Case Study

Table of Contents
    Serial No.
    Topic
    Page No.
    1.
    Introduction
    1
    2.
    Meaning of Sustainability Reporting
    1
    3.
    Importance of Sustainability Reporting for Public Listed Company
    1-2
    4.
    Key Performance Indicators of Wealth Wise
    2-3
    5.
    Importance of Key Performance Indicators of Wealth Wise for achieving Mission
    3
    6.
    Alternative Performance Indicators that can be Included in Performance Measurement System
    3-4
    7.
    Recommendations for encouraging Staff to Support Sustainability
    4
    8.
    Recommendations for the Usage of Performance Measurement System in a Balanced Way for the Achievement of the Company’s Goals
    5
    9.
    Conclusion
    5
    10.
    References
    6
Introduction
Corporate Social Responsibility has become a main activity of many organizations who want to survive for a long time. It has become a marketing tool instead for big corporate houses. Now a day people are aware of the various social activities done by the companies due to social accounting and sustainability reporting. They prefer to buy products or invest in such companies who are not only profitable but also follow ethical activities for profits. They prefer those companies who enjoy a good reputation in the market due to their environment friendly activities as well as who help in betterment of their society. Central to CSR is a concern for sustainability ( Aras and Crowther, 2007), particularly for environmental sustainability, as this is crucial for long term success and even survival – even in the financial terms by which firms normally judge their success. Sustainability Reporting has now taking the place of Corporate Social Responsibility. The reason for same is difference in the definition of CSR and what it constitutes (Ortiz Martinez and Crowther, 2005). Corporate houses tries to promote their social activities with the help of sustainability reporting that helps them in the long run. The marketing efforts of corporate houses do not benefit them as much as CSR or Sustainability Reporting can do.
Meaning of Sustainability Reporting
Sustainability implies that society must use no more of a resource than can be regenerated. This can be defined in terms of the ca
ying capacity of the ecosystem (Hawken, 1993) and described with input–output models of resource consumption. Sustainability reporting is a report prepared by any organization in which the impacts of its day to day activities are shown on social, economic and environmental factors of the economy. It shows the relation between the missions of the organization and economic sustainability commitments of the organization. The social, economic and environment is the three important spheres of sustainability. The purpose of this reporting is to recognize measure, disclose and account for the organization performance with regards to sustainable development of the economy. Both the negative as well as the positive impacts are shown in this report. First of all the social, economic and environmental goals are set by the organization in its mission statement. Then targets are standardized and then actual performance to achieve same is done and at last the actual results are compared with the targets sets for various factors. The results may be positive and they can be negative. Then with the help of a report an organization communicate to its internal and external stakeholders that to what extend an organization is able to achieve its target related to its social economic and environmental goals. This reporting is prefe
ed over other measures of reporting like Corporate Social Responsibility accounting, Social accounting due to standardization of the factors and reporting system.
Importance of Sustainability Reporting for Public Listed Company
The usage of sustainability reporting will provide two kind benefits to Wealth Wise like Public Listed Company. There benefits are external as well as internal.
Internal Benefits:
· Helping in following the norms and various provisions applicable to public companies related to environment and society in a better way.
· Helps in comparing the results of various activities with the objective or goals settled earlier.
· Better assessment of risks and opportunities that comes from social and environmental factors of the society.
· Helps in better internal control over the activities as comparison of targets and results will help in detecting the reasons for performance below standard.
· Comparison becomes easy if all information is measured and accounted properly.
· Helps in reduction of costs and better utilization of resources as benchmarks helps in keeping a check on all activities.
· Timely reporting also helps in making appropriate strategy, plan or policy as in case of Wealth wise the timely plan can be made to save the reputation.
External Benefits:
· Sustainability Reporting can be used as a marketing tool to build the reputation of the business. In case of Wealth Wise also it helps in generating a good reputation over time.
· It helps in suppressing the negative impact of environmental, social and other factors. Wealth wise can increase the welfare of the staff as well as help society to increase employee satisfaction as well as improving its image.
· It helps in making the financial statements more transparent and reliable.
· Sustainability reporting by conveying positive results; it also helps in increasing sales as well as market price of shares which is the cu
ent need of Wealth Wise.
Key Performance Indicators of Wealth Wise
Performance indicators are the milestones that are used to measure the...