“Standard & Poor’s, a US ratings firm, published research which demonstrates that in the 1970′s 80% of a company’s market value could be traced through to its financial statements. Today, only around 20% of a company’s market value can be accounted for by its financial and physical assets. Corporate reporting needs to evolve in order to reflect this change – provides the framework to do so”.
The Need for Integrated Reporting is Growing
The current corporate reporting framework needs to evolve to reflect the wide range of factors that affect corporate performance. The full value of the organization comes both from financial and non-financial (e.g, environmental, social, and governance) results and the assets required to product them. These assets include the six capitals of financial, manufactured, natural, human, intellectual, and social.
Draft framework for Integrated Reporting
The International Integrated Reporting Council (IIRC) published a consultation draft framework for integrated reporting on April 16th 2013. Integrated Reporting enables an organization to communicate in a clear, articulate way how it is drawing on all the resources and relationships it utilizes to create and preserve value in the short, medium, and long term, thereby helping investors to manage risks and allocate resources most efficiently.
Executive Business Program: Driving Performance through Integrated Reporting
The program has been designed by Harvard Business School Professors Robert Eccles and George Serafeim and they also act as the lead teachers of the program. Both professors are well known and respected names in the industry and have conducted significant research on corporate reporting that has been published in the top academic and practitioner journals, such as Harvard Business Review and Sloan Management Review, and written several books on this subject, such as One Report: Integrated Reporting for a Sustainable Strategy, the first book on integrated reporting that contributed to the formation of the IIRC.
The program also has several well-known and respected guest speakers from leading companies practicing integrated reporting, investors, the IIRC, SASB, the Global Reporting Initiative (GRI), and a variety of subject matter experts from different industries to give the students a good overall understanding of the benefits of integrated reporting.
Global organizations who want to be on the forefront of corporate reporting.
Robert G. Eccles
Professor of Management Practice
Assistant Professor of Business Administration