Business Sustainability : Managing The Triple Bottom Line

When talking about sustainability numerous people associate it with just protecting the environment. Sustainability is far more than going green, but it is a principle that many companies have adopted and have worked persistently to improve over the last several years. Sustainability is defined as the ability to continue a behavior indeterminately, but it also includes improving human life overall. Sustainable development is broken down into three pillars: economic, social, and environmental (Harich & Bangerter, 2014). Economics is the study of how people use resources, which correlates to the goal of sustainable development by using resources to their full potential (Laszlo, C., & Zhexembayeva, N., 2011, p. 60). Economic sustainable development allows companies to give their customers what they want without overusing mutual resources. Social development combines the social world with the physical realm to provide a good quality of life (Benoit, 2010, p. 7). Social sustainability focuses on the well-being of people and their communities. Environmental development, the most recognizable, includes protecting the environment by reducing pollution, recycling, switching of electronic devices when not in use, etc. All three of these pillars make up what is known as sustainable development. In this paper, I researched a company and their involvement in sustainability and how it applies to the

Although there is no formal definition for the term, individuals have tried to define sustainability according to their function or area of study. The term “sustainability,” once an obscure ecological concept, has now been adopted by many in the business world to connote the principles of social and environmental responsibility (Joseph Fiksel, Jonathan Low and Jim Thomas). Further, sustainability can be seen through the eyes of business as a way to create value. More likely than not, the term sustainability can be linked to the ability of decreasing costs, wastes and inefficiencies. According to the vice president of General Electric,

Sustainability from a strategic business perspective is the potential for the long-term well-being of the natural environment, including all biological entities, as mutually beneficial interactions among nature and individuals, organizations, and business strategies. (O.C Ferrell, Fraedrich, Ferrell, 2015). Business sustainably is often defined as managing the triple bottom line – a process by which companies manage their financial, social and environmental risks, obligations and opportunities. These three impacts are sometimes referred to as profits, people and planet. (Business sustainability definition from financial times lexicon, no date). This essay will discuss the idea of sustainability being an important element within a businesses and its core strategies and the importance of it within different businesses. Secondly, this study will look at how different stakeholders are affected and influenced by sustainability as this could be seen as a catalyst to improving the environment as a whole and. Then this study will look at how businesses not focusing

Bertrand Piccard quotes, “In the 21st century, the heroes will be the people who will improve the quality of life, fight poverty and introduce more sustainability. This is a powerful message, it sums up the concepts discussed throughout the course. Additionally, the case studies such as the New Belgium Brewery, SC Johnson and The Kimberly Clarke organization have been proven to practice this philosophy. As society progresses in its efforts to provide a more sustainable future, there is a fundamental foundation of principles that must be followed to ensure success. Sustainable business development takes into account the application of business operations as it relates to the three pillars of sustainability, which is a dynamic yet integrative place to begin this journey. DesJardins, (2006) calls for a re-imagination of the future to create a vibrant sustainable model; which forms similar beliefs to Piccard. In addition, organizations are more inclined to create sustainable practices based on consumer demand and the willingness of leadership to participate in sustainability programs.

Business sustainability is achieved when the business successfully manages the triple bottom line. This is the process of managing the financial, social and environmental risk that a certain business will face. The consequences of business sustainability are not only the long-term success of the company but also that it becomes an appealing opportunity for potential investors as sustainability is rapidly becoming an increasingly vital component of any business.

Business sustainability, which originally was viewed as a question of corporate governance, has now emerged as a central, multifaceted theme of the twenty- first century. It is now the responsibility of corporate boards and managers to focus on business sustainability by creating enduring value for shareholders and managing the interests of other stakeholders, including creditors, employers, suppliers, government, and society at large.

This is usually in reference to the resources of our environment so that future generations will be able to live like we have. In terms of business, sustainability can be defined as having minimal negative impact on the global or local environment, community, society, or economy. The triple bottom line is a framework, or measure, of sustainability made up of three parts: social, environmental, and financial. These three divisions are also referred to as the three P’s: people, planet, and profit and in turn are the three pillars of sustainability. The idea behind the triple bottom line concept is that companies are primarily responsible to all of their stakeholders, including everyone involved directly or indirectly with the company, as well as this planet. The triple bottom line concept is an improvement in the strategy plans of a manager over the old concept of a single bottom line for a few reasons. The triple bottom line concept has changed the way businesses measure sustainability and the performance of policies. The flexibility of the triple bottom line concept also allows businesses to apply the concept in a way that is most beneficial to their specific needs. It can also improve more than just a business’s financial line, it can improve the way people treat others within an organization as well as reduce their

Interesting question, I would like to start by saying that sustainability is a complete cycle that can be used to achieve a goal, whether it regards supplying products or operating an organization. Sustainability also touches on the very important issue of interacting with customers with the target of optimizing the benefits accruing from social, economic and environmental outcomes.

Sustainability implies that the organization is managing in economic, ecological and socially competent ways. All organizations range on a continuum of their sustainability level with some being more sustainable than others. Generally, as Dunphy, Griffiths and Benn (Module One, Topic 1.5) point out, the more sustainable an organization is, the more they help the surrounding environment, be this local (the particular country) or macro (the world itself). The environment also reflects the sustainability ethos and situation of the organization itself.

Sustainability isn't just about how long a company can survive but sustainability also incorporates three important components, the three E’s: equity,

There are three pillars that make up overall sustainability: social, economic, and environmental sustainability. Social sustainability focuses on all human needs being met and a society functioning properly indefinitely. Economic sustainability is achieving a certain level of economic success indefinitely. It also involves having an extremely low percent of people living below the poverty line, which relates to social sustainability. Environmental sustainability is described as, “the rates of renewable resource harvest, pollution creation, and non-renewable resource depletion that can be continued indefinitely.” ("Finding and Resolving the Root Causes of the Sustainability Problem", 2014) Achieving environmental sustainability will positively affect the social and economic aspects. These three categories are directly related to each other, and to truly reach complete sustainability each of the group’s needs must be met. There are many ways for individuals, groups, companies, and societies to help make a difference in reaching this goal. Environmental issues are currently very prominent in the US and other countries. There are countless activists and researchers doing everything they can to make a difference. Most businesses, like

Sustainability is “development that meets the needs of the present without compromising the ability of future generations” (Report of the World Commission on Environment and Development: Our Common Future 1987). The concept of sustainability comprises of four pillars: environmental; economic; political and social; as can be seen in the image below. Environmental sustainability is the use and management of the environment in a way that it does not deplete our finite resources. Economic sustainability is a long term sustainable economy that supports its community and political sustainability is the collaboration of different bodies of government to achieve a sustainable future. Now social sustainability is hard to define as it encapsulates many different factors; however to be very broad it is to achieve social justice. The real objective for sustainability is that all four pillars work together equally in a precautionary principle;

Every living being are directly or indirectly depend on natural environment. Sustainability helps to balance financial, social, and environmental factors to facilitate responsible business decision making over the immediate and long term. . Sustainability refers to meeting the needs of present generation without compromising the ability of future generations to meet their own needs (Oxford University press 1987, p.43). Sustainability is also being protective and aware of use of natural resources and development that meets the need of present and everything that is need for our survival and well being depends, directly or indirectly on our natural environment. According to Environmental Protection Agency (EPA) Sustainability is

Sustainability when we try to understand in the context of corporate is recognizing that the corporation’s long

Sustainability is regarded as a goal of any business. The accounting framework, to support sustainability goal is called as the triple bottom line (TBL).It focus on performance of an organization with the interrelated dimensions of profits, people and the planet.