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Sustainability reporting: track your progress to create decision-useful information

Insights on how business operations impact stakeholders are imperative for organisations to be resilient and thrive. As such, interconnected sustainability and financial information is no longer optional – it’s essential.

Findings from our global survey, interviews and roundtables assessing organisations’ readiness to create and use sustainability information call for professional accountants and organisation leaders to

  • Harness the power of regulation to build resilience and create sustainable profits – 71% identify regulatory compliance and the corresponding licence to operate as a key driver.
  • Assess and optimise stakeholders’ roles throughout the information cycle – 30% find collaboration among industry peers to be most helpful to overcome challenges in creating or using sustainability information. 
  • Lead the change – only 16% of senior management and boards use sustainability information when making decisions.
  • Act now – join the 53% who have started creating and using sustainability information and continuously improve.

Watch our animated overview  of the key findings and recommendations, then explore the

Sustainability reporting: track your progress to create decision-useful information

Organisation leaders must look ahead to understand and act upon the risks most threatening their organisation’s resilience and the ability to create sustainable value. 

Sharon Machado

Head of sustainable business, ACCA

Professional accountants should step up to create decision-useful information and drive strategic action. 

Hsiao Mei Chow

Head of corporate reporting insights – sustainability, ACCA

At the core of decision-useful information is an appreciation of factors, say of society, geopolitical landscape, geoeconomics, finance, environment and more, that can affect the resources an organisation depends upon. 

Aaron Saw

Head of corporate reporting insights - financial, ACCA

Recommendations

  • Move beyond compliance. Create sustainability information for compliance and use it to become more resilient and thrive. 
  • Prioritise globally relevant standards. Start with standards relevant to the jurisdiction and to key stakeholders along the value chain. 
  • Leverage regulatory reporting ecosystems. Maximise use of available support, guidance, and incentives while being mindful of penalties. 
  • Know your business end-to-end. Identify the key resources needed and who provides them. Seize opportunities and manage risks threatening the availability or quality of these resources. 
  • Bake sustainability into stakeholder management. Exchange insights through regular two-way communication with key stakeholders, including policy makers and regulators.
  • Build agile systems focused on the end users that better connect sustainability and financial data to meet both internal and external users’ needs.
  • Collaborate boldly across industries and regions to drive efficiency and effectiveness. Share expertise, build capacity, minimise blind spots, and continually improve together. 
  • Champion sustainability. Senior leaders and professional accountants need to recognise the importance of sustainability and drive the necessary conversations and actions. 
  • Build a flexible resourcing model to facilitate access to relevant skills as and when needed. 
  • Be proactive. Start now, seize opportunities and build momentum.

Written by Sharon Machado, Aaron Saw, Hsiao Mei Chow