Social accounting

This chapter presents an overview of social accounting for nonprofits, which broadens the range of information presented in conventional nonprofit accounting to include economic, social, and environmental factors. It also enables the participation of a larger group of stakeholders in its formulation. A related issue is that of multiple accountabilities, and several international accountability frameworks are highlighted. The chapter then examines in detail three real-life applications of social accounting: the Global Reporting Initiative, a Balanced Scorecard approach, and the Expanded Value Added Statement. Each approach attempts to understand the impact an organization has on their communities and the physical environment, and drive behavior consistent with mission and broad accountability.