Critically evaluate the management of sustainability at Barclays Essay

Critically evaluate the management of sustainability at Barclays through the triple bottom line, and critically comment on the c - Essay Example The banking industry should be responsible for proper risk management, upholding business ethics and investor protection. However, their contribution to the society and environment by way of Corporate Social Responsibility (CSR) is important for a sustainable growth and development in the long run. Organizational culture and management According to Yeung (2011, p. 112) the bankers shall establish positive organizational culture and socially responsible mindset in the organization and demonstrate accountability and creditability by reducing risks and enhancing quality of service to customers and community through effective and efficient internal audit. Therefore, the bankers’ primary responsibilities of accountability and creditability are very important. The Salz Review is an independent review of certain Barclays’ processes, business practices and culture.   Anthony Salz who headed the Salz Review Team observed â€Å"Despite its turbulent recent history, Barclays ha s emerged from the financial crisis, somewhat against the odds, as one of the world’s leading banks. But this has been achieved at a cost. Significant failings developed in the organisation as it grew. The absence of a common purpose or common set of values has led to conduct problems, reputational damage and a loss of public trust† (Salz Review, 2013) During the period of financial crises there has been â€Å"disproportionate sharing of risk between employees and shareholders became apparent† (Salz Review, 2013, p. 163). The report has also highlighted absence of values, cultural inconsistencies, insufficiency of strong controls, focus on financial performance, but lack of focus on development of its people that led to conduct problems, breach of regulations, investigations, litigations and loss of public trust. Also, the report suggests that Barclays has to re-establish its purpose and values with customer focussed culture by reassessing its governance and risk management. The report concludes that it will need perseverance and consistency at all levels of leadership. (Ibid, p. 164) In response to this review report Barclays (2013b, p. 1) clearly stated â€Å"The Board is committed to implementing all of the recommendations and to publishing an account of our progress in doing so going forward† It should also be remembered that the review has appreciated many other positive aspects and stated that the problems faced by Barclays are also industry problems in some ways though Barclays is cautioned about taking comfort from this. Sustainable management and Social accounting Non-financial accounting and reporting developed over years have been founded on the principles of corporate accountability. The society provides capital, resources and patronage for the growth and development of the companies. Therefore, social and economic sustainability are fundamental for the stability and growth of the commercial organizations. Sustainability accounting seeks to quantify the effects of the contributions made by the companies by way of corporate social responsibility. Barclays published 2011 Citizenship Report, its environmental and social performance for the 12th year on 26 April 2012 (Barclaysa, 2013a). The highlights include ?63.5m invested in communities, 73,000 employees involved in fundraising activities and four per cent reduction in C02 emissions, achieved ahead of our 2013 target date. Corporate Social Responsibility forms the basis for sustainable managem