SOCIAL ACCOUNTING

PRESNTED BY: PREETHAM.D

INTRODUCTION
Social accounting is the process of communicating the social and environmental effects of organizations' economic actions to particular interest groups within society and to society at large.

HISTORY

Social accounting as an approach began developing in the UK in the early 1970s The Public Interest Research Group established Social Audit Ltd.

Meaning

Social accounting is a way of demonstrating the extent to which an organisation is meeting its stated social or ethical goals. Social accounting is a way of identifying how well your community organisation or enterprise is achieving its aims and values, and keeping track of the impact you are having. Social accounting may be defined as identification and recording of business activities regarding social responsibility.

DEFINITION OF SOCIAL ACCOUNTING

"An approach to reporting a firms activities which stresses the need for the identification of socially relevant behavior, the determination of those to whom the company is accountable for its social performance and the development of appropriate measures and reporting techniques." -D. Crowther

PURPOSE

ACCOUNTABILITY MANAGEMENT CONTROL

SCOPE

FORMAL ACCOUNTABILITY SELF REPORTING AND THIRD PARTY AUDITS REPORTING AREAS AUDIENCE

OBJECTIVES OF SOCIAL ACCOUNTING

EFFECTIVE UTILIZATION OF NATURAL RESOURCES: HELP TO EMPLOYEES HELP TO SOCIETY HELP TO CUSTOMERS HELP TO INVESTORS

BENEFITS

Social accounting will provide you with an ongoing record of how your organization or enterprise has developed and changed over time. You will get feedback on how things are going from the range of people involved in your organization or enterprise. You will be able to identify the areas where things are working well and not so welland you can use this information to help continue what you are doing well and make improvements to change whats not working so well. You will know how well you are achieving your aims and values. You will have a record of what your organization or enterprise is doing and the sorts of impacts it is havinginformation you can use when applying for grants and funding, for reporting on grants, and for promoting what you do.

CHALLENGES

For small, member-based community organizations and enterprises the biggest challenge is finding a way to regularly carry out social accounting with no staff, no time and no budget! It is therefore important that the social accounting process be as simple as possible so that it does not impose too heavy a burden on members.

BASED ON THREE STEPS

1) Planning identification stage 2) Accounting deciding on the scope and setting up the social accounting System 3) Reporting and Auditing collecting information and submitted to an

Step 1:

Scoping

The first step is to identify three key elements of your community organization or enterprise: Values, aims and objectives Activities Stakeholders.

Step 2: Accounting

Design Collect information Characteristics

Step 3: Reporting and Responding

Relevant information Results

Applying social accounting in practice in enterprise development

To date the greatest interest in putting social accounting techniques into practice has come from large corporations (well known implementers include Shell; BP Amoco; BT; Body Shop; Co-operative Bank). For these organisations, the increase in trust that it may be possible to generate through improved accountability and transparency is more likely to outweigh the considerable cost of carrying out the exercise.

WATERLOO CO-OPERATIVE RESIDENCE INCORPORATED

Waterloo Co-operative Residence Incorporated, also known as WCRI Non-profit student housing co-operative located in Waterloo, Ontario, Canada. Elections