The phrase “the triple bottom line” was first coined in 1994 by John Elkington, the founder of a British consultancy called Sustainability. His argument was that companies should be preparing three different (and quite separate) bottom lines.
The triple bottom line (TBL) thus consists of three Ps: Profit, People and Planet.
The first is the traditional measure of corporate profit—the “bottom line” of the profit and loss account.
The second is the bottom line of a company’s “people account”—a measure in some shape or form of how socially responsible an organisation has been throughout its operations – for example how well it looks after its staff and the people within the local community.
The third is the bottom line of the company’s “planet” account—a measure of how environmentally responsible it has been.
The aim of the triple bottom line is to measure the financial, social and environmental performance of the corporation over a period of time. Only a company that produces a TBL is taking account of the full cost involved in doing business.
IWFM (BIFM) Qualifications
This article relates to the following IWFM (BIFM) Qualification Units:
- IWFM (BIFM) Level 3 in Facilities Management
- FM3.02 CSR and Sustainability in Facilities Management
- FM3.07 Budget Management of Facilities Management Operations
- IWFM (BIFM) Level 4 in Facilities Management
- FM4.01 Overview of Facilities Management
- FM4.19 Sustainability and Environmental Issues and their impact on Facilities Management
- IWFM (BIFM) Level 5 in Facilities Management
- FM5.01 Facilities Management Developments and Trends
- FM5.05 Financial Management in Facilities Management
- IWFM (BIFM) Level 6 in Facilities Management
- FM6.02 Facilities Management Governance and Risk
- FM6.04 Financial Management in Facilities Management
- FM6.11 Corporate Responsibility and Sustainable Facilities Management