IMPACT OF SUSTAINABLE BUSINESS PRACTICES IN PETROLEUM INDUSTRY: A CASE STUDY OF NATIONAL OIL CORPORATION OF KENYA
Abstract
Sustainable business practices encompass set of action plans that seek to preserve the resources presently available on earth, so that they can be beneficial to the current and future generations. These practices ensure that environmental, social and economic sustainability are achieved. This paper explored the concept of attainment of the sustainability in the oil industry in the three sectors. The oil industry practices towards environmental sustainability include ensuring that the environment is kept safe both directly and indirectly to both the environment and human lives. Waste management in the oil industry can be achieved through reduction, reusing materials such as containers, treatment of waste by detoxification and degradation. Social sustainability is achieved through corporate social responsibility where the industry participates by giving back to the society through projects that benefit the society. The study employed descriptive research design with employees of National Oil Corporation of Kenya (NOCK) being the target population. A sample of 65 management employees participated in the study. A structured questionnaire with close ended questions was utilized in the study. The study established that it’s important to evaluate the performance of the oil industry and the measures that can be used to maintain its sustainability. The industry can conduct evaluations in their community before initiating any development projects to ensure protection against any adverse effects that might be caused. The study recommended that it’s important for the oil industry to ensure sustainable environmental, social and economic environment. Interventions such as price control by the oil industry can be put in place by avoiding hiking of oil prices and ensuring affordability for oil products. This can be done by ensuring the provision of employment and business opportunities for people to promote economic growth. The oil industry can also contribute to the economy by fulfilling its fiscal duties through paying taxes. The study concluded that development of modern oil sector infrastructure would be vital towards environmental and economic sustainability of the country by promoting. Intervention measures should be taken to ensure this industry contributes to economic development, social equality and environmental protection.
Key Words: Business Sustainability, Oil Industry
CITATION: Maundu, J. (2020). Impact of sustainable business practices in petroleum industry: A case study of National Oil Corporation of Kenya. The Strategic Journal of Business & Change Management, 7(3), 410 – 420.
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DOI: http://dx.doi.org/10.61426/sjbcm.v7i3.1680
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