7: Accounting
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- 7.1: Measurement and Accounting Tools
- This page reviews measurement and accounting tools for sustainability evaluation across social, environmental, and economic dimensions. It highlights tools like the Measuring Impact Tool for governance and financial assessment, the Greenhouse Gas Protocol for emissions tracking, and the Global Water Tool for standardizing water impact measurements. It also includes the Global Environmental Management Initiative Water Tool and Life Cycle Assessments.
- 7.2: Reporting
- This page discusses the Global Reporting Initiative (GRI), a prominent global reporting guideline currently in its third version (G3). As of 2007, around 1,500 companies were using this customizable standard, which includes industry-specific supplements. The page also notes the availability of various software programs to aid businesses in GRI reporting.
- 7.3: Assurance and Stakeholder Engagement
- This page discusses sustainability accounting, which includes auditing, assurance, and stakeholder engagement. It highlights the use of standards such as AA1000 and ISAE 3000 for credible reporting, despite such practices being optional in the U.S. The importance of external assurance for credibility is emphasized.
- 7.4: Accounting Methods
- This page discusses the increasing importance of overhead costs in product costing, highlighting the use of activity-based costing (ABC) for better management responses. It emphasizes sustainable businesses' focus on long-term and holistic cost measures, including life cycle costing and full-cost accounting, to incorporate environmental impacts.