Triple Bottom Line (TBL) Reporting

In 1961, Yure Gagarin, the first person who saw the earth from the space and said,

“The earth is so green!!”

Will it stay so green? At this moment our sweet home, the planet earth is sick, very sick What is happening to our home, the planet earth? Certain terrifying and quite regrettable things are starting to happen. Some of these changes are visible, some are not:
  • Global warming
  • Destruction of the Ozone layer
  • Shrinking of tropical rain forests
  • Bio-diversity extinction crisis
  • Dioxin pollution
  • Acid rain
  • Devastating floods
  • Severe earthquakes etc
Besides, there are many changes of the world that are invisible to us. In ACME, we believe that there is more in business than just making profit. Long term business success and sustainability rely on economic value, environmental health and social progress. Our values are rooted in the concept of the ‘Triple Bottom Line’ (TBL) and we assume ourselves accountable in relationship to Profit, Planet and People. We strongly believe that earning profit cannot be the only goal of any organization, well-being of the people and environment are also equally important. Moreover, it is our constitutional obligation as well to protect and improve the environment, bio-diversity etc for the present and future citizens of Bangladesh. Hence ACME has adopted Triple Bottom Line concept as its business philosophy. Triple Bottom Line concept refers to the transformation of conventional bottom line reporting framework that incorporates two additional performance measures: Social and Environmental together with the commonly used financial measures for determining profit or loss of the business. Hence, TBL consists of three main dimensions such as Economic, Social and Environmental that determine the performance of an enterprise in a broader context through emphasizing sustainability and growth of the business and its surroundings i.e. society and environment within which it operates.

People – in the context of Society

How does an organization impacts on the society? i.e. community or more specifically people. The people may be internal and external who actually carry out the work of the company and who are impacted by the company (i.e. stakeholders). It also includes CSR and other philanthropic activities.

Planet – in the context of Environment and/or Ecology

How does an organization impacts on living and non-living natural systems? i.e. Land, Air, Water, Plant Kingdom, Animal Kingdom, Bio-diversity and/ or Ecosystem of the Planet.

Synergy of Triple Bottom Line (TBL)

Profit – in the context of Finance

How does an organization impacts on the economic conditions to create economic value for the organization after deducting the cost of all inputs in local, national and global arenas.

Evolution of TBL

The term was coined by John Elkington (a British citizen having specialization on corporate responsibility and sustainability) in 1994 as 21st Century Business Sustainability & Development Strategy. In 1998, it was largely publicized by an American Entrepreneur Robert J. Rubinstein. Later, top level CEOs were willingly influenced to implement TBL concept to represent their business successes or failures.

In pharmaceutical arena, currently some reputed overseas companies are also practicing TBL as part of their business philosophy.