|
|
|
|
|
The normal business process as it has been practiced for the past 200 years is basically a linear model often known as a supply chain (or cradle-to-grave).
Inputs such as energy, water, materials and component products are transformed by the business processes into outputs such as the finished product, waste and emissions.
All inputs and outputs are part of the environment. The point being that (according to the first law of thermodynamics) nothing is created or destroyed – only transformed. The outputs of businesses end up as waste eventually – but that waste doesn’t leave the environment. It stays there and keeps growing.
In the process of transformation the business inputs are not turned into something different in quantity but their 'quality' changes. Coal left in the ground is perfectly harmless and quite inert. When it is extracted, transported and burned it is transformed into energy (which is very useful) and waste gases, particles and ash (which are worse than useless).
All businesses also have a number of interactions within the social environment. For example businesses employ people and pay them wages. Investors provide capital and are paid dividends. Governments charge taxes and apply laws and regulations which businesses must comply to. Governments also provide infrastructural services as well as benefits like subsidies, grants and other incentives.
|
|
|