Exploring the present state of South African education: Challenges and recommendations

In the light of widespread concern about, and continual questioning of, South African education, this paper aims to examine levels of literacy among learners and students in the primary, intersen and senior phases, in the attempt to understand and to address at least some of the issues in the high drop-out and failure rates at tertiary level. The writers suggest that there is no simple solution nor single strategy but that theory and actual practice working together may engender meaningful change. With this aim in mind, 17 stakeholders were interviewed and their responses recorded and carefully analysed

Corporate governance and the use of external assurance for integrated reports

Research Question/Issue This paper investigates the relationship between the use of external assurance for testing integrated reports (ESG assurance) and firm-level governance features: the board of directors, the audit and/or risk committee, and the internal audit department. Data are collected from South Africa where integrated reporting and corporate governance practices are mature and listed companies have had more time to implement ESG assurance than in other countries. Research Findings/Insights Monitoring attributes of boards of directors promotes the use of ESG assurance which provide both limited (moderate) and reasonable (high) assurance. The monitoring attributes of the audit and risk committees limit the use of limited assurance but are associated with the greater use of reasonable assurance. In contrast, internal audit functions are not affecting the use of ESG assurance. Theoretical/Academic Implications The study provides one of the first accounts of how firm-level governance promotes or reduces the use of external assurance in an integrated reporting context. The research also frames ESG assurance as part of the broader corporate governance machinery rather than seeing assurance and governance as separate issues. Practitioner/Policy Implications Overall, the findings suggest that ESG assurance is an important part of a combined assurance model. As those charged with governance become more proactive in ensuring the credibility of their organizations' corporate reports, they not only choose to appoint an external assuror but also rely on more extensive testing designed to provide higher levels of assurance

A Conceptual Model for Understanding Corporate Social Responsibility Assurance Practice

The prior research on different forms of what can be referred to as corporate social responsibility (CSR) reporting is vast. As CSR reporting becomes more commonplace, the theoretical and empirical analysis of this type of reporting has matured and both academics and practitioners have begun to explore the possibility of having CSR disclosures assured. This paper makes an important contribution by synthesising the findings on emerging forms of CSR assurance practice. It summarises the ground covered to date and provides a comprehensive review of the literature on the characterises, use and limitations of CSR assurance services. It develops a conceptual model which distinguishes between determinants of CSR assurance at the national- and firm-level and shows how the nature of assurance services, a company’s reporting infrastructure and current technologies of assurance enable or constrain the benefits of having CSR disclosures assured. Areas for future research, based on identified weaknesses in the current CSR assurance environment, are also identified

From the Big Five to the Big Four? Exploring Extinction Accounting for the Rhinoceros

Purpose The purpose of this paper is to explore a possible framework for extinction accounting which builds on but also extends significantly the existing GRI guidelines relating to species identified by the International Union for the Conservation of Nature Red List as under threat of extinction. Design/methodology/approach The paper analyses disclosures relating to rhinoceros conservation and protection produced by top South African-listed companies in order to assess the current state of “extinction accounting”. Following this analysis, the authors explore and discuss a potential framework for extinction accounting which may be used by companies to demonstrate their accountability for species and disclose the ways in which they are working alone, and in partnerships, to prevent species extinction. Findings Corporate disclosures relating to rhinoceros may be interpreted as emancipatory. The authors identify several disclosure themes dealing with rhinoceros in integrated and sustainability reports of large South African companies and on their websites. Contrary to initial expectations, there is evidence to suggest corporate awareness of the importance of addressing the risk of this species becoming extinct. Research limitations/implications The authors have relied on public corporate disclosures and would like to extend the work further to include interview data for a further paper. Practical implications An extinction accounting framework may be applied to corporate accounting and accountability for any species under threat of extinction. The framework may also be considered for use as a tool for institutional investors as well as NGO engagement and dialogue with stakeholder companies. Social implications The rhinoceros has, from the analysis, significant cultural, heritage, eco-tourism and intrinsic value. Developing and implementing an emancipatory extinction accounting framework to prevent extinction will have a substantial social and environmental impact. Originality/value This is the first attempt to the knowledge to explore accounting for extinction and a possible extinction accounting framework. It is also the first attempt to investigate accounting and accountability for the rhinoceros

Corporate social responsibility reporting by South African mining companies: Evidence of legitimacy theory

This paper offers evidence on the relevance of legitimacy theory for explaining changes in the frequency of corporate social responsibility (CSR) disclosures by South African platinum mining companies following violent strike action during 2012 at Marikana. The results show that all of the South African platinum mining companies provide additional information dealing specifically with the strike taking place at Marikana. This is more pronounced for the company directly involved in the incident. The research also finds evidence of a reaction to the social event by other companies in the South African Platinum Industry which alter the nature and extent of general CSR disclosures to maintain legitimacy. In this way, the study offers evidence in support of the relevance of legitimacy theory for explaining changes in CSR reporting. The findings of this study complement existing research which has ignored the South African market. Although there has been some work on legitimacy theory in the context of environmental disclosure by South African companies, the study is the first to examine a significant social event using legitimacy theory as the frame of reference

Integrated extinction accounting and accountability: Building an Ark

Purpose We are currently experiencing what is often called the sixth period of mass extinction on planet Earth, caused undoubtedly by the impact of human activities and businesses on nature. In this paper we explore the potential for accounting and corporate accountability to contribute to extinction prevention. The paper adopts an interdisciplinary approach, weaving scientific evidence and theory into organisational disclosure and reporting in order to demonstrate linkages between extinction, business behaviour, accounting and accountability as well as to provide a basis for developing a framework for narrative disclosure on extinction prevention. Design/methodology/approach The paper is theoretical and interdisciplinary in approach, seeking to bring together scientific theories of extinction with a need for corporate and organizational accountability whilst recognizing philosophical concerns in the extant environmental accounting literature about accepting any business role and capitalist mechanisms in ecological matters. Our overarching framework derives from the concept of emancipatory accounting. Findings and Practical implications The outcome of the writing is to: present (a) an emancipatory ‘extinction accounting’ framework which can be embedded within integrated reports, and (b) a diagrammatic representation, in the form of an ‘ark’, of accounting and accountability mechanisms which, combined, can assist, we argue, in preventing extinction. We suggest that the emancipatory framework may also be applied to engagement meetings between the responsible investor community (and NGOs) and organizations on biodiversity and species protection. Originality/value This paper represents a comprehensive attempt to explore the emancipatory role of accounting in extinction prevention and also brings together the links in accounting and accountability mechanisms which, working together, can prevent species extinction

The emancipatory potential of extinction accounting: Exploring current practice in integrated reports

This paper adopts a normative approach to develop a dynamic form of corporate reporting designed to deal with the threat posed by mass extinction of species. The proposed reporting framework is intended to show how a type of accounting – which is referred to as extinction accounting – can and should be used to drive positive corporate change and prevent the loss of species. The framework is inspired by both an anthropocentric and deep ecological view on nature and draws on accountancy’s emancipatory potential rather than attempting to find a substitute for current technologies of accounting and accountability. The prior literature on biodiversity and emancipatory accounting is complemented by showing how an innovative form of reporting on a specific environmental issue can be operationalised and used in the short-term to respond to the threats posed by mass extinction

Strategy disclosures by listed financial services companies: Signalling theory, legitimacy theory and South African integrated reporting practices

This paper investigates the current extent of social-, environmental- and economic- (SEE) related strategy disclosure of companies listed in the financial services sector of the Johannesburg Stock Exchange. It uses signalling and legitimacy theory to analyse the findings from a developed SEE strategy-related disclosure checklist. The paper finds social and environmental strategy-related disclosure is still secondary to economic strategy-related disclosures. This may be due to persistent focus on providers of financial capital and the need to perform financially. Further, the subsector’s business model and how closely the subsector interacts with their customers is seen as a driver of social and environmental strategy-related disclosure to maintain their legitimacy and to reduce information asymmetry, reduce cost of capital and assure investors that these factors are being appropriately managed by the entity. Following from above, the banking, insurance and real estate subsectors presented the most strategy-related disclosure. This was linked to their high public accountability and daily interaction with customers, necessitating the need to manage their legitimacy and address adverse selection. The paper also proposes some areas for future research to understand the potential obstacles to incorporating social and environmental concerns into strategy and related disclosures