Business Sustainability Assessment: GRI Standards and Reporting

This report provides a detailed sustainability assessment focusing on Global Reporting Initiative (GRI) standards. It begins with an introduction to sustainability reports and their importance in the current business environment, highlighting the need for long-term industry sustainability amidst economic, social, and environmental pressures. The report outlines the GRI standards related to economic, environmental, and social sustainability. The economic section discusses financial implications, risk management, and opportunities related to climate change, emphasizing the importance of transparency and anti-corruption measures. The environmental section covers resource consumption, renewable energy use, and compliance with environmental regulations, including the role of government and stakeholders in monitoring and reducing environmental impact. The social responsibility segment examines employee hiring, benefits, discrimination incidents, and community engagement. The report concludes that adhering to GRI standards is essential for long-term business sustainability, ensuring transparency and effective operational practices, and providing stakeholders with detailed information about a company's environmental and social impact.

Sustainability Assessment

Table of Contents
INTRODUCTION...........................................................................................................................1
Sustainability report.....................................................................................................................1
Economic.....................................................................................................................................1
Environmental..............................................................................................................................2
Social...........................................................................................................................................3
CONCLUSION................................................................................................................................5
REFERENCES................................................................................................................................6

INTRODUCTION
In present business environment it is necessary to sustain in the industry for long term.
But due to intense economic pressure and change in social and environmental factors business
are not able to sustain (Sonnemann and et.al., 2015). This has reduced their capacity and
impacted on culture. As per the report of GRI, there has been several standards which are
developed. these standards are modified according to laws and regulations of different countries.
This report will show about set of GRI related to economic, environmental and social
sustainability.
Sustainability report
It refers to report of business gives a detailed information and data about their
performance in social, economic and environmental field. There are various guidelines and
standards which are prepared under global reporting initiative (Ren and et.al., 2015). it is
voluntary for organisation to follow those guidelines. Sustainability report is prepared every year
that measures performance with set standards. GRI reports briefly describe about different types
of standards that has to be followed by business. They follow rules and regulations developed by
Australian government. Business is effectively engaged in CSR activities. With this it business
makes improvements in their operations and ensure ESG practice are up to date with
stakeholders (Waas and et.al., 2014). The outcome of this is it has created a distinct image in
consumer mind. Other firms are also making efforts in providing sustainability reports. This
trend has made it easy to measure performance of particular organisation. This report provides
the performance evaluation of organization by analysing its social, environmental and financial
aspects. It aims at providing guidance to organization so that it can improve its business
performance and can meet its sustainable development goals. It analyses the operational
activities which requires improvement and can serve as barrier in organization's commitment to
sustainability. Sustainability is long termed goals and objectives for business development
process. This report is important factor to improve the organization initiative and relationship
with the clients or investors.
Economic
It refers to change in economic conditions of a country. The financial condition of
country includes currency rate, foreign exchange rate, etc. in GRI it is shown that business
1

should analyse various information such as risk and opportunities caused by change in climatic
condition. It must be integrated with change operations, income, etc. (Maas, Schaltegger and
Crutzen, 2016) here, business must include factors like financial implication of risk, methods
used to control it, etc. this will be beneficial to take effective decision and reducing impact of
risk. Moreover, with the help of this business will be able to grab opportunities. furthermore, by
determining cost it is easy for business to measure impact on operations and profits. it can help
business in developing of new technologies through which risk can be controlled. GRI has set
certain methods which can be used by business to sustain. They are implementing concept of
reduce, reuse and recycle, using renewable resources of energy, etc. (Onat, Kucukvar and
Tatari, 2014) stakeholders are also responsible to monitor activities related to climate change.
By inventing new technologies business efficiency can be enhanced.
In order to maintain sustainability, there are many actions taken by business. Now they
have to provide report each incident related to corruption. Due to this, it has useful in finding the
root cause of problems and taking strict actions against people responsible for it. this has created
awareness among people about where their money is invested. Actions taken against those
incidents enforces business to follow rules and regulations in effective way.
Organisation and GRI should also develop report on types of corruption and legal action
taken in specific time period (Sala, Ciuffo and Nijkamp, 2015). In addition to this, outcomes and
judgements of those cases has to be evaluated. This supports in economic efficiency. It also led
to change in practices followed in market and business.
By following the GRI standards organisation can mitigate risk of facing any economic
circumstances. It enables in determining challenges which can occur. In addition economic
policies are developed to avoid problems. it has to be analysed that how cost is reduced and what
methods are taken for this. Moreover, report disclose outcome of decrease in cost and its impact
on sustainability. Furthermore, by collecting data and information it is easy to analyse business
related matters. GRI engage with it and monitor economic change and its results.
Environmental
Business should also focus on providing sustainable environment to society by following
some practices. It will benefit in developing a better image in society. GRI has made some
standards which can be followed by business. It is required that business should provide report in
which detailed information is present. The report include details regarding fuel consumption
2

from non renewable resources (Waas and et.al., 2014). Moreover, renewable resources used
must be included as well. It will be useful in getting an insight on contribution towards CSR.
Furthermore, government can take strict action against business in case of ineffective use of
resources. Through this, changes can be done in strategies for utilisation of resources. This may
enable in making efforts to provide a healthy atmosphere to society. Developing reports shows
factors that restrict in consumption of resources. GRI has given a standard formula for
calculating energy consumption. It allows business to find out total consumption of different
resource in particular time period. The organisation is responsible to disclose data, methods, etc.
related to use of resources.
Business operations and activities are closely related to environment. they operate and
work by using natural resources (Huang and Mauerhofer, 2016). Industries like construction,
transportation, etc. create an impact on environment to a great extent. They destroy the natural
habitat. Therefore, it is important for them to protect atmosphere. GRI has issued some
regulations regarding this. Now business have to generate and provide report to stakeholder
regarding it. apart from this, they have to analyse the negative and positive impact in certain
areas. then, measures are taken to reduce it. disclosing information provides a background of
business efforts and strategies to mitigate impact on biodiversity.
Another aspect that must be followed by business is to comply with environment laws
and regulations. It consists of non monetary sections that are based on different levels
(Yigitcanlar, Dur and Dizdaroglu, 2015). This may vary from local, regional, national and
international level. In order to compile information, business should include administrative
reasons for failure. Non compliance indicate ability of management to ensure operations are
performed as per parameters set. this may give an advantage to organisation to gain permits in
different areas to expand their operation. With the help of it, business can maintain ability to
survive for long term. Moreover, quality of operations will be ensured by following rules and
regulations strictly.
Developing risk assessment is very useful for business. They have to face certain
challenges related to environment. this impacts their functions to a great extent. In recent time,
atmosphere is highly affected by business. So, they have to take controls and measure about
energy consumption. It allows them to implement concept of using renewable resources. it is the
main concern through which GRI has set standards. If there will less risk of polluting
3

atmosphere, it will let business to sustain for more time (Nleya, Simate and Ndlovu, 2016).
There is significant role of government laws and regulations. They restrict organisation to
monitor parameters and reduce impact on biodiversity. Stakeholders get details about what
methods are followed and how much climate is affected due to non compliance of laws.
Social
Social responsibility of business expands in wide area. It is responsibility of organisation
to regulate and manage stakeholders’ interest. GRI monitor approaches of management that how
material topics are shown and disclosed (Santoyo-Castelazo and Azapagic, 2014). Here, usually
three approaches are followed that is as follows :-
New employee hire and turnover- it is related to recruitment process of candidates and how
they are terminated. Organisation has to show the overall process where how employees are
hired for different job profiles. also, they have to make report on it. data and information of
employee’s turnover is described as well. From this it can be analysed that a high rate of turnover
indicates dissatisfaction among employees. there is unbalance in organisation core operations.
Moreover, a lot of cost is incurred to hire new employees.
Benefits provided to employees- in this there are many things covered. Organisation has to
provide information about what benefits are given to full and part time employees. this is useful
in evaluating the difference between them (Alshuwaikhat and et.al., 2017). There ae several
elements included such as health care, life insurance, etc. alongside this, organisation has to
report on provisions and standards made by them.
Incidents of discrimination and corrective actions taken- business must ensure that no
discrimination activities are practiced. Thus, it is necessary to monitor whether policies are
followed or not. On the other hand, business must provide report about those activities which has
occurred. This will useful in giving information about incidents happened and actions or
measures taken to solve it. stakeholders get overview on organisational culture. It also enforces
to reduce those practices so that effective culture is maintained. the presence of policies enforces
in taking correct actions. It ensures those issues no longer exists.
Operations with local community engagement, impact assessments, and development
programs- contribution to society is very much essential for business. This is because it reflects
value and goodwill in the market. Thus, reports have to be made on social engagement with
society, development programs, etc. many functions of business are directly related to society.
4

So, it has an impact on them (Pintér and et.al., 2018). Also, there are several governance bodies
which regulate community develop programs. Other than this, organisations form social groups,
work councils, health and safety community, etc. hence, information and report have to given in
order to evaluate social impact.
From this it can be stated that to sustainability reports includes all that information which
are related to CSR. This provides a brief view of methods and efforts that has been done by
business within society (Eastwood and Haapala 2015). It shows what contribution business has
made to society. With this it can be easily analysed whether organisation will sustain or not. The
reports disclose efforts done and outcome of its impact on environment. social contribution is a
tool through which business can create a distinct image in industry. they can lower its impact by
working in creative way. however, if no effective measures are taken it can create a critical
situation. It may result in loss and impact on operations.
In context to sustainability assessment it can be stated that standards set by GRI is
necessary to be followed. This is beneficial for organisation to sustain. There has been change in
trends of operating business. Now, due to monitoring and working on basis of set standards by
GRI, every organisation is bound to provide report (Ren and et.al., 2015). They have effectively
doing risk assessment of various factors. it shows the contribution towards society and
environment. furthermore, it becomes easy to analyse positive or negative impact on community.
CONCLUSION
It can be summarised from report that GRI standards must be followed by business in
order to sustain for long time. These standards have provided a platform through which reports
are provided to stakeholders. Also, each information related to use of resources, its impact, etc. is
given in detail. This makes it easy for them to make changes in strategies and policies related to
utilisation of resources. it is also concluded that operational parameters are effectively followed.
This has ensured transparency is followed in process and methods.
5

REFERENCES
Books and journals
Alshuwaikhat, H.M. and et.al., 2017. The development of a GIS-based model for campus
environmental sustainability assessment. Sustainability, 9(3), p.439.
Eastwood, M.D. and Haapala, K.R., 2015. A unit process model based methodology to assist
product sustainability assessment during design for manufacturing. Journal of Cleaner
Production, 108, pp.54-64.
Giampietro, M. and et.al., 2014. Resource accounting for sustainability assessment: The nexus
between energy, food, water and land use. Routledge.
Huang, B. and Mauerhofer, V., 2016. Life cycle sustainability assessment of ground source heat
pump in Shanghai, China. Journal of cleaner production, 119, pp.207-214.
Maas, K., Schaltegger, S. and Crutzen, N., 2016. Integrating corporate sustainability assessment,
management accounting, control, and reporting. Journal of Cleaner Production, 136,
pp.237-248.
Nleya, Y., Simate, G.S. and Ndlovu, S., 2016. Sustainability assessment of the recovery and
utilisation of acid from acid mine drainage. Journal of Cleaner Production, 113, pp.17-27.
Onat, N.C., Kucukvar, M. and Tatari, O., 2014. Integrating triple bottom line input–output
analysis into life cycle sustainability assessment framework: the case for US buildings. The
International Journal of Life Cycle Assessment, 19(8), pp.1488-1505.
Pintér, L. and et.al., 2018. Bellagio STAMP: Principles for sustainability assessment and
measurement. In Routledge Handbook of Sustainability Indicators (pp. 51-71). Routledge.
Ren, J. and et.al., 2015. Prioritization of bioethanol production pathways in China based on life
cycle sustainability assessment and multicriteria decision-making. The International Journal
of Life Cycle Assessment, 20(6), pp.842-853.
Sala, S., Ciuffo, B. and Nijkamp, P., 2015. A systemic framework for sustainability
assessment. Ecological Economics, 119, pp.314-325.
Santoyo-Castelazo, E. and Azapagic, A., 2014. Sustainability assessment of energy systems:
integrating environmental, economic and social aspects. Journal of Cleaner Production, 80,
pp.119-138.
6

Sonnemann, G. and et.al., 2015. From a critical review to a conceptual framework for integrating
the criticality of resources into Life Cycle Sustainability Assessment. Journal of Cleaner
Production, 94, pp.20-34.
Waas, T. and et.al., 2014. Sustainability assessment and indicators: Tools in a decision-making
strategy for sustainable development. Sustainability, 6(9), pp.5512-5534.
Yigitcanlar, T., Dur, F. and Dizdaroglu, D., 2015. Towards prosperous sustainable cities: A
multiscalar urban sustainability assessment approach. Habitat International, 45, pp.36-46.
7