The social concerns were facilitating employee training and education flexi

The social concerns were facilitating employee

This preview shows page 5 - 7 out of 15 pages.

systems and reporting, recycling programs and waste and resource management. The social concerns were facilitating employee training and education, flexi-time, stress management, community projects, and charity work. They found that, although SMEs had relatively fair social
Image of page 5
International Journal of Management and Sustainability, 2013, 2(12):193-207 198 concerns particularly towards the employees and the communities, most did not have formal environmentally-friendly reports. In another study, Borga et al. (2009) developed sustainability reporting guidelines for SMEs, which they claimed were “simpler and clearer” than Global Reporting Initiatives (GRI) and Company Environmental Reports (CERs) that are commonly adopted by big business such as Coca Cola. Borga et al. (2009) also contended that a lack of sustainability reporting guidelines was one of the main barriers for SMEs applying sustainability. The guidelines represent essential interaction and communication mediums for SMEs and were formulated from literature and case studies on Italian SMEs. The result was a detailed reporting on elements of company identity, economic impact, social impact, and natural environmental impact. Economic impact covered economic performance indicators, such as shareholders’ equity and profit/loss. Social im pact contained indicators identifying relationships between business and employees, customers, suppliers, local communities, public authorities, and other stakeholders; whereas natural impact identified environmental policy, raw material, energy, water consumption, air emission and noise level, waste management, and environmental impact of products. However, the studies of Borga et al. (2009) and Lawrence et al. (2006) did not sufficiently explore the theories underlying the item guidelines developed by Hart and Milstein (2003) . In addition, neither mentioned operational measurements towards the commitment of future interest such as the use of renewable raw material and/or energy. Hubbard (2009) adopted the sustainable value framework of Hart and Milstein (2003) and extended it with ideas from the balance scorecard and stakeholders theory to construct a sustainable balanced scorecard framework and organizational performance index. He included as the elements: customers, social performance, natural environmental performance, finance, internal process, and learning and development performance. He applied several important economic issues to the social element; for example, he chose market share, the number of new customers, and the order cycle time as social dimensions to sustainability, rat her than customer satisfaction, level of customers’ involvement, and privacy protection of customers’ data. But, he applied a single measure for each element. For instance, employee satisfaction was the only criteria to measure employees fulfillment, which has potential to be split into several measurements, such as employee benefits, training, labor turnover, and equality of treatment, as proposed by Borga et al. (2009) and Lawrence et al. (2006) .
Image of page 6
Image of page 7

You've reached the end of your free preview.

Want to read all 15 pages?

  • Spring '16
  • zaragza
  • Business, Management

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture

  • Left Quote Icon

    Student Picture