Sustainability reporting

The chapter introduces the reader to the evolution of sustainability reporting and the different forms it takes. We discuss the reasons for its growth and the present-day motivations for companies to increasingly resort to reporting on their sustainability strategies and initiatives. We then explore the principles underpinning various reporting frameworks, in particular, the Global Reporting Initiative (GRI), and Integrated Reporting, and mandatory reporting frameworks that have evolved over the years, providing a further stimulus to sustainability reporting. The chapter also provides an overview of the different themes and aspects commonly reported by companies, including the environment, society, and governance. Finally, the chapter discusses the role of the internet as a medium for communicating sustainability-related aspects. We conclude the chapter by offering some thoughts about the challenges and problem areas associated with sustainability reporting.

To help the readers understand key themes and concepts of sustainability reporting, three sessions were designed using the case of the fast-moving consumer goods (FMGC) company Unilever. These sessions address the accuracy and transparency of Unilever’s sustainability reporting practice, the application of GRI reporting principles, and the use of the internet to enhance reporting on sustainability by Unilever.