SDGs and HRM from a changing purpose of the frm perspective

This chapter puts under scrutiny the evolving dynamics between traditional business models, corporate purposes, and sustainability imperatives, emphasizing the increasing significance of the Sustainable Development Goals (SDGs). It examines how different organizational responses to institutional pressures foster either an ‘inside-out’ or ‘outside-in’ approach to defining business purpose. By analysing these responses, the study conceptually delineates how companies strategically choose between a ‘weak’ and ‘strong’ sustainability paradigm. Furthermore, it proposes that adopting an alternative common good approach to human resource management (CGHRM) enables the transition from an individual-performance-oriented purpose, primarily focused on internal stakeholders, to a collective common good purpose. The chapter also defines characteristics of corporate purpose in contemporary human resource management (HRM), highlighting the shift towards practices that prioritize broader societal impact and collective well-being. Through this lens, the role of strategic choices in advancing sustainable HRM practices is emphasized as critical for aligning corporate objectives with the global sustainability agenda.