Sustainability Reporting

Sustainability Reporting – No Longer Just A Legal Necessity

Sustainability Reporting – No Longer Just A Legal Necessity

Sustainability reporting is not only a legal necessity, but more importantly, it affects your brand and share price. Investors, particularly the younger generations take your sustainability record into account when making investment decisions and if you are not reporting it properly through your sustainability reporting, then you are on the back foot in comparison your competitors who are probably shouting out about their sustainability efforts and initiates. This is not the time to be quiet about the good work you are doing.

Your company’s impact, contribution and how it conducts itself to the preservation and wellbeing of the environment and society (Environmental, Social and Governance) ESG or (Economic, Environmental and Social) EES now plays a key role more than ever before.

The integration of sustainability into a business does have a positive impact on a company, enhancing its operations, finance, investment, innovation and risk management, but as already mentioned it also helps establish and elevate the companies long term brand value and reputation above its competitors in the eyes of potential stakeholders/investors.

As with an Annual Report, Sustainability Reports also need to have a clear, engaging story and message. Covering your approach to sustainability, your strategy, performance, competitiveness, continuity and values. The report needs to be one that is understandable to stakeholders and investors through clear written and visual communications.

There are 3 types of Sustainability Reporting that a company can consider that comes with their own advantages, disadvantages and challenges:

Sustainability reporting key to stakeholders.

1. SUSTAINABILITY SECTION WITH AN ANNUAL REPORT

Advantages: This option is the easiest to implement, is best suited for companies that are still new at sustainability reporting, have a small sustainability program or have limited resources.

Disadvantages / Challenges: Being part of the Annual Report means that the Sustainability Report is just another section in a report that has a different purpose and objective. The focus and attention that the Sustainability Report requires / deserves is not there and therefore the advantages and value of integrating sustainability into the company and its DNA is lost on stakeholders/investors.

the sustainability report can be part of an integrated report.

2. DEDICATED SUSTAINABILITY REPORT

Advantages: Shows the company’s commitment to sustainability to stakeholders and potential investors. It also allows for the sharing of more details and makes it easier for stakeholders to find the information that they are interested in such as processes, data, results, progression etc.

Disadvantages / Challenges: Requires real commitment to sustainability from the company to generate a reasonable amount of content with value to justify a separate report on Sustainability.

the sustainability report can be a dedicated report on its own.

3. PART OF AN INTEGRATED REPORT

Advantages: Really demonstrates the company’s commitment to sustainability greater than that seen through a dedicated Sustainability Report. It also reinforces how sustainability it is at the core of the business and it’s DNA.

Disadvantages / Challenges: Does require a very high level of commitment to not just sustainability but also to integrated reporting and thinking.

If the idea behind integrating sustainability into a company is to preserve, contribute to the health and wellbeing of the environment and society, is it not ironic that we still find Annual Reports and Sustainability Reports continuing to be printed on paper instead of going 100% digital!

Does Your Corporate Website Have The 3 Key Elements To Be Effective?

Does Your Corporate Website Have The 3 Key Elements To Be Effective?

Corporate websites give a company the opportunity to share more than who you are, what you do and how you do things. It is where you can share your story, to give a personality /face to the company and to articulate what makes you great and differentiates you from your competitors.

It is the only platform where you can cater to everyone’s needs and requirements, in an environment where you have 100% control over what you want to say and how you want to say it.

There are 3 elements to an effective corporate website:

1. Design

Your site needs to be designed simply and clean that it enables a quick and easy navigation throughout making the content that much more easily obtainable. This can be done firstly with the use of a pre determined site and navigational map of the site. Secondly would be via a consistent look, feel and design/visual language running through the website with the help of images, videos, infographics, graphics and animation.

2. Content

The development of the content needs to be thought through carefully and strategically with clear objectives, targets and messages tailored precisely to what information you want users of the site to take away.

The content should reinforce your story and market and brand positioning, giving a good idea of who and what the company is, the companies culture, people and working environment. Targeting existing and potential clients, stakeholder, investors and employees through:

  • Stories
  • Case studies
  • Insights
  • Videos
  • Projects
  • Media coverage
  • Latest News & Events
  • Social Responsibilities
  • Corporate Governance
  • Business Model/Strategy
  • Presentations
  • Financial Calendars
  • Financial Results

3. USER EXPERIENCE/INTERACTION

Bringing the design and content together is the overall interaction and journey users have whilst using your website.

This can be achieved through:

  • A clear hierarchy and flow of the content
  • Easy accessibility of key information on the landing/homepage.
  • The use of search and navigation tools
  • Function to save content of interest
Online Reporting

The 7 Benefits of Digital Reporting You Surely Know, Right?

The 7 Benefits of Digital Reporting You Surely Know, Right?

The way we develop, view and deliver Annual Reports has evolved from 100% print, to cd’s, pdf’s and flip pages. Some of these changes were driven by stricter regulations and the growing demand by shareholders for more transparency. However, the changes have opened up great new opportunities for Investor Relations professionals to engage with shareholders. The growing global trend of online reporting through microsites is a perfect example and an opportunity for companies of all sizes.

No matter the size of your company the Annual Report is an obligation that cannot be avoided. Unfortunately, many companies, especially SMEs miss the value in producing an Annual Report and merely see it as pure torture that takes up money, resources and time they would rather be allocating elsewhere.

There is no doubting that not everyone will read every single page of your Annual Report, but still it does happen to be the most comprehensive opportunity for a company to communicate on it’s financial performance, activities, corporate social responsibilities and future directions.

One just needs to look at major MNC’s around the world and the investment that is made on Annual Reporting (print and online) and IR websites alone. For smaller companies that do not have the reach of larger companies, the Annual Report becomes even more important in sharing the company’s corporate story, it’s value to shareholders and potential investors.

There is still a serious need for companies to start recognising the importance of Investor Relations and the growing need to invest more resources towards effective and holistic communications, giving investors better and more accessible information to understand your business better. This is where we start to see the digitalisation of Annual Reports meeting and enabling these needs.

Having an Annual Report microsite does not necessarily mean we do away with the traditional print version of the AR or current forms of interactive reporting such as pdfs and flip pages. Instead, if budgets allow they are best used to complement the online report and be a part of your overall communications mix.

There is also the use of social media which speeds-up the distribution of content with a greater reach. This needs to be strategically managed.

What is exciting for all stakeholders involved with microsites – companies, investors, employees and users alike – is the level of flexibility, interaction, engagement, customisation and countless advantages that can be experienced with these microsites. These advantages are simply not possible through a print, PDF or flip page platform.

1. FLEXIBILITY & INTERACTION

Microsites give more options and greater flexibility when it comes to creativity, presenting data, key communication objectives and delivering stronger messages through a mixture of multimedia options such as video, motion graphics, infographics and the like. The stress related to strict deadlines can also be greatly reduced with the ability to manage content at any time.

2. USER-SPECIFIC

With a microsite, you have more flexibility for designing for an enhanced user experience. For instance, there is more flexibility to aid in the ease of navigation, customisation of search and linking of content to other pages in the report. This all makes it easier for users to find information that is specific to their interests and needs. Microsites help avoid the overload of information, which sometimes comes with print or PDF options.

3. SEARCH & WIDER COVERAGE/REACH

Unlike print copies or your Annual Report or PDF’s online reports on a microsite are easily found in search engines and can be shared countless times with no real extra cost. This is such a great opportunity for IR professionals not only to know shareholders better, but potential investors as well.

4. AVAILABILITY & ACCESSIBILITY

Online AR’s will always be available whether online or on mobile devices. No need to look for that printed AR which may be under a pile of other paperwork already or to spend an hour searching around the files on your desktop wondering where you saved the PDF. All you need with the AR microsite is to remember the name of the company!

5. ENGAGEMENT

Interaction through online reports and social media platforms allows for greater transparency, interaction and open dialogue with investors, shareholders and the general public. Not everyone can attend the AGM but they can interact online through a microsite.

6. ENVIRONMENTALLY FRIENDLY

Doing away with printed Annual Reports saves on paper, reduces a company’s carbon footprint, saves costs and answers the need for corporate sustainability.

7. ANALYTICS

A well-designed online corporate reporting platform allows management access to key analytics to measure the effectiveness and level of interest in your brand and company over the longer term. This ability to analyse shareholder engagements quickly and accurately is becoming a necessary part of communications planning for Investor Relations. Those who are using microsites are reporting that they can now concentrate on using the data for strategic planning, rather than spending days trying to obtain meaningful information in the first place.