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The company, which is going to be reviewed, is “Georgia-Pacific”. This company was founded by Owen R. Cheatham in 1927 as a hardwood lumber’s wholesaler (which was named at that time “Georgia Hardwood Lumber Co.”). During all its history, it has changed its names as well as the headquarters several times (Augusta, Olympia, Portland and then to Atlanta).

The “Georgia-Pacific” has grown through acquisitions and expansion and became one of the leading manufacturers as well as marketers of pulp, building products, tissue, packaging, paper, and related chemicals in the world.

This company employs more than 40,000 people at more than 300 locations not only in the USA but also worldwide. Moreover, during 1941-1945, it was probably the larger supplier of lumber to the U.S. armed forces. For the outstanding service in the war, “Georgia-Pacific” was awarded by the Army-Navy “E”.

The company believes in creating long-term customers, value, and business partners. All the employees are guided by principles of Market Based Management. It should be noticed, these principles are based on compliance and integrity; they also force the company to develop achieving world-class excellence. The “Georgia-Pacific” strives to find new and better ways to support the consumers’ needs and produce goods.

The “Georgia-Pacific” has a strong belief to make significant contributions, which are going to support the environment. The employees of “Georgia-Pacific” work closely with mostly non-profit organizations to facilitate growth and sustainability.

The “Georgian-Pacific” has a lot of programs, initiative and maintains some scholarships. For example, it has partnered with Womenetics. The aim of this partnership is to encourage future leaders to learn more about Global Women’s Initiative, to inspire action and cooperation among leaders in different spheres and to lift actions which are going to make a difference in women’s lives all around the world. The “Georgia-Pacific” has even created its own foundation which main aim is to strengthen the communities where everyone lives and works. The Foundation invests its sources in 4 key areas – “the Four E’s”, as its members call them: entrepreneurship and community enrichment, education, and environment.

One of the most important initiatives that the Georgia-Pacific has is a ‘Georgia-Pacific Sustainability’. The company defines it as meeting the needs that society has today. The “Georgia-Pacific” considers that sustainability has three dimensions – social, environmental, and economic. In making decisions, it tries to find a proper balance among all these dimensions and to achieve the subsequent results.

The social dimensions are: better life for people, supporting for communities, maintenance of quality work environment, etc. As for the environmental dimensions, they are: wise use of resources, compliance with law, operating in safe, responsible, efficient manner. The third dimension is economic: profitability maintenance, making the products which are preferred at the market, etc.

As for the sustainable forestry, it means that the way the forests are insured today the better or worst forests people will have in the future. Due to the “Statement on Forest Protection and Sustainable Practices”, there is a need for a company to protect endangered forests or the forests in special areas. It is not only a benefit for customers who buy a good and legal product, but also for a company to improve its image. At this program, the company is focused on science which will help to identify the location of unique or rare areas, which are to be kept and maintained for the future generations.

In addition, this company works on creation of  long-term value, using resources to provide wholly new products and solutions that meet the needs not only of customers but also of society, operating in a socially responsible and environmentally manner.

The second initiative to be reviewed is the “Georgia-Pacific Chemicals Leverages Open Innovation”. This program is focused on opening innovations by seeking development partners to expedite significant technology advancements, support opportunities of growth, and address customer needs.

The open innovation strategy helps the company to provide the opportunity to channel the technology of partners to meet both the visions of the “Georgia-Pacific” and satisfy its customers’ objectives.  

The “Georgia-Pacific Chemicals” seeks partners within universities, entrepreneurs, both federal and private laboratories, and other corporations that have or can have the technologies of interest to leverage the development capabilities and its own application.

Administrative Law and the Initiatives

These initiatives are considered as long-terms ones so it should be taken into account that later they will need some changes due to the law changes. Mostly all the programs and initiatives the “Georgia-Pacific” has are ecological ones.

The strategy is right. If the company produces goods made from the environmental products, so the company needs to act restoring it for the future generations.

To make the future work of the company effective, additional bodies are to be made. According to the first initiative, tree bodies should be made: the first one will enforce to work making no harm to the environment. If the problems appear, the other bodies will solve it without coercive measures made by the authorities. The Members of the second body will investigate and explore the market. It will help the company understand what customers want to buy and what products are demanded. Third body will study the results of both previous bodies’ work: was the harm caused by reviewed company, what decisions were to be made, what changes should be taken.

According to the next initiative, two bodies have to be established, which will

examine whether the innovations are new, do they have technical capabilities (1st body), and whether they meet the needs of customers (2nd body).

These bodies have to be controlled by the legislative body. The final decisions are made by the body of higher authority. However, if the situation appears when there is a need of instant decision, these bodies have a right to make it with proceeding notification.

At the end of each fiscal period, the legislative body should carry out verification of activities. This verification should be made carefully as the results of illegal activities of such company have more or less impact on the environment in which we live.

The leaders of the company should understand that the products they produce can be sold either by the direct sales or through the Internet. A customer wants to see, sometimes even touch such products as wood, pulp or other materials. In this case, the sales are carried at shops or factories. On the other hand, the “Georgia-Pacific” receives a great image and one of the most profitable companies in the world. If a customer knows it, he or she can buy goods by means of the Internet or make an order by telephone.

It should also be noticed that “Georgia-Pacific” is a world well-known company which have its branches and representative offices all over the world. That is why there will be no profit from giving a license as customers will continue to buy at the “Georgia-Pacific” company as they have already known the product quality, which is represented, and the quality of service that is provided.

Recommendations

The profit of these initiatives can be received only when people will understand the importance of products which make no harm to society and environment. Currently, society understood this problem and started to make steps towards healthy way of life.

Nevertheless, “Georgia-Pacific” should, firstly, expand the program of protecting the environment widely. The posters and slogans should be distributed everywhere. These steps will draw attention to the company and will eliminate other competitors. In addition, the novelty and appropriate, safe processing of raw materials must be fully patented, making the production of even a little bit similar product impossible. 

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