Importance of FMCG sector in society

In the modern world, FMGC sectors play an important role in business industries. As observed by Le Blanc (2015) the importance of the FMCG sector can be traced back to the fact that it contributes heavily for the development of a particular society. In this regard, the corporate social responsibility of the FMCG sector cannot be doubted because it aims to provide the basic ingredient required for human beings to survive. As such, the Sustainable Development Goals of the sector need to be analysed so that the effectiveness of the sector can be determined. Therefore, three such Sustainable Development Goals that are relevant for the existence of an FMCG sector can be analysed with the purpose of developing the sector.

The first Sustainable Development Goal that can be analysed is that of eradicating poverty. As stated by Barkemeyer et al. (2014) the main aim of an FMCG sector is to eradicate poverty and ensure that every people residing in the society are blessed with minimum supply of food. Such poverty-stricken conditions are usually seen in the South Asian countries and in Africa. Thereby, it is important to undertake certain strategies that can help in the eradication of poverty in these regions (Carley and Christie 2017). These strategies can be in the form of partnership with local companies or by assessing the economic and social needs of the people that are involved in a society. Companies such as Coca-Cola use the reputation it has in the market to ensure that proper campaigns are set up so that awareness of poverty and ways to mitigate it can be preached.

The second Sustainable Development Goal that can is relevant for the FMCG is to ensure that quality of food is checked. According to Charles Jr, Schmidheiny and Watts (2017), small-scale FMCGs are not particularly well reputed for the quality of food it serves. On the other hand, most people in the aforementioned regions do not possess the financial stability to purchase food from reputed organisations. Hence, it is important that these FMCG companies along with the reputed ones form a collaborative partnership with the farmers. In this manner, fresh produce can be a guarantee and the health of the people in a society can be accounted for. Hence, as stated by Weaver et al. (2017) sustainable development in agriculture can be maintained by undertaking this collaborative practise.

The third Sustainable Development Goal is to ensure that healthy lives are promoted within the society. According to Liu et al. (2016) is of the opinion that FMCG sections need to ensure that healthy lives in a society are provided so that people can continue to contribute for the development of a society. Therefore, strategies such as improving the working condition within an FMCG sector need to be adopted so that the food served are presented with quality as well as provide nutrients. In this case, companies like Cargil provide the lead by example so that palm oil plantations in Indonesia get to promote a healthy lifestyle among the people in the country. Nursing areas are provided so that the company can promote a healthy life style.

Three Sustainable Development Goals relevant for FMCG sector

The strategies that can be used to enhance the contribution of the Sustainable Development Goals for FMCGs can be analysed based on the availability of resources and the manner in which the sectors apply itself in the market. For example, leading FMCG sectors around the world may implement innovative strategies to ensure that the Sustainable Development Goals undertaken by the company are achieved with special emphasis on the profits of the company. Small-scale FMCG companies can formulate the strategies based on the satisfaction of the customers and the development of the company. Hence, strategies for the three Sustainable Development Goals can be analysed in a deeper context.

The first Sustainable Development Goal that is the eradication of poverty can be attained by involving the stakeholders of a company. As stated by Pearce (2014) the interests and involvement of the stakeholders of a company can help in achieving the mission of a particular company. Large multinational companies as Coca-Cola can create prosperity in the business while trying to open new business markets. Therefore, the company can undertake the future demand of the society in the eradication of poverty by undertaking social programmes. Coca-Cola with the support of Oxfam has commissioned to conduct a campaign called Poverty Footprint Studies so that the impact of the poverty can be accessed. The improved policies as well as practises can help in enhancing the economic and social condition of the people residing in poverty-stricken society.

At the same time, predictable procurement contracts can help in managing the collaboration with the markets so that suppliers can develop alternative method to ensure that livelihood can be obtained. As observed by Sachs (2015) the suppliers are the main stakeholders of an FMCG organisation and it is important that the interest of the suppliers be kept at bay by the organisations. Another example can be provided with the contribution made by the company Gift with a cause. The company is known to provide support to the families in the developing countries so that poverty can be eradicated. Such gestures can help in the development of a society by being in collaboration with the retail markets and non-profit organisations.

The second Sustainable Development Goal is to achieve food security and to promote an improved nutrition. The strategic approach to attain this particular goal can be the collaboration with the farmers. As observed by Clark et al. (2016) the farmers produce the natural and fresh ingredients that can ensure the quality of the food. Although the use of pesticides in the food can be considered harmful, the final product can offer a sense of security for the FMCG while purchasing the products from the farmers. This can also provide the farmers with the empowerment to remain an important stakeholder for the companies. Companies such as Cargil undertake such strategy as the company has its branches in India, which is an agricultural rich country.

Strategies to achieve Sustainable Development Goals

At the same time, continuing with the commitment to join the Scaling up Nutrition Business Network can help in the collaboration with the farmers. Diageo, an FMCG company located in Africa have been with a partnership with non-profit organisations located in Ethiopia so that initiatives for its Meta Beer brewery can be maintained. As predicted by Wheeler and Beatley (2014) such initiatives can help farmers to earn income and work towards the development of the lifestyle. Indirectly, such initiatives can help in the eradication of poverty in the regions and therefore, problems related to healthy food as well as poor people can be solved. Therefore, following the example of such companies can help in attaining the Sustainable Development Goal set up by the FMCGs.

The third Sustainable Development Goal that needs to be addressed is the healthy lives of the people and the promotion of well being. According to Bendell (2017), in order to do this, the initial stage is to set up a proper and hygienic working condition. Most of the FMCG companies are rumoured to have an unclean environment wherein the reduction of wastes need to be maintained. Hence, maintaining a healthy employee status across the value chain can help in improving the condition in the workplace. At the same time, it is also necessary that the FMCG companies collaborate with World Health Organisations so that a diet chart along with a balanced diet can be obtained. This can help customers to adopt a much healthier life style and ensure that promotion of personal hygiene is made among the people in the society.

The leading companies in this case include Levi Strauss & Co. The company is mainly known for manufacturing jeans but at the same time is an important vendor for integrating well with the workers. The fact that the vendors promote the manufacturing of the company can be considered as a beneficiary for the betterment of a society. At the same time investment made on the vendors need to be done properly so that the companies does not suffer from loss (Welford 2016). Cargil provides health care facilities for people residing in Indonesia working in the palm oil plantations. The company provides knowledge about basic amenities in life that require education so that people can lead a better life. The site of the business centres offers nursing areas to the women and because of this, the health in Indonesia have improved to 2400 healthy women employees.

Conclusion

Based on the analysis of the three relevant Sustainable Development Goal, strategies can be developed so that the FMCG companies can utilise the goals and ensure that the society in which it works promote the mission that are set by the sector. Hence, strategies for the implementation of the goals can be discussed in detail. Therefore, it can be concluded that the Sustainable Development Goals undertaken by the FMCG companies can help in the proper progress of a society.

Reference

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