Abstract:
Since its inception, the integrated reporting framework has been the subject of much debate within accounting and sustainability literature, more so in regards to its value creation for stakeholders, other than providers of capital.
The purpose of the research was to answer the question of whether this framework lived up to the contentions by its proponents as being beneficial to all stakeholders as well as to determine if compliance results in positive economic consequences for organisations.
Focusing on the JSE banking sector, the research, which was quantitative in nature, was conducted through a survey questionnaire to determine the perspective of representatives of the customers, employees and investors stakeholder groups of this sector on the decision-making usefulness of integrated reports as well as content analysis to establish if there was any economic value derived by organisation from preparing integrated reports.
The study found that stakeholders did in fact perceive integrated reports as being useful for their decision-making purposes. Moreover, no significant differences were identified in this perception between the three stakeholder groups. In relation to economic consequences, no evidence was found that there existed a positive relationship between high quality integrated reports and the economic performance of the originating organisation.
