Integrated reporting
Integrated reporting (IR) is a form of corporate reporting to stakeholders that, in addition to traditional financial / economic accounting , also includes parts that also include external relationships with other stakeholders. The term was used earlier, but in the form used today it was largely coined by the International Integrated Reporting Committee (IIRC) founded in August 2010 . Earlier uses, for example by Robert G. Eccles and Michael P. Krzus, aim in the same direction, but still lag behind the current requirement in terms of scope.
By making it visible and verifiable, the integrated reporting is intended to strengthen the strategic orientation of companies in the direction of environmental and climate protection and to promote sustainable, socially responsible management. The reaction is through initiatives such as the Principles for Responsible Investment of the United Nations promoted and encouraged.
Core regulations of the IIRC
The designation "integrated report" should be reserved for complete, specifically identifiable communication in which all subsequent core regulations are taken into account. Exceptions should only be permitted if no reliable data is available, legal regulations or competitive disadvantages speak against inclusion in the business figures. At the same time, the report should contain a statement from those responsible and meet certain regulations.
Guiding principles of the IIRC
The IIRC has identified four guiding principles that will guide the preparation of the report.
- Strategic direction
The strategic goals of the company should become recognizable, as well as the resources and relationships that result from this alignment.
- Networked information
The information of the financial as well as the non-financial part should be networked with each other so that causal relationships can be identified and assessed.
- Relationships with Shareholders
The relationships with the major shareholders should be disclosed and shown. In addition, the aim is to show how the company determines the needs of its shareholders and how these are taken into account.
- Conciseness, reliability, completeness, materiality, uniformity and comparability
In spite of its brief presentation, the integrated report should provide reliable and complete communication of the essential circumstances. At the same time, the report should be uniform and enable comparability between different financial years but also between different companies.
The non-financial parts of the report include:
- Corporate Social Responsibility (CSR)
- Environmental, social and governance aspects ( environment, social, governance ESG)
function
The integrated report should not only provide the additional parts, but also connect the thematically different parts with each other so that a plausible and reproducible connection between economic activity and the effects on the environment becomes recognizable and comprehensible. The current scope was determined by the IIRC report published in 2013, which was also tested in a pilot phase. The first regular reports appeared in 2014.
Introductory booth
In the previous form, represented by Eccles and Krzus, the report in South Africa was made mandatory for over 470 companies in 2010 and they have to present their annual accounts as an integrated report. In 2013, the CSR report became binding for 6,000 companies in the European Union , but this fell far short of the 18,000 companies targeted by the Commission .
literature
- Robert G. Eccles and Michael P. Krzus. One Report: Integrated Reporting for a Sustainable Strategy. New York: John Wiley & Sons, Inc., 2010.
Web links
- integratedereporting.org - IIRC website
Individual evidence
- ↑ a b c Georg Fahrenschon, Arndt Günter Kirchhoff and Diethard B. Simmert: Medium- sized companies - the motor and future of the German economy: Success concepts for management, financing and organization . Springer-Verlag, 2016, ISBN 978-3-658-09049-4 , pp. 200 ff .
- ↑ a b c d e f g h Integrated reporting. IHK Nuremberg for Middle Franconia, August 11, 2015, accessed on October 11, 2018 .
- ↑ a b c IIRC completes framework concept for integrated reporting. Deloitte GmbH, December 9, 2013, accessed on October 11, 2018 .
- ↑ Integrated reporting. KPMG AG Wirtschaftsprüfungsgesellschaft, March 19, 2015, accessed on October 4, 2018 .
