Integrated Reporting - A New Management Tool in Analyzing the Performance of a Company

Simona-Maria Tanasă (Brînzaru)

doi:10.18662/lumproc/ncoe4.0.2020/06

Simona-Maria Tanasă (Brînzaru) Department of Accounting, Audit and Finance, Faculty of Economic Sciences and Public Administration, “Stefan cel Mare” University, Suceava

DOI: https://doi.org/10.18662/lumproc/ncoe4.0.2020/06

Keywords: integrated reporting, profitability, performance, managerial decisions

Abstract

Integrated reporting is currently the newest form of corporate reporting that is in the process of being developed and adopted by companies around the world. Integrated reporting is the answer to the many requirements related to reporting non-financial information and their connectivity with financial information and different approaches to performance. The main objective of this research is the analysis of the performance of the companies that have adopted the integrated reporting, according to the specific business sector, through the profitability indicators. To achieve this goal, we created a sample of companies operating in Europe, North and South America, over 2015-2017. The result of the research reflects that the adoption of integrated reporting does not represent a significant influence factor on the profitability of the analyzed business sectors which will certainly lead to the increase of the performance over time. Integrated reporting is a management tool that must be used appropriately to gain maximum benefits both in the performance of a company and in corporate reporting.

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