This assessment requires students to research, analyse and discuss accounting for corporate social responsibility and sustainability accounting. The purpose of the assessment is to develop a student’s...

Corporate Social Responsibility and Sustainability Accounting
The topic ‘Corporate Social Responsibility and Sustainability Accounting’ signifies the inclusion of information about the impact of company’s activities on society and environment. It has developed over the past few decades, though there have been very narrow developments in the past decade. It is considered as a sub category of financial accounting. The impact of a company’s activities in environmental, social and governance issues is significant over a period of time but assigning a value to these impacts is very challenging for organizations. These are important pieces of information that is desired by the shareholders to increase transparency. Financial accounting is to inform the current situation of a company’s performance. Financial transactions are probable (most likely to happen) and their cost is known. Sustainability issues are more uncertain and are difficult to assign a value to. Unlike financial transactions, they look into the future. Sustainability accounting helps companies set goals and manage change more effectively. It also helps to build trust among businesses and governments leading to a better decision making. Sustainability reporting requires identifying key metrics for performance monitoring, tracking and measurement, and communicating the same to internal and external stakeholders. Though sustainability accounting is voluntary, it is important that the companies report about their environmental, social and governance (ESG) impacts.
Major bodies providing standards for CSR and sustainability reporting are:
· GRI (Global Reporting Initiative)
· The Organisation for Economic Co-operation and Development
· The United Nations Global Compact
· The International Organization for Standardization (ISO 26000, International Standard for social responsibility)
These sustainability standards are developed after getting feedback from different stakeholders including companies, investors and other market participants. Some standards differ from industry to industry in order to make...