The Triple Bottom Line

	"During the first ten years we've been discussing direction. Now is the time to implement that direction into business and societal mechanisms." -Toshio Arima, Fuji Xerox Co., Ltd.

In 1953, the author of "Social Responsibility of Businessmen," H. Bowen, first coined the phrase Corporate Social Responsibility (CSR) which is defined as the integration of social and environmental concerns into corporate strategies.

John Elkington, author of the 1998 book "Cannibals with Forks: The Triple Bottom Line of 21st Century Business," has been attributed to being the first to define Triple Bottom Line Theory. While continuing to measure profit, Triple Bottom Line Reporting also measures the organization's impact and sustainability on people and on planet both locally and globally. This theory is founded on businesses' responsibility towards stewardship in the environment, society and the economy or more commonly referred to as people, planet and profit. Triple Bottom Line Reporting and CSR Reporting are often used interchangeably.

PEOPLE

The first key element in CSR and the triple bottom line is the stakeholder or the people which includes shareholders. Stakeholders include employees, management, board members, the community, customers, suppliers, business associates and anyone else that has a touch point or is affected by the business.

In respect to people, the triple bottom line principles do not exploit or endanger any group associated with the business and provide provisions for giving back to the community and the environment.

PLANET

The second element refers to a company's sustainable environmental practice endeavors.

PROFIT

Lastly, profit is the economic value the company has on the people and the planet and can be computed as the reduction of the company's carbon footprint.