Sustainability Accounting Auditing & Accountability Journal

Question: Discuss about theSustainability Accountingfor Auditing Accountability Journal. Answer: Introduction Sustainability accounting and reporting has an important role transform practices of business. Integrated reporting integrates financial information with social as well as environmental issues. Sustainability reporting extends accountability of an organization to its external stakeholders. It also improves reputation and helps the stakeholders to gain confidence. On the other hand, carbon accounting is subset of making sustainability accounting that focuses on the management as well as reporting of emission of carbon. Adams (2002) stated that increasing concentration on climate change leads to the growth of carbon accounting as corporate tool. It incorporates with the considerations of climate change into mainstream practices of business. International Integrated Reporting Committee has developed integrated reporting framework that provide outline of the framework. It includes overview of business model of the organization, operating context that includes risks and scopes of the busi ness, strategic objectives, governance as well as remuneration and performance with future look. The concept of sustainability accounting as well as reporting is important component in response of a corporation in terms of issues of sustainability. Issues related to climate change and social and environmental issues in broader aspects require integrating into the process of business as well as systems (Ascui, 2014). As a result, pillars of sustainable development like social, economic and environmental are identified. However, several challenges are faced in sustainability accounting that requires engaging research in academics. Therefore, in order to overcome the challenges, it is required to concentrate on the environmental, social as well as economic responsibilities and profitability as a measure of success in the business. References Adams, C.A., 2002. Internal organisational factors influencing corporate social and ethical reporting: Beyond current theorising.Accounting, Auditing Accountability Journal,15(2), pp.223-250. Ascui, F., 2014. A review of carbon accounting in the social and environmental accounting literature: what can it contribute to the debate?.Social and Environmental Accountability Journal,34(1), pp.6-28.