Three features of Integrated Reporting will represent a significant change to current practice:
- Holistic performance requires reporting to move beyond traditional financial metrics, recognising other measures of performance.
- Its longer term and forward looking nature will provide a better understanding of how current and future events affect value.
- Its integration of information with the business model will provide greater transparency, by linking performance to strategic objectives.
In this second edition of Integrated Reporting, we start by explaining how Integrated Reporting can help organizations better explain their value creation story. We then review progress in South Africa where Integrated Reporting is already becoming a reality.
We also address some of the practical issues that companies may find on the Integrated Reporting journey. One of the most common questions raised by companies is “what does an Integrated Report look like?”. Michael Bray provides insight to this question, whilst Matt Chapman and Wim Bartels address the particular issue of corporate responsibility reporting within an Integrated Report and Mark Hoffman explains how Integrated Reporting principles can, and are being, adapted for Public Sector entities. Nick Ridehalgh considers the relevance of Integrated Reporting to good corporate governance and we end with answers to some commonly asked questions.