Impact of Triple Bottom Line and Sustainable Development in Organizations

This report discusses the impact of triple bottom line and sustainable development in organizations, focusing on the concept, challenges, and strategies. It also includes a sustainability report for a construction company.

Running head: SUSTAINABLE DEVELOPMENT
Sustainable development
Name of the student
Name of the university
Author note

1SUSTAINABLE DEVELOPMENT
Table of contents
Introduction......................................................................................................................................2
Concept of triple bottom line and sustainable development............................................................2
Concept of sustainable construction:...............................................................................................3
Sustainability report.........................................................................................................................5
Introduction of the company............................................................................................................5
Strategies and analysis.....................................................................................................................6
Organizational profile......................................................................................................................7
Reporting parameters.......................................................................................................................8
Governance, commitments and engagements..................................................................................9
Management approach...................................................................................................................11
Challenges and issues in sustainability reporting:.........................................................................13
Conclusion.....................................................................................................................................15
Reference list and bibliography.....................................................................................................16

2SUSTAINABLE DEVELOPMENT
Introduction
The aim of this report is to discuss the impact of triple bottom line in the sustainable
development of the organizations in this globe context. In the words of Ahi and Searcy (2015),
sustainability has become one of the most important factors in the global business scenario. The
dependability on the external situations have become so essential that the global as well as
national organizational are facing problems to cope up with the fluctuating nature of the
economic, human and environmental conditions. Therefore they are changing the internal
framework as well as the policies to match the changing demand of the business. This paper will
be discussing general concepts of triple bottom lines (TBL) and sustainable development (SD), a
sustainability report for a multinational construction company named Marcopolo. This report
will also discuss the challenges in the sustainability reporting based on the General challenges
for using TBL, challenges in Sustainable construction and challenges in GRI reporting.
Concept of triple bottom line and sustainable development
Since the last decades, the concept of sustainability has been one of the most essential
goals of the business organizations. Despite the fact that in any type of industry, sustainability
was essential since time immemorial but after globalization, this urge of developing sustainable
business has been enhanced. This is due to the fact that the competition among the firms have
gained pace in this period making the situation more problematic to survive. In this aspect the
theory of triple bottom line have come into force. As sustainability has become the often
mentioned goals in the business, governments and nonprofit organizations, the utility of another
framework apart from the traditional one was needed. This triple bottom line theory went beyond
the measures of return on investment, profits and the shareholders value for including the social

3SUSTAINABLE DEVELOPMENT
and environmental dimensions. The triple bottom line is a framework which incorporates the
three dimensional performances linking social, economic and environmental.
This is therefore different from the traditional reporting from works because this includes
the environmental and social factors which are difficult to assign proper means of measuring.
The triple bottom line dimension also called three Ps defining profit, planet and people. In order
to be sustainable the business have realized that their focus must be on the three aspects of triple
bottom line. In addition to the prophets the brands need to ensure that their decisions or actions
can impact the society in a positive manner (Hussain, Rigoni and Orij 2018). This is the reason
why the corporate social responsibility initiatives are becoming so popular among the companies
in these days. The brands need to you properly give back to the society so that the consumers can
become environmentally ever then before. This means they incline towards the companies which
have committed to support the Green Revolution and following right measure to support these
three factors of sustainability. This trend of following the aspects of triple bottom line has been
growing as the technological advancement is making the business world more transparent day by
day.
Concept of sustainable construction:
In most of the companies the concept of sustainability embraces reservation of the
environment and Critical development connected issues like the efficient use of resources, stable
financial growth, continuous social progress and eliminating poverty. Buildings and construction
environment has the capacity to make contribution for the sustainable future in the planet in the
developed countries the construction industry account for nearly 40% of energy consumption
over to lifetime which include the raw material production, operation, construction, maintenance
and decommissioning (Hussain, Rigoni and Orij 2018). More than half of the world’s population

4SUSTAINABLE DEVELOPMENT
now resides in the urban environment and it is important to note that the sustainable buildings
now I have become an important cornerstones to secure the long term social, environmental and
economic viability is the Urban population in the world is swelling by 1.5 million people every
week therefore there is an urgent requirement to implement effective ideas which will optimize
the sustainable performance of the buildings where the people can live and work (Alhaddi 2015).
Sustainable construction for the green construction at the sustainable building refer to the
structure for the construction process as well as the Occupancy processes which are ecological
irresponsible along with resource efficiency throughout the buildings lifecycle starting from my
location to the design, operation, construction, maintenance, renovation and demolition.
Sustainable construction develops the process which meets the requirement of the present time
without compromising the capacities of the future generations for meeting their own needs.
Sustainable construction in houses living, leisure and working environment for the communities
as well as the individuals (Hussain, Rigoni and Orij 2018). This type of construction consumes
minimum energy for the life cycle and generate minimum waste over the life cycle. It integrates
with the natural environment and uses renewable resources every possible way.
Sustainable architecture aims to minimizing the negative impact of buildings on the
environment through efficiency as well as moderation in the use of energy, materials and
development space allowed the ecosystem at large. This particular process uses conscious
approach for the ecological conservation and energy in the designing the built environment.
Different passive architectural strategies are developed over time which include the arrangement
of the rooms in the size as well as orientation of the windows in the building orientation of the
facets as well as streets and the ratio between the building Heights and Street width for the urban
planning. Along with these, cost effective and important elements of the sustainable construction

5SUSTAINABLE DEVELOPMENT
include heating, ventilating and air conditioning (Ahi and Searcy 2015). The passive solar
building design also allow the buildings to reduce energy consumption without the usage of
active solar mechanism. However, solar water heating, heat pumps are of great use. Along with
these, usage of sustainable building materials like recycled materials, lower volatile organic
compound and material sustainability standards. The sustainable building materials and
incorporates the use of reclaimed lumber and recycled copper. This reduction in the use of new
materials can create corresponding Reduction for the embodied energy which is used in the
production of the materials.
The sustainable construction also include building placement and waste management.
Wastage the form of useless materials which are generated from the houses as well as businesses.
This waste can be e included in the construction or demolition processes, and manufacturing
industry also. Sustainable architecture focuses on the use of waste management and incorporates
the things like grey water systems for the usage on the garden bits as well as composting toilets
for reducing sewage. Sustainable architecture also follows the method of building placement
(Alhaddi 2015). Despite the fact that the ideal environmental home and office structure are often
envisioned as the isolated place. This kind of placement are detrimental to the environment.
These places often increase the energy consumption rate and increase risks of sustainability.
Therefore by using ecofriendly materials for building construction, solar and other non-
traditional energy and waste management, the construction industry can support sustainability in
the earth.

6SUSTAINABLE DEVELOPMENT
Sustainability report
Introduction of the company
Marcopolo is Australia based Construction Company, which was established in the year
1993. Within last 25 years the company has established its strong image in the construction
sector. It mainly provides the office cabins as well as dream homes for the customers. Analyzing
the mission of the company, it has been identified that it aims to provide satisfactory services to
the customers within reasonable price. In the year 2018, the revenue of the company was £180
million. By targeting the price sensitive customers, Marcopolo has enhanced its business ion all
over the world. With increasing business opportunities, the company has started making big
projects like residential apartments and commercial buildings.
Strategies and analysis
Sustainable business strategies can be considered as one of the powerful corporate ideas
that helps to create the profit for stakeholders by protecting the environment and human life.
Therefore, the sustainable strategy can be defined as the process in which the organizations can
focus on achieving the social, environmental and economic objectives. By continuing this it can
be said that the sustainable strategies can help the organizations to maintain the balance between
organizational activities and environmental development process. Examining the emerging
sustainability concern in the construction industry, Green building initiatives have become highly
popular among the customers. By ensuring the quality management initiatives, Marcopolo has
adopted the sustainable construction initiatives. Being an important members of the Green
Building council, the company has maintained its commitment towards the increasing adaption
of sustainable construction practices.

7SUSTAINABLE DEVELOPMENT
In order to bring the sustainable development in the workplace, green building can be
considered as one of the major initiatives adopted by the company. Installing solar system with
every projects after 2015, the company has made its uniqueness in the market. Highlighting the
principles of sustainable reporting, in case of developing the sustainable image in the industry,
Marcopolo has contributed in case of managing the efficiency and effectiveness of the company.
In order to ensure the safety standard in the workplace, the company has focused on introducing
the labor standard regulations. Avoiding the corruption and others unethical practices are the
biggest concern adopted by Marcopolo. It is true that the majority numbers of workers in
Marcopolo performs in highly risk areas, in that case ensuring the health benefits are one of the
important commitments provided by the company. Through the health and safety commitment,
the company has tried to maximize the potentiality of the individuals in the workplace.
Therefore, it can be said that employee competency as well as engagement is the major
commitment done by Marcopolo. In order to protect the rights of staffs, Marcopolo is highly
committed towards the Labour welfare and wellbeing activities.
Analyzing the business strategies adopted by the company it has been identified that by
following the merging marketing trends, Marcopolo has introduced itself in different social
media platforms so that it can be able to establish its strong brand image in the market. On the
other hand, based on the strategic initiatives adopted by Marcopolo, it has been identified that it
follows the GRI standard in case of improving the sustainability performance of the company. In
the sustainability reporting the company has highlighted its outstanding performance and
commitment towards excellence service. Examining the strategies of the company, it has been
identified that the company has adopted the strategy for enhancing the efficiency and innovation
in the workplace. Based on four strategic pillars such as people, performance, efficiency and

8SUSTAINABLE DEVELOPMENT
profitability, the situation can be managed so that the current situation in the company can be
improved.
Organizational profile
Analyzing the journey of Marcopolo, it has been identified that from the year 1993, the
company is working for constructing the pollution free buildings so that the pollution free
environment can be maintained. Based on the uniqueness of the company, it has been identified
that the company aims to introduce the pollution free buildings. Today pone of the largest
multinational construction company Marcopolo has increased its business revenue and reached
£180 billion. By continuing this, it has also been identified that within last 25 year the company
has worked on near about 80 small, medium and large projects. Analyzing the world-class
portfolio of the organization it has been identified that the covering different aspects of the
hydrocarbon value chain, production, manufacturing, marketing and natural gas exploration
regarding activities, the company has promoted its image in the market.
Analyzing the business model collaboration of Marcopolo, it has been identified that with
the international constructions are the major collaborative practices adopted by the company.
Investing in the academic as well as training institutes can be considered as one off the important
strategic priorities adopted by the company. In order to encourage the competitiveness among the
young generation, Marcopolo has brought the professionalism in the construction industry in
2008. By adding the world class managing approaches the company has developed the research
and innovation centers so that the amount of carbon emission can be reduced from its
construction sites. By adding this, using the plastic waste as the raw materials in the projects,
Marcopolo has brought huge contribution in environmental sustainability practices in the year

9SUSTAINABLE DEVELOPMENT
2015. In order to maintain its current level of production, Marcopolo has always tried to focus
on enhancing its capabilities so that the situation in the company can be improved.
Reporting parameters
The global reporting initiative is an international independent standard that helps the
organizations to understand and communicate on the impact on the human right, corruption and
climate changing issues. Based on the critical impact on the society, environmental and
economy, the sustainable reporting is being measured (Yadava and Sinha2016). The sustainable
reporting is being measured based on the controlling, coordinating, planning and management. In
the G4 sustainability reporting process based on the reliability as well as relevancy of the
information the opportunities are being measured.
GRI 101 has been followed for maintaining the employment standard in this company.
With the effective implication of GRI 101, the proper reporting structure in the sustainability
reporting process can be maintained. It provides proper guiding that helps to maintain the quality
in sustainable reporting. Reporting principles are being developed based on cleared purpose for
developing the report, the information regarding the organization is being shared to the readers.
Sustainability reporting can help the organizations for measuring and understanding the
governance and social performance. In case of developing the sustainability reporting, company
portfolio as well as its journey and evaluation process is being highlighted. Based on the
management operations and the community engagement, sustainability initiatives are being
introduced.
Following the GRI 103 standard managerial activities in the company is being improved.
ensuring the stakeholder engagement, this reporting practice helps to maintain the effective

10SUSTAINABLE DEVELOPMENT
standard of the management. As per the GRI standard, satisfying the community as well as
stakeholders is the important motto for managing the current development process in the
company (Fuente, García-Sanchez and Lozano2017).
Using GRI 200, economic performance of the company is being reported. By continuing
this, it can also be said that depending on the highlighting the governance as well as
commitments of the company, it can be easier for the company to ensure the individuals
empowerment which brings the long term benefits in an organization. Previous achievements as
well as future goals of the company are the major reporting elements. Highlighting the
environmental concerns of the company and its contribution in case of ensuring the
environmental sustainability, it becomes easier for the organizations to share its information for
gaining competitive advantage.
Governance, commitments and engagements
Marcopolo is highly committed for operating with integrity. Analyzing the operational
initiatives of Marcopolo, it has been identified that the operational regulation of the company
strongly prohibits the unethical engagements. By maintaining the third party engagement
contractors, security practices have been enforced in the constructing as well as delivering
process. Strong ethical conduct has been developed by Marcopolo in case of anti-competitive
and corruption behavioral practices. In the disciplinary code of Marcopolo, it can be said that
internal audits are being done in the company so that the integrity and reliability of operating and
financial information. In case of introducing the internal audit function, the company has
developed crisis management and emergency response activities. The corporate term has been
strategically developed based on the competency of the staffs. In order to ensure sustainability,
Marcopolo has also focused on empowering the female workforce. In the designing and

11SUSTAINABLE DEVELOPMENT
structuring process, large numbers of female employees have been appointed in the company.
Workforce diversity is one of the major engagements of Marcopolo from the last few years. The
workforce of the company has been comprised with 60000 employees as well as 160000
contractors. In remote nature areas, the operational activities of the company is being maintained.
The company has invested 700 million in environmental expenditure. In its upcoming project,
the company has installed 13 air monitoring stations. Introducing the green building initiatives,
solar plant with every project is the major contribution of Marcopolo in the environmental
sustainability. In the year 2015, Marcopolo has also introduced GJ energy saving initiative with
10 million investment.
With the governmental direction the company has introduced Business continuity
management Policy by following the Australian business community management standard. In
order to ensure the satisfactory performance, the company has focused on fulfilling the
commitments towards the regional, local and international customers. By considering the critical
business processes and units, Marcopolo has ensured the uninterrupted operation so that business
continuity can be maintained. It is true that the majority numbers of workers in Marcopolo
performs in highly risk areas, in that case ensuring the health benefits are one of the important
commitments provided by the company. Through the health and safety commitment, the
company has tried to maximize the potentiality of the individuals in the workplace. Therefore, it
can be said that employee competency as well as engagement is the major commitment done by
Marcopolo. In order to protect the rights of staffs, Marcopolo is highly committed towards the
Labour welfare and wellbeing activities.
It cannot be denied that protecting the natural environment has brought huge challenging
situation for Marcopolo. From the last few year the company has focused on reducing the

12SUSTAINABLE DEVELOPMENT
environmental issues, which has become the important component in Marcopolo corporate
culture. By maintaining the continuous step towards reducing the GHG intensity, Marcopolo has
aimed to introduce long term solutions against the climatic changes. Analyzing the
environmental challenges it has been identified that the company needs to focus on managing its
operating standard. Based on the operating program of Marcopolo, it has been identified that the
company has maintained its commitment towards outstanding performance so that solid
foundation regarding the health, safety and environment (HSE) policy can be maintained.
Providing the structured guidelines the company has introduced comprehensive development
through the HSE management system.
Management approach
The management approaches are being developed based on the management
effectiveness. Based on the analysis, it can be said that based on the behavioral practices in
management approaches the specific solution in the organization is being adapted (Roh,
Krauseand and Swink 2016). By continuing this it can also be said that based on the management
approaches, changes are being introduced by the management against particular circumstances.
In another words, it can also be said that management approaches play an important role for
analyzing the internal working environment in the workplace.
Contingency approach of management
Depending on the efficiency of the management practices the contingency management
approach is being developed (Kales, Gitlin and Lyketsos 2015). The contingency management
approach critically pays the attention to the emerging the situation in the company. By
continuing this, it can also be said that the contingency theory ensures the interaction efficiency

13SUSTAINABLE DEVELOPMENT
among the employees. Analyzing the situation in Marcopolo, it can be said that the company has
followed the contingency management approach in case of implementing its operational
initiatives. By continuing this, based on the strategic approach of the company, it has also been
identified that based on the situational experiments, Marcopolo adopts its operational initiatives,
which ensures its growth opportunities in future management practices. Analyzing the
sustainability commitment of the company, it has been identified that it mainly focuses on
ensuring the safety and healthy environment to the employees, in that case contingency
management approach can helps the company to provide most valuable employee benefits,
which maintains its empowerment process.
Analyzing the managerial concerns in organizations it has been identified that
effectiveness and efficiency are the major concerns (Powell and Enright 2015). Efficiency is
being achieved based on the uses of resources on the other hand, effectiveness is being achieved
based on the attainment of goals. With the high attainment effectiveness of the company is being
maintained. On the other hand, with low wastage of resources, high efficiency in the company is
being maintained. Cultural influence, norms and values are important factors that drive the
management approach in an organization. Based on the concept of production, availability and
distribution of resources, the entire operational performance of the company is being reflected.
By continuing this, it can also be said that based on the impact of political institutions in the
organizational activities, management activities in Marcopolo may differ.
Behavioral approach of management
In the emerging competitive business environment, learning the human behavior has
become necessary so that the needs of individuals can be analyzed (Edtmayr, Sunk and Sihn
2016). By continuing this it can also be said that based on the analysis of behavioral approach,

14SUSTAINABLE DEVELOPMENT
behaviorism is being highlighted as the measurable aspects of human behavior, which helps the
organization to understand of it has satisfied the needs of individuals or not. By continuing this,
it can also be said that based on the analysis of the behavioral approach, it becomes easier for the
company to manage the human rights in the workplace. In case of Marcopolo, it has been
identified that the company strictly follows the behavioral approach in management practices so
that individuals’ contribution in the development process can be assured. Analyzing the value of
Marcopolo, it has been identified that the company has also focused on maintaining the
efficiency of individuals by satisfying the community needs. In order to empower the young
generation it has also contributed in educational processes. Therefore, using the behavioral
approach on management, the company can ensure its sustainable growth opportunities.
Challenges and issues in sustainability reporting:
General challenges for using TBL:
There are several challenges of using triple bottom line in the sustainability reporting.
Firstly, it is used to be the marketing tool where the CSR activities lose their real objectives for
improving the performance. Secondly, the companies even if have the potential to improve
productivity cannot set this TBL as the sole strategy for growth. Thirdly, the lack of
understanding of this complex tool lead to companies to waste the materials and pursuing the
wrong things (Tatari, Kucukvar and Onat 2015). Finally, there is no precise measurement for
each of the three elements that makes the situation hard for the companies and control their
performances.
Challenges in Sustainable construction:

15SUSTAINABLE DEVELOPMENT
There are several challenges faced by sustainable construction. First of which is the
political pressure. The initiation of building zero carbon building have been dropped many times
by the governments of different countries (Ozanne et al. 2016). There are regulations focusing on
the energy efficiency standers of the companies but developers are not following the sustainable
route effectively. Secondly, the sustainable construction is being perceived to be time consuming
that will use the green materials and waste materials for the construction of building (Alhaddi
2015). Finally, the economic pressure is also a reason why the sustainable construction is seen to
be expensive to be implemented in the common projects of urbanization.
Challenges in GRI reporting:
The global reporting initiatives face different types of challenges mainly relating to the
potential lack of data for gaining knowledge about this. In addition to this, the absence of
integrated indicators also affect the GRI reporting proves. The fundamental sustainability
decision making from the points of view of the government and the primary stakeholder are
barriers of GRI reporting. Moreover, the triple bottom line is mainly seen to be isolated element
rather than integrated factor which need more focus and awareness among the clients and
associated business organizations (Alhaddi 2015). These extensive scopes of limitation, lacking
comparative verification and limited stakeholder appreciation create challenges for the GRO
reporting.
Conclusion
In this study, it can be concluded that sustainable reporting plays an important role in
case of analyzing the impact of the environmental, social and human activities. By continuing
this, it can also be said that through the sustainable initiatives, management practices in different

16SUSTAINABLE DEVELOPMENT
organizations may differ. Analyzing the sustainable report of Marcopolo, it has been identified
that within the 25 years of business, the company has brought strong contribution in the society.
Not only the employee engagement, but also Marcopolo has brought strong impact on the case of
bringing the improvements in organizational environment by ensuring the safety and well-being
of the employees.

17SUSTAINABLE DEVELOPMENT
Reference list and bibliography
Ahi, P. and Searcy, C., 2015. Assessing sustainability in the supply chain: A triple bottom line
approach. Applied Mathematical Modelling, 39(10-11), pp.2882-2896.
Alhaddi, H., 2015. Triple bottom line and sustainability: A literature review. Business and
Management Studies, 1(2), pp.6-10.
Bals, L. and Tate, W. eds., 2017. Implementing Triple Bottom Line Sustainability into Global
Supply Chains. Routledge.
Bromiley, P., McShane, M., Nair, A. and Rustambekov, E., 2015. Enterprise risk management:
Review, critique, and research directions. Long range planning, 48(4), pp.265-276.
Cohen, J.F. and Olsen, K., 2015. Knowledge management capabilities and firm performance: A
test of universalistic, contingency and complementarity perspectives. Expert Systems with
Applications, 42(3), pp.1178-1188.
Edtmayr, T., Sunk, A. and Sihn, W., 2016. An approach to integrate parameters and indicators of
sustainability management into value stream mapping. Procedia Cirp, 41, pp.289-294.
Fuente, J.A., García-Sanchez, I.M. and Lozano, M.B., 2017. The role of the board of directors in
the adoption of GRI guidelines for the disclosure of CSR information. Journal of Cleaner
Production, 141, pp.737-750.
Gou, Z. and Xie, X., 2017. Evolving green building: triple bottom line or regenerative
design?. Journal of Cleaner Production, 153, pp.600-607.
Hall, M., 2016. Realising the richness of psychology theory in contingency-based management
accounting research. Management Accounting Research, 31, pp.63-74.

18SUSTAINABLE DEVELOPMENT
Hammer, J. and Pivo, G., 2017. The triple bottom line and sustainable economic development
theory and practice. Economic Development Quarterly, 31(1), pp.25-36.
Hussain, N., Rigoni, U. and Orij, R.P., 2018. Corporate governance and sustainability
performance: Analysis of triple bottom line performance. Journal of Business Ethics, 149(2),
pp.411-432.
Kales, H.C., Gitlin, L.N. and Lyketsos, C.G., 2015. Assessment and management of behavioral
and psychological symptoms of dementia. Bmj, 350, p.h369.
McAdam, R., Miller, K. and McSorley, C., 2019. Towards a contingency theory perspective of
quality management in enabling strategic alignment. International Journal of Production
Economics, 207, pp.195-209.
Otley, D., 2016. The contingency theory of management accounting and control: 1980–
2014. Management accounting research, 31, pp.45-62.
Ozanne, L.K., Phipps, M., Weaver, T., Carrington, M., Luchs, M., Catlin, J., Gupta, S., Santos,
N., Scott, K. and Williams, J., 2016. Managing the tensions at the intersection of the triple
bottom line: A paradox theory approach to sustainability management. Journal of Public Policy
& Marketing, 35(2), pp.249-261.
Powell, T.J. and Enright, S.J., 2015. Anxiety and stress management. Routledge.
Roh, J., Krause, R. and Swink, M., 2016. The appointment of chief supply chain officers to top
management teams: A contingency model of firm-level antecedents and consequences. Journal
of Operations Management, 44, pp.48-61.

19SUSTAINABLE DEVELOPMENT
Svensson, G., Høgevold, N., Ferro, C., Varela, J.C.S., Padin, C. and Wagner, B., 2016. A triple
bottom line dominant logic for business sustainability: framework and empirical
findings. Journal of Business-to-Business Marketing, 23(2), pp.153-188.
Tatari, O., Kucukvar, M. and Onat, N.C., 2015, February. Towards a triple bottom line life cycle
sustainability assessment of buildings. In Science for Sustainable Construction and
Manufacturing Workshop (Vol. 1, p. 226).
Tatari, O., Kucukvar, M. and Onat, N.C., 2015, February. Towards a triple bottom line life cycle
sustainability assessment of buildings. In Science for Sustainable Construction and
Manufacturing Workshop (Vol. 1, p. 226).
Udawatta, N., Zuo, J., Chiveralls, K. and Zillante, G., 2015. Improving waste management in
construction projects: An Australian study. Resources, Conservation and Recycling, 101, pp.73-
83.
Yadava, R.N. and Sinha, B., 2016. Scoring sustainability reports using GRI 2011 guidelines for
assessing environmental, economic, and social dimensions of leading public and private Indian
companies. Journal of business ethics, 138(3), pp.549-558.

20SUSTAINABLE DEVELOPMENT
extensive scope limitations, lack of