Insight Into the Triple Bottom Line

1106 WordsNov 9, 20085 Pages
1. Introduction The notion of the triple bottom line has become fashionable to be applied to management, consultation and investment over the last few years. The trend towards greater transparency and accountability in public reporting is reflected in revealing a more comprehensive performance which includes not only financial factor but also social and environmental ones. Despite the trend, there are still some people in mainstream sectors are to make profit regardless of environmental and social cost, because they think there is no demand. This report seeks to define the triple bottom line and to explain the reason why the triple bottom line is playing a more and more important role in business with different examples. 2. Definition…show more content…
The triple bottom line helps to cultivate employees’ quality. The basic demand of quality professionals will turn from finding and solving problems to preventing problems (Smith, 2004, p.31). That is to say, quality professionals will perform as change agents, if they want to do their jobs (Smith, 2004, p.31).For the requirements of those professionals under the triple bottom line, they have to improve themselves more to well fulfill the requirements. During the process of implementing the triple bottom line, those quality professionals will be front and center (Smith, 2004, p.31). The triple bottom line provides a competitive advantage and corporations will prosper. Japanese government links the kind environmental development of products to manufacturers, so the government encourages companies in Japan to develop and strong quality into design (Osada cited in Smith, 2004, p.26).If the decision of a company to provide products and services with quality is put into the market and society recognize the value of it, then, the company can take this situational advantage and finally boom up (Smith, 2004, P.26). 3.2 Social contribution The triple bottom line creates social justice and helps investors distinguish companies. Tribble (cited in Cheney, 2004, P.14) said that the triple bottom line is finding how a company does business and that creates social injustice. Besides the internal needs of a company, there is demand from
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