User Perceptions of Sustainability Reporting
DOI:
https://doi.org/10.14738/abr.77.6751Keywords:
sustainability reporting, CPA opportunities, environmental reports, global reporting initiative (GRI)Abstract
Over the past two decades, accounting firms and corporate stakeholders began measuring and reporting social and environmental performance along with financial reporting measures in the form of a sustainability report. The number of Standard & Poor’s 500 Index (S&P 500®) firms issuing sustainability reports grew from 20% in 2011 to 81% in 2015 (Coppola, 2016) and continued to do so through 2018 (Aquila, 2018). Such reporting suggests that activists, environmentalists, and internal users find reports to be beneficial in enhancing the company’s ability to achieve long-run goals. This paper reports the opinions of senior executives about the usefulness of sustainability reports. Results indicate that executives read and use these reports as part of the complete analysis of their own and other firms, and they do not believe that additional environmental or sustainability disclosures are necessary.
References
AICPA (2015). “The CPA’s Role in Sustainability Assurance. Balancing Priorities: Profits, People and Planet”. Official Brochure issued in 2015 by the American Institute of Certified Public Accountants. Retrieved from: <http://www.aicpa.org/InterestAreas/BusinessIndustryAndGovernment/Resources/Sustainability/DownloadableDocuments/AICPA-Sustainability-Assurance-Brochure.pdf>
Arbex, Nelmara et al. (2013). “The external assurance of sustainability reporting.” Global Reporting Initiative, Research Report. 2013. Retrieved from: < https://www.globalreporting.org/resourcelibrary/GRI-Assurance.pdf>
Aquila, J. (2018) The current state of accountability reporting: A work in progress.
Journal of Accountancy. July 2018. Accessed online at https://www.cpajournal.com/2018/07/30/the-current-state-of-sustainability-reporting/
Borgers, Arian et al. (2013). “Stakeholder relations and stock returns: On errors in investors’ expectations and learning.” UCD & CalPERS Sustainability & Finance Symposium, March 2013. Retrieved from: < https://papers.ssrn.com/sol3/papers.cfm?abstract_id=2222897>
CCC (2013). “Value of Sustainability Reporting.” A study by the Center for Corporate Citizenship and Ernst & Young LLP. Retrieved from: <http://www.confluencellc.com/uploads/3/7/9/6/37965831/valueofsustainabilitysummary.p
Derwall, J., Koedijk, K., Ter Horst, J.R., (2011). A tale of values-driven and profit-seeking social investors. Journal of Banking and Finance 35, 2137-2147.
Elkington, John (2000). “Cannibals with Forks: The Triple Bottom Lind of 21st Century Business. Journal of Business Ethics 23.2 (Jan 1, 2000): pp.229-231
EPA (2016). “What is EPCRA?”. Environmental Protection Agency. Retrieved from: < https://www.epa.gov/epcra/what-epcra>
Horst, Jenke ter, et al., (2015). “Do social factors influence investment behavior and performance? Evidence from mutual fund holdings”. Journal of Banking & Finance, Volume 60, November 2015, Pages 112–126
Kaplan, M. (2016). Early returns: Companies change non-GAAP financial disclosures following
Recently issued SEC guidance. Retrieved from:
http://clsbluesky.law.columbia.edu/2016/09/08/early-returns-companies-change-non-gaap-
financial-disclosures-following-recently-issued-sec-guidance/
KPMG (2005). “KPMG International Survey of Corporate Responsibility Reporting 2005, KPMG International”. Retrieved from < http://oldwww.wbcsd.org/web/publications/news/kpmg2005.pdf>
KPMG (2015). “The KPMG Survey of Corporate Responsibility Reporting 2015”. November 24, 2015 Retrieved from: < https://home.kpmg.com/xx/en/home/insights/2015/11/kpmg-international-survey-of-corporate-responsibility-reporting-2015.html>
SEC (2012). Final Guidance on Reporting on Conflict Minerals. 17 CFR PARTS 240 and 249b
[Release No. 34-67716; File No. S7 -40-10] RIN 3235- AK84. Retrieved from: < https://www.sec.gov/rules/final/2012/34-67716.pdf>
Walker, Leon (2011). “Big Four Audit Firms Lead Sustainability Assurance Services.” Environmental Leader, June 6th, 2011. Retrieved from: <http://www.environmentalleader.com/2011/06/22/big-four-audit-firms-lead-sustainability-assurance-services/#ixzz4N7IPa2cT>
Young, S.T. & Dhanda, K.D. (2012). Sustainability: Essentials for Business. Thousand Oaks, CA. SAGE Publications, Dec 5, 2012. pp. 246-249.
Arbex, Nelmara et al. (2013). “The external assurance of sustainability reporting.” Global Reporting Initiative, Research Report. 2013. Retrieved from: < https://www.globalreporting.org/resourcelibrary/GRI-Assurance.pdf>
Aquila, J. (2018) The current state of accountability reporting: A work in progress.
Journal of Accountancy. July 2018. Accessed online at https://www.cpajournal.com/2018/07/30/the-current-state-of-sustainability-reporting/
Borgers, Arian et al. (2013). “Stakeholder relations and stock returns: On errors in investors’ expectations and learning.” UCD & CalPERS Sustainability & Finance Symposium, March 2013. Retrieved from: < https://papers.ssrn.com/sol3/papers.cfm?abstract_id=2222897>
CCC (2013). “Value of Sustainability Reporting.” A study by the Center for Corporate Citizenship and Ernst & Young LLP. Retrieved from: <http://www.confluencellc.com/uploads/3/7/9/6/37965831/valueofsustainabilitysummary.p
Derwall, J., Koedijk, K., Ter Horst, J.R., (2011). A tale of values-driven and profit-seeking social investors. Journal of Banking and Finance 35, 2137-2147.
Elkington, John (2000). “Cannibals with Forks: The Triple Bottom Lind of 21st Century Business. Journal of Business Ethics 23.2 (Jan 1, 2000): pp.229-231
EPA (2016). “What is EPCRA?”. Environmental Protection Agency. Retrieved from: < https://www.epa.gov/epcra/what-epcra>
Horst, Jenke ter, et al., (2015). “Do social factors influence investment behavior and performance? Evidence from mutual fund holdings”. Journal of Banking & Finance, Volume 60, November 2015, Pages 112–126
Kaplan, M. (2016). Early returns: Companies change non-GAAP financial disclosures following
Recently issued SEC guidance. Retrieved from:
http://clsbluesky.law.columbia.edu/2016/09/08/early-returns-companies-change-non-gaap-
financial-disclosures-following-recently-issued-sec-guidance/
KPMG (2005). “KPMG International Survey of Corporate Responsibility Reporting 2005, KPMG International”. Retrieved from < http://oldwww.wbcsd.org/web/publications/news/kpmg2005.pdf>
KPMG (2015). “The KPMG Survey of Corporate Responsibility Reporting 2015”. November 24, 2015 Retrieved from: < https://home.kpmg.com/xx/en/home/insights/2015/11/kpmg-international-survey-of-corporate-responsibility-reporting-2015.html>
SEC (2012). Final Guidance on Reporting on Conflict Minerals. 17 CFR PARTS 240 and 249b
[Release No. 34-67716; File No. S7 -40-10] RIN 3235- AK84. Retrieved from: < https://www.sec.gov/rules/final/2012/34-67716.pdf>
Walker, Leon (2011). “Big Four Audit Firms Lead Sustainability Assurance Services.” Environmental Leader, June 6th, 2011. Retrieved from: <http://www.environmentalleader.com/2011/06/22/big-four-audit-firms-lead-sustainability-assurance-services/#ixzz4N7IPa2cT>
Young, S.T. & Dhanda, K.D. (2012). Sustainability: Essentials for Business. Thousand Oaks, CA. SAGE Publications, Dec 5, 2012. pp. 246-249.
Downloads
Published
2019-07-14
How to Cite
Baker, P., & Baker, J. K. (2019). User Perceptions of Sustainability Reporting. Archives of Business Research, 7(7), 46–53. https://doi.org/10.14738/abr.77.6751
Issue
Section
Articles
