ABSTRACT
Nothing gets lost, nothing gets created, everything gets transformed–
Antoine de Lavoisier
Case Problem
How to succeed in reconciling profitability with environmental and social sustainability?
Case synopsis
In an opinion article published in Les Affaires, a Quebecer newspaper, Professor Robert Dutton (HEC Montreal) underscored quite rightfully that ethics is useful when it disturbs. Reproaching to ethics, governance and responsibility rules “to bother” is to corroborate their very raison d’être. Some companies adopted a different stance though with regard to responsibility. Instead of considering it as a burden, they integrated its principles as a key distinctive business feature, which ultimately resulted in a competitive advantage. The case presents a company which managed to achieve just that. It portrays the family-owned “Cascades” company in Quebec, Canada. The company started in the 1960s in the fields of manufacturing, processing and marketing of packaging products and tissue paper, mainly composed of recycled fibers to become a world-class giant through various mergers, acquisitions and business expansion in the 2010s. What is remarkable about this company is that this successful expansion did not change its core values and principles, even in the most difficult times. In fact, Cascades was able to remain truthful to its founding principles, and it might be precisely that form of integrity which propelled the company to the summit. It appears that Cascades did not succeed despite sustainable development practices but rather because of them. The case is therefore articulated around the four key success factors of (1) culture and values, (2) stakeholder management, (3) reuse philosophy and (4) resource efficiency, which have contributed to Cascades’ success in reconciling profitability with environmental and social sustainability, hence sustainable development.
