Pauline Rodberg prized at the Hera Awards 2022

The HERA Awards for Future Generations are prizes awarded by the “Fondation pour les Générations Futures” that reward outstanding master and PhD thesis.

Pauline Rodberg received the HERA Award Sustainable & Responsible Finance for the 10th edition of the awards. The event will be held from April 19 to May 10, and consists of 6 webinars presented by the award-winners from April 19 to May 6 and a ceremony on May 10 at 6pm. Pauline's webinar will be given on April 26 and is titled “Les comptables en entreprise, acteur·rice·s insoupçonné·e·s de la transition sociale et environnementale”, you can sign up to attend here.

We asked Pauline a few questions following the news of her award

What was the topic of your Master thesis?

The topic of my master thesis was to highlight the obstacles to the implementation of the multi-capital CARE (Comprehensive Accounting in Respect of Ecology) in corporate accounting. The CARE model is an accounting model that includes social and environmental issues of companies in their balance sheet. In practice, it includes human and natural considerations in financial statements by using traditional financial accounting principles such as the depreciation principle.

CARE is a strong sustainability mode because it is not possible to compensate for the degradation of one capital by improving another. Therefore, the three essential capitals for the life of an economic activity (human, environmental and financial) are on an equal footing. This means that human and natural capital are preserved in the same way as financial capital.

However, if this accounting model is so perfect, how come companies have not already implemented it? In fact, there are several obstacles that prevent companies from implementing it. This master thesis has identified thirty-three in particular. For example, it goes without saying that time, money and understanding the model are the main obstacles to its implementation. In addition, some companies seem to be afraid of the results that CARE might reveal.

The objective of this thesis was therefore to confront the CARE methodology with the reality of companies. In this way, the lessons learned can be used to validate or invalidate some of the foundations of CARE, and to develop the CARE methodology so that it conforms as closely as possible to the reality of companies.

Why the interest in this topic and in sustainability?

In my master's degree in Corporate Sustainable Responsibilities, we studied many management disciplines from a sustainability perspective. However, the only discipline I didn't really find was accounting. We did, of course, have the opportunity to discuss non-financial reporting but nothing was presented for financial statements within them. Therefore, for my master thesis, I wanted to know more about "accounting" in relation to "sustainability". This is how I discovered the CARE model. Of course, this thought of how to link the discipline of accounting with sustainability came from the fact that I have always enjoyed studying both disciplines.

In addition, I have a pronounced interest in accounting because I am strongly convinced that accounting can be a powerful tool to green our economy. Indeed, since every company has to comply with accounting rules, enforcing green accounting rules has thus the potential to be game changer towards more sustainable companies and by extension a more sustainable economy.

What was your reaction when you heard that you would receive the HERA Award in Sustainable & Responsible Finance?

I was really surprised. Indeed, I applied for this award based on the recommendations of my promoter, Karine Cerrada and a former PhD student, Amélie Anciaux. So, I would never have done it without being encouraged to do so. For me, winning a prize in finance when my thesis was on accounting was not really an option. I was, therefore, very happy to hear that I had won this prize, but I was especially surprised to learn that the jury had awarded a prize to a student who had been working in the field of accounting.

What’s next?

In the future, I intend to continue working with the CARE accounting model. That is why I pursue a PhD in "environmental accounting" and I am now a member of the Circle of Environmental and Social Accountants (CERCES). Thanks to these two experiences and the HERA Awards, I hope to be able to contribute, in my small way, to the development of environmental accounting.

If you want to know more about the HERA Awards or assist to the webinars and/or ceremony, you can check out the HERA Website

Watch Pauline's Webinar here :