Sustainability Balance Scorecard Case Study
3.1 The concept of Sustainability Balance Scorecard (SBSC)
Sustainability Balance Scorecard is the management tool which support the company developing their business with the sustainability value-based orientation. It means that the company which makes contribution to the sustainable development has to balance three dimensions of sustainability: Economic, Environmental and Social (F. Figge et al 2002. In the origin Balance Scorecard (BSC), the company just displays their economic strategies, therefore, to create the Sustainability Balance Scorecard (SBSC), there should add two more aspects: Environmental and Social. The SBSC will help the company to implement their strategy with the sustainable development. In SBSC, the objectives from each …show more content…
It means that the social and environmental aspects will be added up to the four core perspective of BSC. Besides, the new measures are incorporated into four perspectives of the BSC, which will offer the ability for the measures to be perceived along with the perspective in the daily processes. Therefore, if the firm aleady has a BSC and would like to develop this scorecard to display additionally the sustainability practices, the first appoach is fairly fit that development orientation with the deep focus on the integration of sustainability aspects into their business actitivities (Butler, Henderson and Raiborn 2011).
The second approach is adding the new non-market perspective into the BSC. In detail, in this approach, another perspective called non-market perspective will be added to the BSC for the full integration of the social and environmental aspects. The factors from the non-market perspective have direct or indirect influences in all four other perspectives (F. Figge et al 2002). This approach to help the company to enhance the status of sustainability for the company, however, it does not emphasize the importance of sustainability in corporate management (Butler, Henderson and Raiborn
Sustainability Balance Scorecard is the management tool which support the company developing their business with the sustainability value-based orientation. It means that the company which makes contribution to the sustainable development has to balance three dimensions of sustainability: Economic, Environmental and Social (F. Figge et al 2002. In the origin Balance Scorecard (BSC), the company just displays their economic strategies, therefore, to create the Sustainability Balance Scorecard (SBSC), there should add two more aspects: Environmental and Social. The SBSC will help the company to implement their strategy with the sustainable development. In SBSC, the objectives from each …show more content…
It means that the social and environmental aspects will be added up to the four core perspective of BSC. Besides, the new measures are incorporated into four perspectives of the BSC, which will offer the ability for the measures to be perceived along with the perspective in the daily processes. Therefore, if the firm aleady has a BSC and would like to develop this scorecard to display additionally the sustainability practices, the first appoach is fairly fit that development orientation with the deep focus on the integration of sustainability aspects into their business actitivities (Butler, Henderson and Raiborn 2011).
The second approach is adding the new non-market perspective into the BSC. In detail, in this approach, another perspective called non-market perspective will be added to the BSC for the full integration of the social and environmental aspects. The factors from the non-market perspective have direct or indirect influences in all four other perspectives (F. Figge et al 2002). This approach to help the company to enhance the status of sustainability for the company, however, it does not emphasize the importance of sustainability in corporate management (Butler, Henderson and Raiborn