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MBA402_T2_2020_Assessment_3 Page 1 XXXXXXXXXXKaplan Business School Assessment Outline Assessment 3 Information Subject Code: MBA402 Subject Name: Governance, Ethics and Sustainability Assessment...

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MBA402_T2_2020_Assessment_3

Page 1 XXXXXXXXXXKaplan Business School Assessment Outline

Assessment 3 Information

Subject Code: MBA402
Subject Name: Governance, Ethics and Sustainability
Assessment Title: Sustainability Assessment
Assessment Type: Sustainability Report
Word Count: 2,000 Words (+/-10%)
Weighting: 40 %
Total Marks: 40
Submission: Via Turnitin
Due Date: Week 13

Your Task

You are required to watch the following YouTube clips from the GRI Secretariat:

1. The GRI Sustainability Reporting Standards: The Future of Reporting
https:
www.youtube.com/watch?v=AGqE4OO0_7g&t=3s

2. Introducing the GRI Standards
https:
www.youtube.com/watch?v=RDe8Kkh1BrU&t=2s

You must also read the Message from the CEO of fictional company McGruder Industries. You must
then prepare a sustainability assessment report for McGruder Industries.

Assessment Instructions

You must prepare a sustainability assessment report for McGruder Industries refe
ing to the
Consolidated Set of GRI Sustainability Reporting Standards 2016 that specifically addresses:

A. Economic sustainability

i) Disclosure 201-4 Financial assistance received from the government
ii) Disclosure 203-1 Infrastructure Investments and services supported
iii) Disclosure 204-1 Proportion of spending on local suppliers

B. Environmental sustainability

i) Disclosure 301-1 Materials used by weight or volume
ii) Disclosure 301-2 Recycled input materials used
iii) Disclosure 306-3 Significant spills

C. Social sustainability

i) Disclosure 408-1 Operations and suppliers at significant risk for incidents of child labour
ii) Disclosure 412-2 Employee training on human rights policies or procedures
iii) Disclosure 417-3 Incidents of non-compliance concerning marketing communications


https:
www.youtube.com/watch?v=AGqE4OO0_7g&t=3s
https:
www.youtube.com/watch?v=RDe8Kkh1BrU&t=2s

Page 2 XXXXXXXXXXKaplan Business School Assessment Outline


You will be required to include a minimum of 5 references in your Sustainability Assessment Report which
must come from academic journals or textbooks.

A Message from the CEO

Dear Employees,

I wish to personally thank you for your professionalism and continued dedication to McGruder Industries.
Last year was certainly the most challenging year our company has faced in its proud history and I would
like to take this opportunity to dispel some of the rumours circulating around some of the issues that
arose.

Obviously, the most serious matter for McGruder Industries was the media investigation into the ongoing
use of child labour in Somali manufacturing facilities.The investigation revealed that one of our suppliers,
Fabian Ltd, engaged manufacturers in Somalia that employ child labour to produce their products. This
situation was not known to us and was a clear
each of our supply contract with Fabian Ltd. We therefore
terminated our contract with Fabian Ltd.

The good news is we were able to find a replacement supplier relatively quickly – a local supplier that
operates within our own metropolitan area. This new local supplier means that our percentage of products
and services purchased locally has risen to 75% of our total procurement budget. Plus the materials from
our new supplier are both renewable and recyclable which means our total weight for non-renewable
materials has decreased to 55 tonnes while our total weight for renewable materials has increased to 45
tonnes. And our total weight for recycled input materials has increased to 25 tonnes.

The second serious issue faced by McGruder Industries this year was the Australian Competition and
Consumer Commission (ACCC) investigation into our recent marketing communications. The investigation
found that McGruder Industries had engaged in false and misleading conduct and issued an Infringement
Notice with a penalty of $12,600. McGruder Industries paid the fine and updated our marketing policies to
ensure future compliance with all Australian Consumer Law provisions.

The third serious issue was a significant fuel spill at our warehouse in Flintoff, Victoria. Approximately 8
kilolitres of fuel spilled from a rupture in one of the fuel tanks into the soil around its base. The spill soaked
directly into the ground and we have sprayed the affected area with liquid hydroca
on-eating bacteria to
emediate the soil. It has certainly been a challenging year for us but we all must remember there have
een some great wins too. The Federal Government awarded our organisation with a $15 million research
and development grant that we will use to continue our
eakthrough research into biotechnology.

This was also the year we completed our $10 million health and welfare centre project in Esperance,
Western Australia. This centre will provide much needed support to families coping with a range of social
issues completely free of charge. It is an extremely worthy initiative and demonstrates our clear
commitment to the social well-being of those that are less fortunate in our community.

Finally, our employee training program on human rights was launched this year and has already
completed 100 hours of training on aspects of human rights that are relevant to our operations. This
means that 35% of our employees have been trained in human rights principles ranging from gender
equality to human dignity and respect.

With your continued hard work and support I am extremely confident that McGruder Industries can build
further upon our success in the coming year.

Kind regards,
David McGrude
Page 3 XXXXXXXXXXKaplan Business School Assessment Outline

Important Study Information


Academic Integrity Policy

KBS values academic integrity. All students must understand the meaning and consequences
of cheating, plagiarism and other academic offences under the Academic Integrity and Conduct
Policy.

What is academic integrity and misconduct?
What are the penalties for academic misconduct?
What are the late penalties?
How can I appeal my grade?

Click here for answers to these questions:
http:
www.kbs.edu.au/cu
ent-students/student-policies/.


Word Limits for Written Assessments

Submissions that exceed the word limit by more than 10% will cease to be marked from the point
at which that limit is exceeded.


Study Assistance

Students may seek study assistance from their local Academic Learning Advisor or refer to the
esources on the MyKBS Academic Success Centre page. Click here for this information.

http:
www.kbs.edu.au/cu
ent-students/student-policies
https:
elearning.kbs.edu.au/course/view.php?id=1481

Page 4 XXXXXXXXXXKaplan Business School Assessment Outline


Assessment Marking Guide

Criteria F (Fail)
0%-49% P (Pass) 50%-64% CR (Credit) 65%-74% D (Distinction) 75% - 84%
HD (High
Distinction)
85%-100%
Mark
Sustainability Assessment
Economic Sustainability Sustainability Assessment Report demonstrates poor
understanding of
management approach
disclosure methodology.
Failure to provide
na
ative explanation of
topic specific disclosures.
Substandard effort to
make disclosures based
on case study
information.
Demonstrated
understanding of case
study organization
disclosure obligations
ased on mostly
accurately identified
topic specific
disclosures.
Na
ative explanation
using management
approach disclosure
methodology but further
work required to improve
clarity of disclosure.



Topic specific disclosures
accurately identified from
the case study and
appropriately disclosed in
Sustainability Assessment
Report with reasonably
clear na
ative
explanation using
management approach
disclosure methodology.
Comprehensive
understanding of
case study
organization
disclosure obligations
ased on accurately
identified topic
specific disclosures.
Clear na
ative
explanation using
management approach
disclosure methodology.
Sustainability Assessment
Report demonstrates
advanced level
understanding of
management approach
disclosure methodology.
Highly detailed na
ative
explanation of topic
specific disclosures
together with accurate
and total disclosure based
on case study
information.
10
Sustainability Assessment
Environmental
Sustainability
Lack of
understanding of
disclosure
equirements of case
study organization.
Insufficient na
ative
explanation or
commentary of topic
specific disclosures.
Management approach
disclosure methodology
not followed.
Methodology of the
management approach
to disclosure
appropriately used to
prepare logical
na
ative explanations
of topic specific
disclosures.
Na
ative explanations
are reasonably clear but
some important details
from case study that
should be included have
een overlooked.




Sustainability Assessment
Report indicates general
awareness and solid
understanding of purpose
of disclosure and required
methodology. Relevant
details from case study
are included within
na
ative explanation of
topic specific disclosures.
Methodology of the
management
approach to
disclosure used well
to prepare detailed
na
ative explanations
of topic specific
disclosures.
Na
ative explanations
are clear and incorporate
vast majority of relevant
details from case study.
Effective adoption of
management approach
disclosure methodology to
provide complete topic
specific disclosures
elevant to case study
organization. Articulate
and highly detailed
na
ative explanations
included in Sustainability
Assessment Report.
10
Page 5 XXXXXXXXXXKaplan Business School Assessment Outline

Sustainability Assessment
Social Sustainability Sustainability Assessment Report demonstrates poor
understanding of
management approach
disclosure methodology.
Failure to provide
na
ative explanation of
topic specific disclosures.
Substandard effort to
make disclosures based
on case study
information.
Demonstrated
understanding of case
study organization
disclosure obligations
ased on mostly
accurately identified
topic specific
disclosures.
Na
ative explanation
using management
approach disclosure
methodology but further
work required to improve
Answered Same Day Oct 05, 2021 MBA402

Solution

Priyanka answered on Oct 07 2021
149 Votes
SUSTAINABLE ASSESSMENT REPORT OF McGRUDER INDUSTRIES
TABLE OF CONTENTS:
INTRODUCTION……………………………………………………………3
ECONOMIC SUSTAINBILITY……………………………………………..4
ENVIRONMENTAL SUSTAINABILITY…………………………………...6
SOCIAL SUSTAINABILITY………………………………………………...7
INTRODUCTION
Sustainability assessment and reporting are a compulsory as well as voluntary practice undertaken by any organization with the support of GRI Standards. The report focuses on explaining the economic, environmental and social impacts in their businesses and the steps taken by them to overcome them as per the GRI standards of 2016, which aims to promote sustainable development. (Globalreporting.org., 2016)
GRI Standards are globally accepted standards available for sustainable reporting which provides a balanced and adequate set of decisions which focuses on the organization’s individual role towards sustainable development. They are inte
elated standards which can be modified and new principles added, which provides a detailed view related to the environmental, economic and social effects of their businesses, how they are resolved. Making the focused level of opinions and planning to enhance the aims and standards, it is very important for an organization to examine on to its negative aspects in the overall economy as well. (Globalreporting.org., 2016)
McGruder Industries had faced issues such as use of child labor in one of their manufacturing facilities, investigation conducted by ACCC on marketing communications which engaged in false misconduct and fuel spill at Victoria warehouse
Sustainability report of McGruder Industries discusses the company’s environmental, economic and social impacts and issues and management’s related approaches towards these issues. The report requires to follow the GRI standards and guidelines as per the general disclosures and management approaches with proper recommendations and suggestions for the disclosures as undertaken by McGruder Industries.
A. ECONOMIC SUSTAINABILITY
i) Disclosure 201-4: Financial assistance received from government:
The organization which reports the sustainability status of their cu
ent reporting period would receive financial help from any government during their cu
ent reporting period (standards.sinzer.org., 2020)
A. The financial assistance in the form of monetary benefits includes:
· Cash Awards
· Tax credits and tax benefits along with tax relief
· Royalty benefits like royalty tour packages
· Financial benefits from Export Credit Agencies (ECA)
· Bonuses and incentives
· Investment assistance and grants like R and D grants and other different forms of grants
· Government subsidies for any material benefit
· Other material financial benefits to be receivable from Government in any relevant matters
B. The country which specifies the data in 201-4-A
C. Any level to which any country’s government is participating in the shareholding structure and its particular share percentage
While preparing the information mentioned in Disclosure 201-4, the respective company would:
Understand the gain of monetary surpluses of monetary benefits got from government through clear and compulsory usage of generally accepted accounting principles (GAAP)
McGruder Industries have been consistent in in their investment in research and technology projects such that during the recent period, the Government presented them with a $15 million R and D grant which the company would be further using for their research projects in biotechnology domain.
ii) Disclosure 203-1: Infrastructure Investments and services supported: (barloworld-reports.co.za, 2018)
A. The level of growth of important infrastructure services and investments provided
B. Present and future impacts on societal and local geographies, including effective and gloomy effects wherever relative
C. To confirm with, if these investments and services are profitable or in a way does not have monetary use in engagements
The reporting organization is expected to disclose:
· The size, value and time span of each investment infrastructure and service provided
· How far the different societies and local parties are affected by investment infrastructure and service provided (Globalreporting.org., 2016)
McGruder Industries recently provided infrastructure support through $10 million Welfare and Health Centre scheme based in Western Australia. The Centre assures to support families in need of support to cope...
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