Sustainable business has minimal negative impact on the local or global environment, society or economy. These businesses often have progressive human and environmental right polices. The aim of sustainable businesses is to preserve the environment and conserve resources.
The Triple Bottom Line
The Triple Bottom Line is a concept that broadens the business focus from financial consideration to environmental and social considerations. A TBL measures business’s degree of economic value, social responsibility and environmental impact of its business activities.
The Five Capitals
There are in total five types of sustainable capital from where the businesses derive services and goods that are needed for the improvement of quality of life. These capitals are natural capital, human capital, social capital, manufactured and financial capital. It is the responsibility of every organization or the business to manage these capital assets accordingly.
Natural capitalism is a path to sustainability that defines the principles enabling businesses to behave with their responsibility towards people and nature. This helps the companies to gain competitive advantage and increase their profits.
Cradle to Cradle
Cradle to cradle is defined as the new approach to design systems and products viewing materials as safe and healthy. This approach in a broader sense is not only applied to manufacturing or industrial design, also, it could be applied to the aspects of human civilization such as building, social systems and urban environments.
The Circular Economy
A circular economy is an approach in which the resources in use are kept as long as possible by extracting maximum value out of them and then recovering and regenerating materials and products at the end of each service.
The Balanced Scorecard
The balance scorecard helps in reporting the casual relation between the environmental, economic and social performance of the business. This tool is increasingly being used by the companies to promote, and measure profit from sustainable development.
Choice of business and two approaches
For different businesses in construction, automotive and food sector, different approaches could be used to evaluate the business in terms of its environmental impact. For example, for the construction business, Triple Bottom Line and the Balanced Scorecard could be used for evaluating the business’s sustainability performance. These strategies are useful in evaluating the environmental impact of constructing buildings. Thus, the main responsibility of construction business defined by these strategies include making use of cost-effective design while integrating efficient use of natural resources.
Comparison of approaches
Different approaches chosen for the evaluation of performance of a particular business could be compared. For instance, the able chosen two approaches that is The Triple Bottom Line and The Balanced Scorecard could be compared in terms of how well they help in managing clean growth in the construction business.