Showing papers on "Corporate sustainability published in 2006"

Sustainability and Stakeholder Management: the Need for New Corporate Performance Evaluation and Reporting Systems

Abstract: Corporate sustainability, that is the capacity of a firm to continue operating over a long period of time, depends on the sustainability of its stakeholder relationships. This new stakeholder view of the firm goes beyond previous work on the triple bottom line and balanced scorecard. Companies need appropriate systems to measure and control their own behaviour in order to assess whether they are responding to stakeholder concerns in an effective way and to communicate the results achieved. These sustainability accounting systems should have the purpose of broadening and integrating the traditional financial approaches to corporate performance measurement, taking stakeholder needs into due account. This article presents the sustainability evaluation and reporting system (SERS), an integrated methodology aimed at monitoring and tracking from a qualitative and quantitative viewpoint the overall corporate performance according to a stakeholder framework, in line with small and medium-sized enterprises' managerial requirements. Copyright © 2006 John Wiley & Sons, Ltd and ERP Environment.

Integrative management of sustainability performance, measurement and reporting

Abstract: Sustainability performance management is a newly emerging term which addresses the social, environmental and economic (performance) aspects of corporate management in general and of corporate sustainability management in particular. The management of sustainability performance requires a sound management framework which firstly links environmental and social management with the business and competitive strategy and management and, secondly, that integrates environmental and social information with economic business information and sustainability reporting. This contribution addresses the link between the Sustainability Balanced Scorecard as a strategic information and management approach, sustainability accounting as a supporting measurement approach and sustainability reporting for communication and reporting.

Can businesses move beyond efficiency? The shift toward effectiveness and equity in the corporate sustainability debate

Abstract: The aim of this paper is to articulate to a wider practitioner and academic audience the value and importance of moving the sustainable business agenda beyond the notion of eco- and socio-efficiency. This in itself is not a new development in the sustainable business literature. What are emerging are integrated models of corporate sustainability that link together the six criteria that a sustainable business will need to satisfy, namely eco-efficiency, socio-efficiency, eco-effectiveness, socioeffectiveness, sufficiency and ecological equity. At this stage these new models of corporate sustainability need further theoretical development, taking corporate sustainability beyond the business case (eco-efficiency) towards an integrated approach that links in the social and natural cases. A new model for sustainable entrepreneurship is presented and discussed in the context of a social entrepreneur case study. Copyright © 2006 John Wiley & Sons, Ltd and ERP Environment.

Insights into triple bottom line integration from a learning organization perspective

Abstract: Purpose – The notion of sustainability has been evolving and is increasingly understood to encompass considerations of economic viability, as well as environmental sustainability and social responsibility. The paper seeks to explore how linking these seemingly disparate pillars of sustainability may be facilitated through a management orientation supporting continual adaptability and learning.Design/methodology/approach – Literature review and critical analysis.Findings – The relevance of core organizational learning characteristics to different aspects of sustainability performance is outlined. The paper generally supports the view that a heightened propensity for learning ensures that organizations are better equipped for meeting the challenge of triple bottom line integration.Originality/value – Linking two traditionally separate and encapsulated areas of research, namely the area of corporate sustainability and the area of learning organizations/organizational learning.

Approaches to corporate sustainability among German companies

Abstract: In this article we present the results of an online survey on the state of corporate sustainability in German companies. The survey focused on the meaning and relevance of sustainability to German companies, the motivations behind their commitment to sustainability and the use of different management tools to implement sustainability in corporate practice. Although the majority of the companies declared that sustainability plays an important role, our analysis reveals considerable differences between these companies' approaches to corporate sustainability. A cluster analysis enables us to distinguish between three significantly distinct types of approach to corporate sustainability among the respondents: sustainability leaders, environmentalists and traditionalists. These three types are characterized and discussed against previous research. The results suggest that there are substantial differences with regard to the motivation for and the implementation of corporate sustainability that are covered behind the corporate rhetoric of a high commitment to sustainability. Copyright © 2006 John Wiley & Sons, Ltd and ERP Environment.

The Future of Corporate Sustainability Reporting: A Rapidly Growing Assurance Opportunity

Abstract: EXECUTIVE SUMMARY * To satisfy the information needs of external and internal stakeholders, more organizations are measuring and reporting on their social and environmental performance. CPAs can play an important role in providing the needed information and helping to verify its accuracy. * Corporate sustainability reporting (CSR) involves reporting financial and nonfinancial information to key stakeholders on the company's operational, social and environmental activities and its ability to deal with related risks. * The most dominant CSR regulations are those of the Global Reporting Initiative (GRI), which issued its first comprehensive reporting guidelines in 2002 and its G3 Reporting Framework in October 2006. As of October 2006, more than 1,000 international companies had registered with the GRI and issued corporate sustainability reports using its standards. * An opportunity exists for CPAs to audit the information companies present in corporate sustainability reports. As of yet interested parties have not fully agreed on what information can and should be audited. Concern exists about the suitability of the criteria used to prepare the reports and what performance and reporting standards the auditor should use. * A joint task force of the AICPA and the Canadian Institute of Chartered Accountants (CICA) concluded the 2002 GRI standards had not yet reached a point where they were suitable criteria to be considered generally acceptable and allow a set of generally accepted assurance standards for CSR reports to be developed. Two exposure drafts offered by accountants in the Netherlands on assurance engagements related to sustainability reporting are currently under review by international accounting organizations including the AICPA. ********** Faced with increased pressure from internal and external stakeholders, more organizations are measuring and reporting on their social and environmental performance as well as the usual financial reporting measures. Stakeholders have been pressing companies to publicly report this information either in annual financial reports to shareholders or in voluntary corporate performance reports. The worldwide growth of socially responsible investment funds, investment rating systems such as the Dow Jones Sustainability Index and investment policy disclosure requirements also have put financial pressures on companies to make these kinds of nonfinancial disclosures. As this trend grows, so, too, will the role of accountants and auditors. CPAs within organizations will play a key role by providing and measuring the social and environmental information, using their skills to improve its quality and facilitate its use to make sound business decisions in areas such as investment appraisal, budgeting and strategic planning. Auditors also will have a significant role in verifying the accuracy of the reported information as well as the systems and practices from which it is derived. This article provides all CPAs with an overview of corporate sustainability reporting and the role it may play in businesses worldwide. BEYOND THE BOTTOM LINE Organizations have come to realize that meeting stakeholder expectations is as necessary a condition for sustainability as the need to achieve overall strategic business objectives. While maximizing shareholder value continues to be an overriding concern, companies will not be able to do that over the long term if they don't meet other key stakeholder interests. According to a PricewaterhouseCoopers report, The Value Reporting Revolution: Moving Beyond the Earnings Game, "to create long-term economic value for society--shareholders and other stakeholders alike--sustainability says that companies must also create social and environmental value." To create transparent reports that provide accurate and reliable data, as well as a fair picture of overall performance, many companies are now reporting results across the "triple bottom line" of economic, environmental and social performance. …

STEPS: a knowledge management maturity roadmap for corporate sustainability

Abstract: Purpose – The paper seeks to focus on the role of knowledge management in promoting corporate sustainability in the construction industry context. It proposes a maturity roadmap – STEPS to facilitate the implementation of a knowledge management strategy.Design/methodology/approach – Two research methods were used. The first consisted of a postal questionnaire sent to the top 170 UK construction firms consisting of engineering design and construction contractor firms. The organisations were selected because they were considered the most influential organisations in the UK construction sector. The second research method involved 28 case study interviews with eight construction firms to investigate their approach to knowledge management and performance improvement. The results of the questionnaire survey and the case studies were used to develop the STEPS maturity roadmap.Findings – The paper found that knowledge management is inextricably linked to corporate sustainability, but a methodical approach is requ...

Managing the Business Case for Sustainability : The Integration of Social, Environmental and Economic Performance

Abstract: Foreword John Elkington, Founder and Chief Entrepreneur, SustainAbility Foreword Peter Forstmoser, CEO, Swiss Re Introduction. Managing and Measuring the Business Case for Sustainability. Capturing the Relationship between Sustainability Performance, Business Competitiveness and Economic Performance Stefan Schaltegger, Centre for Sustainability Management, University of Luneburg, Germany, and Marcus Wagner, Dr Theo Schoeller Chair in Technology and Innovation Management, Technische Universitat Munchen and Centre for Sustainability Management, Universi Part 1. Theory - conceptual approaches 1. The link between environmental and economic performance Environmental and Economic Performance: The Basic Links Leena Lankoski, Helsinki University, Finland How Can Environmental Management Contribute to Shareholder Value? The Environmental Shareholder Value Approach Stefan Schaltegger, Centre for Sustainability Management, University of Luneburg, Germany 2. Social performance and economic success Do Social Objectives Integrate with Core Corporate Objectives? The Future of Social Auditing Trevor Goddard, Curtin University of Technology, Australia Social Performance and Competitiveness: A Socio-Competitive Framework Kuno Spirig, Zurich University of Applied Sciences, Winterthur, Switzerland 3. Integrative approaches Mapping the Links of Corporate Sustainability: Sustainability Balanced Scorecards as a Tool for Sustainability Performance Measurement and Management Marcus Wagner, Dr Theo Schoeller Chair in Technology and Innovation Management, Technische Universitat Munchen and Centre for Sustainability Management, University of Luneburg, Germany, and Stefan Schaltegger, Centre for Sustainability Management, Universi A Model of Financial Analysis at the Service of Sustainability Juan Pineiro Chousa and Noelia Romero Castro, Department of Finance and Accounting, University of Santiago de Compostela, Spain Sustainable Value Added: A New Approach to Measuring Corporate Sustainable Performance Frank Figge, School of the Environment, University of Leeds, UK, and Tobias Hahn, Institute for Futures Studies and Technology Assessment, IZT, Germany Sustainable Analysis of Industrial Operations: A Proof of Concept Demonstration Study Sonja Lynn Odom, Laboratory for Sustainable Solutions, Department of Mechanical Engineering, University of South Carolina, USA Part II. Empirical surveys - financial markets industry and country surveys 4. Views from the financial markets The Economic Performance of European Stock Corporations: Does Sustainability Matter? Klaus Rennings, Michael Schroeder and Andreas Ziegler, Centre for European Economic Research (ZEW), Germany Capital Markets and Corporate Environmental Performance: Research in the United States Dinah A. Koehler, Economics and Decision Sciences Research, National Center for Environmental Research, US Environmental Protection Agency, USA Sustainable Investment and Financial Performance: Does Sustainability Compromise the Financial Performance of Companies and Investment Funds? Eckhard Plinke and Andreas Knoerzer, Sarasin Sustainability Investments, Bank Sarasin & Co. Ltd, Basel, Switzerland Benchmarking Competitiveness and Management Quality with the Dow Jones Sustainability Index: The Case of the Automotive Industry and Climate Change Niki Rosinski, Sustainable Asset Management (SAM), Zurich, Switzerland 5. Industry surveys Have Trends in Corporate Environmental Management Influenced Companies' Competitiveness? Henning Madsen and John P. Ulhoi, The Aarhus School of Business, Denmark Competitiveness, Environmental Performance and Management of SMEs David Hitchens, Queen's University Belfast, UK, Jens Clausen, IOEW, Germany, Mary Trainor, Queen's University Belfast, UK, Michael Keil, IOEW, Germany, and Samarthia Thankappan, Cardiff University, UK IPPC and the Impact of Best Available Techniques (BAT) on the Competitiveness of European Industry: Survey of the European Non-Ferrous Metals Industry David Hitchens, School of Management and Economics, Queen's University Belfast, Northern Ireland, Frank Farrell, Environment Agency, Bristol, UK, Josefina Lindblom, Institute for Prospective Technological Studies (IPTS), Seville, Spain, and Ursula Triebsw 6. Country surveys The Mutual Relationship between the Environmental Context and Management in the Netherlands Ronald S. Batenburg, Department of Information Sciences, Utrecht University, the Netherlands The Norwegian Environmental Business Barometer Bjarne E. Ytterhus, Norwegian School of Management (BI), Sandvika, Norway Sustainability Performance of Countries: Based on the Example of Oekom Research AG's Country Rating Matthias Boenning, Oekom Research, Munich, Germany Does a Nation's Ecological Performance Affect its Economic Stability? The Potential for Enhancing Sovereign Credit Risk Assessments with Ecological Resource Accounts Mathis Wackernagel, Global Footprint Network, Oakland, CA, USA, Chris Martiniak, Global Footprint Network, Oakland, CA, USA, and University of Michigan Business School, USA, Fred Wellington, World Resources Institute, Sustainable Enterprise Program, and formerly Environmental Management Program, University of San Francisco, USA, Chad Monfreda, Sustainability and Global Environment Program, University of Wisconsin, Madison, USA, and Steve Goldfinger, Justin Kitzes and Deborah Cheng, Global Footprint Network, Oakland, CA, USA, Part III. Evidence - strategies, case studies and management systems 7. Strategies and the business case for sustainability Achieving Sustainable Corporate Competitiveness: Strategic Link between Top Management's (Green) Commitment and Corporate Environmental Strategy Ki-Hoon Lee, KwangWoon University, Korea, and Robert Ball, University of Stirling, UK Ecopreneurship and Competitive Strategies: Striving for Market Leadership by Promoting Sustainability Holger Petersen, Umweltbank Nurnberg and Centre for Sustainability Management, University of Luneburg, Germany Building a Business Case for Corporate Sustainability Ulrich Steger, Institute for Management Development (IMD), Lausanne, Switzerland Developing Value: The Business Case for Sustainability in Emerging Markets Jodie Thorpe and Kavita Prakash-Mani, SustainAbility, UK 8. Company cases Managing Sustainability Performance in the Textile Chain Stefan Seuring and Maria Goldbach, Supply Chain Management Centre, Carl von Ossietzky Universitat Oldenburg, Germany Sustainability and Competitiveness in the Renewable Energy Sector: The Case of Vestas Wind Systems Rolf Wustenhagen, Institute for Economy and the Environment, Switzerland Path-Dependent Thinking and Ecoproducts: An Empirical Study of Socio-Cognitive Models and Product Propositions of Ford and Volvo Cars Mats Williander, Fenix Centre for Research on Knowledge and Business Creation, Chalmers University of Technology, Sweden Honda and Toyota: Using Sustainability in a New Competitive Battleground Peter A. Stanwick and Sarah D. Stanwick, Department of Management and School of Accountancy, College of Business, Auburn University, USA Incremental Change towards Sustainanbility: Integrating Human and Ecological Factors for Efficiency Suzanne Benn, School of Management, University of Technology, Sydney, Australia, and E. Jane Probert, European Business Management School, University of Wales Swansea, Swansea, UK 9. Environmental management systems and competitiveness ISO 14001: Profitable? Yes! But is it eco-effective? Jost Hamschmidt and Thomas Dyllick, University of St Gallen, Switzerland What Makes Environmental Management Systems Successful? An Empirical Study in the German Manufacturing Sector Boris Braun, Department of Geography, Otto-Friedrich-University, Bamberg, Germany

Stakeholder engagement, social auditing and corporate sustainability

Abstract: Purpose – To identify the applicability of social auditing as an approach of engaging stakeholders in assessing and reporting on corporate sustainability and its performance.Design/methodology/approach – Drawing upon the framework of AA1000 and the social auditing studies, this paper links stakeholder engagement, social auditing and corporate sustainability with a view to applying dialogue‐based social auditing to address corporate sustainability.Findings – This paper identifies a “match” between corporate sustainability and social auditing, as both aim at improving the social, environmental and economic performance of an organisation, considering the well‐being of a wider range of stakeholders and requiring the engagement of stakeholders in the process. This paper suggests that social auditing through engaging stakeholders via dialogue could be applied to build trusts, identify commitment and promote co‐operation amongst stakeholders and corporations.Research limitations/implications – This research requ...

Pengungkapan Informasi Sosial dan Faktor-Faktor yang Mempengaruhi Pengungkapan Informasi Sosial dalam Laporan Keuangan Tahunan (Studi Empiris pada Perusahaan-Perusahaan yang terdaftar Bursa Efek Jakarta)

Abstract: T he objectives of this research observed the extent of disclosure about corporate social responsibility accounting and examined the determinants that are considered by corporate to disclose social responsibility accounting. The data used in this research were pooling data for 1188 year-firms. I used all sectors that are published in Jakarta Stock Exchange 2000-2004. I observed three categories of corporate sustainability reporting from Darwin (2004). These categories are economic performance, environment performance, and social performance. Then I examined the factors that are considered by corporate to disclose social responsibility accounting. I identified five factors that may be considered. They are management ownership, leverage, size, industry type, and profitability. The results of this study indicated that almost all companies disclosed the economic performance because PSAK 57 has been regulated. Management ownership and industry type were considered by corporate to disclose social responsibility accounting.

Enabling Change for Corporate Sustainability: An Integrated Perspective

Abstract: This article explores the processes of change that enable corporations to move towards sustainable practices, focusing on the human resource and business strategies that support rather than diminish global ecology and human/social capabilities. We argue that this unified approach is necessary to bring about a change in the interpretation of corporate sustainability and to support the activities of change agents (managers, consultants, and community activists) in managing the massive corporate change needed to move corporations toward sustainable practices in a systematic way. We propose a schema in the form of an integrated phase model for understanding how corporations move from compliance modes to the attainment of strategic sustainability and beyond to the ‘ideal’ or sustaining corporation. We discuss the leadership of change and the roles and strategies that corporate change agents can employ to bring about both incremental and transformational change for sustainability.

Examining the Business Impact of Owner Commitment to Sustainability

Abstract: The purpose of this study was to establish a research mechanism to investigate the impact of corporate commitment to sustainability on capital project planning and capital project performance. The research hypothesized that increasing commitment to sustainability leads to increasing sustainable project planning, and to better cost and schedule performances in large projects. Two sustainability indices, CSCI and SCPPI, were used to determine the level of corporate sustainability commitment and its impact on sustainability practices in capital project planning, and the impacts of corporate sustainability commitment and sustainable practices in project planning on cost and schedule performances, design changes, and safety compliances. Limited data collected from 17 Fortune 100 owner organizations suggested that a relationship between the two indices existed and that there are strong grounds supporting further development of such sustainability indices. Such indices can help multinational corporations better allocate resources and strike a balance between sustainable practices and financial bottom line.

Corporate Sustainability Reporting

Abstract: (2006). Corporate Sustainability Reporting. Environment: Science and Policy for Sustainable Development: Vol. 48, No. 5, pp. 3-3.

Corporate sustainability accounting: a nightmare or a dream coming true?

Abstract: Corporate sustainability accounting reflects the need to draw managers into debates and actions about corporate sustainability. Four different views of the term can be discerned: a voguish buzzword; a broad umbrella term; a single monetary measure and a pragmatic decision support tool. It is argued that two paths towards the further development of sustainability accounting seem to be available – top down and stakeholder driven. Copyright © 2006 John Wiley & Sons, Ltd and ERP Environment.

CORPORATE SUSTAINABILITY ACCOUNTING A Catchphrase for Compliant Corporations or a Business Decision Support for Sustainability Leaders

Abstract: In the recent past "sustainability accounting" and related terms (such as "sustainability management accounting" and "sustainability financial account- ing") are being used with greater frequently at academic conferences and in corporate practice This raises the question of the relationship between ac- counting and sustainability and the role of accounting for sustainability, as well as what could be understood by sustainability accounting sustainability accounting and distinguishes between different views when dealing with this topic In addition, different approaches towards the further development of sustainability accounting are discussed

Corporate License to Operate (LTO) - Review of the Literature and Research Options

Abstract: Oliver Salzmann Aileen Ionescu-Somers Research Associate Research Manager, CSM Project Forum for Corporate Sustainability Management Forum for Corporate Sustainability Management IMD International Institute for Management Development IMD – International Institute for Management Development 23, ch. de Bellerive, P.O. Box 915 23, Chemin de Bellerive, P.O. Box 915 CH-1001 Lausanne CH-1001 Lausanne Switzerland Switzerland Tel: +41 21 618 0696 Tel: +41 21 618 0389 Fax: +41 21 618 0641 Fax: +41 21 618 0641 E-mail: oliver.salzmann@imd.ch E-mail: aileen.ionescu-somers@imd.ch

Sustainable construction: a web-based performance assessment tool

Abstract: The quest towards sustainable development, both nationally and globally, puts the construction industry in the foreground as the main consumer of natural resources. The industry has profound economic, social and environmental impacts. Sustainable construction is one of the most important challenges faced by the construction industry today. In the UK, sustainability is being driven and enforced by the government through stringent fiscal policies and regulations, voluntary initiatives combined with naming and shaming strategies. Stakeholders are becoming more aware of the global challenges and are using their power to exert pressure on companies. Increasingly, construction clients are demanding that their business partners submit: their corporate sustainability policies with tender packages to demonstrate their performance in dealing with opportunities and risks stemming from economic, environmental and social aspect of sustainability. However, the lack of understanding of the concept and its practical application has been a recurrent problem. The conceptual confusion; its vagueness and ambiguity, the complexity of the myriad of challenges and fluidity of the sustainability concept, compounded with the myopic attitude of the industry, lack of clear-cut and practical framework are causing frustration in the construction industry. Consequently, a number of sustainability management frameworks have been proposed. There are probably more than one hundred frameworks for sustainable business strategy. However, the majority of these are either complicated to implement or lack sound theoretical base, effective change management and completeness. These, therefore, do not make the situation any easier. Many are still baffled as to what they should do and how they should go about affecting change. Corporate sustainability in the construction industry is a challenge to many companies. The industry is still under-performing in each of the key themes of sustainable construction and this has lead to a 'blame culture’ where each sector of the industry allocates responsibility for its current failings to others (CIRIA C563, 2001). Such a situation poses a need for a comprehensive, practical and easy to use tool that would aid the implementation and management of sustainability at the core of business process. The tool will complement the existing frameworks, which breaks down the strategic and management issues into manageable components. This will enable companies to focus on individual areas and identify actions needed to facilitate change. The problem is that such a tool is virtually non-existent. The main focal point of this research is the development of a tool to facilitate the implementation, management and integration of sustainability issues at the strategic level and promote wider uptake of the concept in the construction industry. This requires a thorough understanding of the concepts of sustainable development, sustainable construction and related issues as well as drivers, benefits, barriers and enablers for achieving corporate sustainability. It also demands an examination of existing management frameworks and collation of case studies from the early adopters to establish critical factors for strategic and management issues involved in achieving corporate sustainability. Through, diverse research epistemologies (quantitative, qualitative and triangulation methods), the research established four main critical factors and thirty-six sub-critical factors for achieving corporate sustainability. These factors underpinned the development of a web-based prototype software (ConPass). This thesis presents the development and evaluation ConPass Model and the prototype software.

The International Yearbook of Environmental and Resource Economics 2005/2006: A Survey of Current Issues

Abstract: Contents: Preface 1. Issues in Water Pricing Reforms: From Getting Correct Prices to Setting Appropriate Institutions 2. Spatial Environmental Policy 3. Environmental Equity and the Siting of Hazardous Waste Facilities in OECD Countries: Evidence and Policies 4. Strategies to Conserve Biodiversity 5. Corporate Sustainability 6. The Double-Dividend Hypothesis of Environmental Taxes: A Survey 7. Valuing Environmental Changes in the Presence of Risk: An Update and Discussion of Some Empirical Issues Index

KiwiGrow—a New Approach to Sustainable Development Reporting

Abstract: Social responsibility reporting and triple bottom line sustainability reporting are becoming more common, as businesses and organisations respond to factors such as pressures from stakeholders, the demands of ethical investors, and high profile instances of corporate ethical failure. Despite the availability of helpful guidelines, such as those of the Global Reporting Initiative, this reporting faces challenges which critically undermine its credibility as a means to assure sustainable development: uncertainty about the purpose and required content of the reporting, variable quality and comparability, lack of centrality to corporate decision-making, doubts about the impacts and effectiveness of reporting, and concerns about the paradigm on which reporting should be based. KiwiGrow is a collaborative accreditation system for management services for sustainable development, based on accurate and consistent implementation of a new, universal model for ecosystem health. The 28-sector KiwiGrow framework for assessment of community and environmental health arose from the search for system qualities that could completely describe the health of human-dominated ecosystems, and which were equally applicable in social, economic, environmental and cultural contexts. Healthy ecosystems are nurturing, supportive, stable, contributing, responsive, directed, and adaptive. Consideration of these seven qualities in the four major contexts provides a robust, easily understood framework for 'quadruple bottom line' sustainability reporting, in line with New Zealand's new local government legislation. This article presents a critique of current corporate sustainability reporting practice, and shows how KiwiGrow could underpin a new, revitalised, accountability for sustainable development.