Triple bottom line

In a nutshell, Triple Bottom Line is a way of looking at a company’s impact through three measures: economic value, environmental impact, and social responsibility, often referred to as people, profits and planet. A company can be profitable whilst also improving the earth and making people’s lives better.

Social Sustainability
 This measures a business’s profits in human capital, including its position within its local society. The social bottom line is increased by having fair and beneficial labour practices and through corporate community involvement. It can also be measured in the impact of your business activities on the local economy. It measures the long-term sustainability of a business’s human capital.

Environmental Sustainability
 The smaller impact a business has on the environment, and the fewer natural resources it consumes, the longer and more successful it will be. Controlling the Environmental bottom line means managing, monitoring, and reporting consumption, waste and emissions.

Economic Sustainability
 This is measured in terms of how much of an impact your business has on its economic environment. The business that strengthens the economy will continue to succeed in the future since it contributes to its support networks and the community’s overall economic health. Of course, a business needs to be aware of its traditional profits as well.

If an organisation focuses mainly on profit, it will usually harm both the people and the planet.

Tips and trends for reporting can be found on the website of the WBCSD.

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