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  • Essay / A Triple Bottom Line Approach: Business Sustainability

    In recent years, businesses have been pushed to look beyond traditional bottom lines. Although profit measures such as net profit seem to elicit the strongest market reactions, companies are now beginning to understand that their value should go beyond that. As defined in a KPMG report on business sustainability, “…business sustainability is defined as: “the adoption of business strategies that meet the current needs of the company and its stakeholders while preserving the resources, both human and natural, that will be needed in the future. » » (p. 12) This should not be interpreted to mean that business sustainability is simply a “green” or environmentally friendly strategy. It encompasses much more than the natural environment. Rather, it creates long-term value for consumers and employees by taking into consideration the social, economic and cultural environment in which the company operates. As more companies begin to adopt these sustainable business practices, studies are being published showing how positive the effects are on business profits due to increased profitability and cost reductions. This article will attempt to explain the overall concept of sustainability, the widespread adoption of sustainable business practices, the effects on the profitability of these companies and, finally, the control function in leading this new revolution. As mentioned in the previous introduction, business sustainability goes further. than simply preserving the natural environment and focuses on what some have called the “triple bottom line.” The term was coined in 1994 by John Elkington, founder of a British consultancy agency called SustainAbility. The first result refers to the traditional line item which is middle of paper......gy effectiveness. The focus on energy efficiency and corresponding management of company resources also has the added benefit of mitigating the company's future dependence on an unstable energy market. This has convinced many executives of the importance of this initiative, as it is easy to see that it will have a significant impact on future profitability when energy sources become scarce and the market responds with much higher prices . By mitigating this risk now through sustainable practices, a business ensures a better, more stable future. In the next sections, this paper will profile two leaders in corporate sustainability, Anheuser-Busch InBev and Walmart, who have made some of the greatest strides in reducing their environmental impact while investing in projects aimed at reducing their consumption of resources to become more efficient. energy efficient.