Solutions
Non-financial reporting - Compliance analysis
Problem
Companies are often uncertain about the quality of their non-financial reports and if these reports meet the legal requirements, but also the stakeholders’ expectations. Companies are questioning the form and content of their non-financial reports. Should they be prepared separately or as a part of the annual report of the company? What is the adequate size of the report? What reporting framework will be appropriate for the company? Are the reporting framework requirements sufficiently and comprehensively disclosed in the report? Does the non-financial report really contribute to greater transparency of the company’s reporting as one of the main pillars of good corporate governance? Does the non-financial report improve stakeholders’ understanding of business models, risks, plans and long-term strategy of the company? How mature is our non-financial reporting?
Solution
Based on our wide experinece with numerous clients within different industry sectors, we developed a methodology which allowed us to screen the maturity level of non-financial reporting and compliance with requirements. This represents a phase approach in which each phase can be provided separately. It includes:
- Analysis of non-financial reports and identifying discrepancies due to legal and reporting frameworks;
- Benchmark analysis with similar companies within the industry and best practices;
- Recommendation letter for report improvement;
- Recovery plan project management and subsequent analysis of report.
Main benefits for clients:
- Improved quality of non-financial reports;
- Compliance with legal requirements;
- Compliance with key stakeholders’ expectations;
- Improved transparency and credibility of clients’ financial statements which results in greater trust of potential investors and access to the cheapest source of financing;
- Improved CEO and management level engagement;
- Improved communication with stakeholders;
- Reduced risk and increased value.