Measuring Up: A Study on Corporate Sustainability Reporting in Canada

In response to the growth in corporate sustainability reporting in Canada, CGA-Canada commissioned a sustainability reporting survey in the fall of 2004. The survey sought to advance understanding of sustainability reporting, advocate for business value and transparency in reporting, and look to enjoin participation by all stakeholders. The results of the survey show the growing trend towards sustainability reporting in Canada. Some 18% of all companies produce a dedicated sustainability report, while approximately 5% spend more than $100,000 annually to report on sustainability issues. Regulatory requirements, stakeholder pressure, and corporate image objectives influence the most the decision to adopt a corporate sustainability reporting practice. In turn, added cost and potential information overload were two of the main reasons why organizations have not adopted a comprehensive sustainability reporting function. Concerns regarding the credibility and the vagueness of reporting practices and guidelines were also expressed.sustainability reporting, corporate social responsibility, reporting practices, sustainable development, socially responsible investment

Sustainability reporting and the professional accountant in Nigeria

We wish to acknowledge the funding assistance of the Institute of Chartered Accountants of Nigeria (ICAN) to conduct this study, to which we are grateful to the Council of the Institute for approving the research grant.Sustainability reporting is increasingly being mandated internationally, including in the emerging markets. The latest effort has been a proposal by International Integrated Reporting Council (IIRC) to integrate sustainability and financial reporting. Integrating sustainability and financial reporting presupposes the existence of sustainability reporting knowledge. This study seeks to gain an insight into the views, attitude and understanding of the concept of corporate sustainability and sustainability reporting by the Nigerian professional accountant who is expected to play a role in integrating sustainability and financial reporting in the Nigerian environment. Adopting an exploratory qualitative research design and snowball sampling survey, 1, 857 questionnaires were administered among Nigerian professional accountants out of which 860 usable responses were received. Analysis of the responses show that the accountants understand corporate sustainability as the incorporation of social and environmental concern in business decisions to ensure responsible business practices but within the context of shareholders value maximisation as opposed to being about the right thing to do. According to them sustainability is not about accountants helping corporations to internalise the cost of their externality or providing stakeholders with social and environmental accountability information. This is at variance with its original definition which emphasises meeting the needs of the present without compromising the ability of future generations to meet their own needs. They are of the view that corporations operating in industries with sustainability concerns in Nigeria may not be motivated to engage in sustainability reporting because of lack of public awareness and the non-applicability of most of the business cases for sustainability. As such sustainability reporting should be predicated upon effective regulation, enforcement and sanctions. However, the accountants are favourably disposed to corporations engaging in sustainability reporting; playing some roles in its reporting chain. They support an accounting standard on sustainability reporting as well as Financial Reporting Council of Nigeria (FRCN) mandating it. There is also evidence that the accountants’ sustainability knowledge derives 65% from international linkages and only 1% from the local accounting profession, with a high 24% claiming no knowledge of sustainability reporting. To this end the study recommends that the accounting profession should intervene to equip its members with the relevant knowledge of sustainability reporting and that the corporate reporting regulatory authorities should mandate sustainability reporting in the Nigerian environment.Final Published versio

The effect of sustainability reporting on financial performance: An empirical study using listed companies

Purpose - This study investigates the effect sustainability reporting has on companies’ financial performance. Sustainability reports are voluntarily released by companies that provide additional information to the stakeholders regarding the impact their activities have on the environment and society. Design/Methodology/Approach: This empirical paper analyses and identifies overlaps, gaps, limitations and flaws in current constructs of sustainability reporting. Using event study method to estimate abnormal returns for a 31 day event window for a sample of 68 listed companies, 17 listed in New Zealand Stock Exchange (NZX) and 51 listed in the Australian Stock exchange (ASX). Findings: Results of the empirical study indicate that sustainability reporting is statistically significant in explaining abnormal returns for the Australian companies. The cross-sectional analysis results of the combined dataset for the two countries support the view that the contextual factors of industry type significantly impacts abnormal returns of the reporting companies. In this regard, this study identifies several contextual factors, such as industry and type of sustainability report, that have the potential to impact the relationship. Only the CSR type of sustainability report was significant in explaining the abnormal return of New Zealand companies. Practical implications: To underscore the practical implications of the theory, it shows, by reference to the model, how sustainability reporting influences financial performance for companies engaged in industries that have environmental implications. However, the simplistic model may also have many other applications in management and the social sciences. Originality value: The proposed model is highly original in providing a framework for studying the impact of sustainability reporting in companies that have an environmental impact

The Level of Efficiency Comparison of Indirect Hypothesis Testing and The Total Effect of Bootstrap and Jackknife Resampling Based on Path Analysis (Studies on SRD and Firm Value Determination Models)

The main of objective study is to find out and analyze the direct impact of Corporate Governance Structure, Corporate Posture, Board Qualification & Experience, Sustainability Reporting Regulations on Sustainability Reporting Disclosure, and Firm Value. Secondary data was taken from the Companys Annual Report and Sustainability Reporting from 2013-2020. Path Analysis based on Jackknife and Bootstrap resampling was carried out to find the best coefficient. The results prove that Corporate Governance Structure, Board Qualification & Experience, and Sustainability Reporting Regulations have a significant effect on Sustainability Reporting Disclosure, but Corporate Posture does not have a significant effect on Sustainability Reporting Disclosure. Corporate Governance Structure and Sustainability Reporting Disclosures have a significant effect on Firm Value. In addition, the indirect effect results prove that Corporate Governance Structure followed by Sustainability Reporting Disclosure will increase the Firm Value, Corporate Posture followed by Sustainability Reporting Disclosure will decrease the Firm Value, Board Qualification & Experience followed by Sustainability Reporting Disclosure is not significant in increasing the Firm Value, Sustainability Reporting Regulations followed by Sustainability Reporting Disclosure will increase the Firm Value. This study develops the concepts of Corporate Governance Structure, Corporate Posture, Board Qualification & Experience, Sustainability Reporting Regulations regarding Sustainability Reporting Disclosure, and Firm Value

PENGARUH KINERJA KEUANGAN TERHADAP PENGUNGKAPAN SUSTAINABILITY REPORTING PADA PERUSAHAAN PESERTA INDONESIA SUSTAINABILITY REPORTING AWARDS (ISRA)

Penelitian ini bertujuan untuk mengetahui pengaruh kinerja keuangan terhadap pengungkapan sustainability reporting. Variabel independen dalam penelitian ini adalah likuiditas, aktivitas dan profitabilitas. Sedangkan variabel dependen adalah pengungkapan sustainability reporting pada perusahaan peserta Indonesia Sustainability Reporting Awards (ISRA). Penelitian ini menggunakan data sekunder yang diperoleh dari situs yang dimiliki oleh website BEI (www.idx.co.id) dan website NCSR (www.ncsr-id.org). Sampel penelitiannya adalah perusahaan yang mengungkapkan sustainability reporting pada perusahaan peserta Indonesia Sustainability Reporting Awards (ISRA) dengan periode penelitian tahun 2008-2012. Teknik pemilihan sampel adalah metode purposive sampling. Sampel yang digunakan adalah 67 perusahaan. Penelitian ini menggunakan regresi linear berganda untuk analisis data. Hasil penelitian menunjukkan bahwa variabel independen yang berpengaruh secara positif terhadap pengungkapan sustainability reporting adalah likuiditas, sedangkan aktivitas dan profitabilitas tidak berpengaruh terhadap pengungkapan sustainability reporting. Kata Kunci: Likuiditas, Aktivitas, Profitabilitas, Sustainability Reporting This research aims to determine the influence of financial performance towards the disclosure of sustainability reporting. The independent variable in this research are liquidity, activity and profitability. While the dependent variable is the disclosure of sustainability reporting on participant Indonesia Sustainability Reporting Award (ISRA). This research uses secondary data obtained from the IDX website (www.idx.co.id) and NCSR website (www.ncsr-id.org). The research sample is a company from Indonesia Sustainability Reporting Awards (ISRA) in 2008-2012 period. Engineering sample selection was purposive sampling method. The samples used were 67 companies. This research uses linear regression doubled to the data analysis. The results showed that the independent variables that influence positively towards the disclosure of sustainability reporting is liquidity, while activity and profitability do not influnced the disclosure of sustainability reporting. Keywords: Liquidity, Activity, Profitability, Sustainability Reportin

PENGARUH SUSTAINABILITY REPORTING BERDASARKAN GLOBAL REPORTING INITIATIVE TERHADAP KINERJA KEUANGAN PERUSAHAAN SYARIAH DI INDONESIA

ABSTRACTResearch trends regarding sustainability reporting begin to increase gradually in Indonesia, as well as the increasing of companies that publish sustainability reporting. However, many of these studies still show inconsistent results. The aim of this study is to reexamine the relationship between sustainability reporting disclosure and financial performance. There are two things that distinguish this research from the previous ones. Firstly, this research uses companies that consistently publish sustainability report and secondly, this study uses of measures of financial performance, namely: asset management ratio, profitability ratio and market ratio. Samples consist of 40 firms, which is derived from the companies that consistently publish sustainability reporting period of 2014-2015. The results indicate that the sustainability report has no effect on the assets management ratio, while the other two variables indicate that sustainability reporting affect on the profitability ratio and market ratio. Keywords: Sustainability reporting, assets management ratio, profitability ratio, market ratio.ABSTRAKTren penelitian tentang hubungan sustainability reporting dan kinerja keuangan mulai meningkat di Indonesia, seiring dengan semakin meningkatnya jumlah perusahaan yang mempublikasikan sustainability reporting. Namun sebagian besar hasil-hasil penelitian tersebut masih belum konsisten. Penelitian ini bertujuan untuk menguji kembali hubungan antara pengungkapan sustainability reporting dengan kinerja keuangan. Ada dua hal yang membedakan penelitian ini dari sebelumnya, pertama, penelitian ini menggunakan perusahaan-perusahaan yang secara konsisten melaporkan sustainability reporting, dan kedua, penelitian ini menggunakan ukuran kinerja keuangan yang meliputi rasio manajemen aset, rasio profitabilitas, rasio pasar. Sampel yang digunakan sebanyak 40 pengamatan yang berasal dari perusahaan-perusahaan yang secara konsisten melaporkan sustainability reporting selama periode 2014-2015. Hasil pengujian menunjukkan bahwa sustainability reporting tidak berpengaruh terhadap rasio manajemen aset, sedangkan dua variabel lainnya menunjukkan yaitu sustainability reporting berpengaruh terhadap rasio profitabilitas dan rasio pasar.Kata kunci: Sustainability reporting, rasio manajemen aset, rasio profitabilitas, rasio pasar

PRESENT TENDENCIES IN ENTERPRISE’S PERFORMANCE APPRECIATION “SUSTAINABILITY PERFORMANCE“

Social and economic postponements at the global level, financial and political instability, big corporatist scandals, global warming imposed changes without precedent in economy, facilitating the passing from the performance concept to the one of “sustainability performance”. The new approach, also known under the name of “triple bottom line” attracted the public’s attention during the latest years determining a big part of the companies to change their attitude, values, orientation in favor of forming responsible visions concerning reporting that should integrate three aspects – economic performance, social performance, and environmental performance. Such “sustainability” reporting is possible through application of guiding lines offered by Global Reporting Initiative (GRI ) that reached the third generation called GRI G3 Guidelines in October 2006, that proves to be the best “compatibility standard”, general accepted as sustainability reporting standards.sustainability performance, sustainability reporting

Pengaruh Sustainability Reporting terhadap Kinerja Keuangan dari Sisi Market Value Ratios dan Asset Management Ratios

Sustainability report adalah laporan yang berisi kinerja keuangan dan non keuangan. Beberapa tahun terakhir mulai disadari pentingnya pengungkapan ini melalui dampaknya terhadap kinerja keuangan Perusahaan. Penelitian ini bertujuan untuk menguji hubungan antara indikator sustainability report dan rasio market value dan rasio asset management Perusahaan. Penelitian ini menggunakan data sekunder. Variabel Independen dalam penelitian ini adalah pengungkapan sustainability report yang terbagi atas indikator kinerja ekonomi, lingkungan, dan sosial dan diukur dengan menggunakan indeks SRDI. Variabel bebas diukur berdasarkan indeks pengungkapan. GRI (Inisiatif Pelaporan Global) akan digunakan sebagai panduan sustainability report sebagai dasar dalam pengukuran indeks. Variabel dependen yang digunakan adalah Market Value Ratios dan Asset Management Ratio. Sampel penelitian ini adalah 15 Perusahaan yang mempublikasikan sustainability report tiga tahun berturut-turut pada tahun 2010-2012 yang diakses melalui website Perusahaan dan website National Center or Sustainability Reporting dan Perusahaan tersebut mempublikasikan Laporan Keuangan Tahunan pada tahun 2011-2013 yang dapat diakses melaui web Perusahaan. Hasilnya, sustainability reporting dalam aspek ekonomi dan lingkungan berpengaruh positif signifikan terhadap market value ratio dan asset management ratio, sedangkan sustainability reporting dalam aspek sosial, berpengaruh positif tidak signifikan dalam peningkatan market value dan asset management