WBCSD’s vision for the economy is that by 2050 a business should be measured by its ‘True Value’ and should use ‘True Costs’ and ‘True Profits’ in its internal and external reporting. Profit and loss, performance and value creation, have been redefined to consider longer-term environmental and social impacts. Most importantly, prices reflect all externalities – costs and benefits.
To achieve this vision, measuring, valuing and reporting corporate performance needs to adapt to reflect integrated performance management and to facilitate informed and sustainable decision making with the aim of looking beyond short-term financial gain to the broader set of dependencies such as natural and social capitals.
In line with WBCSD’s 2050 vision, the Redefining Value programme was established to integrate natural and social capital measurement and valuation into corporate performance management and decision-making and improve the effectiveness of non-financial internal and external reporting so that it progressively reflects the true value, profits and costs of a company.