Comprehensive sustainability reporting critical for companies
Corporate responsibility reporting is on the rise globally, but only about half of Asia-Pacific companies report on their activities, according to KPMG.
“Ninety-five per cent of the 250 largest companies in the world now report on their corporate responsibility activities,” Paul Flipse, head of climate change and sustainability services at KPMG Thailand, said yesterday.
“Europe continues to see the highest reporting rates, but CR reporting still has a long way to go in Asia,” he said, referring to KPMG’s “International Survey of Corporate Responsibility Reporting 2011”.
“CR reporting is more than just being a good corporate citizen,” he said. “It enhances brands, drives innovation and promotes employee motivation, which helps companies grow their business and increase their organisation’s value.”
Most Thai companies address sustainability in some form, usually through employee-based community activities and donation programmes.
Some companies maintain methods of reporting, however, very few have a strategic framework with long-term sustainability goals and even fewer have audit assurance of their CR programmes.
“In our own experience in the market, we have witnessed countless companies discover new opportunities for business improvement by analysing their CR reporting data and developing continuous improvement programmes to effect lasting change” he said.
The survey sampled 3,400 companies from 34 countries around the world, including the 250 largest global companies (G250) and the 100 largest companies by revenue in each country (N100).
For the N100 companies, CR reporting by the consumer markets, pharmaceuticals and construction industries more than doubled since KPMG’s last survey in 2008, but overall numbers in some sectors – such as trade and retail and transportation – continue to lag stubbornly behind.
Companies are increasingly demonstrating that CR reporting provides financial value and drives innovation, reflecting the old adage of “what gets measured gets managed”.
Almost half of the G250 companies report gaining financial value from their CR programmes, while a third of N100 companies report the same.
The KPMG International Corporate Responsibility Reporting Survey represents the largest and most comprehensive survey of CR reporting trends ever published, with 3,400 companies representing the national leaders from 34 countries around the world, including the G250.
For a copy of the KPMG International Corporate Responsibility Reporting Survey 2011, go to www.kpmg.com/Global/en/IssuesAndInsights/ArticlesPublications/corporate-responsibility/Pages/default.aspx
