The Concept of Triple Bottom Line
ANALYSIS OF TRIPLE LINE BOTTOM: METHOD OF MANAGEMENT
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Introduction
The concept of triple bottom line was first explained by John Ellington in his book the “cannibals with forks” (Kaplan, 2004). This bottom line continues to measure profits, it also measure the organisations impact on the people and also on the planet. It can be referred as a way of expressing a company impact and sustainability on a local and a global scale. Major concept behind triple bottom line, is that companies are responsible to stakeholders, this include individuals who are directly or indirectly connected to the company. The company is also responsible to the planet that we are living in. This approach views the shareholders in the company as being part of the stakeholder. In this paper, triple bottom line is analysed, to look at its integration in management.
Background
Organisations that are involved in community support, affect the community surroundings beyond the organisation. By doing this they reduce risk. Organisations that support the triple bottom line approach are regarded as safer investments. Hence these organisations are able to procure funds, they also avoid legalities with the governments by fostering good publicity and avoid angering special interest groups.
Strategies in adopting triple bottom line
Adopting a TBL perspective will require focused commitment through a long term strategic thinking, planning alignment and also the implementation (Kaplan, 2004). Company should adopt two strategies to incorporate the triple bottom line principle, to the organisation operations. The organisation should understand that sustainability require innovation, the sustainability strategy should also be customised.
Triple bottom line organisations take pain to do away with ecological footprint. This type of organisations strive for sustainability, they recognise the fact that paying more attention to the environment may be profitable.
By
To
University
Date
Introduction
The concept of triple bottom line was first explained by John Ellington in his book the “cannibals with forks” (Kaplan, 2004). This bottom line continues to measure profits, it also measure the organisations impact on the people and also on the planet. It can be referred as a way of expressing a company impact and sustainability on a local and a global scale. Major concept behind triple bottom line, is that companies are responsible to stakeholders, this include individuals who are directly or indirectly connected to the company. The company is also responsible to the planet that we are living in. This approach views the shareholders in the company as being part of the stakeholder. In this paper, triple bottom line is analysed, to look at its integration in management.
Background
Organisations that are involved in community support, affect the community surroundings beyond the organisation. By doing this they reduce risk. Organisations that support the triple bottom line approach are regarded as safer investments. Hence these organisations are able to procure funds, they also avoid legalities with the governments by fostering good publicity and avoid angering special interest groups.
Strategies in adopting triple bottom line
Adopting a TBL perspective will require focused commitment through a long term strategic thinking, planning alignment and also the implementation (Kaplan, 2004). Company should adopt two strategies to incorporate the triple bottom line principle, to the organisation operations. The organisation should understand that sustainability require innovation, the sustainability strategy should also be customised.
Triple bottom line organisations take pain to do away with ecological footprint. This type of organisations strive for sustainability, they recognise the fact that paying more attention to the environment may be profitable.