Comparative analysis of sustainable value distribution for stakeholders in the mining industry

Abstract

Abstract. The objective of this article is the analysis and comparison of the value distribution process that takes place in enterprises for stakeholders. The following coal mining enterprises are subject of this work: JSW S.A., KGHM S.A., and LW Bogdanka S.A, for which the directions of value distribution in the years 2011-2016 were presented. The article defines the main groups of the partnerships' stakeholders, such as the owners, staff, suppliers, equity providers, the country budget and the local governments' budgets. The sustainable value benchmark was defined as the benefits received by the stakeholders through the allocation of financial surplus. The value defined for the abovementioned stakeholders was assessed according to the Free Cash Flow (FCF) methodology.

Distributing Enterprise Value to Stakeholders in the Range of Sustainable Development on the Basis of the Energy Industry in Poland

“…Free cash flow to suppliers results from the incurred costs of materials, energy and outsourced services. Cash flows to municipalities and local governments and to the state stem from taxes and fees paid to them as well as income tax [57].…”

“…It seems vital to adopt a wider perspective of the conducted business activities and take into consideration all the costs of the companies' operation, thus creating a sufficiently detailed stakeholder map [58]. A too general approach to costs in this area may result in obtaining incomplete information as regards the creation of real value for interest groups [57].…”

Corporate social responsibility in complex systems based on sustainable development

“…Effectively handling the expectations of stakeholders is essential for companies and communities to have fruitful collaborations [59,107,111] since the value created by mining companies is simultaneously shared with shareholders and other stakeholders [112]. However, reaching these shared values is highly dependent on all shareholders and stakeholders and is achieved with the cooperation of all stakeholders [113]. Therefore, The development of long-term, sustainable values for stakeholders should be encouraged by all mining corporations, so as to be allowed to gain a sustainable competitive advantage for mining operations, value creation, and survival in the mining area.…”