Unlocking the Potential of Sustainability in SMEs within the Pharmaceutical Industry: The Role of Managers in Fostering Sustainability for Organizational Long-term Success

Abstract: Sustainable development requires companies to do their part. Managers are central to the partaking of sustainability in their organizations, having responsibility towards internal and external stakeholders to ensure the organization's long-term survival while being mindful of other things than maximizing profit. SMEs face additional challenges than their multinational counterparts making it more difficult to enforce sustainability within their organizations. The pharmaceutical industry, being one of the most unsustainable industries, has yet to introduce sustainability as a source of creating value in a standardized way. Previous literature has shown that having a sustainable approach can have a positive impact in creating value for organizations. Focus is on managers and their role towards driving sustainability initiatives and improving companies’ performance. Therefore, it is important to get an understanding of how managers in SMEs, within the pharmaceutical industry, are acting in order to foster such sustainable initiatives, making it the purpose of this research. Based on a qualitative single case study of an SME in the pharmaceutical industry, this research utilizes semi-structured interviews with managers to gather the needed information in order to better understand their sustainability approach. The findings provided additional understanding within the areas of sustainability practices, management, stakeholder engagement and communication, sustainability investment and profitability. Moreover, contribute to the field by offering practical guidance and examples for driving sustainability, fostering innovation, and creating a sustainable future.