Sustainability reporting – more global than local?

2016 ◽  
Vol 24 (4) ◽  
pp. 478-504 ◽  
Author(s):  
Sashika Abeydeera ◽  
Helen Tregidga ◽  
Kate Kearins
Keyword(s):  
Cultural Context ◽  
Corporate Sustainability ◽  
Sustainability Reporting ◽  
Content Type ◽  
Reporting Practices ◽  
Global Institutions ◽  
Award Winning ◽  
Sustainability Reports ◽  
Sustainability Practices ◽  
A Site

Purpose In recognition of the potential for Buddhism to advance sustainability, this paper aims to investigate whether Buddhism appears to be informing the sustainability practices of corporations within a particular national context. Corporate sustainability reports are used as a site of analysis. Design/methodology/approach Sixteen corporate sustainability reports from a set of sustainability award-winning corporations in Sri Lanka, a country with a strong Buddhist presence, are analysed. Evidence of Buddhist principles and values related to sustainability is sought to ascertain the extent to which Buddhism is evident in disclosures within the reports. The influence of global institutions is also considered. Findings Analysis reveals surprisingly little evidence of Buddhist principles and values in the corporate sustainability reports of these award-winning corporations. Sustainability reporting practices are revealed to be highly institutionalised by global influences, with the majority of the reports examined explicitly embracing global standardisation. The standardisation of corporate sustainability reporting through the pursuit of globally accepted reporting frameworks is argued to have caused a disconnect between Buddhism as a prevalent institutional force in the local culture and context and the corporate representations evident in such reporting. Potential consequences of this disconnect in relation to the ability for Buddhism to inform sustainability practices at the organisational level are considered. Originality/value The paper contributes to the literature on corporate sustainability reporting through considering whether local cultural context is represented within such reports and possible reasons and consequences.

scholarly journals Corporate Sustainability Practices in Polluting Industries: Evidence from India, China and USA

2020 ◽  
Vol 15 (1) ◽  
pp. 161-168
Author(s):  
Prem Sagar Mishra ◽  
◽  
Ajay Kumar ◽  
Niladri Das
Keyword(s):  
Financial Reporting ◽  
Social Performance ◽  
Corporate Sustainability ◽  
Sustainability Reporting ◽  
Legitimacy Theory ◽  
Reporting Practices ◽  
Corporate World ◽  
Financial Perspective ◽  
Sustainability Reports ◽  
Sustainability Practices

In recent years, the tilt of the corporate world towards non-financial reporting can be clearly seen from traditional accounting practices. Sustainability reporting disclosures are an important tool for providing information about the environmental and social performance of companies to their various stakeholders. From a financial perspective, for any firm, there is always a possibility of reporting more of the information that favours their interests or conceal that which is not in their favour. This study evaluates the annual and sustainability reports of 380 Indian, 400 Chinese and 400 USA companies from five highly polluting industries on the basis of GRI (global reporting initiatives) guidelines. From the result, it is inferred that the findings are consistent with the legitimacy theory. The result shows that the profitability and capital structure of firms in the sample do not affect the sustainability reporting practices significantly. In addition, larger firms have a tendency to disclose more information in their annual and sustainability reports than smaller firms.

Matter of opinion

2019 ◽  
Vol 32 (4) ◽  
pp. 1043-1072 ◽  
Author(s):  
Jenni Puroila ◽  
Hannele Mäkelä
Keyword(s):  
Sustainable Development ◽  
Stakeholder Engagement ◽  
Qualitative Content Analysis ◽  
Corporate Sustainability ◽  
Sustainability Reporting ◽  
Rational Approach ◽  
Content Type ◽  
Reporting Practices ◽  
Political Role ◽  
Sustainability Reports

Purpose The purpose of this paper is to contribute to the socio-political role of materiality assessment in sustainability reporting literature and discuss the potential of materiality assessment to advance more inclusive accounting and reporting practices, in particular critical dialogic accounting. Design/methodology/approach Drawing on literature on the concept of materiality together with insights from stakeholder engagement, commensuration and critical dialogic accounting the paper analyses disclosure on materiality in sustainability reports. Empirically, qualitative content analysis is used to analyse 44 sustainability reports from the leading companies. Findings The authors argue that, first, the technic-rational approach to materiality portrays the assessment as a neutral and value-free measurement, and second, the materiality matrix presents the multiple stakeholders as having a unified understanding of what is considered important in corporate sustainability. Thus, the technic-rational approach to the materiality assessment, reinforced with the use of the matrix is a value-laden judgement of what matters in corporate sustainability and narrows down rather than opens up the complexity of the assessment of material sustainability issues, stakeholder engagement and the societal pursuit of sustainable development. Originality/value The understandings and implications of the concept of materiality are ambiguous and wide-reaching, as, through constituting the legitimised set of claims and information on corporate sustainable performance, it impacts our understanding of sustainable development at large, and affects the corporate and policy-level transition towards sustainability. Exploring insights from critical dialogic accounting help us to elaborate on the conceptions and practical implications of materiality assessment that enhance stakeholder engagement in a democratic, rather than managerial, spirit.

Corporate sustainability reporting practices in India: myth or reality?

2016 ◽  
Vol 12 (4) ◽  
pp. 625-641 ◽  
Author(s):  
Najul Laskar ◽  
Santi Gopal Maji
Keyword(s):  
Firm Performance ◽  
Corporate Sustainability ◽  
Sustainability Reporting ◽  
Annual Reports ◽  
Coding System ◽  
Content Type ◽  
Reporting Practices ◽  
Sustainability Practices ◽  
The Impact

Purpose The purpose of this paper is to look into the sustainability practices of Indian firms in terms of the quality of disclosure, the impact of corporate sustainability performance (CSP) on firm performance and the appropriateness of the sustainability reporting guidelines followed by the firms. Design/methodology/approach The present study is based on secondary data collected from annual reports and corporate sustainability reports of 28 listed Indian non-financial firms from 2008-2009 to 2013-2014. Content analysis is used to calculate the score in terms of level (binary coding system) and quality of disclosure (four-point scale). These scores are further used to examine the impact of CSP on firm performance by using an appropriate regression model. Findings The study finds that the average level of disclosure is 88 per cent, whereas the quality of disclosure is nearly 80 per cent. The influence of CSP (in terms of level and quality disclosure) on firm performance is positive and significant. Moreover, the study also reveals that the Global Reporting Initiatives framework is not sufficient enough to publish the sustainability report of any business concern. The outcomes of the study, thus, indicate that sustainability practices of Indian firms are not myth but approaching toward reality. Originality/value It is the first comprehensive study in India to analyze the corporate sustainability reporting practices encompassing different dimensions of sustainability.

Characteristics of UK higher education institutions that disclose sustainability reports

2018 ◽  
Vol 19 (7) ◽  
pp. 1279-1298 ◽  
Author(s):  
Remmer Sassen ◽  
Dominik Dienes ◽  
Johanna Wedemeier
Keyword(s):  
Higher Education ◽  
Higher Education Institutions ◽  
Research Question ◽  
Corporate Sustainability ◽  
Public Funding ◽  
Sustainability Reporting ◽  
Content Type ◽  
Sustainability Reports ◽  
The Uk ◽  
Uk Higher Education

Purpose This study aims to focus on the following research question: Which institutional characteristics are associated with sustainability reporting by UK higher education institutions? Design/methodology/approach To answer the aforementioned research question, this study uses logistic regression. Findings The results show that 17 per cent of the UK higher education institutions report on their sustainability (July 2014). In line with legitimacy and stakeholder theory, logistic regressions provide evidence that the larger the size of the institution, the higher the probability of reporting. By contrast, high public funding decreases this probability. Research limitations/implications The findings show characteristics of higher education institutions that support or hamper sustainability reporting. Overall, the findings imply a lack of institutionalisation of sustainability reporting among higher education institutions. Originality/value Although a lot of research has been done on corporate sustainability reporting, only a small number of studies have addressed the issues of sustainability reporting of higher education institutions. This study covers all sustainability reports disclosed among the 160 UK higher education institutions. It is the first study that investigates characteristics of higher education institutions that disclose a sustainability report.

Imag(in)ing Colombian post-conflict in corporate sustainability reports

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Andrés Cabrera-Narváez ◽  
Fabián Leonardo Quinche-Martín
Keyword(s):  
Critical Discourse Analysis ◽  
Social Order ◽  
Corporate Sustainability ◽  
Sustainability Reporting ◽  
Armed Forces ◽  
Content Type ◽  
Post Conflict ◽  
Visual Semiotics ◽  
Sustainability Reports ◽  
Corporate Actions

Purpose This paper aims to study the use of photos in corporate sustainability reports (CSRs) as a means to gain legitimacy concerning Colombian post-conflict representations. Design/methodology/approach From a critical perspective based on legitimacy theory and political economy theory, and using visual semiotics and critical discourse analysis, this paper examines the use of photographs in sustainability reports as a mechanism to account for corporate actions regarding peace in Colombia. This paper relies on 121 pictures from 30 CSRs. Findings The analysis shows that companies are gaining legitimacy by referring to post-conflict through visual forms. Nonetheless, the structural conditions that caused the Colombian conflict are still present. Sustainability reporting that includes peace action representations becomes a control and subordination mechanism to reproduce existing power relations in the Colombian social order. Indeed, the generation of opportunities for civilians and ex-combatants, victims reparation, security and reconciliation remains unresolved structural issues. Hence, the use of corporate economic resources and their strategic visual representation in reports is just one business way of representing firms as aligned with government initiatives to obtain tax incentives. Research limitations/implications This study is centered on Colombian CSRs for the period 2016-2017; however, 2017 reports by some companies have not yet been published. This study also explored the messages contained in the images that include people. Images that do not depict persons were not examined. Originality/value This study provides evidence on visual representations of corporate peace actions aimed at gaining corporate legitimacy. Furthermore, this research examines a unique scenario that promoted more significant corporate social participation, following the signing of the peace agreements between the Colombian government and the Revolutionary Armed Forces of Colombia (Fuerzas Armadas Revolucionarias de Colombia, Ejército del Pueblo).

Compliance in Sustainability Reporting

2019 ◽  
pp. 38-65
Author(s):  
Svetlana Snezhko ◽  
Ali Coskun
Keyword(s):  
Sustainable Development ◽  
Best Practices ◽  
Financial Reporting ◽  
Corporate Sustainability ◽  
Sustainability Reporting ◽  
Positive Trend ◽  
Reporting Practices ◽  
Main Achievement ◽  
Corporate Reporting ◽  
Sustainability Reports

The research is aimed at assessing the benefits of compliance for corporate sustainability and sustainable development. The main achievement of the research is the outcome of the survey on companies' public reports to identify the trends and measure the progress achieved in disclosing information on compliance. There are both business and public drivers for disclosure of compliance information in non-financial reporting. Best practices in disclosing information on compliance by the company-leaders were revealed. There is a positive trend in the expansion of information on compliance in sustainability reports in recent years. Some problematic areas in reporting on compliance were identified. The outcomes of the research call for companies to disclose information on compliance in a more explicit way. The results may be valid for the improvement of corporate reporting practices.

scholarly journals The two market leaders in ocean cruising and corporate sustainability

2017 ◽  
Vol 29 (1) ◽  
pp. 288-306 ◽  
Author(s):  
Peter Jones ◽  
David Hillier ◽  
Daphne Comfort
Keyword(s):  
Hospitality Industry ◽  
Service Sector ◽  
Corporate Sustainability ◽  
Sustainability Reporting ◽  
Hospitality Management ◽  
Limited Information ◽  
Content Type ◽  
Corporate Websites ◽  
Wide Range ◽  
Sustainability Reports

Purpose The purpose of this paper is to provide a commentary on the sustainability reports published by the two market leaders in ocean cruising industry. Design/methodology/approach The paper begins with short reviews of the growing interest in the commitment to corporate sustainability and of the growth and market structure of the ocean cruising industry by way of setting the context for the commentary. This commentary is based on a review of the most recent sustainability reports published by the two leading ocean cruising companies which account for almost 75 per cent of total industry revenues. Findings The findings of the paper reveal that the two major ocean cruising companies, namely, Carnival Corporation and Royal Caribbean Cruises, published extensive sustainability reports covering a wide range of environmental, social, economic and governance issues. The other leading ocean cruising companies posted limited information on their approach to sustainability on their corporate websites and some posted no information on sustainability. However, the authors suggest that given that the two major cruising companies account for 70 per cent of ocean cruising passengers, the industry compares favourably in its sustainability reporting with other players in the hospitality industry and the service sector. That said, the authors also suggest that approaches to sustainability within the cruising industry, which are based on continuing growth, present testing management challenges for the leading cruising companies. Originality/value The paper provides an accessible commentary on current approaches to sustainability in the ocean cruising industry, and as such, it will interest professionals working in the cruise industry and more generally in the hospitality industry as well as academics and students interested in hospitality management and sustainability.

scholarly journals Examining the extent of and drivers for materiality assessment disclosures in sustainability reports

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Muhammad Bilal Farooq ◽  
Rashid Zaman ◽  
Dania Sarraj ◽  
Fahad Khalid
Keyword(s):  
Sustainable Development ◽  
Corporate Governance ◽  
Best Practice ◽  
Corporate Sustainability ◽  
Reporting Quality ◽  
Sustainability Reporting ◽  
Corporate Accountability ◽  
Content Type ◽  
Sustainability Reports ◽  
Ordered Logic

Purpose This paper aims to evaluate the extent of materiality assessment disclosures in sustainability reports and their determinants. The study examines the disclosure practices of listed companies based in the member states of the Cooperation Council for the Arab States of the Gulf, colloquially referred to as the Gulf Cooperation Council (GCC). Design/methodology/approach First, the materiality assessment disclosures were scored through a content analysis of sustainability reports published by listed GCC companies during a five-year period from 2013 to 2017. Second, a fixed effect ordered logic regression was used to examine the determinants of materiality assessment disclosures. Findings While sustainability reporting rates improved across the sample period, a significant majority of listed GCC companies do not engage in sustainability reporting. The use of internationally recognised standards has also declined. While reporters provide more information on their materiality assessment, the number of sustainability reports that offer information on how the reporter identifies material issues has declined. These trends potentially indicate the existence of managerial capture. Materiality assessment disclosure scores are positively influenced by higher financial performance (Return on Assets), lower leverage and better corporate governance. However, company size and market-to-book ratio do not influence materiality assessment disclosures. Practical implications The findings may prove useful to managers responsible for preparing sustainability reports who can benefit from the examples of materiality assessment disclosures. An evaluation of the materiality assessment should be included in the scope of assurance engagements and practitioners can use the examples of best practice when evaluating sustainability reports. Stock exchanges may consider developing improved corporate governance guidelines as these will lead to materiality assessment disclosures. Social implications The findings may assist in improving sustainability reporting quality, through better materiality assessment disclosures. This will allow corporate stakeholders to evaluate the reporting entities underlying processes, which leads to transparency and corporate accountability. Improved corporate sustainability reporting supports the GCC commitment to implement the United Nations Sustainable Development Goals and transition to sustainable development. Originality/value This study addresses the call for greater research examining materiality within a sustainability reporting context. This is the first paper to examine sustainability reporting quality in the GCC region, focussing particularly on materiality assessment disclosures.

Sustainability reporting or integrated reporting: Which one is valuable for investors?

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Ika Permatasari ◽  
Ika Permatasari ◽  
I Made Narsa
Keyword(s):  
Value Relevance ◽  
Accounting Information ◽  
Sustainability Reporting ◽  
Financial Information ◽  
Integrated Reporting ◽  
Content Type ◽  
Reporting Practices ◽  
Corporate Reporting ◽  
Sustainability Reports ◽  
International Integrated Reporting Council

Purpose This research is motivated by the development of dialogue and debate regarding company reporting in the form of sustainability reporting (SR) – which is separate from the annual report (AR) – or integrated reporting (IR). Research into SR and IR is still fascinating, and this study addresses the debate about them. This study aims to examine which of the two reports is more valuable for investors, and also examine whether IR has value relevance because the information in the IR could reinforce the importance of the accounting information. Design/methodology/approach As with previous studies, we adopted a valuation approach – the Ohlson model – to assess the value relevance of non-financial information (in the form of SR/IR) and financial information. As a preliminary study, we used non-financial information as a binary variable, i.e. a group of companies that issue sustainability reports and a group of companies that issue integrated reports. Therefore, they complement and interact with the financial statements’ information. This paper used panel data consisting of 931 firm-years of SR issuers and 922 firm-years of IR issuers in Europe and Africa in the period from 2005 to 2019. Findings The results showed that SR had a higher value relevance than IR. However, when the authors interact the corporate reporting form with the accounting information, IR had value relevance because the information contained in the IR could reinforce the importance of the accounting information. Practical implications This study will support regulators in various countries to monitor the reporting practices of companies in those countries. The results of this study provide evidence that sustainability reports get a higher response than integrated reports. However, when interacted with the accounting variables, information in the IR is considered to be more relevant than that found in the SR. Therefore, it is hoped that the results of this study will help the International Integrated Reporting Council (IIRC) in reviewing IR practices around the world so that the implementation of IR practices can be realized in accordance with the mission that the IIRC wants to achieve. Originality/value Research into the value relevance of SR and IR has been carried out by several previous researchers separately, but to the best of the author’s knowledge, there are no studies comparing the value relevance of the two.

Sustainability reporting in the aviation industry: worldwide evidence

2018 ◽  
Vol 9 (4) ◽  
pp. 362-391 ◽  
Author(s):  
Abdullah S. Karaman ◽  
Merve Kilic ◽  
Ali Uyar
Keyword(s):  
Logistic Regression ◽  
Firm Performance ◽  
Sustainability Reporting ◽  
Aviation Industry ◽  
Content Type ◽  
Negatively Associated ◽  
Reporting Practices ◽  
Sustainability Disclosure ◽  
Wide Range ◽  
Sustainability Reports

Purpose The purpose of this study is to investigate empirically what affects Global Reporting Initiative (GRI)-based sustainability reporting and its relationship with firm performance in the aviation industry between 2006 and 2015. Design/methodology/approach The authors derived data from the GRI Sustainability Disclosure Database and Thomson Reuters EIKON; from the former, they downloaded GRI-based reports, and from the latter, they obtained financial data. The authors performed four-level analysis – report existence, report count, application level of report and firm performance –using various regression models (i.e. logistic regression, Poisson regression, ordered logistic regression and ordinary least squares regression). Findings First, the authors based the analysis on the existence of GRI-based sustainability reports, which showed that firm size and leverage are positively associated with sustainability reporting. Contrary to expectations, ownership was negatively associated. Furthermore, free cash flow per share, growth and profitability do not have significant effects on sustainability reporting, in contrast to expectations. Subsequent analysis was based on report count (number of total published reports within the examination period) and application levels of reports. Compared to the preceding analysis, there were no notable surprises. In addition, we found evidence that growth is negatively associated with application levels of reports (partially supported). Thus, report existence, report count and application level results largely confirm each other. Finally, the authors tested the effect of sustainability reporting on firm performance, which did not produce significant results. Thus, in the aviation industry, sustainability reporting does not play a significant role in enhancing firm performance. Practical implications First, the findings show that larger and highly leveraged aviation firms can reduce agency and legitimacy costs through sustainability reporting. Surprisingly, the same assumption did not hold for ownership structure as the firms with diffused ownership base tend not to publish sustainability reports. Thus, boards are advised to establish and improve monitoring mechanisms in these types of firms. Second, although the number of aviation companies publishing separate sustainability reports has increased significantly over the years, almost half of the companies are not still producing sustainability reports. Hence, if the aviation industry believes the merits of engaging in sustainability issues and sincerely desires to enhance its sustainability reporting practices, the authors can suggest the following initiatives. Boards might encourage companies to incorporate sustainability issues into company operations by assigning the necessary financial and human resources. The boards might also establish a separate sustainability committee or department, which could focus on sustainability issues and reporting practices. Regulatory bodies could also encourage aviation companies to act in a socially and environmentally responsible manner by proposing legal requirements and providing guidance. Social implications Relevant civil organisations and environmental activists might undertake more active roles to enhance awareness of sustainability issues in the aviation industry. Originality/value Most of the prior studies did not focus on standalone GRI-based sustainability reports, and they were conducted on limited samples and not the aviation industry in particular. This study aims to fill these gaps empirically by establishing testable hypotheses and attempting to demonstrate the validity of theoretical relationships in a wide range of data and among aviation companies worldwide. In this sense, this study is unique in what it undertakes. This study also tests whether sustainability reporting impacts firm value in the aviation industry which, to the best of the authors’ knowledge, has not been examined in prior studies to this extent.

Sign in / Sign up

Export Citation Format

Share Document