Definition of 'Triple Bottom'
The TBL was developed in the early 1990s by John Elkington, a British sustainability expert. Elkington argued that companies should not only be concerned with their profits, but also with their impact on society and the environment. He proposed that companies should report their performance on three bottom lines:
* **The economic bottom line:** This is the traditional measure of a company's financial performance, such as its profits, revenue, and cash flow.
* **The social bottom line:** This measures a company's impact on society, such as its employees, customers, and the community in which it operates.
* **The environmental bottom line:** This measures a company's impact on the environment, such as its emissions, waste, and water use.
The TBL has been adopted by a growing number of companies around the world. These companies believe that the TBL is a more accurate and comprehensive way to measure their performance. They also believe that the TBL can help them to improve their social and environmental performance, and to create a more sustainable future.
The TBL has been criticized by some for being too complex and difficult to implement. Others have argued that the TBL is not a true measure of sustainability, because it does not take into account all of the environmental and social impacts of a company's activities.
Despite these criticisms, the TBL is still a valuable tool for companies that are committed to sustainability. The TBL can help companies to identify and manage their environmental and social risks, and to create a more sustainable future.
Here are some examples of how companies are using the TBL:
* **Nike:** Nike has been a leader in sustainability for many years. The company has set ambitious goals to reduce its environmental impact, and it has been transparent about its progress in meeting these goals. Nike also reports its performance on the TBL in its annual sustainability report.
* **Patagonia:** Patagonia is another company that is committed to sustainability. The company has a strong focus on environmental protection, and it has made a commitment to using sustainable materials in its products. Patagonia also reports its performance on the TBL in its annual sustainability report.
* **The Body Shop:** The Body Shop is a cosmetics company that has a strong focus on social responsibility. The company has a number of programs that support women and children in developing countries. The Body Shop also reports its performance on the TBL in its annual sustainability report.
The TBL is a valuable tool for companies that are committed to sustainability. The TBL can help companies to identify and manage their environmental and social risks, and to create a more sustainable future.
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