Date: 2024-05-18 Page is: DBtxt003.php txt00026020
MANAGEMENT METRICS
NON-FINANCIAL CORPORATE REPORTING
Corporate Reporting Dialogue: Driving Alignment in Climate-related Reporting ... Year One of the Better Alignment Project
NON-FINANCIAL CORPORATE REPORTING
Corporate Reporting Dialogue: Driving Alignment in Climate-related Reporting ... Year One of the Better Alignment Project
Original article: https://www.integratedreporting.org/wp-content/uploads/2019/09/CRD_BAP_Report_2019.pdf Original article: https://www.integratedreporting.org/wp-content/uploads/2019/09/CRD_BAP_Report_2019.pdf
Peter Burgess COMMENTARY
The idea of better alignment of corporate reporting practices is fine ... but from my perspective ESG is only a subset, and a secondary subset, of corporate reporting. So, any initiative that has the goal:
'... to better support organizations in preparing environmental, social and governance (ESG) disclosures'.is really a waste of time and effort.
It is good to get the many different organizations interested in the reporting of non-financial corporate performance into alignment but it must be done right otherwise it will result in an aggregate weakening of the results rather than a strengthening. More on this elsewhere.
I have a problem with the core structure of corporate reporting being promulgated by this initiative ... specifically I object to this reporting being 'decoupled' from the financial reporting.
The people ... and the accounting profession ... that does the work of financial reporting most likely fully appreciates that almost all corporate social impact or environmental impact initiatives are going to have a negative impact on reported financial performance. Many of these people are beholden in some way to a corporate mindset and management team that works to maximise profit and stock value ... with nothing like it for social impact and environmental impact.
In my view this needs to change ... and the Corporate Reporting Dialog (CRD) is doing a disservice to society by not addressing this matter.
MORE TO BE ADDED The collaborating organizations are CDP ... CDSB ... Climate Disclosure Standards Board GRI ... Global Reporting Initiative IR ... Integrated Reporting SASB ... Sustainable Accounting Statndards Board
Peter Burgess
- CDP ... formerly Climate Disclosure Project
- CDSB ... Climate Disclosure Standards Board
- GRI ... Global Reporting Initiative
- IR ... Integrated Reporting
- SASB ... Sustainable Accounting Statndards Board
- FASB ... Financial Accounting Standards Board
- IASB / IFRS ... International Accounting Standards Board
- ISO ... International Organisation for Standardisation