Social accounting and audit

This article contains content that is written like an advertisement. Please help improve it by removing promotional content and inappropriate external links, and by adding encyclopedic content written from a neutral point of view. (October 2013) (Learn how and when to remove this message)

"Social auditing"

Social Accounting and audit is a comprehensive triple bottom line planning and measurement method.^[1]

Social accounting and audit uses quantitative analysis of planned and actual measurement, ratio analysis for comparing trends over time, and qualitative analysis of constant comparison using ‘coding’ and ‘categorizing’ so that responses can be made and measured.

Social accounting and audit is an internal organizational system that is managed by the organization and moderated by an external independent evaluator. The social accounting and auditing system includes the triple bottom line of:

1. Commercial and financial – quantitative measurement is by regular data entry that is compared to quarterly and annual planned targets – a planned and actual method. Financial ratios are used to compare trends over time within the organization and comparisons with sector standards.
2. Social and community – measures internal and external none commercial planned objectives and operational methods through planned and actual accounting and through qualitative questions sets.
3. Environmental and society – measure the commercial and none commercial performance of an organization's use of energy, waste and waste disposal, physical resources, and transport and communication methods.

Social accounting and audit achieves its form of measurement by using the actual values of the items and processes that are measured as the form of measurement; instead of converting social and environmental benefits and responsibility into financial values.^[2]

The Financial audit provides information relevant to shareholders, while social accounting and audit provide information relevant to society.