FIINOVATION REVIEWS VALUE OF

SUSTAINABILITY REPORTING IN
THE CONTEXT OF INDIAN
BUSINESSES OF TODAY
Fiinovation, Fiinovation Delhi

Sustainability Reporting, a key in enchancing brand value,

effective communication with stakeholders & reputation
building.
It is needless to mention that rapid changes in the global
work environment are posing new challenges for the
businesses around the world to look beyond financial
performance, and to incorporate social concerns into their
strategic management.

Fiinovation understands that, Companies therefore have

started moving beyond Corporate Social Responsibility, as a
philanthropic activity, and integrating it into their core business
operations.
The National Voluntary Guidelines on the Social, Environmental
and Economic Responsibilities of Business (NVGs) released by
the Indian Ministry of Corporate Affairs in July 2011 highlight
the need to incorporate sustainability & inclusiveness into core
business practice.
Fiinovation highlights the initiatives of the Government of
India, such as the National Voluntary Guidelines, that shows
commitment of government towards business responsibility, so
businesses now need to demonstrate their seriousness in the
implementation of the NVGs.

Fiinovation estimates that over 4000 companies around

the world invest time & resources in producing
sustainability reports.
One of the reasons for this is that external stakeholders,
such as institutional investors, are asking for reporting and
disclosure of nonfinancial performance indicators.
Other reasons include enhancing brand value, corporate
reputation, and how much impact companies' have
generated through CSR interventions etc.

Fiinovation reviews that sustainability reports, do not

only provide a medium for communicating to investors, but
nowadays customers are becoming aware about companies
performance through the reports.
In the current scenario, a companys environmental &
social performance is therefore not of only strategic
relevance but it also has reputational implications.

Fiinovation endorses the experts' view that sustainability

reports helps in fostering investor confidence, trust and
employee loyalty.
Fiinovation highlights a 2011 survey on corporate
reputation found that expanding transparency and
reporting positive deeds were the two most important ways
to build public trust in business.
Another survey of Boston College Center for Corporate
Citizenship and EY in 2013 revealed that over 50% of
respondents unveiling sustainability reports reported that
it helped in improving firm's reputation.

Fiinovation believes that for reporting to be useful,

reporting mechanism need to be changed with changing
business environment and global practices.
As firms worldwide have accepted sustainability reporting,
the most widely adopted framework has been the Global
Reporting Initiative (GRI) Sustainability Reporting
Framework.

However, Fiinovation contemplates that there are still

several challenges before companies to overcome while
reporting when it comes to enchancing brand value and
building reputation.
A suitable and credible reporting mechanism alligning the
global frameworks and meeting national guidelines is
imperative for social change.

Fiinovation believes that sustainability reporting is

expected to rise in the years to come, resulting from the
regulatory impetus and a belief among Indian businesses
that sustainability is integral to business, society and the
world we live in.

THANK YOU

Fiinovation.co.in