Strategic management or sustainable decisions in business: A case of greening the transport companies

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Elaboration of steps for the strategic management of environmentally sound business solutions is essential for achieving sustainable development goals in Ukraine. Although strategic directions for decarbonization of the transport sector have already been developed at the national level, effectiveness of sustainable decision-making is closely related to the greening initiative on the local level. The purpose of the paper is to form a framework of greening strategy and sustainable decision-making for transport companies that is based on the necessity to reduce emissions. The research findings are obtained using the systems analysis, SWOT analysis, and cost-benefit method. The paper proves that choosing biogas (methane) as a main transport fuel is a viable and cost-effective initiative and can be used as a financial ground for the company’s strategic formation process that involves both tactical and organizational dimensions. The analysis results also showed threats and opportunities for greening based on switching transport companies to biogas and requiring steps of governmental support in developing biogas station networks. According to the green course, this study also reveals the possibility of establishing strategic management due to an authority delegation map between services and top management of a transport company. The study has made it possible to improve strategic management of a transport company by developing an optimal scheme of interaction between stakeholders and departments in strategic leadership for greening.

Acknowledgment
This study is a part of the Scientific Project “Modeling the Transfer of Eco-Innovations in the Enterprise-Region-State System: Impact on Ukraine’s Economic Growth and Security” (№ 0119U100364), which is financed by the state budget of Ukraine.
On behalf of Zuzana Juhaszova’s contribution, this paper was supported by the Slovak Research and Development Agency under the contract No. APVV-16-0602 Enhancement of the relevance of the accounting data in the SR – from expenses to value.

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    • Figure 1. Targets for emissions of GHG for transport and all sectors
    • Figure 2. Optimal interactions between stakeholders and departments in the process of strategic management for greening
    • Figure 3. A sustainable model of strategic development management
    • Table 1. Key benefits, costs, and risks of stakeholders in implementing a green strategy
    • Table 2. Fuel consumption factors for 100 km
    • Table 3. Сost-benefit calculations
    • Table 4. SWOT analysis of a transport company implementing a greening strategy by switching to biogas
    • Table 5. Flexible delegating map of authority between departments of a company on the forming of a greening strategy
    • Conceptualization
      Olena Shkarupa
    • Funding acquisition
      Olena Shkarupa, Zuzana Juhaszova
    • Methodology
      Olena Shkarupa, Dmytro Vlasenko, Alla Treus
    • Project administration
      Olena Shkarupa
    • Resources
      Olena Shkarupa, Dmytro Vlasenko, Svitlana Vesperis, Alla Treus, Zuzana Juhaszova
    • Supervision
      Olena Shkarupa
    • Visualization
      Olena Shkarupa, Alla Treus
    • Writing – review & editing
      Olena Shkarupa
    • Data curation
      Dmytro Vlasenko, Svitlana Vesperis, Alla Treus, Zuzana Juhaszova
    • Formal Analysis
      Dmytro Vlasenko, Svitlana Vesperis
    • Investigation
      Dmytro Vlasenko, Alla Treus
    • Validation
      Dmytro Vlasenko, Svitlana Vesperis, Alla Treus
    • Writing – original draft
      Dmytro Vlasenko, Alla Treus
    • Software
      Svitlana Vesperis, Zuzana Juhaszova