Corporate reporting: Selected isssues

2008 ◽  
pp. 173-193
Author(s):  
Keyword(s):  
Corporate Reporting

THE FUTURE OF CORPORATE REPORTING REFLECTIONS ON THE CRITICAL QUESTION OF THE NECESSITY OF FORWARD-THINKING PHILOSOPHY AND CULTURE OF REPORTING WORLDWIDE

2018 ◽  
Vol 28 (5) ◽  
pp. 1455-1466
Author(s):  
Hristina Oreshkova
Keyword(s):  
Financial Reporting ◽  
Biological Diversity ◽  
Radical Change ◽  
Green Economy ◽  
Critical Question ◽  
Corporate Reporting ◽  
Global Problems ◽  
The Future ◽  
Strategic Goals

Over the most recent decades corporate reporting has proved to be essential to achieving the strategic goals of humankinds and the ever-increasing necessity of truthful information and transparency. Corporate reporting is a socially significant process and practice. The quality of corporate reporting reflects the degree of relevance of the manner enterprises and businesses communicate with the surrounding world and environment (natural or industrial) and millions of people concerned – societies, present and future generations, employees, workers, and many other people, and other living beings. On most authoritative international scientific forums – symposia, conferences, congresses, assemblies, summit meetings and events, conducted in Europe and worldwide, it is pompously declared that corporate reporting should provide useful and reliable information both financial and non-financial one. The responsibilities of accountability and stewardship seem out to be of great importance to the fulfillment of the strategic goals of our centuries.The belief of the author is that the simultaneous analysis of the global problems challenging humankinds such as climate changes, destruction of biological diversity on the Planet, the matter of the necessity of actions of creating Green Ethics and Green Economy worldwide, the increasing need for combined and well-coordinated efforts in the combat supporting the eradication of poverty globally, and the relevance of corporate reporting to solving these unique problems the mankind is facing, would highlight and confirm their intricate interrelation (the key aim of the present research), consequently rendering the debate on the future of corporate reporting more meaningful and constructive. The debate would most probably promote the standpoint we personally maintain, which is also endorsed by an increasing number of supporters in Europe and around the world, implying in particular that apart from a process of unification and reduction of essential differences in the international financial reporting, what is also necessary is the radical change in the philosophy and culture of corporate reporting and presentation. Undeniably, it includes revealing of the financial state and the substantial effects and impacts of the businesses operating activities in a straightforward manner, as complete insights and understanding of the broader and far-reaching goals to which the corporate reporting must be subordinated – at present and in the long-lasting future.

EARLY AMERICAN CORPORATE REPORTING AND EUROPEAN CAPITAL MARKETS: THE CASE OF THE ILLINOIS CENTRAL RAILROAD, 1851–1861

2006 ◽  
Vol 33 (1) ◽  
pp. 3-24 ◽  
Author(s):  
Dale L. Flesher ◽  
Gary J. Previts ◽  
William D. Samson
Keyword(s):  
Social Contract ◽  
Financial Reporting ◽  
Annual Reports ◽  
Venture Capitalists ◽  
The Public ◽  
Early American ◽  
Corporate Reporting ◽  
New Development ◽  
Capital Intensive ◽  
General Community

This study of the annual reports of the Illinois Central Railroad (IC) from the 1850s supports a conclusion that the statements, as to form and content, were developed to serve the needs of two classes of investors and to inform the general community of the activities of the company. The need to report to the public as to the success of the company's role in its “social contract” to develop the state required details of a demographic nature, which were provided by the land commissioner. Operating results provided evidence of the ability to service the debts held by European investors and to inform British venture capitalists of the extent of the company's operations. This communication with the distant capital providers was a new development in financial reporting as the capital-intensive railroads experienced management and ownership separation on a scale not seen before. In summary, the IC provided annual reports more detailed and informative than those of other corporations of the period because of a need to provide European investors with evidence of management's activities.

Market Reactions to Transparency International Reports on Corporate Anti-Corruption

2016 ◽  
Vol 16 (1) ◽  
pp. 84-99 ◽  
Author(s):  
Renata Blanc ◽  
Dennis M. Patten ◽  
Manuel Castelo Branco
Keyword(s):  
Market Reaction ◽  
Market Reactions ◽  
Transparency International ◽  
Corporate Reporting ◽  
Environmental Domain ◽  
Country Level ◽  
Stakeholder Pressure ◽  
Political Cost ◽  
Time Periods ◽  
Environmental Events

ABSTRACT In this paper, we examine the investor response to the issuance of Transparency International's (TI) 2012 and 2014 Transparency in Corporate Reporting: Assessing the World's Largest Companies reports. Building on prior studies of political cost-inducing events in the environmental domain, we anticipate a negative market reaction, although we argue that the adjustment will be less severe for firms rated as having better anti-corruption disclosure. Focusing on a sample of U.S. companies to control for country-level effects and to allow for comparison with the prior environmental-themed studies, we document a significantly negative market reaction to the first TI report issuance. Although also negative, the market reaction to the 2014 report was not statistically significant. However, we also document that, as expected, market adjustments differ significantly across subgroups based on anti-corruption disclosure in both time periods. These results hold controlling for other factors potentially influencing investor perceptions of exposure to the report issuances. In general, our results are consistent with the prior studies and indicate that the market is savvy to political cost exposures arising from non-environmental events. The findings also suggest that TI's efforts may be increasing stakeholder pressure for corporate anti-corruption performance, but we caution that further investigation of the relation between disclosure and underlying performance in the corruption domain is warranted.

scholarly journals Why “Less is More” in Non-Financial Reporting Initiatives: Concrete Steps Towards Supporting Sustainability

2020 ◽  
Vol 10 (2) ◽  
Author(s):  
Georgina Tsagas ◽  
Charlotte Villiers
Keyword(s):  
Financial Reporting ◽  
Corporate Sustainability ◽  
Sustainability Reporting ◽  
Integrated Reporting ◽  
Less Is More ◽  
Csr Reporting ◽  
Corporate Reporting ◽  
Long Run ◽  
The Individual ◽  
Key Aspects

AbstractCalls are repeatedly made on corporations to respond to the challenges facing the planet from a sustainable development perspective and governments take solace in the idea that corporations' transparency on their corporate activity in relation to sustainability through voluntary reporting is adequately addressing the problem. In practice, however, reporting is failing to deliver truly sustainable results. The article considers the following questions: how does the varied reporting landscape in the field of non-financial reporting impede the objectives of fostering corporations' sustainable practices and which initiative, among the options available, may best meet the sustainability objectives after a decluttering of the landscape takes place?The article argues that the varied corporate reporting landscape constitutes a key obstacle to fostering sustainable corporate behaviour, insofar as the flexible and please all approach followed in the context of corporate sustainability reporting offers little to no real incentive to companies to behave more sustainably and ultimately pleases none in the long run. The case made is that “less is more” in non-financial reporting initiatives and hence the article calls for a revision of key aspects of the European Non-Financial Reporting Directive, which, as is argued, is more likely to achieve the furtherance of sustainable corporate behaviour. Although the different reporting requirements offer the benefits of focussing on different corporate goals and activities, targeting different audiences and allowing for a level of flexibility that respects the individual risks to sustainability associated with each industry, the end result is a landscape that lacks overall consistency and comparability of measurements and accountabilities, making accountability more, rather than less, difficult to achieve.The article acknowledges the existence of several variances relating to the notion of sustainability per se, which continues to remain a contested concept and variances between companies and industries in relation to how each is operating sustainably or unsustainably respectively. Such variances have so far inhibited the legislator from easily outlining through tailored legislation the individual risks to global sustainability in an all-encompassing manner. The end product is a chaotic system of financial reporting, CSR reporting, non-financial reporting and integrated reporting and little progress to increase comparability and credibility in order for companies to be held accountable and to behave in ways that do not harm the planet. A “clean up” of the varied initiatives in the terrain of non-financial reporting is recommended.

scholarly journals Financial Institutions’ Risk Profile and Contribution to the Sustainable Development Goals

2021 ◽  
Vol 13 (14) ◽  
pp. 7738
Author(s):  
Nicolás Gambetta ◽  
Fernando Azcárate-Llanes ◽  
Laura Sierra-García ◽  
María Antonia García-Benau
Keyword(s):  
Sustainable Development ◽  
Financial Institutions ◽  
Sustainable Development Goals ◽  
Sustainability Reporting ◽  
Risk Profile ◽  
The Sustainable Development ◽  
Corporate Reporting ◽  
2030 Agenda ◽  
Development Goals ◽  
The Impact

This study analyses the impact of Spanish financial institutions’ risk profile on their contribution to the 2030 Agenda. Financial institutions play a significant role in ensuring financial inclusion and sustainable economic growth and usually incorporate environmental and social considerations into their risk management systems. The results show that financial institutions with less capital risk, with lower management efficiency and with higher market risk usually make higher contributions to the Sustainable Development Goals (SDGs), according to their sustainability reports. The novel aspect of the present study is that it identifies the risk profile of financial institutions that incorporate sustainability into their business operations and measure the impact generated in the environment and in society. The study findings have important implications for shareholders, investors and analysts, according to the view that sustainability reporting is a vehicle that financial institutions use to express their commitment to the 2030 Agenda and to higher quality corporate reporting.

IFRS Adoption and Audit Delay: The Role of Shareholders in the Audit Committee

2018 ◽  
Vol 8 (1) ◽  
pp. 325
Author(s):  
Ishaq Ahmed Mohammed ◽  
Ayoib Che-Ahmad ◽  
Mazrah Malek
Keyword(s):  
Audit Committee ◽  
Unobserved Heterogeneity ◽  
Value Relevance ◽  
Stock Exchange ◽  
Delay Model ◽  
Corporate Reporting ◽  
Ifrs Adoption ◽  
The Difference ◽  
The Relationship

This study examined the relationship between audit delay after IFRS adoption and the role of shareholders in the audit committee as well as testing the difference of pre-and post IFRS adoption periods. A sample of 101 firms with 505 firm-year observations over five year period for firms listed on the Nigeria Stock Exchange was employed for the study, utilizing data from the annual report and accounts of the sample firms. Generalized Methods of Moment (GMM) estimation was used to check the effects of unobserved heterogeneity in audit delay model, while the test of difference in R2 value for pre-and post-adoption periods was determined using Cramer’s Z-statistics. Findings indicate that audit report lag is faster with shareholders in the audit committee. The study proved that brand named auditors such as Big4 can significantly perform faster audit task than non-Big4 firms in IFRS regime. The importance of the study’s findings demonstrates statistical inference on value relevance increase based on the unique IFRS adoption in Nigeria. Thus, regulators should consider increasing the tenure of shareholders in the audit committee to enable them to become more familiar with the corporate reporting under IFRS regime.

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