More companies are reporting on their corporate responsibility – thus bringing increased risks 

With CR reporting now having become the norm among large global companies, there are issues regarding comparability and data quality. The study reveals clear differences in this respect. A proactive communication strategy in relation to corporate responsibility does not necessarily mean that the internal information systems and processes that are required for measuring CR factors have been established. This becomes clear when process maturity results are compared to CR reporting.

Many US companies, for example, very actively communicate but have introduced comparatively few quality assurance standards. This carries the risk of having to correct information after the fact. In addition to the necessary revaluations because of a purchase or sale of a business unit, incorrect energy consumption data, recalculated emission values or unrecorded training hours, for example, can necessitate restatements. Corrections to information presented can jeopardize confidence in CR activities or change a company’s position in a comparative index. Downgrading in an index entails the risk, for example, of no longer being considered by sustainability funds. Switzerland also has some catching up to do: in an international quality comparison, it only has an upper middle ranking.

At a global level, the industry sectors that carry out most CR reporting are those which are heavily involved in society and the environment. 84% of all companies examined in the forestry and paper industry and 84% of mining companies report their CR activities.

Those sectors that are particularly strongly represented in Switzerland also recorded significant rates of growth: compared with the last survey, the proportion of companies undertaking CR reporting increased in the financial services and insurance industry by 11%, in the food and beverage industry by 20% and in the chemicals sector by 6%. The proportion in the pharmaceuticals industry more than doubled from 25% to 64%. There is potential to make up ground in particular among transport companies, which have made great efforts in the last few years to reduce their emissions.

In contrast to 2008, when companies were primarily motivated to publish CR reports by ethical considerations, strengthening the reputation and the brand emerges as the key driver in the current study. In the majority of cases at least, purely economic considerations are no longer given high priority: only 32% (compared to 68% in 2008) of companies cited economic factors as the reason for disclosing their CR activities. In Switzerland, too, reputation, at 68%, was at the top of the list as a motivator – closely followed by ethical considerations (64%). The economic benefit is given higher priority in Switzerland, with 64%, than on average internationally.

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For further information, please contact:

KPMG AG

Andreas Hammer

Head of Public Relations & Public Affairs

Telephone: +41 44 249 48 20

Mobile: +41 79 335 75 06

E-mail: kpmgmedia@kpmg.ch

www.kpmg.ch