Non-financial Issues Research Articles

Corporate board, assurance and sustainability reporting practices: a focus on selected African countries

PurposeIn recent times, stakeholders have called on corporate organizations especially those charged with governance to embrace full disclosure on non-financial issues, especially sustainability reporting. Based on this premise, this study aims to examine the influence of corporate board and assurance on sustainability reporting practices (SRP) of selected 80 firms from 8 countries in sub-Saharan Africa.Design/methodology/approachTo measure the corporate board, the authors use both board variables and audit committee variables. Also, the authors adapted the sustainability score model as used by previous authors in the field of sustainability disclosure to measure SRPs. The analysis was done using both ordered logistic regression and probit regression models.FindingsThe results show that the combination of board corporate and assurance has a positive and significant impact on the sustainability reporting practice of selected firms in sub-Saharan Africa.Practical implicationsThe study places emphasis on the need for strong collaboration between the corporate board and external assurance in evaluating and enhancing the quality of sustainability disclosure.Originality/valueThe study bridged the gap in the literature in the area of corporate board, assurance and SRP of corporate firms which has received little attention within sub-Saharan Africa.

Kinerja Usaha Mikro Kecil dan Menengah (UMKM) Makanan Binaan Pusat Layanan Usaha Terpadu-Usaha Mikro Kecil dan Menengah (PLUT-UMKM) di Kota Bandar Lampung

Micro, Small, and Medium-Sized Enterprises (MSMEs) are productive businesses owned by individuals or legal entities that meet the requirements of a business. Micro- and small-sized businesses continue to confront a variety of financial and non-financial issues. Therefore, to encourage improved business performance, MSMEs are provided with coaching and/or mentoring by the Integrated Business Service Center-Micro, Small and Medium Enterprises (PLUT-UMKM). Most of the MSMEs assisted by PLUT-UMKM in Bandar Lampung City are food MSMEs. The focus of this study is to determine the achievement of PLUT-UMKM coaching targets, determine the performance of MSMEs, and analyze the effect of achieving PLUT-UMKM coaching targets on MSME performance. The method used in this research is a survey. The sampling technique in this study used proportional stratified random sampling. The data collection method used was interviews. This research employs quantitative descriptive analysis and multiple linear regression analysis to analyse the data. The results of this study indicate that the achievement of PLUT-UMKM coaching targets is in the good enough category, the performance of MSMEs assisted by PLUT-UMKM is in the good category, and the variables that have a significant effect on MSME performance are the variables of access to financing and business networks.

The impact of environmental, social and governance policies on companies’ financial and economic performance: A comprehensive approach and new empirical evidence

In the last decade, the use of integrated reports (IR) comprising information on non-financial indicators from the environment, social, and governance (ESG) category has increased in time. Companies are now focusing not only on financial reporting but are notably including non-financial issues in their public reports. In doing so, they seek to align activities with the expectations of their stakeholders and the society in which they operate, as well as with various regulations, which are increasingly relevant worldwide. This study examines the impact of ESG reporting on company performance. Our research involved analyzing financial and non-financial data from 2,400 companies extracted from the Refinitiv Eikon database. Two methods of quantitative analysis were applied, namely multiple linear regression models processed by the robust regression method and structural equation modelling. Main findings entail that ESG indicators had strong and medium effects on company performance, but these effects varied across different dimensions, requiring a tailored approach to embed ESG factors in corporate strategy to enhance overall performance. Our paper provides a new perspective on the current and the potential impact of ESG reporting, based on systematic theoretical and empirical analyse , with multiple implications for business administration and management.

Sustainable CSR: Legal and Managerial Demands of the New EU Legislation (CSRD) for the Future Corporate Governance Practices

Despite its short-term use, non-financial reporting is an important measure, as demonstrated by numerous theoretical studies and empirical research. However, the mandatory nature of non-financial reporting and public pressure have persuaded company management to address non-financial issues alongside financial ones. Companies from countries with a more prolonged culture and tradition have been more successful in this respect than the companies from “younger” transition countries. Overall, non-financial reporting has raised the level of social responsibility in companies. However, things are far from ideal. Many uncertain situations, e.g., environmental, health, energy, etc., bring new challenges. They require not only non-financial, but also sustainable solutions. Therefore, it is unsurprising that the disclosure of non-financial information has also been renamed sustainability reporting (regarding designation in legal acts). In the presented research, we analyze how Slovenian companies comply with the current legislation (NFRD) requirements and whether their non-financial reports are qualitatively and quantitatively adequate. We are interested in what changes the new legislative proposal (CSRD) requires from them. Are the efforts of the legislator going in the right direction? Will companies be better prepared for environmental and social risks, and therefore better manage for sustainability once the CSRD is in place? The results suggest that the qualitative part of the non-financial reporting is the weakest. This gap in the quality of (required) non-financial reporting is also the subject of the presented research, which shows the (non)quality of the present non-financial reporting and therefore justifies the development of further requirements. Thus, CSRD introduces mandatory and uniform reporting standards based on double materiality, unification of the system of sanctions, external audit, etc. Therefore, our expectations that the new directive will contribute to more sustainability-oriented corporate governance are legitimate and justified. Since the CSRD harmonized sustainability reporting in the EU, this applies to Slovenia and all member states.

İKLİM İLE İLİŞKİLİ HUSUSLARIN FİNANSAL ETKİSİ VE FİNANSAL RAPORLARDA SUNUMU: BİR HAVAYOLU İŞLETMESİ ÖRNEĞİ

İklim ile ilişkili hususların (iklim değişikliği, iklim krizi) oluşturduğu riskler ya da fırsatlar, sadece çevresel değil aynı zamanda sosyal ve ekonomik etkilere de sahiptir. Bu etkilerin doğal olarak ekonominin en büyük aktörleri olan işletmelerin; faaliyetleri (üretim, tedarik zinciri, insan kaynakları vb.) ve finansal göstergeleri üzerinde de sonuçları olmaktadır. Dolayısıyla yatırımcılar başta olmak üzere birçok işletme paydaşı iklim ile ilişkili veya diğer muhtelif finansal olmayan hususların işletmenin faaliyetleri üzerindeki etkileri hakkındaki bilgilerin finansal raporlar içerisinde sunulmasını talep etmektedirler. İklim ile ilişkili hususların finansal açıklamalara dahil edilmesi konusunda artan bu talebi karşılamak adına uluslararası kurumlar (TCFD, CDSB, EFRAG vb.) son yıllarda birtakım çalışmalar yürütmektedir. Bu çalışmaların oluşturduğu karmaşık ve çoklu yapının IFRS Vakfı’nın Uluslararası Sürdürülebilirlik Standartları Kurulu’nu (ISSB) kurduğunu ilan etmesi ile birlikte daha sade hale geleceği öngörülmektedir. Kurul, konu hakkında IFRS S1 Sürdürülebilirlik ile İlişkili Finansal Bilgilerin Açıklanması için Genel Koşullar ve IFRS S2 İklim ile İlişkili Açıklamalar isimli iki standardı en kısa sürede sonuçlandırıp işletmelerin kullanımına sunmayı planlamaktadır. Böylelikle IFRS Vakfı bünyesinde faaliyet gösteren IASB ile finansal raporlamada sağlanan uluslararası standartlaşmanın ISSB ile finansal olmayan raporlamada da sağlanması öngörülmektedir. Uluslararası alanda bu gelişmeler yaşanırken Türkiye’deki işletmelerin iklim ile ilişkili hususlara yönelik açıklamaları finansal raporlarında nasıl yapacakları konusunda ise bir boşluk bulunmaktadır. Bu çalışmada söz konusu boşluktan hareket edilmiş olup konu ile ilgililere hem bir kavramsal çerçeve sunulmuş hem de konunun somut olarak anlaşılması için bir havayolu işletmesi örnek olayı üzerinden iklim ile ilişkili hususların zincirleme şekilde işletmenin finansal raporlarını nasıl etkilediği ve bu etkinin raporlarda nasıl sunulabileceği gösterilmiştir.

Toward Symmetry: An Assessment of Stockholder Communication Practices in South Africa

Investor Relations (IR) has gained prominence globally and is now considered to be a major contributor to corporate value. For companies to thrive in the global environment, they need to build and maintain mutually beneficial relationships with their primary stakeholder, the stockholder. Consequently, scholars have argued that for IR to maximize its benefit to companies, the profession needs to shift from one-way asymmetrical communication to two-way symmetrical communication with stockholders. Although scholars have recommended this shift, there is a paucity of studies that have explored whether two-way symmetrical communication has been embraced in IR practice. Using the two-way symmetrical model of communication as its framework, and a qualitative methodology consisting of in depth interviews, documents analysis, and qualitative content analysis, this paper assessed how Investor Relations professionals in South Africa use communication to maintain relationships with stockholders. The findings of the study show that most IR professionals in South Africa are using what we term a bridged approach, consisting of one-way and two-way symmetrical communication, to maintain relationships with stockholders. Evidence gleaned from the study further indicates that the nature of communication between IR practitioners and stockholders has broadened beyond financial issues to include engagement on non-financial issues. These findings do not only show the existence of a paradigm shift in IR practice in South Africa, they also suggest the need by IR as a field to maintain constant dialogue with Public Relations theory.

Indigenous knowledge promotion as a strategic pathway to sustainable structural transformation financing in Africa: lessons for the Middle East and North African economies

The quest for structural transformation has been a crucial challenge in Africa in spite of the huge amounts of aid disbursed, investments undertaken, policies implemented, etc. Notwithstanding several important reasons highlighted in the literature, they are insufficient because they focus on the role of financial resources but neglect non-financial issues and resources that are required to guarantee efficient mobilisation, utilisation and prudent management of public resources. Consequently, this paper examines these non-financial issues and resources through a systematic review of the relevant literature and analysis of their contents. The major finding was that most policy efforts at structurally transforming finance in Africa achieved little success because they were not rooted in the continent's cultures and traditions, which should be employed to enhance sound financial management and control systems.

Addressing Nonfinancial and Financial Performance Issues of an Indian Manufacturing Organization Using SAP-LAP Framework Analysis

In a manufacturing organization, there are several issues that directly or indirectly affect the performance of the organization. The performance of the organization is measured by both nonfinancial and financial parameters. In this paper, the selection of these parameters is supported by a brief literature review and the organization’s annual report for carrying out the analysis. The organization is analyzed using the SAP-LAP framework for the development of interpretive linkages. The organization was assessed for its current situations using the framework. The framework maps its key elements with performance measures. From the analysis, it can be concluded that actors like top management and cross-functional teams are the most influential actors among the others. Similarly, actions AN1: adoption of policy management and AN2: implementation of SQC tools are the most engaging actions among the others for addressing the performance parameters.

Historically Underrepresented Graduate Students' Experiences During the COVID-19 Pandemic.

ObjectiveThe purpose of this study was to understand the experiences of historically underrepresented graduate students, more than half of whom were enrolled in science, technology, engineering, and mathematics (STEM) disciplines, during the COVID‐19 pandemic. This focus group study represents an initial stage in developing an intervention for historically underrepresented graduate students and their families.BackgroundUnderrepresentation of graduate students of color in STEM has been attributed to a myriad of factors, including a lack of support systems. Familial support is an endorsed reason for persisting in graduate school. It is unclear what historically underrepresented graduate students' experiences are during uncertain times, such as a pandemic.MethodFocus groups were conducted online using a videoconferencing platform during the COVID‐19 pandemic. Five focus groups included: historically underrepresented doctoral students (n = 5), historically underrepresented master's students (n = 6), academic faculty (n = 7), administrator, administrative faculty, and academic faculty (n = 6), and families of historically underrepresented doctoral students (n = 6). Data were analyzed using thematic analysis.ResultsHistorically underrepresented graduate students experienced difficulties in accessing resources, adjustments to home and family life, amplification of existing nonfinancial issues, and expressed both fears of and hopes for the future.ConclusionThe COVID‐19 pandemic exacerbated existing inequalities in access to resources as well as nonfinancial family support.ImplicationsThis study may help normalize historically underrepresented graduate students' experiences during the COVID‐19 pandemic. The findings include ideas for informing families about graduate school that can enlighten family support efforts for historically underrepresented graduate students and their families.

Sustainable corporate governance and non-financial disclosure in Europe: does the gender diversity matter?

PurposeRecent regulatory changes in Europe have promoted non-financial reporting practices (e.g., Directive, 2014/95/EU) and gender diversity in decision-making positions. Special attention is devoted to promoting the gender balance on corporate boards as a key mechanism to enhance corporate governance effectiveness and better address multiple stakeholders' needs. With this in mind, this study intends to examine the impact of boardroom gender diversity on Environmental Social Governance (ESG) disclosure practices in the European listed firms' context.Design/methodology/approachThe study applies different panel data models on an extended sample of 1,392 firms from 21 European Union (EU) countries for six years (2014–2019).FindingsFindings allow to spotlight the positive role exerted by the presence of women directors on the boards in enhancing ESG disclosure, both at the overall and specific (individual ESG scores) level.Research limitations/implicationsPolicymakers and regulators might consider the study's evidence as a stimulus to continue in promoting strategic actions and reforms that foster gender equality and balance in corporate decision-making positions.Practical implicationsCreating a heterogeneous and diversified board of directors may support implementing a “sustainable corporate governance” recently claimed by the EC.Originality/valueThe study contributes to the literature by disentangling the links between gender diversity and ESG disclosure over a period that covers a long season of European regulations and measures that affected both non-financial reporting practices and the board of directors' composition. Accordingly, it can contribute to enhancing the practical and theoretical understanding of the pivotal role that gender diversity may exert in strengthening corporate governance and, in turn, corporate transparency and accountability behaviours about non-financial issues.

Creating value: sustainability and accounting for non-financial matters in the pre- and post-corona environment

PurposeThis paper aims to introduce the special issue on “sustainability and accounting for non-financial matters: qualitative and quantitative research approaches”. This special issue was organised at the time when the entire globe was affected by the Coronavirus and accordingly, this paper has taken this opportunity to discuss the implications of this pandemic on accounting for non-financial issues, especially in relation to sustainability accounting research and practice.Design/methodology/approachAn analysis of public documents and limited academic research on the Coronavirus was undertaken in this paper to highlight how life as it existed has fundamentally changed. The authors also review the papers published in this special issue and identifies research opportunities arising from the current environment.FindingsThe onslaught of the Coronavirus provides both challenges and opportunities for the practice of, and research into, accounting for non-financial matters, such as sustainability. The papers published in this special issue promote understanding and linking of sustainability reporting practices, to creating firm values, as well as identifying current and emerging challenges. The special issue explores criteria for the construction of accounting technology that is consistent with agnostic-based critical accounting and accountability, a business case for managers and practitioners to formulate strategic and management control systems in response to climate change issues, legitimacy and the use of photographs in sustainability reporting to create value, effective disclosures of business and sustainability ethics practiced by the firm for reputation building and value creation, indigenous accounting in mining companies, public sector policy framing of non-financial value, the barriers to sustainability reporting because of lack of awareness and knowledge and inadequate regulatory support in developing countries and the significance of sustainability accounting education to improve sustainability reporting practices in developing countries.Research limitations/implicationsFuture research opportunities in relation to the impact of the Coronavirus on accounting for non-financial value are identified. Given that COVID-19 is a societal matter, the practical implications of the Coronavirus in accounting for non-financial value creation are highlighted. The Coronavirus has challenged the existing economic paradigm and non-financial issues will capture the attention of corporations, other institutions, civil society and governments.Practical implicationsThe Coronavirus has challenged the existing economic paradigm and non-financial issues will capture the attention of corporations, other institutions, civil society and governments.Social implicationsGiven that COVID-19 is a societal matter, the practical implications of the Coronavirus in accounting for non-financial value creation are highlighted.Originality/valueThis study, to the knowledge, is one of the pioneer academic studies that has explored the implications of the Coronavirus on accounting for non-financial value. In addition, this special issue includes papers that highlight how non-financial reporting matters are increasingly being given attention by companies to enhance business practices on sustainability through different perspectives.

Dice manufacturing company: the acquisition decision

Learning outcomes The learning outcomes of this paper is as follows: understand the issues that faced private Egyptian textile producers following the January 2011 revolution and how that impacted their business model. Evaluate whether Dice’s inorganic expansion through acquiring Alex Clothing Company is a sound strategic decision given the economic uncertainty in Egypt. Analyze the acquisition decision through projection evaluation techniques, including net present value (NPV), internal rate of return (IRR) and modified IRR (MIRR), to measure whether the acquisition will add value to Dice. Discuss non-financial issues post-acquisition that are not captured by traditional capital budgeting and project evaluation techniques. Case overview/synopsis Dice Manufacturing Company, an established and successful textile manufacturing family business, is facing an important investment decision with regard to inorganic expansion through the acquisition of Alex Clothing Company and its subsidiary United Dyers. The case is intended to be discussed in an undergraduate corporate finance class. The case setting is inside Dice Manufacturing Company, where one of the founders, Nagy Toma and his CFO Victor ElMalek are analyzing the acquisition decision in January 2015. The protagonist is Victor ElMalek, who has to recommend a course of action for the company owners. The case allows students to apply capital budgeting and project valuation methods to make a decision on whether the acquisition brings value to Dice and to analyze issues management can face post-acquisition. The case follows through the history of Dice, presenting its business model and changes that accompanied the 2011 revolution. It then moves on to outline the acquisition opportunity and provides data for students to analyze through traditional project valuation techniques, including NPV, IRR and MIRR. Complexity academic level Undergraduate. Subject code CSS 1: Accounting and Finance. Supplementary materials Teaching notes are available for educators only.

Gli obblighi di trasparenza degli investitori istituzionali in materia ambientale e sociale: un cortocircuito logico? (Institutional Investors’ Non-Financial Reporting: Why the EU Regulatory Framework Should Be Updated)

The Big Three (BlackRock, Vanguard, and State Street Global Advisors - SSGA) have increasingly committed to caring about environmental and social (E & S) issues. While their E & S commitment has received some scrutiny in the United States, in Europe it did not receive much academic attention so far. In this paper, I create a unique dataset of 83 European companies and assess the Big Three’s aggregate and individual ownership in such companies. I then collect data on how BlackRock — the one, among the Big Three, that committed the most to E & S issues — promoted its E & S agenda in 2020 in such companies. I find that E & S issues are discussed overwhelmingly through private engagements, while are almost never raised through shareholder proposals. In light of this evidence, I then explain that, by focusing mainly on the disclosure of the most significant votes, also with regards to non-financial issues, the current European framework on the disclosure of E & S information is based on a misconception: that the EU market is characterized by traditional shareholder activism, where shareholders put forward many proposals, including on E & S issues, and voice is conducted through the most typical tool: voting. I conclude by exploring the policy-making implications of my findings. In particular, I argue that, if the dissemination of E & S information on the markets is a desirable policy goal, then the regulatory framework should be updated with the introduction of a disclosure regime for those private engagements in which E & S matters are discussed.

PPPs and non-financial value: a critical analysis of public policy and implications for social, environmental and indigenous cultural values

PurposeThis paper investigates how contemporary public policy for public-private partnerships (PPPs) deals with non-financial values and thereby shapes the way social, cultural and environmental issues are accounted for.Design/methodology/approachA case study critically analyses PPP policy in Victoria, Australia, an acknowledged leader in the area. The investigation of the policy’s approach to non-financial value focusses on the treatment of social and environmental issues, particularly in relation to indigenous cultural heritage values.FindingsIt is found that important non-financial issues are characterised as risks to be quantified and monetised in PPP project assessment. A critical analysis shows that this approach obscures many significant dimensions of social, environmental and Indigenous cultural heritage value. The resultant relegation of non-financial values in public discourse and decision-making is seen to entrench unsustainable practices.Social implicationsThe paper shows how public policy may shape actions and outcomes that impact directly on social, environmental and indigenous cultural heritage values.Originality/valueThis study provides insights into contemporary social and environmental accounting and accountability for PPPs. It adds to the understanding of the implications of public policy framings of non-financial values.

Factors Associated with Forgone Care Among Children in the United States: An Analysis of the 2016‐2018 National Survey of Children’s Health

Delaying or forgoing health care can have negative consequences for the health and well‐being of children. In 2000, Paul Newacheck called for the continued monitoring of unmet health needs among children. While a handful of studies have been conducted since 2000, primarily among children with special healthcare needs (CSHCN), the redesigned National Survey of Children’s Health (NSCH) offers a unique opportunity to examine forgone care among all children ages 0‐17. This study provides the most recent prevalence estimates of forgone care among children in the United States, by type of care, and identifies related sociodemographic and health factors.We used data from the combined 2016‐2018 NSCH to examine sociodemographic and health factors associated with parent/caregiver‐reported forgone care among children ages 0‐17 years in the United States. We also examined the association of these factors with different types of forgone care and reasons for forgone care. Survey weighted bivariate and logistic regression analyses were conducted.101,984 children ages 0‐17 years.3.1% of children (2.2 million) had forgone care in 2016‐2018. Forgone dental care was most frequently reported (1.67%), followed by medical care (1.03%) and mental health care (0.83%). Cost was the most frequently reported reason for forgone care (1.83%), followed by problems getting an appointment (1.20%) and lack of eligibility (0.97%). Children, who were older, had greater number of health conditions, were CSHCN, were Hispanic or non‐Hispanic black, were uninsured, and had family incomes < 100% of the federal poverty level (FPL) were significantly more likely to have any reported forgone care. Among children with forgone care, the factors associated with reporting different types of forgone care varied. After adjustment, insurance status was the only factor consistently associated with all types of care, except hearing services; CSHCN status, number of health conditions, and insurance status were associated with forgone dental care; race/ethnicity and insurance were associated with forgone vision care; age, number of health conditions, CSHCN status, and insurance were associated with forgone mental care; and FPL was associated with forgone hearing services. The factors associated with the different reasons for forgone care also varied. Insurance status and FPL were associated with forgone care due to lack of eligibility and issues with cost; CSHCN status was associated with services not available in the area; and insurance, CSHCN status, and race/ethnicity were associated with problems getting an appointment.Forgone care remains an issue for over 2.2 million children in the United States. However, the characteristics of children associated with different types of forgone care vary, as do those associated with different reasons for forgoing care. This suggests the need for diverse strategies, in addition to standing efforts to expand insurance coverage, to ensure timely access to needed healthcare services among US children.Efforts to reduce forgone care will need to address both financial and nonfinancial issues and will need to be tailored to address the factors associated with forgoing different types of care.

Non-Financial Information as a Driver of Transformation. Evidence from Italy (2019)

The progressive integration of Environmental, Social and Governance (ESG) issues into the corporate decision making is a cultural change process, which can be described, planned, measured. It speeds up sustainable transformation of governance, strategies and business models of companies. The first edition of this Report analysed the changes in some key behaviours of the company organisation and of the board of directors (BoDs) in the occasion of the first year of implementation of the Directive 2014/95/UE, transposed in Italy by the Legislative Decree no. 254/2016 (the Decree). This second edition of the Report measures the progression of behaviours analysed in 2019 and surveys additional actions considered important for the transformation. The first section focuses on non-financial reporting and on the abstracts of Strategic plans presented to investors in order to study the evolution of corporate culture and organisation towards ESG/multicapital integration. Subsequently, the Report explores whether companies consider non-financial issues relevant also at the board level, through both a documental analysis (based on the examination of the guidelines issued by companies prior to the 2019 board appointment and of the corporate governance reports; second section) and a Survey involving directors and statutory auditors that are members of Nedcommunity, the Italian Association of non-executive and independent directors, carried out for the fourth year by Nedcommunity and Methodos (third section). In order to track the progression of the cultural transformation, the information collected in this Report was clustered in three stages: Awareness, Capabilities and Engagement (see the chart below). Awareness is the precondition for change. It gathers behaviours of the company structure and the BoDs that are coherent with a first acknowledgement of the importance of ESG issues and that could kick-off the transformation process. Compared to 2018, the number of companies acting the different behaviours in the Awareness cluster is unchanged or has in some cases increased. The area Capabilities is intermediate in the transformation journey, when new skills, behaviours and mindsets are trained to accelerate the process. Compared to the previous year, this area records improvements, which in some cases are significant. This is the case of the behaviours linked to stakeholder engagement in the materiality analysis: external stakeholder engagement is indeed described in 70 cases (44 last year); engagement with the top management rose from 47 to 69 cases. There is also a slight increase in the number of companies integrating their reporting tools (from 9 to 11). With regards to boards, improvements are found in the integration of ESG into board renewal guidelines and in the board self-evaluation. The integration of remuneration packages with ESG criteria is also included in this intermediate phase because it is considered a driver towards change. The area Engagement is the most advanced in the ESG/multicapital transformation of strategies and business models. In this phase new behaviours are spontaneously carried out by the boards and the corporate organisation. This part of the analysis covers the abstracts of the Strategic plans presented to investors in the road shows, published in the Investor Relation section of the websites of the companies, in order to verify how and to what extent they describe a strategy that integrates financial and non-financial issues. Five companies (all in the Energy/Oil and Gas industry) fully integrate in their strategy issues that generate value in the short and long term and describe the connections between financial and non-financial matters. Among these companies, one mentions the materiality analysis as a pillar of its Strategic plan.

Student perceptions and institutional targets: the matches and mismatches of financial bursary support

Bursary support in Higher Education (HE) helps to enable students from widening participation (WP) backgrounds to more fully engage with their university experiences on an equal basis to their peers. But whilst such support is intended to enhance access to HE, aid retention and increase academic success (which can be monitored using existing institutional data), less is understood about student perceptions of this support. To address this gap, studies are required that investigate both the student experience of receiving financial assistance and, crucially, the mode by which that assistance is delivered: the latter impinging directly on student experience. The survey in this paper used a single UK university in which a range of financial assistance is provided, including bursary funds and hardship funds, and where a significant proportion of students are from WP backgrounds. A mixed methods approach was adopted comprising an online questionnaire, in-depth semi-structured interviews and focus groups. The findings suggest that receiving financial assistance has a positive impact. However, three areas emerged where the administration and impact of financial support could be improved: pre-financial support to better ascertain the nature and level of bursary and any non-financial complementary support required by individual students; embedded financial mentoring to help students with budgeting and addressing any non-financial issues such as stress, academic performance and low confidence; and post-financial guidance to support students towards longer-term financial independence and stability. Improvements in student support could be achieved through strategic amendments to current provision that addresses the three areas noted but, as this study suggests, perhaps more-so by considering the modality of the bursary provision.

Exploring the challenges of preparing an integrated report

PurposeThe purpose of this paper is to add to the limited body of interpretive research on integrated reporting by exploring challenges to preparing an integrated report. This is done using an integrated thinking framework which stresses the importance of an interconnection between sustainability performance, proactive sustainability management and integrated reporting.Design/methodology/approachDetailed interviews with 26 preparers at 9 South African-based organisations highlight practical issues encountered when producing an integrated report.FindingsIntegrated reporting is not consistently seen as a natural part of the business process, despite the relevance of multiple types of capital for organisations’ business models. The new report format is imposed on existing internal processes and reporting protocols which precludes a broad understanding of the purpose of integrated reporting and limits the development of management control systems and a supporting accounting infrastructure. In this constrained environment, reporting guidelines are used as disclosure checklists, stakeholder engagement is limited, systems are not always compatible and data analysis is difficult. Preparers are also unconvinced that integrated reports are taken seriously by investors, further limiting the interconnection between sustainability performance and integrated reporting.Research limitations/implicationsThose charged with governance need to ensure that their organisations are identifying so-called non-financial issues as strategically relevant. Sustainability performance targets need to be clearly defined and linked to specific performance indicators. The management control systems and accounting infrastructure must be planned and developed to assist with the monitoring of sustainability performance and, in turn, to inform what information is included in integrated reports.Originality/valueThis study answers the calls for primary evidence on how integrated reports are prepared and the associated challenges. The findings add to the limited body of interpretive research on the functioning of corporate governance and accounting systems and offers practical insights for preparers and academics.

Why would doctors from Debrecen go abroad? Results of a questionnaire

Numerous beliefs have arisen in relation to the emigration of doctors. First of all, in most cases emigration has been attributed to, almost exclusively, low salaries. There are a number of non-financial issues that could possibly be more easily addressed. In order to get closer to these issues, we sent out a 37-item questionnaire to doctors, who originally graduated from the University of Debrecen. Altogether 82 of them sent back the questionnaire. The mean age at the time of emigration was 32 years. The most popular destination was the United States, however, many colleagues left for the US to do research, as well as clinical practice. Among the European countries, the most popular ones were Sweden, Germany, United Kingdom, Switzerland and Norway. The five most popular clinical specialties were general practice, internal medicine, anesthesiology/intensive care, laboratory/pathology and surgery. With respect to the planned duration of working abroad, at the time of emigration one-fourth of our colleagues planned very short (<2 years) stay. When we asked them now, 38% plans much longer, even indefinite stay. The most common reasons of emigration were also assessed. The most common one was the lack of career track, followed by low salary, quality of life, family issues and adventurousness. Interestingly, burnout and "gratuities" were at the end of the list. A mean 1.3 million HUF per month would make our colleagues satisfied but they think that a mean 486.000 HUF would be realistic and would keep most doctors within the country. As far as university education is concerned, our colleagues agreed that the basic medical knowledge of Hungarian doctors is excellent, but their practical skills are much worse. Although returning to Hungary would be unrealistic by most colleagues, low salaries are definitely not the most important or exclusive reason for leaving the country. These issues are rather complex, there are numerous non-financial issues, which could be addressed much easier by expressing a positive attitude. Orv Hetil. 2017; 158(37): 1458-1468.

Chinese Debt Capital Markets: An Emerging Global Market...With Chinese Characteristics

This paper surveys the current state of the Chinese debt capital markets. As judged by its size and sophistication of its infrastructure the Chinese bond market it is already a leading market globally. China is unusual in that non-financial corporate issues account for a large fraction of the market as compared to financial and sovereign issues. Despite the fact that a large part of the market is made up of information sensitive securities, domestic ratings and other forms of information disclosure are relatively underdeveloped. The structure of the corporate bond market is shaped by three alternative channels that regulate security issuance and by different regimes governing alternative issuer types. These features are by-products of China’s gradualist approach to enterprise reform which has allowed central and local state owned enterprises to slowly shrink in importance relative to the private economy. In addition, large scale infrastructure investments undertaken by local SOE’s account for a large proportion of non-financial bond issues. Comparing bond values by issuer type and issue type reveals strong signs of market segmentation which may reflect varying degrees of implicit state guarantees.