Date: 2024-10-19 Page is: DBtxt003.php txt00018901
IIRC
IIRC announces new Chair of Council to drive consensus towards a global reporting system
Conor Kehoe, former McKinsey & Company senior partner, has been appointed Chair of the International Integrated Reporting Council (IIRC)
Peter Burgess
IIRC announces new Chair of Council to drive consensus towards a global reporting system
Conor Kehoe, former McKinsey & Company senior partner, has been appointed Chair of the International Integrated Reporting Council (IIRC) and will work with the IIRC Board and executive to achieve a global consensus on the structure and implementation of a comprehensive corporate reporting system.
Mr Kehoe led a McKinsey review of the corporate reporting system in 2019 and joins the IIRC Council as it steps up its work to address confusion in the reporting landscape through convergence.
Mr Kehoe replaces Dominic Barton who chaired the Council between 2018-2020 and stepped down to take up the post as Canada’s Ambassador to China.
The appointment comes as the IIRC celebrates its 10th anniversary and reflects on the progress made to introduce more effective, robust decision-making by businesses and investors globally – with adoption of the International
The IIRC Council is a global coalition of regulators, investors, companies, standard setters, the accounting profession, academia and NGOs promoting communication about value creation as the next step in the evolution of corporate reporting. Through dialogue and advocacy, the diverse IIRC Council will be a key means of driving the development of a cohesive, connected reporting system in the coming years.
Commenting, Conor Kehoe said:
“In a world that is being reshaped by Covid-19 and is still facing the existential threat of climate change, the IIRC’s multi-capital agenda has never been more relevant.Barry Melancon, Chair, IIRC Board said:
“The concepts at the heart of integrated reporting – the connectivity of information reflected in integrated thinking; the board leadership it demands; and the broadening of business models to ensure they respond to the legitimate needs and expectations of stakeholders – must become the permanent features of a new global system for reporting.
“The IIRC will step up its work with our partners to ensure theFramework is linked to a comprehensive set of standards, interconnected oversight and assurance, that enables increased trust and confidence.
“I look forward to working with the IIRC team, Board and Council to drive this crucial work forward.”
“A highly respected business leader internationally, Conor brings with him the skills we need to prepare for the next ten years – a decade in which we aim to complete our mission. We will be seeking new ways to intensify the adoption of integrated thinking and reporting internationally and will ensure our principles form the basis of a new global system reflected in regulation, market practice and assurance.”Further information:
The International Integrated Reporting Council (IIRC) is a global coalition of regulators, investors, companies, standard setters, the accounting profession, academia and NGOs. The coalition promotes communication about value creation as the next step in the evolution of corporate reporting.
The IIRC is currently consulting on revisions to the International
Media enquiries, please contact Juliet Markham, Head of Communications, on juliet.markham@theiirc.org Twitter Facebook Website Copyright © 2020 International Integrated Reporting Council, All rights reserved. You are signed up for this newsletter because you have subscribed to the IIRC's mailing list or participate in one of our networks.
Our mailing address is: International Integrated Reporting Council The Helicon, Third Floor 1 South Place London, EC2M 2RB United Kingdom
---------------------------------------------------
Integrated Reporting ... one of the world's most important initiatives
Peter Burgess
My impression is that Integrated Reporting (IR) has the most effective reporting design among the major corporate reporting initiatives that have emerged over the last few years ... but in my view still a long way from what is truly needed.
My interest in the importance of social and environmental issues goes back to the 1970s when I was a young CFO and exposed to the bad behavior of international companies. My own company had very high social and environmental standards for our own behavior, but this was unusual. Of course, we were not as profitable as those companies with low ethical standards, but 40+ years later, I believe we did what was right, and I would not change that for anything.
I learned some engineering and economics at Cambridge ... and qualified as a Chartered Accountant after training with Cooper Brothers & Co in London in 1965. I became a young CFO in the United States in my early 30s. I have been interested in socio-enviro-economic performance ever since, and for many years did consulting work for the World Bank. the United Nations and others.
Every successful company on the planet has a powerful management accounting system that enables profit performance optimization, but mostly the management of social impact and environmental impact is absent ... though increasingly these subjects are talked about and incorporated in corporate publicity. There is little or no quantification of these matters ... and with out measurement, there is no ability for these matters to be managed.
It should be possible to ascertain which of the big oil companies are the most unsustainable. ALL of these companies are doing immense damage to the environment, but it is not possible to say which is the most unsustainable. Which of these companies is making the most progress towards being less unsustainable.
Is there any reporting methodology that embraces the notion that profit performance may be measured on two ways: (1) by reference to all the transactions as documented in the P&L account or (2) by looking at the changes in the balance sheet from the beginning to the end of the reporting period. The latter is my preferred methodology because it requires so much less detailed effort and usually gives a more reliable answer. Every company should be accounting and reporting for the impact not only on their own financial balance sheet, but also on the impact they are having on the social balance sheet and the environmental (natural capital) balance sheet both within their limited reporting envelope but also at every material level of the world in which they operate.
Companies should be accountable not only for the money flows and the financial valuadd / profit but also (1) the impact of their products as they flow through the system, (2) the impact of their activities in the places where they operate (or no long operate) and (3) the impact of their behavior on people (investors, managers, employees, customers and the wider public),
None of this is particularly difficult to do in the modern era where technology is so powerful ... but it is not being done because a lot of powerful companies and individuals simply do not want this sort of meaningful information to be in play. For many companies, their stock prices are not over-valued by 5% but more like 5X ... and that is not something investors and business leaders want to address.
I will do all I can, to help to make IR truly fit for purpose at this very troubling time in world affairs. To the extent that I can be helpful ... I will do all I can.
Respectfully
Peter Burgess
_____________________________
Peter Burgess ... Founder and CEO
TrueValueMetrics ... Meaningful Metrics for a Smart Society
True Value Impact Accounting ... Multi Dimension for ALL the Capitals
http://www.truevaluemetrics.org
LinkedIn: www.linkedin.com/in/peterburgess1/
Slideshare: http://www.slideshare.net/PeterBurgess2/
Twitter: @truevaluemetric @peterbnyc
Telephone: 570 202 1739
Email: peterbnyc@gmail.com
Skype: peterbinbushkill
Juliet Markham, Head of Communications, on juliet.markham@theiirc.org
'Juliet Markham'