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Sustainability Framework: An Integration of the Equator Principles into Business Process
Corresponding Author(s) : Aldi Muhammad Alizar
Humanities & Social Sciences Reviews,
Vol. 3 No. 2 (2015)
Indonesia as the largest archipelago in Southeast Asia has a strategic location for business and investment. After the economic crisis in 1998 and 2009, Indonesia could be passed it away until present. It can be seen by the increasing of growth domestic product. Currently, the Indonesian government began to encourage the public and private institution to achieve sustainable development and compete in globalization. However, there are a lot of challenges for the stakeholders to reach the goals.
The strategy that has been done by the private sectors is implementing corporate social responsibilities (CSR) as company’s program. Keivani (2009) stated that CSR program by private sector could be supporting the government to achieve sustainable development. Since the concept of triple bottom line in CSR also exist in sustainable development component. The triple bottom lines by Keivani (2009) consist of: (i) People that associated on social justice, (ii) planet that associated on environmental quality, and (iii) profit which related with economic prosperity. Based on this concept, the private sector also has a duty in realizing sustainable development goals.
In General, to complete the sustainable development goals is not only private company’s responsible or government, but it also dependable from all of development actors. The three development actors are government as policy makers, private sectors as capital models, and society as the vulnerable development objects. The communication abilities and having adequate knowledge are the most essential things for actors to have it.
This paper discuss about how do the private sectors in Indonesia embrace the other stakeholders of development actors (which are government and community) to achieve sustainable development without ignoring their business objectives. By using the Equator Principles that focused on social and environmental management and sustainability framework by the International Finance Corporation, it expected to give some new approaches for the companies to protect their business process.
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