What is External Reporting

The video discusses the importance of external reporting for companies, focusing on sustainability and corporate social responsibility. It highlights the lack of a common framework for comparing reports, which led to selective disclosure by companies. The video introduces common types of external reporting, such as GRI and CDP, and discusses the integration of financial and sustainability reporting. It also addresses challenges in traditional reporting, where important information is often buried in notes, and emphasizes the need for transparency.

What is the primary purpose of external reporting for companies?

• To enhance employee satisfaction

• To provide stakeholders with internal commitments and goals

• To increase company profits

• To reduce operational costs

Why was there a need for a common framework in external reporting?

• To improve employee morale

• To increase company profits

• To allow comparison between different company reports

• To reduce the length of reports

Which initiative is traditionally used for Corporate Social Responsibility reporting?

• Global Reporting Initiative (GRI)

• International Accounting Standards Board (IASB)

• International Financial Reporting Standards (IFRS)

• Generally Accepted Accounting Principles (GAAP)

What does the CDP focus on in its reporting?

• Climate, water, and supply chain performance

• Only climate performance

• Only financial performance

• Only social performance

How did companies traditionally handle social and environmental information in reports?

• By highlighting it in the main report

• By burying it in the notes

• By excluding it entirely

• By making it the focus of the report