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Date: 2025-04-04 Page is: DBtxt001.php txt00003679

For more on this contact Peter Burgess ... peterbnyc@gmail.com
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http://www.truevaluemetrics.org

How Green? How Sustainable?

At the core, the purpose of a 'Green' business or a 'Sustainable' business is to be profitable and to do the least damage to people and planet while making profit. There are long established systems for money profit accounting and reporting, but the metrics for performance relative to planet and profit are only now emerging.

There are two issues to be addressed by a system of performance metrics:

  • Performance as it affects the implementing organization; and
  • Performance as it affects people and planet (or place).
The performance of a business organization is mainly measured by its money profit and the money profit return on investment. This is based on accounting for revenue and costs to determine a money profit. With TrueValueMetrics (TVM) the business organization also accounts for value flows ... value creation and value consumption that determine social valuadd.

Performance as it affects people and planet (or place) is little about money, but very much about the value flows ... which in turn have impact on quality of life and the state of the planet. TVM Value Accountancy is a system that brings value flows into account for the place starting with the resources in the place and the economic activities in the place.

TVM has some of the characteristics of the UN System of National Accounts, but applied at the microlevel for economic activity and in more summary form for the community.


The text being discussed is available at
http://www.truevaluemetrics.org
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