Peter Bakker's Article 'Accountants Will Save The World'

The casual claim of Peter Bakker’s article Accountants Will Save the World is that accountants should change the accounting rules, and then lead the companies pay more attention on social benefit. There are some merits in this article. First of all, Bakker provides an example about it’s hard to tell the shareholders what they are benefited from helping WFP, because it’s the gain of social capital, not financial capital (Bakker, 2013). Thus, he thinks telling people how a company makes money by reporting the social capital and natural capital is significant for restoring societies’ trust and the radical transformation (Bakker, 2013). In my opinion, not only the financial performance, but also the non financial performance is magnitude for companies. …show more content…
In my opinion, the casual claim is valid because the balanced scorecard suggests four comprehensive perspectives for measuring companies. First, the customer perspective helps to explain the relationship between companies and customers base on the measurement of time, quality, performance and service, and cost to customers. Second, the internal business perspective indicates the efficiency of cycle time, quality, employee skills and productive in companies. Third, the innovation and learning perspective is about the innovation of products, technologies and manufacturing, and the improvement in customer satisfaction and internal business processes within companies. Fourth, the financial perspective shows cash flow, which helps to analyze companies through economic aspect (Kaplan & Norton, p.73-79). I think the balanced scorecard not only helps companies to improve their performances in other aspects, and also enhances their competitive advantages, which could lead them to