In a first for the industry, Ambuja Cement has adopted the triple bottom-line accounting method — encompassing people, planet, and profit — to achieve its objective of becoming the most competitive and sustainable company. It has helped the company to identify a portfolio of cost-effective projects, reduce costs, increase earnings and most importantly, increase its True Value. It has helped the company zero-in on cost-effective projects that benefit local communities and the environment, and provide positive data about the value it creates. Ambuja Cement believes its True Value approach can bring about a paradigm shift in the way Indian and global companies, especially in the cement sector, operate their businesses. The company hopes to standardise the True Value processes by working with the World Business Council for Sustainable Development and other platforms. Understand how the key elements of a company's social and environmental impact the company's future.
The triple bottom line TBL is a framework or theory that recommends that companies commit to focus on social and environmental concerns just as they do on profits. The TBL posits that instead of one bottom line, there should be three: profit, people, and the planet. A TBL seeks to gauge a corporation's level of commitment to corporate social responsibility and its impact on the environment over time. In , John Elkington—the famed British management consultant and sustainability guru—coined the phrase "triple bottom line" as his way of measuring performance in corporate America.
Key Performance Indicators for Sustainable Manufacturing Evaluation in Cement Industry
The triple bottom line or otherwise noted as TBL or 3BL is an accounting framework with three parts: social, environmental or ecological and financial. Some organizations have adopted the TBL framework to evaluate their performance in a broader perspective to create greater business value. In traditional business accounting and common usage, the " bottom line " refers to either the "profit" or "loss", which is usually recorded at the very bottom line on a statement of revenue and expenses. Over the last 50 years, environmentalists and social justice advocates have struggled to bring a broader definition of bottom line into public consciousness by introducing full cost accounting.