ACC 310 Fall 2013 – Case #1 Due Date – October 22, 2013, 1:30 pm
An introduction to the Global Reporting Initiative (GRI) and sustainability reporting The Sustainability Initiative at NC State was started through the endowed gift of Lonnie Poole. As part of the Initiative we are examining sustainability issues throughout the curriculum. For accountants one of the most important issues of sustainability is reporting information to stakeholders. Just as we are learning about financial reporting in Intermediate Financial Accounting we also want to learn about sustainability reporting.
The purpose of this case is to make you aware of sustainability reporting and sustainability reports. ...view middle of the document...
The overall learning objectives are to:
1. Obtain a company’s sustainability report.
2. Be able to read and understand the company’s sustainability report.
3. Understand the impact of various indicators often included in a sustainability report.
4. Compare and contrast the principles underlying financial reporting and sustainability reporting.
5. Better understand the contributions the accounting profession can make to sustainable business practices.
6. Demonstrate how the issues around sustainability are being addressed by companies and how working on these issues can help to mitigate risk, improve operations and/or create revenue.
Required Answer the following questions about your company’s sustainability report:
1. Why is the company producing a sustainability report?
As one of the leading companies in providing sustainable resources to the community, Weyerhaeuser has a commitment to proving its own sustainability by setting the proper goals and properly reporting its progress towards them. By developing a plan and reporting the results, Weyerhaeuser is showing its capability of providing short term results along with long term prosperity. In 2010, Weyerhaeuser implemented a plan to be fully achieved by 2020, with annual results being recording in each sustainability report.
2. How many years has the company produced a separate sustainability report? Under what guidelines is the report prepared (G1, G2, G3, or G4)? What are the major differences between these guidelines?
Weyerhaeuser has been producing a separate sustainability report since 2002 when they began to follow the recommended guidelines provided by the Global Reporting Initiative (GRI). However, their 2004 report was the first one checked by the GRI (in 2005), therefore the 2011 report is the sixth report produced using the G3 guidelines.
3. How does the company define sustainability? Is this consistent with your definition of sustainability? Why or why not?
Weyerhaeuser defines sustainability as, “focusing on the critical factors that will ensure our success, not just in the short term, but for decades to come. Sustainability should be, quite simply, the way we do business”. These critical factors are discussed below and include performance, people and planet. This definition and inclusion of the three critical areas is consistent with my definition of sustainability because it explains the company’s commitment to specific economic, environmental and social goals. I also believe the three critical areas identified by Weyerhaeuser are worthy for their nature of business and cover the criteria to be a sustainable company.
4. Who takes responsibility for the sustainability report (CEO, Board of Directors, Chief Sustainability Officer, ???). Does the company integrate sustainability into its corporate strategy and/or financial reporting?
Many individuals are responsible for the sustainability report Weyerhaeuser. These individuals...