Enhancing Organizational Resilience: Sustainable Development Scenarios Incorporating Disaster Impacts and AI Tools
Abstract
:1. Introduction
2. Background of the Research
2.1. Scenario Planning in Organizational Strategy
- Listing predetermined elements and trends in the global energy market.
- Identifying drivers of change in the external environment that could affect the company’s competitive position.
- Exploring likely patterns of evolution for these drivers of change.
- Building the scenarios’ plots and narratives.
- Analyzing the industry and market structure that would prevail in each scenario.
- Identifying emerging sources of competitive advantage.
- Generating and evaluating options for strategic action.
- Global Scenarios: Exploring forces in the global macro-environment, including politics, economy, society, ecology, technology, and demographics.
- Focused Scenarios: Addressing each business sector and geographic area based on the global scenarios.
- Project Scenarios: Investigating specific investment projects with detailed information on competitors, profitability, and risks.
2.2. Scenario Planning for Sustainable Development and Disaster Risk Reduction
2.3. Challenges and Limitations in Scenario Planning
- Achieving a clear description of the long-term goals that the company must fulfill within the planned period.
- Collecting and assessing data on influential factors (drivers), determining their impact magnitude and the trends of their change over time.
- Selecting viable scenario options and estimating the likelihood of their successful implementation.
- Producing detailed scenario narratives that are actionable, including both potential benefits and possible losses, to ensure their practical applicability.
- Coordinating the scenarios with interested groups, ensuring that diverse stakeholders—both internal and external—are engaged, informed, and supportive.
2.4. Challenges and Limitations in Scenario Planning (Old)
2.5. Innovative Approaches and the Role of Artificial Intelligence
2.6. Integrating Disaster Risk into Sustainable Development Scenarios
2.7. The Integration of Artificial Intelligence in Scenario Planning and Disaster Management
2.8. Challenges and Limitations of ChatGPT Use for Scenario Generation
3. The Methodology of the Research
3.1. Analyzing Dependencies: Correlation and Mutual Information Analyses
3.1.1. Correlation Analysis
3.1.2. Mutual Information with Null Model Thresholding
Null Model Approach
- For each pair of variables X and Y, permute X 100 times, creating random pairings with fixed Y.
- Compute the MI for each permutation using the formula for mutual information.
- Aggregate these MI values to form a null distribution.
- Define the significance threshold as the 99th percentile of the null distribution. MI values above this threshold are considered to be statistically significant.
3.1.3. Comparison of Approaches
3.2. Factors for Evaluation
3.3. Methodology for Scenario Generation
3.3.1. Prompt Engineering Approach
- Defining Clear Objectives: Explicitly stating the purpose of the scenario generation, focusing on specific themes such as Sustainable Development Goals (SDGs), disaster risk management, and organizational resilience.
- Providing Contextual Information: Including relevant background information in the prompts, such as the organizational context, industry sector, and specific challenges faced. This helps ChatGPT to tailor the scenarios to our needs; in our prompts, we included the knowledge extracted from conducted survey.
- Specifying Desired Output Structure: Guiding the AI to produce scenarios with a clear structure, including elements like timeframes, key actors, and potential outcomes. This ensures that the scenarios are comprehensive and actionable.
- Incorporating Key Variables and Constraints: Highlighting critical factors and uncertainties to be considered in the scenarios, such as technological advancements, climate change impacts, and regulatory environments.
- Iterative Refinement: Engaging in an iterative process, reviewing the AI’s outputs, and refining the prompts as needed to enhance clarity and relevance.
3.3.2. Approach to AI-Generated Scenarios
- Ethical Considerations: Followed ethical guidelines, ensuring that the prompts and generated content respected confidentiality, avoided biases, and complied with applicable policies [57].
- Preliminary Review: Conducted a preliminary review of the AI-generated scenarios for plausibility and alignment with the prompts. This involved checking for logical consistency and relevance to the specified context.
- Documentation: Documented the prompt engineering process, including iterations and refinements, to maintain transparency and replicability. However, regarding the current state of GenAI technology, the replicability property is quite limited.
4. Results
4.1. Dependence Between Score Variables
4.2. Scenario Generation Using ChatGPT
4.2.1. Information Provided in Scenario Prompt Generation
- Clear Scenario Focus: Define the main topic or challenge the scenario should address. For example, “Develop a scenario where a manufacturing company adapts to increasing climate-related disasters over the next decade”.
- Contextual Background: Provide background information about the organization, industry, or region. This may include size, location, key stakeholders, and current strategies.
- Timeframe: Specify the temporal scope of the scenario, e.g., “over the next 10 years” or “by 2030”.
- Key Drivers and Uncertainties: Identify critical factors that influence the scenario, such as technological developments, economic trends, policy changes, or environmental challenges.
- Desired Level of Detail: Indicate the expected depth and complexity of the scenario. For example, request a detailed narrative that includes specific actions, consequences, and stakeholder responses.
- Constraints and Assumptions: Mention any constraints or assumptions to be considered, such as resource limitations, regulatory frameworks, or social dynamics.
- Output Format: Specify if the scenario should be presented in a particular format, such as a narrative, bullet points, or a structured outline.
“Imagine a scenario where a large manufacturing company in Lithuania faces an increasing frequency of natural disasters due to climate change over the next decade. The company aims to enhance its disaster preparedness and sustainability practices while maintaining profitability, despite resource limitations and stringent environmental regulations. The company must also address stakeholder concerns, including those of employees, local communities, and government agencies. Provide a detailed description of how the company adapts its operations, engages with stakeholders, and leverages artificial intelligence—specifically machine learning and predictive analytics—in disaster planning and management. Include potential challenges, ethical considerations, and outcomes. Present the scenario in a structured format with clear headings for each section, such as Introduction, Adaptive Strategies, Stakeholder Engagement, AI Implementation, Challenges, Ethical Considerations, and Outcomes.”
- Clear Scenario Focus:
- “Imagine a scenario where a large manufacturing company in Lithuania faces an increasing frequency of natural disasters due to climate change over the next decade.”
- Contextual Background:
- “A large manufacturing company in Lithuania…”
- Timeframe:
- “…over the next decade.”
- Key Drivers and Uncertainties:
- “Increasing frequency of natural disasters due to climate change.”
- Desired Level of Detail:
- “Provide a detailed description of how the company adapts its operations, engages with stakeholders, and leverages artificial intelligence—specifically machine learning and predictive analytics—in disaster planning and management. Include potential challenges, ethical considerations, and outcomes.”
- Constraints and Assumptions:
- “…while maintaining profitability, despite resource limitations and stringent environmental regulations.”
- Output Format:
- “Present the scenario in a structured format with clear headings for each section, such as Introduction, Adaptive Strategies, Stakeholder Engagement, AI Implementation, Challenges, Ethical Considerations, and Outcomes.”
4.2.2. Potential for Assessing AI-Generated Scenarios
- Plausibility: Determining whether the scenario is believable and grounded in logical assumptions.
- Relevance: Ensuring that the scenario addresses the specific issues and objectives relevant to the organization.
- Internal Consistency: Checking for logical coherence within the scenario without contradictions.
- Differentiation: Comparing multiple scenarios to ensure that they explore distinct pathways and outcomes.
- Actionability: Evaluating whether the scenario provides practical insights that can inform strategic decision-making.
4.2.3. Implications for Scenario Planning Using Conversational AI
4.3. ChatGPT-Generated Scenarios
4.3.1. Pessimistic Scenario (2025–2035)
Company Profile
Initial Challenges
- Frequent electricity and communication disruptions.
- Supply chain issues with both suppliers and customers.
- Organizational challenges during pandemics.
- Psychological stress among employees.
Impact of Possible Disasters
- High Probability: Floods, storms, and heatwaves become more common due to climate change.
- Size and Extent: Disasters affect large regions, disrupting national infrastructure.
- Effects on the Company:
- –
- Operations are frequently halted.
- –
- Supply chains are severely disrupted.
- –
- Physical infrastructure suffers significant damage.
- –
- Employee well-being deteriorates due to constant crises.
Actions to Increase Organizational Resilience
- Internal Efforts: Reluctance to invest in sustainability due to financial constraints.
- Lack of Initiative: Waits for external stakeholders to lead, but such support is limited.
- Failure to Collaborate: Does not actively seek partnerships or government assistance.
Stakeholder Actions
- Employees: High stress levels lead to decreased productivity and increased turnover.
- Suppliers and Customers: Face their own challenges, causing further supply chain breakdowns.
- Government Agencies: Provide minimal support due to resource limitations.
Integration of Artificial Intelligence
- Lack of Adoption: No implementation of AI for disaster planning or supply chain management.
- Technological Lag: Competitors adopt AI, leaving Baltic Car Makers behind.
Addressing Sustainable Development Goals
- Important SDGs Neglected: Little action on clean water (SDG 6), good health (SDG 3), or responsible consumption (SDG 12).
- Less-Prioritized SDGs Ignored: Gender equality (SDG 5), climate action (SDG 13), and innovation (SDG 9) remain unaddressed.
Resilience Enhancements
- Infrastructure: No significant upgrades; facilities remain vulnerable.
- Policies and Training: Lacks disaster preparedness policies; no employee training.
Overcoming Barriers
- Financial Constraints: No efforts to secure funding or reallocate resources.
- Negative Impacts Unmitigated: Disasters continue to cause significant operational losses.
Outcomes and Impact
- Disaster Preparedness Ratings: Remain low; company is ill-prepared for crises.
- Operational Continuity: Frequent disruptions lead to declining productivity and profitability.
- Competitive Advantage: Loses market share to better-prepared competitors.
Future Outlook
- Survival: Company struggles to survive amidst mounting challenges.
- Reputation: Damaged due to poor crisis management and sustainability neglect.
- Missed Opportunities: Fails to capitalize on advancements in sustainable practices.
4.3.2. Most Likely Scenario (2025–2035)
Company Profile
Initial Challenges
Impact of Possible Disasters
- Medium Probability: Occasional floods and storms impact operations.
- Effects on the Company:
- –
- Operations are temporarily disrupted.
- –
- Supply chains experience delays but not complete breakdowns.
- –
- Employee well-being is affected but managed.
Actions to Increase Organizational Resilience
- Internal Efforts:
- –
- Forms a basic disaster response team.
- –
- Allocates limited funds for infrastructure improvements.
- Collaboration:
- –
- Engages with suppliers to strengthen supply chains.
- –
- Participates in industry forums on disaster preparedness.
Stakeholder Actions
- Employees: Receive some training; morale stabilizes.
- Suppliers and Customers: Work together to mitigate disruptions.
- Government Agencies: Provide occasional support, although bureaucratic hurdles persist.
Integration of Artificial Intelligence
- Implementation:
- –
- Introduces AI for basic supply chain management.
- –
- Uses predictive analytics for maintenance scheduling.
- Benefits: Some operational efficiencies are realized.
Addressing Sustainable Development Goals
- Important SDGs:
- –
- Implements water-saving measures (SDG 6).
- –
- Enhances workplace safety (SDG 3).
- Less-Prioritized SDGs:
- –
- Begins to explore climate action initiatives (SDG 13).
- –
- Invests modestly in innovation (SDG 9).
Resilience Enhancements
- Infrastructure: Upgrades critical systems to withstand common disasters.
- Policies and Training: Implements basic disaster preparedness policies.
Overcoming Barriers
- Financial Constraints: Secures modest funding through partnerships.
- Negative Impacts: Reduces operational disruptions through improved planning.
Outcomes and Impact
- Disaster Preparedness Ratings: Improve to an average level.
- Operational Continuity: Stability is achieved, although not optimal.
- Competitive Advantage: Maintains market position but does not significantly excel.
Future Outlook
- Sustainability: Recognizes the need for ongoing efforts.
- Leadership Position: Viewed as a responsible company, although not a leader.
- Lessons Learned: Understands the importance of proactive measures.
4.3.3. Optimistic Scenario (2025–2035)
Company Profile
Initial Challenges
Impact of Possible Disasters
- High Probability: Disasters occur but are mitigated effectively.
- Effects on the Company:
- –
- Operations remain uninterrupted.
- –
- Supply chains are resilient and adaptive.
- –
- Employee well-being is prioritized and maintained.
Actions to Increase Organizational Resilience
- Internal Efforts:
- –
- Establishes a Sustainability and Resilience Department.
- –
- Integrates SDGs into corporate strategy.
- Investment:
- –
- Allocates 10% of annual revenue to sustainability initiatives.
- –
- Invests in renewable energy, reducing dependence on external grids.
- Collaboration:
- –
- Partners with universities for research on sustainable materials.
- –
- Engages with international organizations for best practices.
Stakeholder Actions
- Employees: Highly engaged; benefit from wellness programs and training.
- Suppliers and Customers: Integrated into disaster preparedness plans.
- Government Agencies: Provide support and recognize the company’s leadership.
Integration of Artificial Intelligence
- Implementation:
- –
- Uses AI for predictive analytics and early warning systems.
- –
- Optimizes supply chains and real-time decision-making during disasters.
- Benefits: Achieves high efficiency and swift response to incidents.
Addressing Sustainable Development Goals
- SDG 6 (Clean Water): Implements water recycling in manufacturing.
- SDG 3 (Good Health): Offers comprehensive health programs.
- SDG 12 (Responsible Consumption): Adopts circular economy principles.
- SDG 5 (Gender Equality): Increases female representation in leadership.
- SDG 13 (Climate Action): Achieves carbon neutrality by 2030.
- SDG 9 (Industry, Innovation): Invests in cutting-edge technologies.
Resilience Enhancements
- Infrastructure: Builds disaster-resistant facilities with renewable energy sources.
- Policies and Training: Establishes comprehensive policies; employees are well-prepared.
Overcoming Barriers
- Financial Constraints:
- –
- Secures funding through green bonds and EU grants.
- –
- Leverages investments and partnerships.
- Negative Impacts:
- –
- Implements robust cybersecurity measures.
- –
- Develops alternative supply chain strategies.
Outcomes and Impact
- Disaster Preparedness Ratings: Ranks in the top 5% in Europe.
- Operational Continuity: Maintains uninterrupted operations.
- Competitive Advantage: Increases market share by 25%.
- Community Impact: Supports local communities through sustainable projects.
Future Outlook
- Leadership: Receives international recognition for sustainability.
- Innovation: Continues to innovate with sustainable materials.
- Growth: Expands into new markets and sectors.
5. Discussion
5.1. Entrepreneurship and Company Size
5.2. Risk Management and Disaster Resilience
5.3. Prioritization of Sustainable Development Goals
5.4. Common Disaster Experiences
5.5. Implications for Scenario Development and Organizational Resilience
5.6. Implications of AI Integration for Organizational Resilience and Sustainability
5.7. Limitations and Future Research
6. Conclusions
- Engagement in Sustainability and Disaster Prevention: Only 37% of the respondents reported encountering sustainable development and disaster management issues, and a similar proportion developed related scenarios. While external stakeholders (the state, suppliers, and consumers) are often involved, 57% indicated that companies ultimately address these challenges independently.
- Preparedness vs. Rapid Response: Companies prioritize rapid response and liquidation of disaster consequences (4.5/5) over risk management and increasing resilience (3.8/5). This suggests an emphasis on immediate action rather than long-term preparedness.
- Psychological Stress and SDGs: The correlation and mutual information analyses uncovered that employee psychological stress negatively correlates with the importance assigned to SDGs during disasters. Thus, stress-reducing measures are crucial for remaining focused on sustainability.
- Mutual Information Insights: The MI analysis complemented the correlation analysis by detecting non-linear dependencies and identifying potential survey question overlaps. For example, “Securing supply chains” (B3.5) emerged as a strong predictor.
Author Contributions
Funding
Institutional Review Board Statement
Informed Consent Statement
Data Availability Statement
Acknowledgments
Conflicts of Interest
Appendix A. The Conversation with ChatGPT
Using the detailed context and survey findings provided, generate three comprehensive scenarios---pessimistic, most likely, and optimistic---that explore how a large manufacturing company in Lithuania can enhance its disaster preparedness and sustainable development practices over the next decade (2025 to 2035). Let’s consider artificial company named ``Baltic Car Makers’’. Definition of a Good Scenario in This Context: In the context of this research, a good scenario is a coherent, plausible, and detailed narrative that describes a potential future situation involving specific challenges and outcomes related to sustainable development and disaster management. Each scenario should: \begin{itemize} \item Incorporate Survey Findings and Contextual Data: Directly integrate the provided context and survey results to ensure relevance and applicability. \item Address Key Elements: Include analysis of possible disaster impacts and actions to increase organizational resilience, considering stakeholders’ actions. \item Align with Sustainable Development Goals (SDGs): Reflect on all seventeen SDGs, emphasizing those identified as important or less-prioritized in the survey. \item Assess Potential Impacts and Probabilities: Evaluate the likelihood, scale, and extent of various disasters and their potential effects on the company. \item Detail Strategies for Resilience: Describe how the company can enhance its resilience to disasters under each scenario, considering the specific challenges and opportunities presented. \item Provide Actionable Insights: Offer practical recommendations for strategic planning, disaster preparedness, and sustainable development. \item Maintain Plausibility and Coherence: Ensure that the scenario is believable and logically consistent, with a clear narrative flow. \item Cover the Specified Timeframe: Encompass developments and projections from 2025 to 2035. \end{itemize} Context and Survey Findings: \begin{itemize} \item The majority of professionals in Lithuanian companies are engineers, designers, directors, department heads, and managers, with most holding higher education qualifications. \item Half of the companies are large enterprises, primarily in the manufacturing sector, with the remainder being SMEs and micro-companies. \item Only 37\% of companies have encountered issues related to sustainable development and disaster management, and a similar percentage actively develop related scenarios. \item Companies rarely initiate sustainable development and disaster prevention activities independently; external stakeholders like the state, suppliers, and consumers are typically involved. However, 57\% indicated that, in practice, only the company itself addresses these issues. \item Large companies rate their disaster preparedness higher (3.5 out of 5) compared to SMEs and micro- companies. \item Differences exist in the prioritization of Sustainable Development Goals (SDGs) during disasters. Clean water and sanitation, good health and well-being, zero hunger, life on land and below water, and responsible consumption are deemed important across all company sizes. Micro-companies place less emphasis on gender equality, climate action, and industry, innovation, and infrastructure. \item The most critical scenarios for disaster management are rapid response and liquidation of disaster consequences, securing supply chains, attracting and mobilizing stakeholders, and temporary accommodation of residents. \item Frequent negative impacts of disasters include electricity and communication disruptions, supplier and customer issues, organizational challenges during pandemics, financial losses, human resources problems, and psychological stress among employees. \end{itemize} Scenario Requirements: Develop three scenarios---pessimistic, most likely, and optimistic---for the sustainable development of a large manufacturing company in Lithuania. Each scenario should: \begin{itemize} \item Analyze the Impact of Possible Disasters: \begin{itemize} \item Assess the probability, size, and extent of potential disasters. \item Evaluate how these disasters could affect the company’s operations, supply chains, employees, and stakeholders. \end{itemize} \item Detail Actions to Increase Organizational Resilience: \begin{itemize} \item Propose strategies and initiatives the company can implement to enhance its disaster preparedness and sustainability practices. \item Consider both internal efforts and collaboration with external stakeholders. \end{itemize} \item Consider Stakeholder Actions: \begin{itemize} \item Include potential actions and reactions from employees, local communities, suppliers, consumers, government agencies, and other relevant parties. \item Address how stakeholder engagement can support or hinder the company’s efforts. \end{itemize} \item Integrate Sustainable Development Goals (SDGs): \begin{itemize} \item Reflect on all seventeen SDGs, highlighting specific actions to promote those identified as important (e.g., clean water and sanitation, good health and well-being, responsible consumption). \item Suggest initiatives to improve areas rated lower by micro-companies (e.g., gender equality, climate action, industry innovation). \end{itemize} \item Describe Resilience Enhancements: \begin{itemize} \item Explain how the company can strengthen its resilience in each scenario, taking into account the potential impacts of various disasters. \item Include measures such as infrastructure upgrades, technology adoption, policy changes, and workforce training. \end{itemize} \item Timeframe: \begin{itemize} \item Cover developments and projections from 2025 to 2035, outlining short-term and long-term strategies. \end{itemize} \end{itemize} Key Elements to Address in Each Scenario: \begin{enumerate} \item Company Profile: \begin{itemize} \item A large manufacturing company specializing in a specific industry (e.g., automotive parts, electronics, machinery). \item Emphasize the company’s significance in the Lithuanian economy and the manufacturing sector. \end{itemize} \item Initial Challenges: \begin{itemize} \item Limited prior engagement in sustainable development and disaster management practices. \item Increasing frequency of natural disasters due to climate change impacting operations. \item Existing vulnerabilities such as electricity and communication disruptions, supplier and customer issues, and employee stress. \end{itemize} \item Strategic Initiatives: \begin{itemize} \item Steps the company takes to develop and implement sustainable development and disaster response strategies. \item How the company leverages its internal resources despite initial reluctance to act independently. \item Collaboration with external stakeholders to enhance preparedness and resilience. \end{itemize} \item Integration of Artificial Intelligence: \begin{itemize} \item Implementation of AI technologies, including machine learning and predictive analytics, in disaster planning and management. \item Use of AI for early warning systems, supply chain optimization, risk assessment, and real-time decision-making during disasters. \end{itemize} \item Addressing Sustainable Development Goals: \begin{itemize} \item Specific actions to promote important SDGs. \item Initiatives to improve areas rated lower by micro-companies. \end{itemize} \item Stakeholder Engagement: \begin{itemize} \item How the company engages employees, local communities, suppliers, consumers, and government agencies. \item Programs to reduce psychological stress among employees and enhance human resource management during crises. \end{itemize} \item Overcoming Barriers: \begin{itemize} \item Strategies to address financial constraints and resource limitations. \item Measures to mitigate frequent negative impacts of disasters identified in the survey. \end{itemize} \item Outcomes and Impact: \begin{itemize} \item Improvements in disaster preparedness ratings within the company. \item Positive effects on operational continuity, profitability, and competitive advantage. \item Contributions to the broader community’s resilience and advancement toward sustainable development. \end{itemize} \item Future Outlook: \begin{itemize} \item Long-term benefits and lessons learned. \item How the company’s actions position it as a leader in sustainable practices and disaster management. \end{itemize} \end{enumerate} Additional Guidance: \begin{itemize} \item Pessimistic Scenario: \begin{itemize} \item Explore a future where challenges intensify, and the company’s efforts are met with significant obstacles. \item Consider worst-case outcomes, such as severe disasters, inadequate stakeholder support, and limited success in implementing initiatives. \end{itemize} \item Most Likely Scenario: \begin{itemize} \item Present a realistic future based on current trends and moderate success in addressing challenges. \item Include balanced outcomes with both achievements and setbacks. \end{itemize} \item Optimistic Scenario: \begin{itemize} \item Envision a future where the company successfully overcomes challenges and exceeds expectations. \item Highlight best-case outcomes, such as effective disaster mitigation, strong stakeholder collaboration, and significant advancements in sustainability. \end{itemize} \end{itemize} Ensure that each scenario is \begin{itemize} \item Coherent and Plausible: The narrative should be logical and believable within the context provided. \item Detailed and Specific: Include concrete examples, data points, and projections. \item Directly Incorporating Survey Findings: Use the provided context to ground the scenarios in reality. \item Actionable: Offer insights and recommendations that can inform strategic planning and decision-making. \end{itemize} Provide answer using latex language.
\section*{Pessimistic Scenario (2025--2035)} \subsection*{Company Profile} Baltic Car Makers is a large Lithuanian manufacturing company specializing in automotive parts production. As a key player in the national economy, it employs a significant number of professionals, including engineers, designers, and managers. \subsection*{Initial Challenges} Despite its size, the company has limited prior engagement in sustainable development and disaster management practices. With climate change accelerating, natural disasters become more frequent, directly impacting operations. Existing vulnerabilities include: \begin{itemize} \item Frequent electricity and communication disruptions. \item Supply chain issues with both suppliers and customers. \item Organizational challenges during pandemics. \item Psychological stress among employees. \end{itemize} \subsection*{Impact of Possible Disasters} Between 2025 and 2035, Lithuania experiences an increase in severe natural disasters: \begin{itemize} \item High Probability: Floods, storms, and heatwaves become more common due to climate change. \item Size and Extent: Disasters affect large regions, disrupting national infrastructure. \item Effects on the Company: \begin{itemize} \item Operations are frequently halted. \item Supply chains are severely disrupted. \item Physical infrastructure suffers significant damage. \item Employee well-being deteriorates due to constant crises. \end{itemize} \end{itemize} \subsection*{Actions to Increase Organizational Resilience} Baltic Car Makers makes minimal efforts to enhance disaster preparedness: \begin{itemize} \item Internal Efforts: Reluctance to invest in sustainability due to financial constraints. \item Lack of Initiative: Waits for external stakeholders to lead, but such support is limited. \item Failure to Collaborate: Does not actively seek partnerships or government assistance. \end{itemize} \subsection*{Stakeholder Actions} Stakeholder engagement is weak: \begin{itemize} \item Employees: High stress levels lead to decreased productivity and increased turnover. \item Suppliers and Customers: Face their own challenges, causing further supply chain breakdowns. \item Government Agencies: Provide minimal support due to resource limitations. \end{itemize} \subsection*{Integration of Artificial Intelligence} The company hesitates to invest in AI technologies: \begin{itemize} \item Lack of Adoption: No implementation of AI for disaster planning or supply chain management. \item Technological Lag: Competitors adopt AI, leaving Baltic Car Makers behind. \end{itemize} \subsection*{Addressing Sustainable Development Goals} Minimal progress is made on SDGs: \begin{itemize} \item Important SDGs Neglected: Little action on clean water (SDG 6), good health (SDG 3), or responsible consumption (SDG 12). \item Less-Prioritized SDGs Ignored: Gender equality (SDG 5), climate action (SDG 13), and innovation (SDG 9) remain unaddressed. \end{itemize} \subsection*{Resilience Enhancements} The company fails to strengthen its resilience: \begin{itemize} \item Infrastructure: No significant upgrades; facilities remain vulnerable. \item Policies and Training: Lacks disaster preparedness policies; no employee training. \end{itemize} \subsection*{Overcoming Barriers} Financial and operational barriers persist: \begin{itemize} \item Financial Constraints: No efforts to secure funding or reallocate resources. \item Negative Impacts Unmitigated: Disasters continue to cause significant operational losses. \end{itemize} \subsection*{Outcomes and Impact} Negative outcomes prevail: \begin{itemize} \item Disaster Preparedness Ratings: Remain low; company is ill-prepared for crises. \item Operational Continuity: Frequent disruptions lead to declining productivity and profitability. \item Competitive Advantage: Loses market share to better-prepared competitors. \end{itemize} \subsection*{Future Outlook} The long-term outlook is bleak: \begin{itemize} \item Survival: Company struggles to survive amidst mounting challenges. \item Reputation: Damaged due to poor crisis management and sustainability neglect. \item Missed Opportunities: Fails to capitalize on advancements in sustainable practices. \end{itemize} \newpage \section*{Most Likely Scenario (2025--2035)} \subsection*{Company Profile} Baltic Car Makers maintains its position as a leading automotive parts manufacturer in Lithuania, contributing significantly to the economy and employment. \subsection*{Initial Challenges} Recognizing the increasing frequency of natural disasters, the company begins to engage in sustainable development and disaster management practices, albeit cautiously. \subsection*{Impact of Possible Disasters} Natural disasters occur with moderate frequency: \begin{itemize} \item Medium Probability: Occasional floods and storms impact operations. \item Effects on the Company: \begin{itemize} \item Operations are temporarily disrupted. \item Supply chains experience delays but not complete breakdowns. \item Employee well-being is affected but managed. \end{itemize} \end{itemize} \subsection*{Actions to Increase Organizational Resilience} The company takes moderate steps: \begin{itemize} \item Internal Efforts: \begin{itemize} \item Forms a basic disaster response team. \item Allocates limited funds for infrastructure improvements. \end{itemize} \item Collaboration: \begin{itemize} \item Engages with suppliers to strengthen supply chains. \item Participates in industry forums on disaster preparedness. \end{itemize} \end{itemize} \subsection*{Stakeholder Actions} Stakeholder engagement improves: \begin{itemize} \item Employees: Receive some training; morale stabilizes. \item Suppliers and Customers: Work together to mitigate disruptions. \item \textbf{Government Agencies}: Provide occasional support, though bureaucratic hurdles persist. \end{itemize} \subsection*{Integration of Artificial Intelligence} Partial adoption of AI technologies: \begin{itemize} \item Implementation: \begin{itemize} \item Introduces AI for basic supply chain management. \item Uses predictive analytics for maintenance scheduling. \end{itemize} \item Benefits: Some operational efficiencies are realized. \end{itemize} \subsection*{Addressing Sustainable Development Goals} Moderate progress is made: \begin{itemize} \item Important SDGs: \begin{itemize} \item Implements water-saving measures (SDG 6). \item Enhances workplace safety (SDG 3). \end{itemize} \item Less-Prioritized SDGs: \begin{itemize} \item Begins to explore climate action initiatives (SDG 13). \item Invests modestly in innovation (SDG 9). \end{itemize} \end{itemize} \subsection*{Resilience Enhancements} Strengthens resilience to a moderate extent: \begin{itemize} \item Infrastructure: Upgrades critical systems to withstand common disasters. \item Policies and Training: Implements basic disaster preparedness policies. \end{itemize} \subsection*{Overcoming Barriers} Some barriers are addressed: \begin{itemize} \item Financial Constraints: Secures modest funding through partnerships. \item Negative Impacts: Reduces operational disruptions through improved planning. \end{itemize} \subsection*{Outcomes and Impact} Mixed outcomes are observed: \begin{itemize} \item Disaster Preparedness Ratings: Improve to an average level. \item Operational Continuity: Stability is achieved, though not optimal. \item \textbf{Competitive Advantage}: Maintains market position but does not significantly excel. \end{itemize} \subsection*{Future Outlook} A cautious optimism prevails: \begin{itemize} \item Sustainability: Recognizes the need for ongoing efforts. \item Leadership Position: Seen as a responsible company, though not a leader. \item \textbf{Lessons Learned}: Understands the importance of proactive measures. \end{itemize} \newpage \section*{Optimistic Scenario (2025--2035)} \subsection*{Company Profile} Baltic Car Makers emerges as a leader in sustainable manufacturing and disaster preparedness, setting industry benchmarks in Lithuania and beyond. \subsection*{Initial Challenges} Proactively addresses sustainable development and disaster management, transforming challenges into opportunities. \subsection*{Impact of Possible Disasters} Natural disasters have minimal impact due to effective strategies: \begin{itemize} \item High Probability: Disasters occur but are mitigated effectively. \item Effects on the Company: \begin{itemize} \item Operations remain uninterrupted. \item Supply chains are resilient and adaptive. \item Employee well-being is prioritized and maintained. \end{itemize} \end{itemize} \subsection*{Actions to Increase Organizational Resilience} Significant initiatives are undertaken: \begin{itemize} \item Internal Efforts: \begin{itemize} \item Establishes a Sustainability and Resilience Department. \item Integrates SDGs into corporate strategy. \end{itemize} \item Investment: \begin{itemize} \item Allocates 10% of annual revenue to sustainability initiatives. \item Invests in renewable energy, reducing dependence on external grids. \end{itemize} \item Collaboration: \begin{itemize} \item Partners with universities for research on sustainable materials. \item Engages with international organizations for best practices. \end{itemize} \end{itemize} \subsection*{Stakeholder Actions} Strong engagement leads to collective success: \begin{itemize} \item Employees: Highly engaged; benefit from wellness programs and training. \item Suppliers and Customers: Integrated into disaster preparedness plans. \item Government Agencies: Provide support and recognize the company’s leadership. \end{itemize} \subsection*{Integration of Artificial Intelligence} Advanced AI technologies are fully implemented: \begin{itemize} \item Implementation: \begin{itemize} \item Uses AI for predictive analytics and early warning systems. \item Optimizes supply chains and real-time decision-making during disasters. \end{itemize} \item Benefits: Achieves high efficiency and swift response to incidents. \end{itemize} \subsection*{Addressing Sustainable Development Goals} Significant progress across all SDGs: \begin{itemize} \item SDG 6 (Clean Water): Implements water recycling in manufacturing. \item SDG 3 (Good Health): Offers comprehensive health programs. \item \textbf{SDG 12 (Responsible Consumption)}: Adopts circular economy principles. \item SDG 5 (Gender Equality): Increases female representation in leadership. \item SDG 13 (Climate Action): Achieves carbon neutrality by 2030. \item SDG 9 (Industry, Innovation): Invests in cutting-edge technologies. \end{itemize} \subsection*{Resilience Enhancements} Company’s resilience is greatly enhanced: \begin{itemize} \item Infrastructure: Builds disaster-resistant facilities with renewable energy sources. \item Policies and Training: Establishes comprehensive policies; employees are well-prepared. \end{itemize} \subsection*{Overcoming Barriers} Effectively overcomes all barriers: \begin{itemize} \item Financial Constraints: \begin{itemize} \item Secures funding through green bonds and EU grants. \item Leverages investments and partnerships. \end{itemize} \item Negative Impacts: \begin{itemize} \item Implements robust cybersecurity measures. \item Develops alternative supply chain strategies. \end{itemize} \end{itemize} \subsection*{Outcomes and Impact} Positive outcomes are achieved: \begin{itemize} \item Disaster Preparedness Ratings: Ranks in the top 5% in Europe. \item Operational Continuity: Maintains uninterrupted operations. \item \textbf{Competitive Advantage}: Increases market share by 25%. \item Community Impact: Supports local communities through sustainable projects. \end{itemize} \subsection*{Future Outlook} The company is well-positioned for the future: \begin{itemize} \item Leadership: Receives international recognition for sustainability. \item Innovation: Continues to innovate with sustainable materials. \item Growth: Expands into new markets and sectors. \end{itemize}
Could you comment where and how the data of our study findings was reflected in your scenarios?
1. Professional Roles and Company Sizes Study Finding: The majority of professionals in Lithuanian companies are engineers, designers, directors, department heads, and managers, with most holding higher education qualifications. Half of the companies are large enterprises, primarily in the manufacturing sector. Reflection in Scenarios: In all three scenarios, Company Profile sections emphasize that Baltic Car Makers is a large manufacturing company specializing in automotive parts, highlighting its significance in the Lithuanian economy. The company is described as employing a significant number of professionals, including engineers, designers, and managers, mirroring the professional roles indicated in the study. 2. Limited Prior Engagement in Sustainable Development and Disaster Management Study Finding: Only 37% of companies have encountered issues related to sustainable development and disaster management, and a similar percentage actively develop related scenarios. Reflection in Scenarios: Pessimistic Scenario: The company has limited prior engagement in sustainable development and disaster management practices, directly reflecting the low percentage from the study. Most Likely Scenario: The company begins to engage in these practices cautiously, indicating moderate involvement. Optimistic Scenario: The company proactively addresses sustainable development and disaster management, exceeding the current engagement levels indicated in the study. 3. Initiation of Activities and Reliance on External Stakeholders Study Finding: Companies rarely initiate sustainable development and disaster prevention activities independently; external stakeholders are typically involved. However, 57% indicated that, in practice, only the company itself addresses these issues. Reflection in Scenarios: Pessimistic Scenario: The company fails to initiate sustainability efforts independently and waits for external stakeholders, reflecting the reliance indicated in the study. Most Likely Scenario: The company takes moderate steps and collaborates with external stakeholders, balancing internal and external efforts. Optimistic Scenario: The company leads initiatives independently while also engaging stakeholders, embodying the proactive approach of the 57% who indicated that companies address issues themselves. 4. Disaster Preparedness Ratings Study Finding: Large companies rate their disaster preparedness higher (3.5 out of 5) compared to SMEs and micro-companies. Reflection in Scenarios: Pessimistic Scenario: The company’s preparedness remains low due to minimal efforts, indicating a rating below the average. Most Likely Scenario: The company’s preparedness ratings improve to an average level, aligning with the 3.5 out of 5 rating for large companies. Optimistic Scenario: The company achieves top ratings, surpassing the average and becoming a leader in disaster preparedness. 5. Prioritization of Sustainable Development Goals (SDGs) Study Finding: Important SDGs include clean water and sanitation (SDG 6), good health and well-being (SDG 3), and responsible consumption (SDG 12). Micro-companies place less emphasis on gender equality (SDG 5), climate action (SDG 13), and industry, innovation, and infrastructure (SDG 9). Reflection in Scenarios: Pessimistic Scenario: Minimal progress on important SDGs; important SDGs are neglected, and less prioritized SDGs are ignored. Most Likely Scenario: Moderate progress on important SDGs, with initial efforts to address less prioritized ones. Optimistic Scenario: Significant progress across all SDGs, including those less emphasized, demonstrating comprehensive commitment. 6. Impact of Possible Disasters Study Finding: Frequent negative impacts include electricity and communication disruptions, supplier and customer issues, organizational challenges during pandemics, financial losses, human resources problems, and psychological stress among employees. Reflection in Scenarios: Pessimistic Scenario: Disasters have severe impacts due to lack of preparedness, mirroring the frequent negative impacts identified. Most Likely Scenario: Disasters cause temporary disruptions, but impacts are managed to some extent. Optimistic Scenario: Disasters have minimal impact due to effective strategies, reflecting the potential to overcome the negative impacts highlighted in the study. 7. Actions to Increase Organizational Resilience Study Finding: Large companies rate their preparedness higher and may have more resources to enhance resilience. Reflection in Scenarios: Pessimistic Scenario: The company makes minimal efforts to enhance resilience, failing to leverage its resources. Most Likely Scenario: The company takes moderate steps to improve resilience through basic disaster response teams and infrastructure improvements. Optimistic Scenario: The company undertakes significant initiatives, such as establishing a Sustainability and Resilience Department and investing heavily in infrastructure and technology, fully leveraging its capacity as a large enterprise. 8. Stakeholder Actions and Engagement Study Finding: External stakeholders like the state, suppliers, and consumers are typically involved, but companies may also need to act independently. Reflection in Scenarios: Pessimistic Scenario: Weak stakeholder engagement, with little collaboration or support. Most Likely Scenario: Improved engagement with suppliers and participation in industry forums. Optimistic Scenario: Strong engagement with all stakeholders, including employees, local communities, suppliers, consumers, and government agencies, enhancing collective resilience. 9. Integration of Artificial Intelligence Study Finding: While not explicitly mentioned in the survey, the integration of AI is a key element in modern disaster preparedness and aligns with SDG 9 (Industry, Innovation, and Infrastructure). Reflection in Scenarios: Pessimistic Scenario: Hesitation to invest in AI technologies, leading to a technological lag. Most Likely Scenario: Partial adoption of AI for basic supply chain management and predictive analytics. Optimistic Scenario: Full implementation of advanced AI technologies for disaster planning, early warning systems, supply chain optimization, and real-time decision-making, showcasing innovation and infrastructure development. 10. Overcoming Barriers Study Finding: Financial constraints and resource limitations are significant barriers to implementing sustainable practices and enhancing disaster preparedness. Reflection in Scenarios: Pessimistic Scenario: The company makes no efforts to overcome financial constraints; barriers persist. Most Likely Scenario: The company secures modest funding through partnerships and addresses some barriers. Optimistic Scenario: The company effectively overcomes barriers by securing funding through green bonds and EU grants, and by leveraging investments and partnerships. 11. Addressing Employee Well-being and Human Resource Challenges Study Finding: Psychological stress among employees and human resources problems are frequent negative impacts of disasters. Reflection in Scenarios: Pessimistic Scenario: Employee stress increases due to constant crises, with decreased productivity and high turnover. Most Likely Scenario: The company provides some training and stabilizes morale, partially addressing employee well-being. Optimistic Scenario: The company offers comprehensive health and wellness programs, leading to high employee engagement and well-being. 12. Securing Supply Chains Study Finding: Securing supply chains is one of the most critical scenarios for disaster management. Reflection in Scenarios: Pessimistic Scenario: Supply chains are severely disrupted, causing operational breakdowns. Most Likely Scenario: Supply chains experience delays but not complete breakdowns, with the company working with suppliers to mitigate issues. Optimistic Scenario: Supply chains are resilient and adaptive, maintained through strategic partnerships and AI optimization. 13. Rapid Response and Liquidation of Disaster Consequences Study Finding: Rapid response is critical in disaster management scenarios. Reflection in Scenarios: Pessimistic Scenario: The company fails to respond effectively, resulting in prolonged disruptions. Most Likely Scenario: The company implements basic disaster response measures, achieving temporary stability. Optimistic Scenario: The company excels in rapid disaster response, minimizing impacts and quickly returning to normal operations. 14. Addressing Less-Prioritized SDGs by Micro-Companies Study Finding: Micro-companies place less emphasis on gender equality, climate action, and industry, innovation, and infrastructure. Reflection in Scenarios: Pessimistic Scenario: The company ignores these less-prioritized SDGs, similar to micro-companies. Most Likely Scenario: The company begins to explore initiatives in these areas, indicating growing awareness. Optimistic Scenario: The company actively promotes gender equality (e.g., increasing female leadership), commits to climate action (e.g., achieving carbon neutrality), and invests in innovation and infrastructure, addressing the gaps identified in the study. 15. Temporary Accommodation of Residents Study Finding: Temporary accommodation of residents is a critical scenario in disaster management. Reflection in Scenarios: Pessimistic Scenario: The company does not participate in community support efforts during disasters. Most Likely Scenario: The company provides limited support to local communities. Optimistic Scenario: The company actively supports local communities by offering resources and facilities for temporary accommodation, enhancing community resilience.
Appendix B. The Full Heatmap of Correlations
Appendix C. The Main Statistics Parameters for Responses
Parameter | Mean | SD |
---|---|---|
B1.1—Creativity of company employees | 3.533 | 1.196 |
B1.2—Entrepreneurship of company employees | 3.400 | 1.003 |
Parameter | Mean | SD |
---|---|---|
B2.1—No poverty | 3.433 | 1.135 |
B2.2—Zero hunger | 4.367 | 0.999 |
B2.3—Good health and well-being | 4.400 | 0.855 |
B2.4—Quality education | 3.833 | 1.117 |
B2.5—Gender equality | 2.800 | 1.349 |
B2.6—Clean water and sanitation | 4.733 | 0.521 |
B2.7—Affordable and clean energy | 3.700 | 1.368 |
B2.8—Decent work and economic growth | 4.133 | 1.196 |
B2.9—Industry, innovation, and infrastructure | 4.033 | 1.217 |
B2.10—Reduced inequalities | 3.300 | 1.343 |
B2.11—Sustainable cities and communities | 3.733 | 1.258 |
B2.12—Responsible consumption and production | 4.167 | 1.206 |
B2.13—Climate action | 3.500 | 1.503 |
B2.14—Life below water | 4.300 | 1.088 |
B2.15—Life on land | 4.367 | 1.066 |
B2.16—Peace, justice and strong institutions | 4.167 | 0.986 |
B2.17—Partnerships for the goals | 4.167 | 1.341 |
Parameter | Mean | SD |
---|---|---|
B3.1—Risk management and increasing disaster resilience | 3.767 | 1.305 |
B3.2—Rapid response and liquidation of disaster consequences | 4.500 | 1.042 |
B3.3—The use of artificial intelligence in disaster planning and management | 3.133 | 1.196 |
B3.4—Attracting and mobilizing stakeholders | 4.033 | 1.217 |
B3.5—Securing supply chains | 4.100 | 1.269 |
B3.6—Ensuring sustainability in the event of disasters | 3.200 | 1.186 |
B3.7—Temporary accommodation of residents | 4.133 | 1.167 |
B3.8—Data storage and protection | 4.000 | 1.050 |
Parameter | Mean | SD |
---|---|---|
C1.1—Disconnection of electricity | 2.867 | 1.252 |
C1.2—Water supply interruption | 1.933 | 1.048 |
C1.3—Interruption of food supply | 1.300 | 0.651 |
C1.4—Closed roads | 2.033 | 1.326 |
C1.5—Disconnection of communication | 2.433 | 1.135 |
C1.6—Destruction in the company | 1.300 | 0.837 |
C1.7—Fire in the company | 1.533 | 1.224 |
C1.8—A flood in the company | 1.067 | 0.365 |
C1.9—Absence of heating and ventilation | 2.100 | 1.062 |
C1.10—Problems with work organization due to the pandemic | 2.300 | 1.264 |
C1.11—Problems with suppliers | 2.733 | 1.172 |
C1.12—Problems with customers | 2.700 | 1.368 |
C1.13—Injuries to employees | 2.167 | 1.416 |
C1.14—Deaths of employees | 1.433 | 1.165 |
C1.15—Information system violations due to hacking and viruses | 2.033 | 1.159 |
C1.16—Psychological stress of employees | 2.633 | 1.245 |
C1.17—Legal disputes | 1.633 | 1.098 |
C1.18—Damage to reputation | 1.600 | 1.102 |
C1.19—Financial losses | 2.300 | 1.149 |
C1.20—Human resource issues | 2.300 | 1.368 |
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No. | Parameter | The Authors Who Also Studied Similar Parameters |
---|---|---|
B1.1 | Creativity of company employees | [38] |
B1.2 | Entrepreneurship of company employees | [38] |
B2.1–B2.17 | Sustainable Development Goals (SDGs) | [15,16,39] |
B3.1 | Risk management and increasing disaster resilience | [28,40,41,42,43,44] |
B3.2 | Rapid response and liquidation of disaster consequences | [28,42] |
B3.3 | The use of artificial intelligence in disaster planning and management | [40,41,42,43] |
B3.4 | Attracting and mobilizing stakeholders | [38,45] |
B3.5 | Securing supply chains | [28] |
B3.6 | Ensuring sustainability in the event of disasters | [42,46,47] |
B3.7 | Temporary accommodation of residents | [38,46,48] |
B3.8 | Data storage and protection | [44] |
C1.1 | Disconnection of electricity | [28,45,47,49] |
C1.2 | Water supply interruption | [28,45,47,49] |
C1.3 | Interruption of food supply | [50] |
C1.4 | Closed roads | [45,49] |
C1.5 | Disconnection of communication | [48] |
C1.6 | Destruction in the company | [38] |
C1.7 | Fire in the company | [40] |
C1.8 | A flood in the company | [40,49] |
C1.9 | Absence of heating and ventilation | [51] |
C1.10 | Problems with work organization due to the pandemic | [38,52] |
C1.11 | Problems with suppliers | [38,45] |
C1.12 | Problems with customers | [38,45,52] |
C1.13 | Injuries to employees | [45,47] |
C1.14 | Deaths of employees | [45,47] |
C1.15 | Information system violations due to hacking and viruses | [53] |
C1.16 | Psychological stress of employees | [45,47] |
C1.17 | Legal disputes | [54] |
C1.18 | Damage to reputation | [55] |
C1.19 | Financial losses | [38,47,54] |
C1.20 | Human resource issues | [45,47,49] |
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Maceika, A.; Bugajev, A.; Šostak, O.R. Enhancing Organizational Resilience: Sustainable Development Scenarios Incorporating Disaster Impacts and AI Tools. Sustainability 2024, 16, 11147. https://doi.org/10.3390/su162411147
Maceika A, Bugajev A, Šostak OR. Enhancing Organizational Resilience: Sustainable Development Scenarios Incorporating Disaster Impacts and AI Tools. Sustainability. 2024; 16(24):11147. https://doi.org/10.3390/su162411147
Chicago/Turabian StyleMaceika, Augustinas, Andrej Bugajev, and Olga Regina Šostak. 2024. "Enhancing Organizational Resilience: Sustainable Development Scenarios Incorporating Disaster Impacts and AI Tools" Sustainability 16, no. 24: 11147. https://doi.org/10.3390/su162411147
APA StyleMaceika, A., Bugajev, A., & Šostak, O. R. (2024). Enhancing Organizational Resilience: Sustainable Development Scenarios Incorporating Disaster Impacts and AI Tools. Sustainability, 16(24), 11147. https://doi.org/10.3390/su162411147