Integrating Sustainability in Project Management of Small and Medium-sized Enterprises (SMEs): A Systematic Literature Review

Abstract

This study examines the difficulties encountered by UK SMEs in incorporating sustainability into project management in light of escalating environmental and social demands. Despite increased awareness of sustainability, SMEs face obstacles such as financial limits, knowledge gaps, and resource limitations, impeding their capacity to achieve national sustainability objectives, including the UK’s net-zero carbon emissions target by 2050. The study uses a Systematic Literature Review (SLR) to investigate the successful integration of sustainability into project management within these organisations. The research used search engines and databases such as Google Scholar, JSTOR, ScienceDirect, Scopus, and the Wiley Online Library, screened and assessed using PRISMA guidelines. Results indicate that leadership and organisational culture substantially affect the integration of sustainability, with about 70% of SMEs noting enhanced practices when leadership actively advocates for sustainability. However, budgetary limitations and insufficient technical proficiency continue to pose significant challenges, as shown by the fact that only 25% of SMEs have effectively implemented Environmental Management Systems (EMS). This study indicates that integrating lean and green approaches might result in a 15% decrease in operational waste. Policymakers are encouraged to provide financial incentives, such grants or low-interest loans, to alleviate the financial strain on small firms. It is recommended to augment leadership training and stakeholder involvement via government supported initiatives to enhance the absorptive ability of SMEs. An integrated strategy that merges internal competencies with external support systems is important for advancing sustainable project management practices and attaining overarching sustainability objectives.