Triple Bottom Line

Triple Bottom Line

I . Introduction

`Triple Bottom Line ‘ is increasingly attaining popularity as a conceptual framework for the purpose of measuring the level of business performance . The term was being coined by John Elkington , in his book entitled Cannibals with Forks : The Triple Bottom Line of 21st Century Business . John Elkington has been the co-founder of the business consultancy SustainAbility . `Triple Bottom Line ‘ could be understood in a broad sense , as the range of values which companies need to uphold such as social , environmental and economic . In mere practical terms , the [banner_entry_middle]

br concept of triple bottom line intends to take into account the social and environmental performance of the company along with its financial performance (The triple bottom line — Business and Sustainable Development : A Global guide ) The `triple bottom line ‘ indicates the point at which the corporate interests meet the societal interests . It is a novel method of measuring the bottom line , wherein profits tend to move along with the social as well as environmental performance and a method of understanding the concept of sustainability which is being considered to be often-fuzzy (The Triple Bottom Line : How today ‘s Best-Run Companies are Achieving Economic , Social , and Environmental Success – And How You Can Too

II . Summary

A . Article : 1

Wayne Norman and Chris MacDonald in their article Getting to the Bottom of Triple Bottom Line ‘ state that by dedicating themselves to the concept of Triple Bottom Line ‘ it shows as if corporations are forming a more concrete as well as verifiable dedication to environment and society . But in reality , it allows the companies to virtually make no commitment at all . As a result of no real bottom lines for calculation relating to society or environment , companies do not have to be bothered about having these bottom lines ‘ in comparison to other firms which are within or without of their sector nor is there any definite worry pertaining to the firm being considered to have reducing environmental as well as societal bottom lines ‘ over the various years or under the leadership of the present Chief Executive Officer of the company . Without a complete reliable collection of these reports along with the handy filing system , comparability over a period of time for one firm would be difficult as well as time-consuming . The company could also alter the indicating factors it would choose in to report on over time . The authors emphasize further that on the one hand the fact that the firms have created a social report or that of a code of ethics gives us less information with regard to a firm ‘s real dedication towards the principles being presented in the documents . It is also considered to be relatively of less cost in to produce these documents , and particularly if they are vague , they do not usually bring any serious risks pertaining for a company . On the other hand both the kinds of documents could play an important part in a company ‘s serious technique in to improve… [banner_entry_footer]