Incorporating the Sustainable Development Goals in Small to Medium-sized Enterprises

Multiple international stakeholders emphasise the important role of small to medium sized enterprises (SMEs) in achieving the Sustainable Development Goals (SDG) by 2030 (OECD, 2016; World Business Council for Sustainable Development, 2020). This is partly because SMEs make up more than 99% of companies in Europe but also due to the potentials embedded in these companies with regards to taking social and environmental responsibility (Papadopoulos, et al., 2018). However, there is no “one size fits all” when it comes to incorporation of the SDGs. In this study; we identify five main approaches based on a literature review. These approaches are categorised based on their contribution to achieving the SDGs as well as the benefits for the company in question. To gain local perspective on this topic, a case study of six SMEs in Northern Jutland, Denmark, revealed, that most SMEs work with the SDGs in a less proactive and less ambitious way, leaving a gap between the role they have been assigned and their current practices. To investigate this gap further, the case study combined with the literature review have enabled an identification of the factors influencing the SMEs choice of approach. Both negative and positive factors have been identified and especially the negative factors are particularly interlinked, a lot of which roots in inadequacy in resources, knowledge, and qualifications. This indicates that SMEs cannot singlehandedly implement the SDGs in a way that facilitates the achievement of the 2030 Agenda, thus external guidance is needed from other relevant stakeholders.