Final answer:
A social audit is a formal review of an organization's social and environmental policies and procedures. It assesses whether the organization is adhering to social and environmental standards and identifies areas for improvement.
Step-by-step explanation:
A social audit is a formal review of an organization's social and environmental policies and procedures. It assesses whether the organization is adhering to social and environmental standards and identifies areas for improvement. The audit evaluates factors such as the organization's impact on the community, its treatment of employees, and its environmental practices.
For example, a social audit may examine whether a company is practicing fair labor standards in its supply chain, or if it has implemented sustainability initiatives to reduce its carbon footprint.
By conducting a social audit, organizations can demonstrate their commitment to corporate social responsibility and make informed decisions to improve their social and environmental impact.