Corporate Sustainability and Triple Bottom Line Concepts

Running head: BUSINESS, SOCIETY AND THE PLANET

BUSINESS, SOCIETY AND THE PLANET
This writing is based on my knowledge regarding sustainability and triple bottom line concepts
and focuses on the issues which are faced by companies regarding implementation of
sustainability practices in their company. This writing provides an idea of the various forms of
business capitals and provides an account of various sustainability approach phases which
according to me can be adopted by business organizations.
Reflection
Based on the lectures that I had attended in the class and based on my secondary research I can
say that the triple bottom line (TBL) can be considered as one of the most important technique
which can be used by business organizations to analyse the profits that they are making through
their businesses by virtue of their corporate sustainability solutions. As stated by Ruzzier, Petek
& Ruzzier (2015) the TBL directs to look beyond the usual bottom line of business to the profits
which businesses make socially, environmentally and economically. Measuring businesses
through the TBL are perceived as one of the most effective and best indicators of how
sustainable businesses actually are and how profitable are our businesses.
I feel that business organizations are facing various challenges regarding incorporating
sustainability in their company and according to me the various challenges can be in the form of:
Measuring and reporting sustainability- As opined by Kiron, Kruschwitz, Rubel, Reeves &
Fuisz-Kehrbach (2014) as a result of proliferations of rankings of sustainability and standards of
reporting, businesses needs to know in context of streamlining their reporting for sustainability in
order to lower reporting redundancy, inconsistencies and accordingly creating an impact which is
positive in nature.
Collaborating for sustainability- As stated by Maniora (2018) most of the sustainability issues of
businesses requires systematic changes and the process of systematic changes requires
collaboration with all of the stakeholders of businesses and therefore in my opinion businesses
requires speaking with a single voice with competitors and the other stakeholders who are
affected by businesses in order to tackle sustainability.
Creation of a long term orientation- According to Shields & Shelleman (2015) the dynamic
financial markets, the unstable purchasing patterns of the customers, change in trade agreements
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BUSINESS, SOCIETY AND THE PLANET
and inconsistent public policies make it very difficult for companies to act for a long term and
therefore in my opinion the businesses needs to find a way in order to reconcile short term as
well as long term perspectives..
Based on the class learning on concepts of sustainability, I can identify six forms of capitals
which are used by businesses and they are as follows:
Internal Economic capital- in my view the internal economic capital includes capital such as
funds available including the debt and equity finance of the company which are financial in
nature and also capital such as the value of the brand which are non-financial in nature.
External economic capital- As opined by Hahn & Reimsbach (2014) the external economic
capital considers the impact which an organization exerts on capital, both financial and non-
financial in nature of separate bodies such as a new factory which may decrease or increase value
of nearby real estates.
Natural capital- based on my learning I can say that natural capital are sources of natural
resources like soil, water etc and some of these natural capital gives people with free
goods/services called ecosystem service like clean water and fertile soil which supports the
foundation of economy, society and makes human existence possible. This as per my view is add
on to economic capital as some of the natural capital enables production of other resources that
are offered through natural environment.
Human capital- in my view the human capital comprises of skills, experiences, knowledge
health, attitudes and individual motivation.
Social and relationship capital- Based on my learning I can say that the social and relationship
capital comprises of teams, networks and group of individuals who work collectively which also
includes intellectual capital which are shared.
Constructed capital- as per my knowledge the constructed capital comprises of material objects,
systems, ecosystems which are made and used by humans.
Based on my secondary research regarding sustainability I can say that the phases of business
approaches towards sustainability are:
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