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Land Rover Sustainability Accounting and Accountability Analysis - Essay Example

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Land Rover Sustainability Accounting and Accountability Analysis

Sustainable development aims to fulfill the present needs without harming the possibility of not fulfilling the future ones. In today’s era, where companies give sole importance to economic growth the concept of sustainable growth becomes all the more important. As globalization continues to spread there is a steep rise in the ways through which companies and individuals can increase their profits. But the newly created opportunities are not evenly spread over the social strata. So there is always a dynamic instability which is making the environment volatile to some extent. Increase in technical knowledge has attributed to financial development, but it also has the ability to reduce the risks which threatens to harm the social and environmental sustainability .So sustainable development’s key feature encapsulates its promotion of out of the box thinking and selection of innovative choices. There is a need for transparency regarding a company’s economic, social and environmental impact and gradually this aspect has become an integral part of its relations with its stakeholders. Stakeholders expect a company to communicate to them the true picture of the company’s sustainability. This naturally led to the requirement of a globally recognized framework of rules, concepts and regulations. As a result the Global Reporting Initiative created the Guidelines for Sustainability Reporting. With the formation of the guidelines a transparency was achieved in the reports involving the sustainability of the company. These reports generated a lot of interest amongst the motley crew of stakeholders (Global Reporting, 2011). Sustainability reports disclose results that have happened in the reporting period. These reports are mainly used for: 1. Assessment of the sustainability performance of the company in accordance with the laws, performance standards and norms. 2. The extent to which the company influences and gets influenced by its surroundings. 3. To perform an intra and intercompany comparison over a period. Guidelines for Sustainability Reporting The reporting framework developed by GRI can be used by any company irrespective of its location, sector and size. The reporting guidelines ensure that the reports produced by the companies are up to the mark. These guidelines include: 1. Reporting Principles 2. Guidance 3. Standard disclosures. All the three elements are given equal weight age and importance. Reporting principles explain the results a report should able to convey, the selection and methods of reporting, along with the indicators and topics which will be included in the report. Each principle consists of definitions and a number of tests which help the company to decide the principles which it intends to use. The reporting guidance explains the actions that a company can take during the decision making process, and also helps in selecting the topics that will be included ...Show more
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Summary

Land Rover Sustainability Accounting and Accountability Analysis   Table of content Similarity between Land Rover Sustainability Accounting Report and GRI’s Sustainability guidelines G3 (GRI 2006) 3 Guidelines for Sustainability Reporting 4 Sustainability report of Land Rover 6 Comparison between sustainability report and academic literature 7 The level of assurance of the sustainability report and the extent to which it agrees with Gray’s (2010) statement 9 References 14 Similarity between Land Rover Sustainability Accounting Report and GRI’s Sustainability guidelines G3 (GRI 2006) Sustainability report is a record of the impact that a company has on its surroundings…
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