StudentShare
Contact Us
Sign In / Sign Up for FREE
Search
Go to advanced search...
Free

Triple Line Bottom Method of Management - Essay Example

Cite this document
Summary
The paper "Triple Line Bottom Method of Management" states that being a reporting system, the triple bottom line can be used in the organisations to improve the company's impact on people and the environment, despite the effects it would have on the profits…
Download full paper File format: .doc, available for editing
GRAB THE BEST PAPER97.5% of users find it useful
Triple Line Bottom Method of Management
Read Text Preview

Extract of sample "Triple Line Bottom Method of Management"

John Ellington first explained the concept of the triple bottom line in his book “The cannibals with forks” (Kaplan, 2004). This bottom line continues to measure profits; it also measures the organisations impact on the people and on the planet. It can be referred to as a way of expressing a company's impact and sustainability on a local and a global scale. The major concept behind the triple bottom line is that companies are responsible to stakeholders. This includes individuals who are directly or indirectly connected to the company. The company is also responsible for the planet that we are living on. This approach views the shareholders in the company as being part of the stakeholder. In this paper, triple bottom line is to look at its integration in management.

Background
Organisations that are involved in community support, and 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 avoiding angering special interest groups.

Strategies in adopting triple bottom line
Adopting a TBL perspective will require focused commitment through long-term strategic thinking, planning alignment, and implementation (Kaplan, 2004). Companies should adopt two strategies to incorporate the triple bottom line principle into the organisation operations. The organisation should understand that sustainability requires innovation; the sustainability strategy should also be customised.

Triple bottom line organisations take pain to do away with the ecological footprint. This type of organisations strives for sustainability. They recognise the fact that paying more attention to the environment may be profitable. They argue that it is not all about money. This can be seen as a sacrifice when these companies take pains to reduce their energy use, dispose of toxins in safe ways and try to produce products that are safe for consumption.

This approach, viewed by many people, can seem like a waste of time but in the real sense, it can prove worthwhile, to some extent. Many companies today, for example, sports teams and media companies, hire people for their success. They motivate and retain good people in the company’s profiles. These people become the stars and are not the shareholders in the company. Hence, such companies remain with no option but to focus more on their customers. In many parts of the world today, good people are in short supply; hence, companies need to look after their workers well. If the organisation will not be able to look after its workforce well, then it will not attract and retain the people they need to work in that particular organisation. Triple bottom line contributes to the hiring of top talent, retaining of top talent, increased employee productivity, less manufacturing expenses, increased revenues and market share, and easier financing.

Companies that follow the triple bottom line way of doing things have big considerations on how they impact the people that they get involved in. This can include the people who supply the raw materials to the company, and the company chief executive (Kaplan, 2004). The company makes sure that they consider everyone’s well-being. They may offer health care, provision of good working hours, education and job advancement.

Analysis and Challenges of the triple bottom line
The triple bottom line comes with its challenges when applied to an organisation. Profits in this approach are just an aspect of their mission; the approach encourages that companies focus on how they impact their customers. The goal to generate a profit, despite another outcome, is tampered with by the need for the company to consider the societal and the environmental consequences of actions it carries out. This approach is very difficult to quantify because, while an organisation may be able to quantify some of the financial aspects, it is very difficult to quantify social and environmental aspects. For example, if a company makes a promise to recycle as a way of protecting the environment, it would be very hard to quantify this. Hence, this approach tends to make the company sound compliant, by the fact that they tend to say that they have engaged in activities that can be classified as environmentally sound.
Shareholders in most companies are geared toward short-term goals rather than long-term goals. Traditionally, the management of any organisation is to increase the profit, by maximising returns. Read More
Cite this document
  • APA
  • MLA
  • CHICAGO
(“LS week7 Essay Example | Topics and Well Written Essays - 750 words”, n.d.)
LS week7 Essay Example | Topics and Well Written Essays - 750 words. Retrieved from https://studentshare.org/management/1461094-ls
(LS Week7 Essay Example | Topics and Well Written Essays - 750 Words)
LS Week7 Essay Example | Topics and Well Written Essays - 750 Words. https://studentshare.org/management/1461094-ls.
“LS Week7 Essay Example | Topics and Well Written Essays - 750 Words”, n.d. https://studentshare.org/management/1461094-ls.
  • Cited: 0 times

CHECK THESE SAMPLES OF Triple Line Bottom Method of Management

Framework of ethics

The triple bottom line might help in ethical decision-making in areas of deciding on water usage, waste management, energy consumption, and selection of raw materials by a company (Slaper & Hall, n.... Structural and behavioral organizational ethics can be measured with a variety of models such as Six Sigma, Balanced Scorecard, and the Triple bottom Line.... This essay focuses on the Six Sigma model and Triple bottom Line model, and how a company can use these to enhance ethics and business performance....
3 Pages (750 words) Essay

Triple bottom line (TBL)

I chose questionnaire because it is an easy method of data collection.... The method is also interactive making the interviewee feel at ease while answering the questions.... Triple bottom line and corporate social responsibility go hand in hand.... Triple bottom line (TBL).... Triple bottom line and corporate social responsibility go hand in hand.... Discussion findings From the primary research from Bristol, we learn that, the organization has maximized on the triple bottom line concepts, even though the organization does not use triple bottom line as a framework for its business reporting....
6 Pages (1500 words) Essay

Triple Bottom Line

Similarly federal, local and state levels of governments have also adopted the modules in the management of currencies and such like activities.... The traditional business accounting frameworks define a bottom line as the figure of net profit or loss recorded at the end of a statement of an organisation's financial activities in terms of expenditure and revenue.... The aim was to incorporate the environmental and social impacts of the organisational activities in the calculation of bottom lines....
12 Pages (3000 words) Essay

Strategic Management of the Triple Bottom Line

This paper "Strategic management of the Triple Bottom Line" aims at evaluating the concept of the Triple Bottom Line and discussing whether this tool is of importance to businesses.... The triple bottom line has proved to be an effective method for measuring business sustainability and have been used by organizations with varying structure, strategies, and cultures.... Despite the fact that the concept of people's bottom-line might be attractive, there is always a challenge when it comes to making decisions on how far a business organization should go in terms of making their stakeholders comfortable....
12 Pages (3000 words) Essay

Triple Bottom Line

The paper "Triple bottom Line" concerns effective methods to measure the social, environmental, and economic performance of an organization.... According to CEO of Cascade Engineering, Fred Keller, the triple bottom line is executed in the organization to focus on the planet and people.... According to John Elkington, the best framework to measure performance and maintain sustainability in the organization is the triple bottom line.... The triple bottom line is defined as the accounting framework and structure which consist of three parts such as financial, ecological, and social....
12 Pages (3000 words) Essay

Sustainable Event Management

While sustainable strategy relates to One of such companies is Seventeen Events, a sustainable event management agency that produces events for a number of consumers and is an expert in managing table plans as well.... Being proud of its sustainable approach, the company goes far beyond recycling and organic beverages and it is in its heart what make a business successful (Sustainable Event management, 2015).... Slaper and Hall (2015), consider that using a triple bottom line or TBL framework it is possible to go beyond the usual measures of earning and ROI, shareholder value to include dimensions of society and environment....
9 Pages (2250 words) Essay

The Triple Bottom Line

The authors then throw light on the fact that there is no universal method of calculating the TBL.... Personal income, job growth, revenue generated are some of the economic measures while hazardous waste management, electricity consumption, solid waste management and change in land use are some of the environmental measures.... This essay discusses the article "The Triple bottom Line: What Is It and How Does It Work" written by Timothy F....
2 Pages (500 words) Essay

Corporate Social and Environmental Cost Disclosures in Australia

Triple bottom line measurement accounting proponents have argued on a solid measurement that makes an organization not only focuses on profits but also people and the environment (Collins & Lapsley, 2002),).... The paper 'Corporate Social and Environmental Cost Disclosures in Australia' is a detailed example of a finance & accountinп research paper....
13 Pages (3250 words) Research Paper
sponsored ads
We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.
Contact Us