This paper discusses the sustainability issues faced by Timberwell Constructions and evaluates its sustainability using the GRI reporting standards. It analyzes the economic, environmental, and social sustainability of the company.
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Running head: GOVERNMENT, ETHICS AND SUSTAINABILITY GOVERNMENT, ETHICS AND SUSTAINABILITY Name of the Student: Name of the University: Author note:
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1GOVERNMENT, ETHICS AND SUSTAINABILITY Table of Contents 1. Introduction............................................................................................................................2 2. Discussion..............................................................................................................................2 Economic Sustainability.........................................................................................................2 Environmental Sustainability.................................................................................................4 Social Sustainability...............................................................................................................6 3. Conclusion..............................................................................................................................7 4. References:.............................................................................................................................9
2GOVERNMENT, ETHICS AND SUSTAINABILITY 1. Introduction Sustainability is a significant issue that is faced by every organisation and it calls for theneedofutilisingtheresourcesinsustainablemanner(DyllickandMuff2016). Environmental, economic and social sustainability are the three key pillars of sustainability and every companies are required to observe and to ensure that these goals are met. Timberwell Constructions is one of those companies that that if facing different number of sustainability issues. It is a residential development firm that builds apartment complexes in the Stanwell Council district. This paper is going to elaborate on preparing an assessment on the sustainability of this company by means of referring the sustainability reporting standards of the GRI (Global Reporting Initiative) of 2016 (Masud, Kaium and Hossain 2016). This assessment will helps the company in the process of evaluation of the impact of operations of economy, environment and society. The main aim of this report is to prepare sustainability report for Timberwell Constructions by taking into consideration the specific disclosures regarding social, environment and economic standards. 2. Discussion Economic Sustainability Disclosure 201-2 Financial implications and other risks and opportunities due to climate change Disclosure 201-2 is all about the risks, financial implications and opportunities on the company because of the climatic conditions that results from the operations. Timberwell Construction is facing both risk and opportunity in terms of environmental sustainability. It is facing the risk of financial implications of obeying the Stanwell Council that is there in its proposed amendments to its LEP (Local Environmental Plan) (Mulvey 2015). The companies
3GOVERNMENT, ETHICS AND SUSTAINABILITY complying with this disclosure are required for reporting the details of any kind of significant changeintheexpenditure,operationsandrevenuebecauseoftheclimaticchange (Barkemeye et al. 2014). Furthermore, it is to note that Timberwell has development site in Stanwell district that is located in the area that is rezoned as bushfire prone under LEP amendment. The district that are bushfire prone and with developments in such areas are required to meet high standards of bushfire safety that comprise of larger distance in between the land and buildings along with the uses of fire retardant materials for the building of the infrastructures. The company has also collaborated with the external town planning company at the cost of 50,000 dollars along with a focus on decreasing the possible costs of LEP requirements. Disclosure 205-3 Confirmed incidents of corruption and actions taken Disclosure 205-3 is all about confirming the incidents of corruption as well as taking the actions as required. According to the requirement of the disclosure, companies are needed to disclose the total incidents of corruption in place (Michalczuk and Konarzewska 2018). With the same, it is also required to have a disclosure about all the legal case file in against the company as well as the employees dismissal. Furthermore, the stakeholders of Timberwell Constructions are required to have an interest in demand of the company towards the number of incidents as well as the occurrence of those incidents. It is to note that according to the case study, the very company was once involved in the activities of bribing the officials of the council projects for developing the application of the firm through the process of approval. The result of the prosecution is still unresolved and also, there is a termination of the partnership with twoof the consultants of the company. Disclosure206-1Legalactionsforanti-competitivebehaviour,anti-trust,and monopoly practices
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4GOVERNMENT, ETHICS AND SUSTAINABILITY Disclosure 206-1 depicts the reporting of the regulatory actions for the anti-competitive behaviour, antitrust and monopoly practices (Budhram and Geldenhuys 2018). It is generally regarding the disclosure of the legal actions against the Timberwell Constructions for its anti- competitive behaviour and the antitrust behaviour. The number of legal actions along with their outcomes comprising of the decisions and judgements are required to be disclosed by the company (Fernandez et al. 2014). It is to mention that as per the case study, Timberwell Constructions is engaged in an ongoing case that is launched by ACCC at the Federal Court of Australia on its anti-competitive conduct. One of the employee of the company has filed the complaint. With the same, a company named Bellantuono have also filed a case against it with an accusation of anti-competitive conduct in terms of misusing the market power and the important dealings to the Federal Court. Environmental Sustainability Disclosure 302-1 Energy consumption within the organisation It is to note that disclosure 302-1 is all about the requirement of a firm for making the reporting of the whole consumption of energy and as per the disclosing consumption of both the renewable and the non-renewable energy including the steam consumption, heating and collingconsumption(MichalczukandKonarzewska2018).Asperthecasestudy, Timberwell Constructions’ energy consumption has been reported as efficient. It makes use of the tool of calculation that is recommended by the ADIS. As per the table in the case study, it has also been reported that the total consumption of fuel of the company from its non-renewable sources is 1.0 Gigajoules, the fuel consumption from renewable sources is 0.5 Gigajoules and the total electricity consumption of the company is 2.0 Gigajoules. It is also to mentionthatthecasedepictsthatTimberwellConstructionsdependsonthehigh consumptionofnon-renewablesourcesofenergyduetotheimplementationofthe
5GOVERNMENT, ETHICS AND SUSTAINABILITY environmental programs. So, it is to conclude that the company do follows with the required environmental regulations. Disclosure304-2Significantimpactsofactivities,products,andserviceson biodiversity Disclosure 304-2 is regarding the requirements that calls for a company to report about the possible influence of their services and operations as well as the products on the bio diversity (Thomas 2019). The different details and information about the habitat conversion, pollution and the different changes within the ecological process are also required to be reported.However,asperthecasestudy,theactivitiesofthecompanyTimberwell Constructions for clearing out the areas have some significant influence on the overall attitudes of the floras and faunas. It have also received an order for conducting the external reviews of the management plan about its vegetation. With the same, the company is also required for implementing the rehabilitation plan and all the other related activities of the reporting entity. It is also to mention that the company also undertook an EIA (environmental Impact Assessment) that has revealed about it conservation efforts for the development of the Otford Park to conserve the wallaum sedge frog (Vigneau, Humphreys and Moons 2015). Timberwell Constructions is also indenting to transform the habitat and to ensure that frogs are surviving at the site. Disclosure 307-1 Non-compliance with environmental laws and regulations Disclosure 307-1 is regarding the reporting of the non-compliance with the environmental rules and regulations. It is to note that it is important to report about the non-monetary sanctions as well as the significant fines that are been imposed because of not complying with these types of law (Avram et al. 2018). It is generally related to the total number of cases that are being brought by means of the dispute resolution mechanisms, the considerable fines and
6GOVERNMENT, ETHICS AND SUSTAINABILITY the total number of the monetary sanctions. However, it is note that as per the given case study,TimberwellConstructionswasfinedabout200,000dollarsforclearingabout 0.45hectares of the notably endangered ecological community coastal grasslands as well as ordered for reviewing its plan of vegetation management. With the same, it has also extended the audit program as well for its hired contractors and at the same time, have implemented the rehabilitation plan for equal to or more than 440,000$. Social Sustainability Disclosure 401-1 New employee hires and employee turnover The disclosure 401-1 is about disclosing the information regarding any of the newly hired employees in the organisation as well as the total rate of their turnover (Michalczuk and Konarzewska 2018). It is to mention that the disclosure is required to be made regarding the new hired candidates related to their age, religion and gender as well. It is to note that as per the given case study, Timberwell Constructions has about 58 number of male staffs who have different professions and trades along with the local market that are highly competitive and this results to the rate of turnover and the new hiring rate as well. With the same, it is also to mention that the company has employed about twelve new apprentices within the time range or the reporting period. However, about seventeen number of employees have left the company and either have joined its rival organisations in the market or have started their own business. The total rate of hiring of the new employees is 20.6%. On the other hand, the rate of turnover in the company is 29.3%, which is not at all beneficial for the overall growth and development of the company. Disclosure 406-1 Incidents of discrimination and corrective actions taken Disclosure406-1isaboutthedisclosureofanyoftheprevailingincidentsof discrimination in the company as well as the corrective actions that are required to be taken.
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7GOVERNMENT, ETHICS AND SUSTAINABILITY According to the guideline, there needs to be a complete disclosure of all such incidents and the actions that are taken along with the status of the incidents. As per the case study, Timberwell Construction is practicing discrimination among its employees and it can be said as one of the major reason behind the high rate of employee turnover in the organisation. There are many employees who have filed the cases of humiliation within the organisation. Also, there are employees who have reported cases of workplace harassment. This have receivedan orderfor the updateof theanti-discriminationpolicyby the FairWork commission. An employee of the organisation have issued a complaint with Fair Work Commission upon the age-based discrimination as well as improper humor in the company. Disclosure 413-1 Operations with local community engagement, impact assessments, and development programs There are many number of initiatives and programs upon the community engagement as well as their participation and the assessing the impacts and the initiatives. It is also to mention that Timberwell Construction is working with the Stanwell Council and is obeying all the rules and regulations with the proposed amendments on the LEP. It is basically in response to the global warming as well as all the other changes within the climate and at the same time, the risk of the bushfires within the site of development. Timberwell has development site in Stanwell district that is located in the area that is rezoned as bushfire prone under LEP amendment (Freestone, Davison and Hu 2019). The district that are bushfire prone and with developments in such areas are required to meet high standards of bushfire safety that comprise of larger distance in between the land and buildings boundaries along with the uses of fire retardant building materials. The company has also engaged with the external town planning firm at the cost of 50,000 dollars along with a focus on decreasing the possible costs of LEP requirements.
8GOVERNMENT, ETHICS AND SUSTAINABILITY 3. Conclusion Hence, from the above analysis it is to conclude that Timberwell Construction is facing many sustainability issues. For managing these issues the firm has also adopted many management approach. For managing the economic sustainability, it has adopted an approach of continuous improvement and is also continuously reviewing the practices for achieving the same. Also, for managing the environmental sustainability, Timberwell Constructions have adopted a system approach to it where it reviews its products, activities and processes for ensuring the environmental sustainability. The economic sustainability of Timberwell has been assessed in terms of different disclosures in relation to regulatory actions for the anti- competitive behaviour, corruptions and the financial implications that are related to the change in climate. Also, the impact of the operations of Timberwell is analysed in terms of disclosures of the non-compliance with the energy consumption, environmental regulations and the considerable effects of their activities on the bio-diversity. Furthermore, the paper has also depicted the analysis of the social sustainability related to discrimination, attrition and operations incidents.
9GOVERNMENT, ETHICS AND SUSTAINABILITY 4. References: Avram, V., Calu, D.A., Dumitru, V.F., Dumitru, M., Glăvan, M.E. and Jinga, G., 2018. The InstitutionalizationoftheConsistencyandComparabilityPrincipleintheEuropean Companies.Energies,11(12), p.3456. Barkemeyer, R., Preuss, L. and Lee, L., 2015. On the effectiveness of private transnational governance regimes—Evaluating corporate sustainability reporting according to the Global Reporting Initiative.Journal of World Business,50(2), pp.312-325 Budhram, T. and Geldenhuys, N., 2018. Corruption in South Africa: The demise of a nation? New and improved strategies to combat corruption.South African Journal of Criminal Justice,31(1), pp.26-57.
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10GOVERNMENT, ETHICS AND SUSTAINABILITY Dyllick, T. and Muff, K., 2016. Clarifying the meaning of sustainable business: Introducing a typologyfrombusiness-as-usualtotruebusinesssustainability.Organization& Environment,29(2), pp.156-174. Fernandez-Feijoo, B., Romero, S. and Ruiz, S., 2014. Commitment to corporate social responsibility measured through global reporting initiative reporting: Factors affecting the behavior of companies.Journal of Cleaner Production,81, pp.244-254. Freestone, R., Davison, G. and Hu, R., 2019. The City of Sydney’s Competitive Design Policy:Context,GenesisandOperation.InDesigningtheGlobalCity(pp.117-157). Palgrave Macmillan, Singapore. Masud, M., Kaium, A. and Hossain, M., 2016. Green Banking and Reporting of Bangladeshi Commercial Banks: An Observation under Global Reporting Initiative (GRI).Mohammad, Green Banking and Reporting of Bangladeshi Commercial Banks: An Observation Under Global Reporting Initiative (GRI)(May 21, 2016). Michalczuk, G. and Konarzewska, U., 2018. The use of GRI standards in reporting on actions being taken by companies for sustainable development.Optimum. Economic Studies, (4 (94)), pp.72-86. Mulvey, S., 2015. (15-087) Turnbull v Chief Executive of the Office of Environment and Heritage [2015] NSWCCA 278.Environmental Law Reporter,34(15-083/15-090), p.7. Thomas, E.A., 2019. How Useful Is the Global Reporting Initiative(GRI) Reporting Framework to Identify the Non-financial Value of Corporate Social Performance (CSP)?. InResponsible Business in Uncertain Times and for a Sustainable Future(pp. 37-87). Springer, Cham.
11GOVERNMENT, ETHICS AND SUSTAINABILITY Vigneau, L., Humphreys, M. and Moon, J., 2015. How do firms comply with international sustainabilitystandards?Processesandconsequencesofadoptingtheglobalreporting initiative.Journal of Business Ethics,131(2), pp.469-486.