In this current sustainability-oriented industry, the efficient and responsible management of disputes is an important issue for the competitive advantage of a firm in the long-run. This article focuses on the inclusion of Alternative Dispute Resolution (ADR) mechanisms such as mediation, arbitration, and negotiation in the sustainable business management practices. It argues that by using case studies and industry analysis, alternative dispute resolution can be used to resolve conflicts over environmental, supply chain and stakeholder management aspects while at the same time being consistent with the ESG (Environmental, Social and Governance) standards. The article adopts a qualitative methodology, focusing on economics of mediation strategies such as reducing costs of litigation, increasing equity participation in business through ODR, and protecting the environment. On the societal level, alternative dispute resolution also helps to build community confidence by providing the culturally acceptable, community-inclusive and collaborative approach to problem solving. In summary, this piece of research brings forth a new perspective on the expansive role of alternative dispute resolution on economic advancement towards sustainable development and encourages firms to have alternative dispute resolution principles embedded in the governance systems such that there is equilibrium between profit, people and the planet.