Linking sustainability reporting frameworks and sustainable development goals

Abstract

Purpose This study aims to explore the linkages between sustainable development and sustainability reporting by approaching the UN’s 2030 Agenda in connection with the Integrated Reporting (IR) and Global Reporting Initiative (GRI) frameworks. It aims to outline a theoretical model able to support the achievement of sustainable development goals (SDGs) through appropriate reporting. Design/methodology/approach The research methodology follows a qualitative approach, combining content and benchmarking analyses of the official documents in question. It aims to provide a better understanding of the conceptual matches between the “5 Ps” of sustainable development and the two sustainability reporting frameworks (IR and GRI) by breaking them down into components and overlapping their constituents to highlight the connections. Findings The results reveal that both sustainability reporting frameworks provide prerequisites to ensure SDGs achievement due to the embedded sustainability issues. As there are more matches between SDGs and the capitals implied in the pursuit of value creation, IR better fits to become part of the sustainable development strategy as a valuable option for reporting on SDGs. Practical implications The study addresses academia through a better understanding of the connections between SDGs and sustainability reporting. It might help regulators to improve their latest efforts to enhance transparency and comparability through the enactment of Directive 2014/95, as long as it has not imposed a standardised report yet. It could guide practitioners to face future challenges and support their steps towards standardised reporting practices. Originality/value This paper approaches the newsworthy topic of sustainable development, outlining a conceptual model meant to support the SDGs achievement through appropriate standardised reporting. It might also fill the gap of the Directive 2014/95 on non-financial information disclosure as it identifies the most suitable type of reporting to enhance the harmonisation at the European level.

Integrated Reporting: A Literature Review

“…Seventh, SR is associated with an optimistic presentation of the company's mission, results, and future plans and conveys the image of a company that acts sustainably (Bostan et al, 2020), while IR paves the way to the Sustainable Development Goals (SDGs) due to the embedded sustainability themes, as it is more suitable to become part of the sustainable development strategy and is a valuable option for reporting on the SDGs (Stefanescu, 2022).…”

“…Finally, sustainable reporting is a subtopic that is closely related to sustainable development as there are correspondences between the Sustainable Development Goals (SDGs) and the capital implied in tracking value creation (Stefanescu, 2022;Camilleri, 2017), while the application of the International Integrated Reporting Council framework (Gerwanski et al, 2022) has both costs and benefits. Management acceptance of sustainable development is closely related to the implementation of voluntary reporting and the resulting development of a positive image of the company in a competitive market, which is key to market success (Socoliuc et al, 2018).…”

Disparities in sustainable development goals compliance and their association with country risk

“…The Sustainable Development Goals (SDGs) are considered the most comprehensive course of action for nations to achieve sustainable development (Ça glar & Gürler, 2022). These goals are a universal call to action to eradicate poverty, protect our planet and guarantee peace through close partnerships (Stefanescu, 2022;United Nations, 2015).…”

“…The Sustainable Development Goals (SDGs) are considered the most comprehensive course of action for nations to achieve sustainable development (Çağlar & Gürler, 2022). These goals are a universal call to action to eradicate poverty, protect our planet and guarantee peace through close partnerships (Stefanescu, 2022; United Nations, 2015). They can all be framed within one of the five dimensions of the 2030 Agenda: People , Planet , Prosperity , Peace and Partnership , also referred to as the 5Ps (Hepp et al, 2019).…”

Post-Issue of Sustainability Report: Does Market Valuation Improve?

“…Sustainable development has emerged to be one of the most popular topics for the past several years (Stefanescu, 2022), especially as a result of the growing social and environmental issues caused by resource exploitation for commercial business purpose (Dienes et al, 2016;Kharuddin et al, 2022). Following these issues, public increasingly demand business firms to be more socially and environmentally responsible (Erin et al, 2022;McWilliams, 2015).…”