Environmental studies and Forestry

Strengths, Weaknesses, Opportunities (SWO) Analysis:
Based on the information provided in the course modules, lectures, videos, and your own experience, answer the following questions:

For examples in US,
1) What are some of the key strengths of the materials system as it currently operates in your country? (150 words)

2) What are some of the key weaknesses of the materials system as it currently operates in your country? Identify weakness from each of the three following categories: environmental, social, and economic. (350 words)
a) Environmental
b) Social
c) Economic

3) What do you see as some of the major opportunities for a business to help address these key risks and why? (250 words)

Grading Criteria:
This course covers topic areas that are subjective in nature and continuously evolving, therefore, the major skills to be developed in this course are around reasoning and application of tools to intractable problems faced by businesses and society. The assignments are therefore graded based on the following characteristics:
1) Recognition of the critical elements and factors impacting business strategy
2) Knowledge of the relevant tools that can be brought to bear against the problem
3) Critical reasoning and the ability to balance competing, but frequently incomparable priorities
4) Development of argument to support conclusions and recommendations including clear statements of reasoning, compelling argument, appropriate use of evidence and succinct presentation

Remark:
The purposes of the SWO papers are to make you think about:
1) The major strengths of the resource system that have (i) enabled businesses to rely on access to the resources provided to date and (ii) are likely to be available to help it continue to evolve going forward;
2) The major economic, environmental and social risks facing continued access to the resources by businesses dependent on that resource system; and
3) The major opportunities for businesses to help address those risks

Outline of Material module
Introduction to natural resources and the materials system
During this module, we will explore answers to the questions below:
1. What are natural resources and what is the materials system?
2. What are the major risks that result from natural resource extraction?
3. How can we mitigate the impacts of materials use?
Materials: How Does the Resource System Work?
• The Earth System
• Natural Resources
o Resource Stocks and Flows
o Commodity Markets
• Minerals and Metals
o Metal Stocks and Flows
What are the Risks Facing the System?
• The Materials Economy
o Extraction
o Production
o Distribution
o Consumption
o Disposal
Example: Aluminum
• Aluminum Stocks and Flows
• Aluminum Production
Example: Textiles
• Natural Fibers
• Synthetic Fibers

ANSWER

Key Strengths of the Material System

The material system offers natural capital for the country. Considerably, the natural capital is the stock of capital obtained from the ecosystems and biodiversity and the natural resources such as fossil fuels. The material system is a global system for meeting needs and wants for both non-renewable and renewable materials. Considerably, the material system offers a natural capital that delivers economic values to a country through ecosystem services. The material system is a basis for increasing wealth and consumption since it’s a cause of productivity growth and wellbeing. Natural capital has been the main contributor to rapid economic growth (OECD, 2013). Ideally, the material system underpins the socioeconomic development of the country as well as the achievement of sustainable and inclusive growth. The material system approach is an economic reflection of the value of services and natural assets that contribute to human economies. This represents a basic shift away from traditional approaches to managing natural resources and counters the widespread perception of natural resources as valueless.

Weakness of the Material System

1. A) Environmental

Increasing consumption- The material system offers significant inputs to production. Using materials from natural resources in consumption and production processes has many environmental consequences. The high consumption rates have led to increased extraction and depletion of non-renewable and renewable natural resources stock. Therefore, this has been linked with the high environmental pressure of extracting, processing, and material disposal (OECD, 2013). For instance, the consumption of construction minerals, fossil energy carriers, and industrial minerals has been on the rise leading to the high extraction of natural resources. The consumption of natural resources has exceeded the local availability leading to depletion of ecological resources to meet the demands.

Increasing Constraints on access- There has been an increasing constraint on the access of natural resources due to the unprecedented growth in the demand for raw materials. This has been driven by high rates of material consumption and rapid industrialization. The constraint on the access of natural capital has been accompanied by growing competition for some natural resources and highly volatile commodity prices. Natural resource conflict has been rising due to unequal access to resources. There is high competition over economic benefits and power over material goods. At some point, the major issue has been controlled and accessed over the resources that people depend on, with conflicts arising from identity, rights, and ownership of natural resources.

1. B) Social

Public health and community stability- Over consumption of natural resources has worsened the climate breakdown and raised air pollution. This has been a great public health and community stability issue since the overconsumption of natural capital exhausts the ability to support life systems and leaves individuals short of vital materials for quality of life and health (Guerry et al., 2020).

Growth in population and demand- Rapid population growth has continued to be a major underlying reason for environmental degradation and threat to sustainable utilization of natural resources. The high population growth rates have reduced the quantity and quality of natural resources through land fragmentation and exploitation.

Unequal distribution of burdens and benefits- inequalities in the exposure to environmental benefits and burdens have been a major environmental justice concern for regional and urban environmental planning and utilization of natural resources. For instance, the unequal distribution of natural resources deprives the benefits to the local regions and facilitates urban development.

1. C) Economic

Price Increase and volatility- Natural capital is significant to develop countries since it contributes to the largest share of wealth. However, the improvement in technology has influenced the economic viability of natural resources and their prices. The increase in prices for natural resources has led to unsustainable consumption patterns. The high prices have limited capital available for new technology investment and large-scale efficiency.

Increasing dependence on imports. High demand has resulted in constraints on access and strict local regulation on the natural resource industry resulting in high dependence on imports. Importation has influenced the prices and output of natural resources. The price volatility of natural resources has had a major impact production and economic growth of a country.

Major Opportunities to Address Risks

Increase reuse, recycling, and efficiency- Reuse, recycling, and efficiency are the most effective ways businesses can reduce the exploitation of natural resources. Considerably, the growing demand and population have resulted in increased utilization of natural resources in producing new products. Therefore, reuse, recycling, and efficiency will address the unsustainable consumption rates. There is a need to sustain the environment for the future generation by eliminating natural resources and amount of waste. There is a need for the production and use of natural resources that are cost-effective, socially acceptable, and efficient. This brings the need for sustainable materials management to establish a resource-efficient economy to preserve the natural capital. Considerably, optimizing the circular economy in businesses will enhance and preserve the natural capital.

Increase share of renewable resources- Renewable resources include the resources that can be repeatedly used and do not naturally run out since they are naturally replaced (Natural Capital Committee, 2015). The use of renewable resources brings about different benefits to preserving natural resources. For instance, businesses need to shift to renewable energy such as biofuels to create friendly and sustainable businesses. There is a need to support actions that can solve constrain in the access of natural resources and lower the demand for natural resources by diversifying the resource supplying and lowing the dependence on natural resources.

Focus on technology solutions- Technology solutions can play a great role in saving natural resources. Technology solutions have enabled the sustainable generation of products. Eco-innovation results in technologies that meaningfully reduce environmental impacts. Therefore, focusing on technology solutions will improve appropriate waste disposal, utilization of natural resources, and sustainable production.

References

Guerry, A. D., Polasky, S., Lubchenco, J., Chaplin-Kramer, R., Daily, G. C., Griffin, R., … & Vira, B. (2015). Natural capital and ecosystem services informing decisions: From promise to practice. Proceedings of the National academy of Sciences, 112(24), 7348-7355.

Natural Capital Committee. (2015). The state of natural capital: protecting and improving natural capital for prosperity and wellbeing.

OECD. (2013). Material Resources, Productivity, and the Environment: Key Findings. OECD Green Growth Studies.