One of the most profound strategies that have been adopted by social conscious corporations is the triple bottom line a.k.a TBL accounting framework that covers the social (people), environmental (planet) and economic (profit) Some also call it the PPP framework. This article is written from a perspective beyond the accounting standard. In fact, it discusses very little of the accounting standards of the TBL process. The article and its arguments are based on social awareness that the business world can and must engage to deliver the commitments to make the planet a better place for all its peoples, societies and communities. 
What does this mean to the global business fraternity? Let’s look at the 3 Ps and address them individually to get a better understanding of the triple bottom-line process from a socially conscious perspective. When organizations believe and want to practise the 3P’s, they have some fundamental obligations ahead of them. primarily, what is expected of the triple bottom-line process is for organizations to be transparent, accountable, responsible and to be respectful in their businesses and in their actions.
Social equity
This is the principle in the TBL process that belongs to the multiple stakeholders or People that the business deals with directly and indirectly. As businesses deal with many people, its focus must be on its employees who drive the business forward, its customers who make sure profits are accrued to the business and its suppliers and the supply chain that makes the products and services of the business. This tripartite structure in most businesses forms the first “P”, that People are of its primary importance in the triple bottom-line process. I use the word stakeholders as opposed to the old paradigm thought that shareholders come first in the growth and journey of a business enterprise. Shareholders are confined to those who share profits of the organization in many ways such as dividends. The social equity of stakeholders takes a more holistic view of the engagement of people beyond shareholders and shareholder value in the enterprise.
"The most affected sectors by way of livelihood in many nations including Sri Lanka are the agriculture and fishery industries"
The holistic and inclusive nature in engaging with people in an equitable way is to look at the human capital of the enterprise with utmost respect and responsibility. In the TBL process companies or enterprises don’t want to jeopardize their businesses with the wrong business motives such as its supply chain employing under-aged persons or child labour or using modern slavery and exploitative methods to get work done. Many years ago, the Sri Lanka apparel industry launched a campaign titled “Garments without Guilt”. There have been similar campaigns elsewhere.
There are other aspects of the TBL in that its People pillar requires a brief explanation. One such thing is fair trading. Enterprises whose supply chain has a direct, indirect or outsourced supply, materials and even personnel, the enterprise has an obligation to ensure that its trading policies are very fair to the entire supply chain in both the input and output of its products and services. Enterprises that are conscious of this factor will go to the extent of creating ethical trading policies to its wider business constituencies.
Nature equity
Our lives and businesses are all aligned to nature or the planet we serve and live in. It is commonsense that if we don’t protect the planet or the environment, we will only continue the destruction at the cost of unplanned development and greed for profit.
Already, there is colossal waste that is washed away and absorbed in to the environment and the planet is in very serious peril. If, products we manufacture contaminate the water and the air we breathe, we are not doing justice to the planet and to lives. We must realise that it is not only the unwillingness of political rulers and ill-conceived environmental policies that are responsible for the destructions of the planet. Large corporations are equally to take responsibility.
Almost all countries face some form of climate related destruction. In Sri Lanka we are faced with floods, drought, sea erosion, and landslides. These destructions recur every year at greater intensity. Every year there is loss of life. The most affected sectors by way of livelihood is the agriculture and fisheries sectors.
"TBL does not engage employing under-aged persons, child labour or modern slavery to get their work done"
In dealing with the TBL process, the Planet is the second important pillar that enterprises must maintain an acceptable ecological footprint or the carbon footprint in their businesses and fulfil their eco capital in the TBL process. In fact, the time is now for entities to commit to a carbon footprint and practise it with diligence and improve on it every year. We must be mindful that enterprises that harm the ecosystem for profit are also harming the very lives of people who are their consumers. It is an extremely short-lived strategy.
The new global community is very active and mindful and have formed groups and communication channels and blogs through digital social media space in spreading the good news and the bad news alike. This has led to instant 24x7 activism in the global media in a rapidly evolving inter and intra connected world. Companies and their brands can be exposed to a large global constituency in an instant. Global brands, companies and enterprises must be mindful of this.
Economic equity
All businesses and enterprises for their continuation in the geographies they function will rely on profits for their sustenance and growth. In the traditional sense profits were linked to shareholder value and dividends. The planet or the environment was of secondary importance. Organizations have had ethical standards mostly in accounting practices and to some extent in their manufacturing policies. These practices and policies have changed as markets have expanded, consumers have evolved to embrace brands, product and service categories differently, the media landscape has changed dramatically, and competition has reached a new level. In this backdrop enterprises have either fine-tuned their industry policies and strategies to meet the new wave or are continuing to rely on the old paradigm. Either way, we have witnessed destruction of humanity and the destruction of standards for the sake of profits.
The good news is that there is a global community emerging that is not only watching but acting against those who are responsible for the many forms of destruction in global business. There is a global community of activists that are telling corporate and businesses where they go wrong. The global community has formed strong lobby groups to bring new change to the world with intentions of making it a better place for humanity.
"Enterprises that harm the ecosystem for profit are also harming the very lives of people who are their consumers"
Consumer forces are beginning to realise and question brands and services beyond the customer service and brand experience. They want to know the DNA of the brand. More customers are willing to drop brands if their makeup is questionable and have violated certain fundamental principles and that have affected the social and natural equities or people and the planet.
We hear stories coming out of the cotton industry, the Palmolive industry, the cocoa industry, the mining industry, apparel industry, the petroleum industry, the pharmaceutical industry, the processed food industry, agro-chemical industry, bottled water industry, food industry etc where ethical practices are violated either through the supply chain or the product not living up to universal standards or the people working for these industries directly or indirectly being not given decent working rights and living wages. Stakeholders that include customers are demanding that corporate and business entities embrace transparency and accountability in their business offerings to the world.
Concluding thoughts
The time is now for organizations to visit or revisit their corporate vision, mission, goals and objectives and the strategic plans on the lines of the TBL process with a lens on social awareness and what it means to people, the planet and profits.
It must not use the social capital framework as a disguise to cover the ills of the corporate entity concerned. Sometimes we see corporate social responsibility programs designed to cover up the ills of the corporate entity. These bogus strategies can be smelled from a mile away.
It means being responsible and accountable for your business to be run on ethical grounds including complying with tax regimes. It means that believing that profit at any cost is not and should not be the only thing. It means that people who come together to make and nurture a business throughout the entire supply chain are part of the company landscape that must be recognised beyond wages alone.
Companies must remove themselves from the belief that employment especially to the lower ranks is a favour to such cadre. Supporting their workers to reach their economic fundamentals is one thing. It must not be done at the cost of not recognizing and respecting the social fundamentals of the worker.
My parting comment is that every business deals with people. We have choices. Either we choose to profit at any cost or choose to take a more humane approach to the business. Profits must remain a goal in any entity. It is how one approaches to make profits is what matters. The humane approach of understanding people is without a doubt a smart way to address business.
