New KPMG survey shows corporate responsibility reporting is now a standard business practice worldwide.
The challenge for companies is to use the Corporate Responsibility reporting process to identify the most important environmental and social issues for their business and stakeholders.
REPORTING ON corporate responsibility (CR) is now a standard business practice worldwide, undertaken by almost three quarters (71 per cent) of companies, according to the 8th KPMG Survey of Corporate Responsibility Reporting published recently.
The 2013 edition of the KPMG survey marks 20 years since the first survey was published in 1993. This year the research is more extensive than ever, covering the top 100 companies by revenue across 41 countries, a total of 4100 companies. The 1993 survey looked at companies in just 10 countries.
Based on KPMG’s survey the number of companies reporting on CR has increased by 7 percentage points since 2011. Among the world’s largest 250 companies (the G250), the CR reporting rate is 93 per cent.
“Companies should no longer ask whether or not they should publish a CR report. That debate is over,” said Yvo de Boer, Global Chairman Climate Change & Sustainability Services.
“The important questions now are ‘what should we report?’ and ‘how should we report it?’ The challenge for companies is to use the CR reporting process to identify the most important environmental and social issues for their business and stakeholders. They can then bring those issues into the heart of corporate strategy to manage risks, unlock opportunities and build long-term value.”
CR Reporting in the UAE
The 2013 survey includes data on UAE companies for the first time. The results show that CR Reporting in the UAE has progressed at a slower rate than in the rest of the world. Only 1 out of every 4 UAE companies surveyed (22 per cent) are reporting on corporate responsibility, compared to the global average of 3 in 4 (71 per cent).
The lack of regulation which mandates CR reporting is likely to be a core reason why CR reporting is not common practice for UAE companies. Whilst CR reporting in the UAE is therefore a voluntary activity, 16 of the 22 reporting companies have stated that they have a CR strategy in place. This shows that the majority of UAE companies who report on CR are doing so as part of a strategic approach that identifies the CR issues which matter most to their business.
Andrew Robinson, Partner for KPMG in the UAE, observed that “these UAE companies have identified that CR reporting is the means by which a business can understand both its exposure to the risks of social and environmental changes and its potential to profit from the new commercial opportunities.”
About the Survey
This KPMG Survey of Corporate Responsibility Reporting 2013 is published primarily for business leaders, company boards and CR and sustainability professionals. It provides a snapshot of current global trends in CR reporting with benchmarks, guidance and insights to help companies worldwide determine their own approaches to CR reporting and to assess and improve the quality of their reports. This year the survey, which has been regularly published since 1993, covers a record 41 countries and 4100 companies across 15 industry sectors.
The growth in the number of countries and companies covered in this survey is just one indication of how CR reporting has evolved into a mainstream business practice over the last two decades.
This format of this survey has changed to reflect that evolution. This year the survey is divided into two parts:
Part 1: Global trends in CR reporting: a view across 41 countries
This section looks at the 100 largest companies by revenue in 41 countries to explore how many companies are producing CR reports and other issues such as the drivers for reporting, sectoral variances, and the use of standards and assurance for CR reports.
Part 2: The quality of reporting among the world’s largest companies
This section looks specifically at the world’s largest 250 companies. It assesses the quality of their CR reports, identifies leaders and uses these examples to offer guidance and insights.
Download a copy of the KPMG Survey of Corporate Responsibility Reporting 2013 here: www.kpmg.com/crrsurvey
