Analysis of Triple Bottom Line and Sustainable Development: S Corp

This report examines the concepts of Triple Bottom Line (TBL) and sustainable development within the context of the construction industry, using S Corporation, a hypothetical international construction company, as a case study. It introduces S Corporation, detailing its operations and strategic focus, and then defines TBL, encompassing social, environmental, and financial considerations, alongside the principles of sustainable development. The report explores the interrelationship between these two concepts, highlighting the significance of TBL in promoting sustainability, particularly within sustainable construction practices. Furthermore, the report delves into the practical application of TBL through a sustainable report framework and discusses the challenges associated with implementing sustainability initiatives, offering a comprehensive analysis of TBL and sustainable development in the construction sector.

Running head: TRIPLE BOTTOM LINE AND SUSTAINABLE DEVELOPMENT
Triple Bottom Line and Sustainable Development
Name of the Student:
Name of the University:
Author Note:

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Executive Summary:
Sustainability and triple bottom line have emerged as important areas in the various industries,
especially in the construction industry. The paper deals with the use of the concepts of
sustainable development and triple bottom line in the construction company. S corporation is a
hypothetical international construction company based in London, the United Kingdom. The
company deals with international construction products and trading business in over fifty
countries across the world. The paper deals with the concepts of triple bottom line and
sustainable development in the light of S Corporation. The assignment delves into the scope of
these concepts and links them to bring out their interdependent importance in the construction
sector.

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Table of Contents
Introduction:....................................................................................................................................2
Introduction to the hypothetical company:......................................................................................2
Name:...............................................................................................................................................2
Strategies and analysis:................................................................................................................2
Organisational profile of S Corporation:.....................................................................................3
Reporting Parameters:.................................................................................................................3
Governance, commitments and engagements:................................................................................3
General Concept of triple bottom line(TBL) and sustainable development:...................................3
Triple Bottom Line:.....................................................................................................................3
Sustainable development:............................................................................................................4
Relationship between triple bottom line and sustainable development:..........................................5
Significance of TBL in sustainability..............................................................................................5
Concept of sustainable construction................................................................................................6
Significance of TBL in sustainable construction.............................................................................7
Sustainable report for the company:................................................................................................7
Introduction:................................................................................................................................7
Strategies and Analysis:...............................................................................................................8
Organizational profile:.................................................................................................................8
Reporting parameters:..................................................................................................................9

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Governance, commitments and engagement:..............................................................................9
Management approach:..............................................................................................................10
Challenges and issues in reporting sustainability..........................................................................10
Conclusion.....................................................................................................................................10
References:....................................................................................................................................12

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Introduction:
The aim of the study is to delve into triple bottom line and sustainable development in the
construction industry. The paper takes into a hypothetical company called S Corporation which
functions in the construction sector and carries out international civil engineering and trading
operations. The first section introduces S Corporation and its operations. The next section deals
with general concept of TBL and sustainable development followed by relationship between the
two concepts. The next sections delve into the significance of TBL and sustainable development
followed by their importance in construction sector. The next two sections deal with Global
Reporting Initiatives (GRI) in a construction company and challenges to sustainability.
Introduction to the hypothetical company:
Name:
S Corporation is the financial and construction wing of a British business conglomerate.
The headquarters of the company is located in London, the United Kingdom and its branch
offices are located in countries like the US, France, India and Australia. The business of the S
Corporation consists of global engineering projects, trade and investment, fashion and resorts.
Strategies and analysis:
The strategies of S Corporation are to become a global business partners and to earn
higher profits. An analysis of the strategies of S Corporation shows that it aims to attain
sustainability and bring about new products by fusing technology and fashion.

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Organisational profile of S Corporation:
S Corporation is an international construction, trading, fashion and resort company. The
company is a public limited company listed on the London Stock Exchange and is able to
generate capital from the capital market.
Reporting Parameters:
The reporting parameters of S Corporation are divided into three branches. The company
is led by the CEO. The heads of the finance, marketing, human resource, civil engineering and
trading departments report to the CEO. All the employees strive to deliver high level of
performance after the global standards of performance set by the apex management.
Governance, commitments and engagements:
The company is under strict governance of the stakeholders like governments and
customers. The company is committed to benefit its stakeholders especially shareholders. The
company engages in commercial construction, fashion and trading and investments all over the
world(Ayuso, et al. 2014).
General Concept of triple bottom line(TBL) and sustainable development:
Triple Bottom Line:
Triple bottom line or TBL is an accounting framework which considers three elements
namely, social, environmental and financial. The term was coined by Elkington to refer to the
impact the operations of the organisations have on the society and that those impacts have
financial implications as well. The three bottom line concept stands on 3Ps which every
multinational organisation use to operate. The first bottom line consisting of social factors
consider the human factor or capital organisations use to operate. The multinational corporations

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like S Corporation regard their human resources as potential capital important for their
productivity(Govindan, Khodaverdi and Jafarian 2013).
The second element of TBL takes into account environment and considers it as natural
capital. It considers that construction companies like S Corporation derive their raw materials
from the environment and hence should work towards reduction of pollution caused by their
construction works.
The third element of triple bottom line framework is financial or economic bottom-line.
The economic bottom line deals with economic creation of value the organisations earn after
deducting the cost of the inputs and investments from the profits. The profit aspect of the triple
bottom line emphasises that the profits companies earn should be enjoyed by the host society.
The profit earned is the impact organisations have on their economic environment through their
operations(Milne and Gray 2013).
Sustainable development:
Sustainable development is the theory which deals with continuing of human economic
activities and simultaneously sustaining the ecological balance in nature. The companies like S
Corporation exploit the resources provided by nature to operate and generate revenue. These
organisations invest funds to install modern machinery to carry on their construction work with
causing minimum harm to the environment. They are increasingly emphasising on recycling
wastes and use it to generate renewable forms of energy like wind energy. Thus, it can be
reviewed that sustainable development refers to exploitation of natural resources and taking
measures to minimise environmental pollution(Holden, Linnerud and Banister 2017).

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Relationship between triple bottom line and sustainable development:
The triple bottom line and sustainable development are closely related to each other. The
key principles of triple bottom line are that business operations are outcome of use of human
capital, natural capital or resources and economic capital. The element of natural capital says that
business operations derive their raw materials from nature and should work towards minimising
of their impact of their operations on nature. It can be pointed out that this is same as sustainable
development, which emphasises exploiting natural resources and controlling pollution
simultaneously. Thus it can be inferred that triple bottom line and sustainable development are
interrelated(Onat, Kucukvar and Tatari 2014).
Significance of TBL in sustainability:
Triple bottom line (TBL) is defined as the accounting framework that includes the three
dimensions of performance namely social, environmental and economic. The “social,
environmental and economic value of an investment” helps in evaluating the performance of an
organization in a wider perspective in order to generate greater organizational value. The three
dimensions upon which TBL emphasizes are people, planet and profits (Onat, Kucukvar and
Tatari 2014). Nowadays, sustainability has been an important part of the goals and objectives of
the business enterprises. TBL emphasizes upon the accuracy of the value assets and proper
utilization of those resources such that it ensures that the capital is effectively employed. TBL
relates to sustainable development, which aims at meeting the needs and requirements of the
present generation as well as preserving the resources for the upcoming generations. TBL and
sustainable development have become an important part of economic development, which
comprises of business, finance and real estate (Savitz 2013).
TBL has become highly significant in sustainability as the investors and managers aim at
improving the accounting and strengthening the performance of the investments along with

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aligning the investments with the requirements and priorities of the society. TBL accounting
enhances the reporting framework by considering social performance as well as environmental
performance along with the traditional financial performance. The organizations nowadays, are
required to consider the impact of their businesses upon the environment, society and the
economy of the nation in which they operate. For this purpose, the organizations have come up
with the idea of Corporate Social responsibility wherein, the organizations contribute a portion of
their profits in the development of the society and the environment. TBL encourages the
organizations to cater to the needs of the stakeholder rather than just emphasizing upon the needs
of the shareholders. The stakeholders involve the organizational employees, customers, creditors,
suppliers, the surrounding environment, owners of the business and the society (Kibert 2016).
S Corporation has emphasized upon the sustainable construction wherein the company
has ensured that the construction activities do not impose any harm to the environment and the
society. S Corporation has ensured that it follows the concept of sustainable development along
the triple bottom line. The company has been involved in several CSR activities and has helped
in the upliftment of the society, improvement of the environment and economic development of
the nations in which it operates.
Concept of sustainable construction:
Sustainable construction refers to the type of construction that involves such construction
designs, materials, technology and processes that help in the sustainable development of
buildings and roads. Sustainable construction involves regeneration of houses that help in social
and economic development. Nowadays, the construction companies use the concept of
sustainable construction to ensure that the natural resources are used wisely and efficiently by
minimizing the extraction of minerals and protecting the environment of the area. Sustainable

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construction involves lowering the environmental impacts of construction while providing
comfort and durability to the customers or the occupants. Sustainable construction involves the
minimal utilization of water, energy, land and raw materials. Sustainable construction provides
positive after effects to the society and the environment in the long- run by minimizing the
harmful impacts of construction activities (Wilson 2015).
Significance of TBL in sustainable construction:
Sustainable development in construction industry is related to the minimal utilization of
water, energy, land and raw materials during the construction process. Sustainable construction
considers the triple bottom lines while ensuring its sustainability. TBL is highly significant in
sustainable construction as it emphasizes upon reducing the negative impacts of the construction
activities on the environment, society and the economy. While emphasizing upon the TBL, the
construction companies emphasize upon the minimum utilization of natural resources in order to
preserve the nature (Gou and Xie 2017). It emphasizes upon the maintenance of the quality of
construction so that the society can obtain benefits from there. Sustainable construction also
encourages the construction companies to remain transparent in its activities. Sustainable
construction also helps in reducing the operating costs and thus improving the economy.
Sustainable report for the company:
Introduction:
S Corporation is an international British construction company and has largely been
focusing on the construction projects and global engineering, investment and trade, resorts and
fashion. The organization is being governed by the Board of Directors which includes a group of
eleven members, CEOs and President of the four groups. Headquartered in London, the company
now has its offices at over fifty countries (Lee et al. 2013).

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Strategies and Analysis:
The company has a wide strategic level for its growth and sustainability. Initially, all the
business categories were formed as independent company, which is still an important issue of the
company. The company focuses on the business operations, international investment and trading,
construction and engineering. The construction and engineering group is involved with the
building works, plant works, housing works and civil works. The investment and trading group is
engaged in the development of natural resource, sale and manufacture of the electronics
products, trading of iron, steel, basic materials, chemicals, operation of several brands for the
textile industry and plant supply (Bebbington, Unerman and O'Dwyer 2014). The basic
Corporate Social Responsibility strategies include developing the community. It focuses on
establishing its business ecosystem as well as localization within the key markets. It is engaged
in increasing the opportunity for contract awards in the key markets in order to strengthen the
market continuity and build foundation of the growth. Furthermore, it focuses on working with
the local partners and talents in order to enhance the competitiveness and also to build consumer
confidence. It is realizing the company’s sustainable future with its stakeholders through
profitable growth and global competitiveness (Chen, Ong and Hsu 2016).
Organizational profile:
The board of S Corporation has installed, which is operating in several committees, thus,
helping the company to raise its efficiency by providing professional expertise at the work
processes. Committee resolution is made within the delegated authority, which has similar effect
as that of the board resolution. All the proceedings, operation as well as the authorization of the
organization are in a written form for each of the committee, which needs to be adhered. The
board structure comprises nine directors, four executive and five independent directors. The

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independent directors are the outside directors, who don’t have any special ties with the company
(Yeh and Liao 2015).
Reporting parameters:
The report is primarily done on the basis of Global Reporting Initiatives, abbreviated as
GRI, which describe its strategies as well as the Corporate Social Responsibility management
activities. This report covers the analysis of the strategies, organizational profile, management
approach, governance, commitments and engagement of the company. This report covers the
company’s buildings and sites in which their operations occur. Along with that, it includes the
economic, social and environmental achievements of the company, both overseas and domestic
(Lee et al. 2013).
Governance, commitments and engagement:
S Corporation’s Board of Directors attempts to protect the investors’ rights and also
promote the long term progress or growth of the organization. Being the topmost decision
makers, the Board of Directors or BOD decides and deliberates on important issues concerning
laws and the Articles of Incorporation. The matters are looked after by the Shareholders’ General
Meeting or the company’s executives, for its successful operation. The company commits to
develop the community by delivering the customers quality products and value added services
(Gou and Xie 2017). Safety of the employees is their first priority. They have created a safe
workplace for the employees, by providing them with safe equipments and services. Moreover,
they also ensure the safety of their consumers by providing them with verified products and
services. In successful companies, safety is regarded as a value. They have also engaged
themselves in increasing the value of the customers, fostering the employees by promoting safe

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and secured work environment, responsible partnerships and stakeholders, compliance
management and supporting the community (Blewitt and Tilbury 2013).
Management approach:
The company offers various programs and management services. It offers a pension
program for the retired employees in order to secure them with a stable income source after their
retirement. The Labor management council helps in promoting the employees’ welfare for their
sound development and growth. It strives to form a structured compliance for the organizational
system as well as to enhance the compliance within their corporate culture. There vision is
sustainable growth and development, by becoming one of the most ethical and transparent
organization, through efficient preemptive activities and risk management measures (Yeh and
Liao 2015).
Challenges and issues in reporting sustainability
The changes in the policies of any business pose a great challenge for the sustainable
reporting. The changes often require the involvement or engagement of the stakeholders as well
as the shareholders. Engaging them gives a clear picture of the company’s competitors.
Moreover, the measuring and reporting sustainability requires getting actual data from the
suppliers. Social values must be incorporated while reporting and creating a long term
orientation, to maintain the leadership position (Chen, Ong and Hsu 2016).
Conclusion
To conclude, S Corporation has been a major corporation body in today’s business
scenario. They are aware of their responsibility in showing a strong leadership in this fourth
industrial revolution’s era. Moreover, their commitment to the society is highly commendable.

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They have created a safe workplace for the employees, by providing them with safe equipments
and services. They also ensure the safety of their consumers by providing them with verified
products and services. They have also engaged themselves in increasing the value of the
customers, fostering the employees by promoting safe and secured work environment,
responsible partnerships and stakeholders, compliance management and supporting the
community. It has emphasized upon the sustainable construction and also ensured that it does not
impose any harm to the environment as well as the society. Its CSR activities have helped it gain
development in the economic, environmental and societal aspects.

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stakeholders’ interests: An empirical analysis of the stakeholder approach to corporate
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Blewitt, J. and Tilbury, D., 2013. Searching for resilience in sustainable development: Learning
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Chen, P.H., Ong, C.F. and Hsu, S.C., 2016. Understanding the relationships between
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