Apples to Apples Accounting Bounty

This is a companion discussion topic for the original entry at

ChatGPT’s take:

As of my last knowledge update in September 2021, there were indeed initiatives to reformulate the rules of accounting to address externalities and incentivize businesses beyond traditional profit motives. Over the years, the concept of “sustainability accounting” or “triple-bottom-line accounting” has gained traction, which aims to integrate social, environmental, and economic factors into accounting practices.

Some of the key initiatives and frameworks that were being explored or implemented include:

  1. Environmental, Social, and Governance (ESG) Reporting: ESG reporting involves disclosing a company’s performance on environmental, social, and governance factors, such as carbon emissions, employee well-being, diversity, and ethical business practices. These reports aim to provide stakeholders with a more comprehensive understanding of a company’s impact beyond just financial metrics.
  2. Integrated Reporting: Integrated reporting is an approach that seeks to combine financial and non-financial information into a single, cohesive report. By including information about environmental and social impacts alongside financial performance, this method aims to provide a more holistic view of a company’s value and its ability to create sustainable outcomes.
  3. Sustainability Accounting Standards Board (SASB): The SASB has developed industry-specific standards to help companies disclose material sustainability-related information to investors. These standards cover a wide range of topics, including greenhouse gas emissions, labor practices, and community impact.
  4. Global Reporting Initiative (GRI): GRI offers guidelines for companies to report on their sustainability performance. The framework provides a structured way for businesses to disclose their environmental, social, and economic impacts, promoting transparency and accountability.
  5. Social Return on Investment (SROI): SROI is a methodology used to measure and communicate the social and environmental value created by an organization. It attempts to quantify and monetize social impact alongside financial performance.
  6. B Corp Certification: B Corporations are businesses that meet rigorous standards of social and environmental performance, accountability, and transparency. This certification demonstrates a commitment to consider the interests of all stakeholders, not just shareholders.
  7. The International Integrated Reporting Council (IIRC): The IIRC is a global coalition that promotes integrated reporting, encouraging businesses to consider and communicate the relationship between their financial performance and the broader social and environmental context.