From Share Value to Shared Value

This report from IMA and ACCA explains how accountants instrumental in the development and implementation of the integrated reporting process. The report examines the recent shift in focus from share value to the generation of “shared value,” as companies define success in terms of both internal financial returns and external social and economic results.

There is a new trend of corporate reporting: the integration of financial and nonfinancial concerns into one accounting tool, called <IR>. It is defined as a concise communication about how a company’s strategy, governance, performance and prospects, in the context of its external environment, lead to the creation of value over the short, medium and long term.

As IR provides companies the opportunity to embrace long-term thinking, accountants are in a unique position to contribute to the identification of areas for improvement as well as the development of solutions.