Research
A Climate of Convergence – new research commissioned by ACCA from CFO Research Services
Earlier this year, ACCA commissioned a research project as part of a wide-ranging examination of the international business community's attitude to, and acceptance of, global reporting standards.
In particular, ACCA wanted to establish to what extent business is seeing tangible benefits from the increasing globalisation of standards, focusing on international financial reporting standards and sustainability reporting.
A multi-region survey was undertaken for ACCA by CFO Research Services in June, collecting the opinions of senior finance executives from Asia Pacific, Europe, India and the US . The survey results and analysis can be found in four separate reports, available to download free of charge.
Based on the view of nearly 800 CFOs, the study provides a timely insight into how the development of global reporting standards is viewed by the business world.
International financial reporting standards
The study confirms that business is seeing benefits from global reporting standards in all regions where they are adopted – and there are strong perceived benefits in countries which are planning adoption of convergence. In the US , for example, CFOs are already embracing IFRS and the broader principles-based approach to financial reporting. In India , many CFOs believe that the pace of adoption should be accelerated as part of that country's emergence into the global economy. Across Asia , there is widespread enthusiasm for global standards. And in Europe , CFOs report that the adoption of IFRS in the EU has been substantially good for business.
While there are some challenges – not least the need to ensure that standards remain relevant in the current global economic climate and the desire to ensure that reporting enhances transparency and decision-making with shareholders – CFOs conclude that global standards are supporting business performance.
Sustainability reporting
The picture regarding the benefits of global CSR reporting standards is, on the face of it, highly encouraging. A high proportion of those who are aware of standards such as those produced by the Global Reporting Initiative (GRI) believe they deliver business benefits. However, there is a lower familiarity and adoption of these standards across the markets surveyed and it is clear that all stakeholder involved in sustainability reporting need to continue to raise awareness of the tangible benefits and wider merits of responsible business.
