Corporate Reporting Reforms in 21st Century and Value Creation: A Study of Select Companies in India

Abstract

Most of the companies in the world laid emphasis on the disclosure of financial information. Research studies have shown that the non-financial information combined with the financial information is vital for the value creation and long-run sustainability of the business organisation. On perusing the corporate reports, one finds that a number of non-financial information having tremendous potential for value creation have not been accounted for in many of the corporate reports. Sustainability reporting gained its importance after global financial crisis, 2008. Integrated reporting (IR), a new corporate reporting development adopted after 2013, integrates both the non-financial as well as financial information of the companies through six capitals. Here an attempt has been made to examine the corporate reporting reforms in 21 st century, such as sustainability reporting, ESG reporting and integrated reporting which are followed by the companies recently for long-run value creation. The content analysis of corporate reports of select Indian companies has been done in this article. The innovative corporate reporting reforms will create value for the organization which will benefit the stakeholders.