Abstract
This paper examines the process of developing key performance indicators (KPIs) for measuring sustainability performance and the way in which sustainability KPIs are used in decision-making, planning and performance management. Interviews were conducted with personnel from four British and three Australian companies. The findings indicate that the organisations are integrating environmental indicators, and increasingly also social indicators, into strategic planning, performance measurement and decision-making including risk management. However, the sustainability issues on which our sample focus and the management operations on which they impact vary considerably. This has implications for the development of practice, voluntary guidelines and legislation.
Acknowledgments
The authors are grateful for funding received from the UK Chartered Institute of Management Accountants (CIMA) and the companies who agreed to be interviewed for this project. They would also like to acknowledge comments received from Graeme Dean and Lee Parker on the initial research proposal, comments from Jane Baxter on an earlier draft of the paper and research assistant support provided by Greg Tangey.
Notes
1 Both authors have considerable experience in analysing sustainability reports and case study research experience with organisations.
2 D uses the Business in the Community Winning with Integrity model (CitationBusiness in the Community, 2000).