scholarly journals Does Corporate Governance Affect the Quality of Integrated Reporting?

2020 ◽  
Vol 12 (10) ◽  
pp. 4262 ◽  
Author(s):  
Thilini Cooray ◽  
A. D. Nuwan Gunarathne ◽  
Samanthi Senaratne
Keyword(s):  
Corporate Governance ◽  
Value Creation ◽  
Mandatory Reporting ◽  
Quality Information ◽  
Sri Lankan ◽  
Integrated Reporting ◽  
Creation Process ◽  
Reporting Requirements ◽  
Value Creation Process

This study examines how governance mechanisms affect the quality of integrated reporting (IR), which is fast emerging both as a tool to help firms understand their value creation process and to communicate effectively with external stakeholders. This study first developed an index to assess the quality of integrated reports. Subsequently, 132 integrated reports of Sri Lankan public listed companies selected over a three-year period were content analysed. The hypotheses formulated on the relationship between corporate governance and the quality of IR based on the agency theory were analysed using multivariate linear regression and panel regression. The results show that there is limited support from the corporate governance system for providing quality information to stakeholders on the value creation process through IR, except for board size and the availability of a separate risk management committee. This is the result of the heavy emphasis of corporate governance requirements and the resulting mechanisms of Sri Lankan companies on mandatory corporate reporting requirements compared to a voluntary reporting model such as IR. Since many corporate governance aspects are meant to fulfill mandatory reporting requirements, the results imply that the directors have given limited attention to providing quality information through voluntary disclosure practices such as IR, although they use resources to prepare integrated reports.

scholarly journals Differences in Disclosure of Integrated Reports at Energy and Non-Energy Companies

Energies ◽  
2021 ◽  
Vol 14 (5) ◽  
pp. 1253
Author(s):  
Maja Piesiewicz ◽  
Marlena Ciechan-Kujawa ◽  
Paweł Kufel
Keyword(s):  
Ownership Structure ◽  
Value Creation ◽  
Energy Sector ◽  
Financial Data ◽  
Integrated Reporting ◽  
Creation Process ◽  
And Performance ◽  
Energy Companies ◽  
The Impact ◽  
Value Creation Process

Integrated reports combine financial and non-financial data into a comprehensive report outlining the company’s value creation process. Our objective is to find the completeness of disclosures, which is a crucial aspect of an integrated report’s quality. This study contributes to the integrated reporting examination by identifying quantitative and qualitative gaps when applying Integrated Reporting standards, focusing on the energy sector. We conducted the study on 57 published integrated reports of listed companies in Poland. The content of each report was examined for 49 features divided into eight areas. We identify the strengths and weaknesses of current reporting performance and the impact of the company’s sector on reports’ quality. We noted that there are significant differences among the areas. The major problems concern implementing IIRC’s framework on the connections between the business model and the organization’s strategy, risks, opportunities, and performance. Our research also noted that the level of specific disclosures might be related to a company’s ownership structure. We investigated the significance of differences among companies from the energy and non-energy sectors using statistical methods. As a result of the study, we obtained that disclosures’ completeness depends on the operation sector. The companies in the energy sector publish higher-quality integrated reports than companies in the other sectors.

scholarly journals How do current public Integrated Reports align with the IR Framework?

2015 ◽  
Vol 89 (12) ◽  
pp. 518-532 ◽  
Author(s):  
Paul Hurks ◽  
Henk Langendijk ◽  
Kavita Nandram
Keyword(s):  
Resource Allocation ◽  
Value Creation ◽  
Current Practice ◽  
Pilot Program ◽  
Integrated Reporting ◽  
Legal Requirements ◽  
Creation Process ◽  
Guiding Principles ◽  
Value Creation Process

This paper examines empirically the current practice with regard to integrated reporting according to the IR Framework among the 104 original participants (companies) of the IIRC Pilot program. We made a selection with respect to these 104 participants based on organization’s stipulation that they issue an integrated report and/or that they made use of the IR Framework for their report in a journey towards integrated reporting. In general we can conclude that the 38 companies in our sample are well ahead on the journey of integrated reporting. These 38 companies comply to a certain extent with the requirements with respect to the fundamental concepts, guiding principles and content elements of the IR Framework. Also the majority of the annual integrated reports have an assurance opinion. The main Welds of improvements are the connection of the content elements with the capitals and the value creation process. Furthermore, companies should pay more attention to the content element ‘opportunities’ and not only display their ‘risks’. Also, companies should treat the content element ‘governance’ as a means to create value and have this element connected with the capitals. Currently the governance information is rather traditional and in line with the legal requirements. Moreover there is room for improvement with respect to the content element ‘strategy in relation with resource allocation’ (use of capitals). The content element ‘basis of preparation and presentation’ is often not present in the annual integrated report.

scholarly journals Disclosure of Intellectual Capital Components in Integrated Reporting: An Empirical Analysis

2018 ◽  
Vol 11 (1) ◽  
pp. 62 ◽  
Author(s):  
Serena Santis ◽  
Michela Bianchi ◽  
Alberto Incollingo ◽  
Marco Bisogno
Keyword(s):  
Intellectual Capital ◽  
Value Creation ◽  
Financial Services ◽  
Integrated Reporting ◽  
Creation Process ◽  
Services Sector ◽  
Financial Services Sector ◽  
Analysis Methodology ◽  
The One ◽  
Value Creation Process

The purpose of the study is to investigate how firms disclose information in their integrated report (IR) on intellectual capital (IC), regarding its components and their link with the value creation process. Therefore, by adopting a content analysis methodology, the study, which covers three years (2014–2016), is focused on IC. A sample of firms belonging to the financial services sector is investigated by analysing 135 integrated reports. The main findings show that firms, on the one hand, provide information on IC by adopting a classification close to those outlined by IC scholars; on the other hand, the vast majority of the investigated firms tends to adopt a superficial approach. More specifically, firms disclose a low amount of information about the link between IC and the value creation process, even though they are aware of its importance.

scholarly journals Efeito da estratégia de diversificação no valor da empresa: uma revisão sistemática da literatura

Revista Foco ◽  
2018 ◽  
Vol 11 (1) ◽  
pp. 9
Author(s):  
Elimar Veloso Conceição ◽  
David Ferreira Lopes Santos ◽  
Ana Claudia Fernandes Terence
Keyword(s):  
Corporate Governance ◽  
Content Analysis ◽  
Information Asymmetry ◽  
Value Creation ◽  
Financial Constraints ◽  
Web Of Science ◽  
Diversification Strategy ◽  
Creation Process ◽  
Value Creation Process ◽  
The Web

Não há um consenso teórico e prático quanto à importância da estratégia de diversificação no modelo de criação de valor da empresa. O objetivo deste estudo é analisar os resultados das principais pesquisas acadêmicas neste tema, avalia-se o efeito da diversificação evidenciada na literatura na expectativa de oferecer um framework capaz de aumentar a compreensão da controversa relação entre diversificação e criação de valor. A amostra abrange 38 artigos publicados nos últimos 21 anos (1996 e 2017) em periódicos indexados à plataforma Web of Science. A análise dos artigos envolve a estratificação qualitativa que delineia o perfil das pesquisas nesta temática. Em adição, emprega-se a análise de conteúdo nos artigos a partir das categorias centrais presentes na literatura. A compreensão resultante desse estudo é que o efeito da diversificação não se apresenta como inicialmente planejado, pois os fatores como governança corporativa, legislação, aprendizagem, assimetria de informações, restrições financeiras influenciam o processo de criação de valor e nem sempre são considerados nas estratégias de diversificação.  There is neither theoretical nor practical consensus on the importance of the diversification strategy on the value creation model of the company. The goal of this study is to analyze the results of the main academic researches in this subject; the effect of the diversification evidenced in the literature is evaluated in the expectation of offering a framework capable of increasing the understanding of the controversial relation between diversification and value creation. The sample includes 38 articles published in the last 21 years (1996 to 2017) in journals indexed to the Web of Science platform. The analysis of the articles involves the qualitative stratification that outlines the profile of the researches in this theme. In addition, it is used the content analysis in the articles from the central categories present in the literature. The resulting understanding of the study is that the effect of diversification is not presented as initially planned, since factors such as corporate governance, legislation, learning, information asymmetry and financial constraints all influence the value creation process and they are not always considered in the strategies of diversification. 

scholarly journals Case Studies of Value Creation on Integrated Reporting in Japan

2020 ◽  
pp. 25-40
Author(s):  
Dr. Kazunori Ito
Keyword(s):  
Value Creation ◽  
Balanced Scorecard ◽  
Business Strategy ◽  
Information Disclosure ◽  
Social Issues ◽  
Integrated Reporting ◽  
Discussion Paper ◽  
Creation Process ◽  
Value Loss ◽  
Value Creation Process

How to visualize the value creation process is a major issue in integrated reporting. If a strategy map of Balanced Scorecard (BSC) is used, value creation and suppression of value loss can be visualized separately according to the strategic theme. The value creation process can be visualized by distinguishing between strategic themes in business strategy and strategic themes solving social issues. However, there is an issue in that companies that have not adopted the BSC cannot use strategy maps. For this reason, how to visualize the value creation process is a highly interesting topic to investigate. The International Integrated Reporting Council's IIRC framework (2013b) mainly focuses on information disclosure to financial capital providers, and visualization of the value creation process focuses on value creation through business strategy. At the sametime, an IIRC discussion paper (IIRC, 2011) contained a proposal that also focused on suppression of value loss to stakeholders by solving social issues.

Enriching AIS Courses With SOX Compliance Activities

2010 ◽  
Vol 5 (1) ◽  
pp. 1-24 ◽  
Author(s):  
Joann Segovia ◽  
Carol M. Jessup ◽  
Marsha Weber ◽  
Sheri Erickson
Keyword(s):  
Corporate Governance ◽  
Financial Reporting ◽  
Internal Controls ◽  
Accounting Profession ◽  
Investor Confidence ◽  
Reporting Requirements ◽  
Sarbanes Oxley ◽  
Audit Firms ◽  
Significant Change

A very significant change to the accounting profession occurred in 2002 when the Sarbanes-Oxley Act of 2002 (SOX) was enacted. This legislation had a significant impact on corporations and their audit firms. The objective was to improve corporate governance and its quality of financial reporting to improve investor confidence. This paper provides instructors with a background on SOX and suggests readings and activities that reflect the requirements of SOX as it relates to the AIS environment and the analysis of internal controls. These activities can strengthen students' understandings of how corporations respond to the various reporting requirements of this Act.

Charity Sport Event Sponsorship as Value Creation Strategy: An Event Participant Perspective

2021 ◽  
pp. 1-14
Author(s):  
David Fechner ◽  
Kevin Filo ◽  
Sacha Reid ◽  
Robyn Cameron
Keyword(s):  
Multiple Sclerosis ◽  
Value Creation ◽  
Service Provider ◽  
Internet Service Provider ◽  
Sport Event ◽  
Internet Service ◽  
Creation Process ◽  
Semistructured Interviews ◽  
Sport Events ◽  
Value Creation Process

Sponsoring charity sport events (CSEs) represents an opportunity for businesses to achieve a variety of marketing objectives. Event sponsors need to promote their brand in an authentic manner because CSE participants may be skeptical of the sponsor if they believe the organization is supporting the event solely for commercial purposes. The current research examines the perceptions that CSE participants have for a sponsor’s contribution to the value creation process of the event. Semistructured interviews (N = 17) were conducted with MS (multiple sclerosis) Moonlight Walk 2018 participants to explore how this key stakeholder perceives the contribution of the sponsor (Harbour ISP [Internet service provider]) in the event experience. Five themes were uncovered: raising CSE awareness, cultivating a fundraising network, engaging authentically, celebrating constituents, and providing operational support. Building on the findings of this research, CSE managers and sponsors should work to share the story behind their partnership while integrating event participants in the development of the sponsorship program.

Is property management viewed as a value-added service?

2019 ◽  
Vol 37 (2) ◽  
pp. 262-274 ◽  
Author(s):  
Dustin C. Read ◽  
Andrew Carswell
Keyword(s):  
Real Estate ◽  
Value Creation ◽  
Value Added ◽  
Professional Service ◽  
Property Management ◽  
Individual Property ◽  
Content Type ◽  
Creation Process ◽  
A Value ◽  
Value Creation Process

PurposeThe purpose of this paper is to examine the perspectives of real estate executives to assess the extent to which property management is viewed as a commodity or as a value-added professional service contributing positively to investment performance and property value maximization.Design/methodology/approachThe qualitative analysis draws on the result of 93 semi-structured interviews conducted with executives employed by some of the largest real estate investment management and service firms across the USA.FindingsThe findings suggest that significant perceptual cleavages exist in the real estate industry, with some executives believing property managers are incredibly important to the value creation process and others believing they play a much more modest role.Practical implicationsThe results highlight the need for the property management industry as whole to continue its efforts to gain recognition as a value-added professional service and for individual property management companies to actively take steps to differentiate themselves from competitors if they hope to avoid commodification and fee compression.Originality/valueThe study is the first to the authors’ knowledge to examine real estate executives’ perspectives about the roles property managers play in the value creation process, as well as their views about whether property managers have the skills and autonomy required to make value accretive decisions.

Value creation through expanding the online distribution channel

2020 ◽  
Vol 120 (4) ◽  
pp. 714-729
Author(s):  
Frank Wiengarten ◽  
Hugo K.S. Lam ◽  
Di Fan
Keyword(s):  
Supply Chain ◽  
Stock Market ◽  
Value Creation ◽  
Distribution Channel ◽  
Chain Process ◽  
Market Reactions ◽  
Content Type ◽  
Creation Process ◽  
Stock Market Reactions ◽  
Value Creation Process

PurposeCurrent literature provides limited insights into the supply chain contexts within which e-commerce can create higher value for firms. To address this literature gap, this research explores the value potential, and thus value creation process, of e-commerce initiatives for supply chain distribution channel expansions.Design/methodology/approachUsing secondary data collected from multiple sources, this research conducted an event study to examine the stock market reactions to the announcements of e-commerce initiatives of Chinese firms.FindingsThe results indicate that the e-commerce initiatives increase average firm value by CNY 295.29 million in a three-day window around the initiative's announcement date. Moreover, we find that such stock market reactions are more positive for firms with poor operating performance, and more negative when firms deploy initiatives on their own (rather than third-party) platforms. Further, companies that integrate or complement their online sales with an offline sales channel experience more positive stock market reactions.Originality/valueThis study provides new insights into the value creation process of e-commerce from an operation and supply chain process perspective.

Cross-cultural influences on e-value creation in supply chains

2014 ◽  
Vol 19 (2) ◽  
pp. 187-199 ◽  
Author(s):  
Joshua M. Davis ◽  
Carlo Mora-Monge ◽  
Gioconda Quesada ◽  
Marvin Gonzalez
Keyword(s):  
Supply Chain ◽  
Cultural Differences ◽  
Value Creation ◽  
Cross Cultural ◽  
Business Systems ◽  
National Cultures ◽  
Content Type ◽  
Creation Process ◽  
Cross Cultural Differences ◽  
Value Creation Process

Purpose – This paper seeks to report the results of an empirical study examining the influence of cross-cultural differences on the value creation process from e-business systems in the supply chain. Design/methodology/approach – A questionnaire was sent out to senior managers in companies operating in two culturally distinct national cultures. The effects of cross-cultural differences were examined by testing for between-group differences in the structural model using the multi-group partial least squares (PLS) statistical approach. Findings – Consistent with the resource-based view (RBV), contingency “fit” theory, and prior research, this study demonstrates that the value creation process from e-business systems is significantly enhanced in companies operating in national cultures that emphasize cooperation and interdependence, and promote group-level interests over individual interests. Originality/value – The mechanisms through which performance improvement is achieved from e-business systems are still not fully understood. Little is still known about how digital capabilities and environmental factors work together to influence e-business value creation along the supply chain. In addition, while contextual factors have been highlighted within the stream, the knowledge base is especially limited regarding the role of global factors in shaping the attainment of value from e-business systems in this context. Filling these gaps, this study simultaneously investigates the roles of intermediate capabilities and the macro-environment in creating value from e-business in the supply chain.

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