ABSTRACT
Systems that measure performance and encourage employees to pursue sustainability are necessary to improve social, environmental, and economic impacts, to communicate the value of sustainability to the organization, and to hold employees accountable for their contribution to the sustainability strategy. This chapter discusses some of the systems that encourage performance and aid in performance measurement: corporate, strategic business unit, functional, facility, and individual measurement and evaluations; and compensation, incentive, and reward systems. They also include internal waste taxes; emissions trading; and strategic management systems, such as the balanced scorecard, shareholder value analysis, or other dashboards and performance measurement systems. The social, environmental, and economic performance of the entire corporation, individuals, facilities, and business units is an integral part of performance measurement and evaluation systems. The corporate-level measurement system sets the organization up for brainstorming complementary sets of measures down through the organization. Managers should cascade measures down through the hierarchy.
