG COMPANY
Samsung, South Korean company that is one of the world’s largest producers of
electronic devices. Samsung specializes in the production of a wide variety of consumer and
industry electronics, including appliances, digital media devices, semiconductors, memory
chips, and integrated systems. It has become one of the most-recognizable names in
technology and produces about a fifth of South Korea’s total exports.

Samsung was founded as a grocery trading store on March 1, 1938, by Lee Byung-
Chull. He started his business in Taegu, Korea, trading noodles and other goods produced in
and around the city and exporting them to China and its provinces. After the Korean War,
Lee expanded his business into textiles and opened the largest woolen mill in Korea. He
focused heavily on industrialization with the goal of helping his country redevelop itself after
the war. During that period his business benefited from the new protectionist policies adopted
by the Korean government, whose aim was to help large domestic conglomerates (chaebol)
by shielding them from competition and providing them easy financing.

During the 1970s the company expanded its textile-manufacturing processes to cover
the full line of production—from raw materials all the way to the end product—to better
compete in the textile industry. New subsidiaries such as Samsung Heavy Industries,
Samsung Shipbuilding, and Samsung Precision Company (Samsung Techwin) were
established. Also, during the same period, the company started to invest in the heavy,
chemical, and petrochemical industries, providing the company a promising growth path.

Samsung first entered the electronics industry in 1969 with several electronics-
focused divisions their first products were black-and-white televisions. During the 1970s the
company began to export home electronics products overseas. At that time Samsung was
already a major manufacturer in Korea, and it had acquired a 50 percent stake in Korea
Semiconductor.

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 MISSION OF THE COMPANY:
Samsung’s mission statement is “We will devote our human resources and
technology to create superior products and services, thereby contributing to a better
global society.” This corporate mission was published in the 1990s, when the
company was undergoing rapid global expansion in various semiconductors,
electronics, and related technology markets. Based on its business operations and
current international industry positioning, Samsung focuses on the following
components in its corporate mission:

 Human resources and technological resources

 Superiority of products and services
 Improvement of the global society

 VISION OF THE COMPANY:

Samsung’s corporate vision is to “Inspire the world with our innovative
technologies, products and design that enrich people’s lives and contribute to social
prosperity by creating a new future.” The company follows this vision statement to
maintain profitable technology business operations that contribute to the improvement
of people’s lives. Samsung frequently refers to a shortened version of this corporate
vision: “Vision 2020: Inspire the World, Create the Future.” The company extensively
implements this statement throughout its subsidiaries’ operations in the consumer
electronics, computing technology, and semiconductors industries. The following
components are contained in Samsung’s vision statement:

 Global inspiration
 Innovation
 Improvement of lives and future social prosperity
 Inspire the world, create the future

The Vision 2020 is at the core of our commitment to create a better world full of
richer digital experiences, through innovative technology and products.
The goal of the vision is to become a beloved brand, an innovative company, and an
admired company. For this, they dedicate their efforts to creativity and innovation,
shared value with their partners, and the great people. they have delivered world best
products and services through passion for innovation and optimal operation.

They look forward to exploring new business areas such as healthcare and automotive
electronics, and continue their journey through history of innovation. Samsung
Electronics will welcome new challenges and opportunities with joy.

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 PRODUCTION PROCESS OF SAMSUNG ELECTRONICS
Manufacturing process is one of the major aspects for producing a new product. In
the current paper, the manufacturing process of Samsung Electronics has been discussed in an
evaluated fashion. In order to do that, the brief discussion of the Samsung Electronics has
been depicted ina clear and precise manner. In the same context, the paper also includes an
acute concept of the manufacturing process. The paper has discussed every single aspect of
Samsung Electronics' manufacturing process with utmost clarity.

 CONCEPT OF MANUFACTURING PROCESS:

In order to perform manufacturing processes effectively and completing the
entire development cycle for the electronics products, Samsung Electronics use
several well-planned stages (Suh et al. 2016). These stages are arranged in such a
fashion that the product development can be time and cost effective. The major stages
used in Samsung Electronics are described below.

1. Conceptualization: Samsung Electronics continuously attempt to formulate

a new concept of products based on advanced technologies. It can be a new
product or development of variances of the existing products in the market.

2. Research: After developing the product concept, Samsung Electronics

greatly emphasizes on the identification of suitable technology, vendors as
well as methods for the production of the products (Lee et al. 2016).

3. Circuit Design: Samsung Electronics uses several computers drafting

software in order to develop a schematic diagram. In addition to that, the
company also generates a preliminary parts list for prototyping as well as
costing the product.

4. Developing Prototype: Samsung Electronics develops a prototype product

for the trial purpose. However, it is also noted that often hand-wired
prototype products are used for the design process.

5. Packaging and Printed Circuit Design: Samsung Electronics focuses on

developing of attractive enclosure design as well as selection. After that, the
company designs the outline of the printed circuits. The major steps for this
stage are:

 Selection of package style

 Design of graphics and nomenclature
 Resolving the requirements of printed circuit diagram
 Processing the printed circuit artwork on film

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 6. Design Review: Samsung Electronics extensively focuses on evaluating the
appearance, function, possible enhancements as well as build cost of the
initial units as well as prototype products.

7. Test Setup: In order to ensure the quality of the products Samsung

Electronics places the apparatus, test procedures, detailed instruction of
assembly as well as fixtures.

8. Documentation: This stage is focused on providing the project's

deliverables. This deliverable includes list of parts circuit diagram, parts
sources, master printed circuit artwork, mechanical drawings, software
source code as well as assembly drawings (Lee et al. 2013).

9. Agency Compliance: According to the current law and regulation, Samsung

Electronics requires several agency compliances.

10. Following Up: Samsung Electronics actively review the supporting data of
products, user response as well as experience of manufacturing facility. It is
a major factor for improving the lower cost, value, and quality.

 FIVE OPERATIONAL PERFORMANCE OF SAMSUNG:

Five operational performance of an organization is evaluated by the following factors,

 Quality
 Speed
 Dependability
 Flexibility
 Cost

Samsung has standard optimization functions such as automatic neighbor relation,

capacity coverage optimization and cell outage compensation. They also have unique features
including drive test optimization; transmit power control and antenna tilt optimization. These
features ensure a high quality operations management of Samsung. They also have smart
scheduler that monitors all cells and centralizes radio resources management (Szeremeta
2013). This improves the pattern of allocation in order to maximize throughput.

Samsung’s network speed is excellent. Their operations and analytic tools are designed
to monitor, manage and troubleshoot the network in real or near real-time. They have
combined combine their smart SON and smart scheduler with cognitive analytics. In this
way, their operators can load and allocate resources faster than any other organization. As a
result, inefficiencies are reduced that helps to optimize their Quos and QoE (Szeremeta
2013).

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 THE ENVIRONMENTAL IMPACT OF SAMSUNG COMPANY

Samsung is facing a lot of issues since the launch of its flagship smart phone Galaxy
Note 7, which has a high record of batteries failing, leading to personal and property damage.
Samsung finally issued an official recall of Note 7 when the replacement started
catching on fire in early October.
On October 10, Samsung issued a statement that it is halting sales of the Galaxy Note
7 globally and encouraging consumers to return it as soon as possible. Samsung has an
updated Note 7 recall page with information on how to contact various U.S. retailers for a
refund or exchange.
With several warnings from simply turning it off to actually banning the Note 7,
Samsung decided to dump all the 3 million sold and 1.2 million unsold units of the Note 7.
So far Samsung is slowly dealing with the fire explosion, recalls and replacements.
However, new concerns are arising when Samsung announced to dump 4.2 million Note 7
units.
Greenpeace, an international NGO for environment related issues, is asking details
from Samsung on how it will dispose of the millions of Note 7 smart phones.
Theoretically, if the South Korean tech company chooses to dump them, it would
create the equivalent of about 28 shipping containers of toxic waste, according to the
environmental advocacy group.
Greenpeace is on run for the safe dumping or recycle of Note 7. They have
highlighted that this much amount of phones would contain 20 metric tons of cobalt, one
metric ton of tungsten, about 100 kilos of gold and more than 1,000 kilos of silver, in
a report from Greenpeace and a German research institute.
By the following picture we can assume how the environment is affected through
Samsung electronics.

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 INTERNAL AND EXTERNAL ENVIRONMENTAL FACTORS
The environmental factors are divided in to two types. They are also called as SWOT
analysis. They are:
 Internal factors
 External factors

 INTERNAL ENVIRONMENTAL FACTORS:

 Samsung is the second biggest telecommunication industry in the

world through its innovation smart phone.
 Samsung has wide range of product includes Cell phones, Tables, TV’s
Cameras, Home appliances, laptops, etc.
 Samsung have increase their brand value in this past three to four years
 Samsung is leading in design features. For example Samsung is the
first one to produce dual screen phones, and they have a thinnest and
lightest note pad ever.
 Their designs are attractive and stylish at the result their sales are
moving in high volumes.
 They are leading in hardware but they have too much dependence for
their software from other parts.

 EXTERNAL ENVIRONMENTAL FACTORS:

 Low cost competitors from China can affect Samsung
 All Samsung competitors bought their product parts in Chine that can
lead a future fall to Samsung.
 The war between Samsung and Apple might contaminate the image of
Samsung
 Samsung was banned from importing their products in a Euro Zone
that left a bad image of Samsung in that zone
 Apple is dominating in South and North America, and builds its brand
to make any new difficult to operate there.
 Apple and Nokia they are in a process of merging, that could be a
threat to Samsung because Nokia has built its brand already especial in
 In Australia, Google Nexus 7 have a market lion share which make
Samsung straggle to penetrate the market smoothly because Australia
does not see big difference Samsung tablets and Nexus 7
 Sony has release a new tablet which has almost the same feature which
Apple and Samsung have.

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 CSR ACTIVITIES OF SAMSUNG COMPANY
Samsung Engineering seeks to improve conditions around the world through our
social contribution programs. Company-wide, we utilize our strengths and resources to
benefit local communities and help children and families in need. Individually, our
employees are encouraged to take part in the many volunteer programs offered by the
company.

Working in cooperation with our project sites and regional offices around the world,
Samsung Engineering ensures that our corporate social responsibilities are fulfilled
everywhere we do business. These global CSR efforts include, but are not limited to,
providing financial support to children from low-income families, training and employing
people from local communities, building schools for children who do not have access to
education, and building communal facilities.

BUILDING LIBRARIES: Children ought to have a clean, safe, well-lit environment

in which to learn, but for many communities around the world, the resources
necessary to make that happen are simply too scarce. Realizing this need, Samsung
Engineering has been transforming neglected schools and community centers into
children's libraries at sites all around the world, including India, Iraq, Uzbekistan,
Bolivia, etc. The project, which began in 2012, has become a huge success, and since
2014, it has been combined with the scholarship and Eco-Generation program,
environmental education for children, in order to contribute to the development of
local community.

BOOK DONATION: With library buildings being refurbished all around the world,
the next task for Samsung Engineering was to fill those libraries with books, so we
run a parallel program through which we donate books in the names of guests who
visit Samsung Engineering's corporate promotion center located at the head office in
Seoul. By building libraries and filling them with books, we can invest in the future.

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 TECHNICAL SCHOOL: Samsung Engineering will begin building technical
schools near some of our major project sites in order to train local men and women in
basic technical skills, such as welding and carpentry. After the schools are built, we
will then offer employment opportunities to graduates. By providing people with the
skills to earn a living, creating jobs where they are needed, and securing a global
network of qualified human resources, Samsung Engineering is able to benefit the
communities we work in while strengthening our corporate standing in the region.

CER ACTIVITIES OF SAMSUNG COMPANY

At Samsung Electronics, we have set the following green management goals to reduce
greenhouse gas, to manufacture products with minimal environmental impact, and to achieve
a circular economy.

Their slogan incorporates Samsung Electronics’ determination and action to put Earth and the
environment. Samsung Electronics laid the foundations for Eco-management as a philosophy
for the 21st century in the Samsung Environmental Declaration in 1992. Since then, they
have gone beyond mere passive adherence to environmental regulations and laws. They had
put Eco-management into action, offering their customers eco-friendly solutions and leading
the way to a sustainable future. A healthy environment is essential to our future.

 Greenhouse gas reductions in product use phase

 Compliance of newly developed products with Eco-Label standards
 Waste product collected globally
 GHG emissions intensity
 Waste recycling rate of Samsung Locations
 Water use intensity

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 GREEN STRATEGIES IMPLEMENTED IN SAMSUNG COMPANY
Samsung is committed to providing eco-friendly products and services based on a
green management principle to contribute to lives of humanity and the preservation of the
world’s environment through business activities that respect people and nature. At all
worksites, we try to minimize adverse environmental impacts in our business activities
ranging from the purchase of raw materials, development, production, and distribution to use
and disposal of products. We also apply stricter standards to the management of hazardous
materials used for the manufacturing process, implementing EHS management for employees
and local communities.

Eco-friendly management is part of the five Samsung business principles;

demonstrating that the company will do its utmost to conduct business activities that respect
and improve the lives of people and conserve the planet’s resources. Our green management
vision is “providing a green experience, creating a sustainable future” and is symbolized
under our trademark slogan “planet first”.

EHS management system

Samsung Electronics' Device Solutions Business follows an environmental safety
management system. All employees participate in this system to solve environmental safety
issues. The members analyze factors that may have influence on environmental safety and
establish detailed plans for continual improvement. The system follows PDCA (Plan > Do >
Check > Act) cycle - An internal monitoring protocol examines the outcome of the
environmental safety management system and improvement are continuously pursued from
the top level.

Additionally, third-party audits are performed on the system and action items are
planned and implemented for further improvements.
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 FINDINGS
 Samsung is committed to providing eco-friendly products and services based on a
green management principle.

 Samsung have increased their brand value in this past three to four years.

 Samsung follows a slogan called “Planet First”.

 They also apply stricter standards to the management of hazardous materials used for
the manufacturing process, implementing EHS management for employees and local
communities.

 Samsung has been awarded the Golden Peacock Award for its CSR initiatives -
Samsung Smart Class and Samsung Technical Schools - for the 4th time.

SUGGESTIONS
 Branding and promotional activities should be done effectively as it creates a long
lasting image in the mind of the customers.

 The company should modify some of the models as these models don’t have any
output connection.

 The members analyze factors that may have influence on environmental safety and
establish detailed plans for continual improvement.

 Company should introduce low cost products to satisfy the needs of the low or
middle class as SONY is having 19” model in this segment.

 Additionally, third-party audits are performed on the system and action items are
planned and implemented for further improvements.

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 CONCLUSION
Samsung is the main brand for mobile phones with its high-end
specifications. The users are average consumers and companies. The main competitor is
Apple; however Samsung gives the competitive attention through mobile features. Many
customers are loyal to Samsung mobile phones and will continue to develop a relationship
with the brand. Lastly, the customer decision to buy a Samsung mobile phone is based on the
phones enticing features making it a powerful motivator. It also maintains a green
development in the company.

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