Integrated reporting - Lecture 4

Question 1

What is an integrated report?

Answer 1

A concise communication about how an organisations strategy, governance, performance and prospects, in the context of its external environment, leads to the creation of value

Question 2

What are some of the problems that integrated reporting can help deal with?

Answer 2

.Company reports are mainly backward looking
.Lack of focus on sustainability
.Lack of long-term vision

Question 3

What does integrated thinking provide?

Answer 3

A basis for a more joined up approach to strategic planning and delivery

Question 4

What does integrated reporting provide?

Answer 4

A basis for joined up reporting

Question 5

What is the integrated reporting approach?

Answer 5

.Explain how value is created over time
.Deliver benefit for ALL interested stakeholders
.Principles-based approach

Question 6

What are the 6 capitals?

Answer 6

1. Financial
2. Manufactured
3. Intellectual
4. Human
5. Social and relationship
6. Natural

Question 7

What purpose does the 6 capitals serve?

Answer 7

.Underpin value creation
.Used as a guideline
.Ensure organisations consider ALL forms of capital utilized by them
.Don’t need to be followed to the letter

Question 8

What are some of the guiding principles for integrated reporting?

Answer 8

.Materiality
.Consciousness
.Reliability and completeness
.Consistency and comparability
.Future orientation and strategic focus

Question 9

What are some content elements for integrated reporting?

Answer 9

.Governance
.Basis of preparation
.Organisational overview
.External environment
.Business model
.Risks and opportunities
.Performance

Question 10

What are some of the benefits of integrated reporting?

Answer 10

.Greater clarity on business issues and performance
.More integrated thinking and management
.Enhanced clarity on business issues
.Enhanced clarity on performance
.Employee engagement
.Efficient reporting for users and preparers of reports