ABSTRACT
Environmental reporting is the public disclosure of a company’s environmental impacts and performance, and has increased significantly in recent years. This growth reflects a shift in corporate culture, which recognises the benefits and necessities of adopting a more accountable approach to the way in which companies operate. Being open in providing reliable information on environmental performance for target setting and communication purposes is also accepted as good business sense. A growing number of organisations now publish information about their environmental performance: from carbon dioxide emissions and paper consumption to staff training and partnerships with local community groups. This trend can be attributed to a growing acceptance that companies do not operate in isolation – responsible only to their shareholders – but under a license to operate’ granted by a much wider range of interested stakeholders.
‘Virtuous but uncompetitive companies will not be part of ourfuture. Socially or environmentally destructive companies must not be part of our future. The challenge is to create the conditions where social and environmental benefits go hand in hand with competitive advantage/ Making Values Count (ACCA, 1998)
This chapter explains how to take the first steps towards monitoring and reporting your environmental performance. The business case for environmental reporting is discussed, followed by a general assessment of reporting practice in the UK, Europe and internationally. This chapter tells you what to report on, how, and who to report to. The issue of verification and giving credibility to your data is then discussed, and the chapter concludes with advice on how companies can maximise their returns and make the most out of their reporting efforts. Specific guidance is given for small companies, and priority is assigned to those steps which will be of most benefit to the company.