Interest in and adoption of integrated reporting regarding a company’s business model and strategy for value creation over the short, medium and long term, has grown rapidly in recent years. However, since no universally accepted framework for integrated reporting yet exists, and it is still largely a voluntary practice, market practices in preparing “integrated reports” (IR) and norms are still evolving. Additionally, a number of sustainability or Environmental, Social and Governance (ESG) reporting frameworks and standards have emerged; yet, the various frameworks that have been established by different organizations are not aligned and sometimes even conflict in nature, resulting in a challenging and fragmented landscape for corporations.
Integrated Reporting Working Group
After noticing an opportunity for corporate stakeholders to share their learnings, establish a common understanding of the existing landscape and build consensus on the future of corporate reporting for US companies, the Governance Center, in collaboration with PwC, has convened a cross-functional working group, consisting of corporate external reporting executives (financial, sustainability, and attorneys), investors, and service providers to discuss the current and desired state of integrated reporting. The Working Group meets on a quarterly basis to:
- Explore trends in (financial and non-financial) corporate reporting, examples of innovative reporting, emerging standards, and stakeholder expectations.
- Assess key challenges companies are facing in meeting any identified trends (i.e., lack of standards, systems, processes).
- Discuss potential ways integrated reporting can continue to evolve to meet changing company and stakeholder needs.
- Understand the legal, accounting, and other regulatory challenges that face IR efforts.
Ultimately, the Working Group wants to agree on, and bring clarity to, integrated reporting in a way that is understandable to internal corporate stakeholders (including C-suite executives and directors) and that addresses the growing expectations of institutional investors and other external stakeholders.
Participating Governance Center Members
- AT&T INC.
- BLACKROCK, INC.
- CALIFORNIA STATE TEACHERS’ RETIREMENT SYSTEM
- CLEARY GOTTLIEB STEEN & HAMILTON LLP
- COCA-COLA COMPANY
- DELOITTE LLP CENTER FOR CORPORATE GOVERNANCE
- EDISON INTERNATIONAL
- GENERAL MOTORS COMPANY
- LATHAM & WATKINS LLP
- MORROW SODALI GLOBAL
- PEPSICO, INC.
- PFIZER INC.
- PULTEGROUP, INC.
- PwC (Co-Chair)
- UNITEDHEALTH GROUP
- WEIL, GOTSHAL & MANGES LLP