PwC’s integrated reporting roadmap
Each organisation will need to tailor our guidance to their specific situation and remain ocused on their own assessment of value and their value creation process.
Stage 1: Look at the outside world and engage with your stakeholders
Guiding questions:
- Have you identified and prioritised your stakeholders and assessed how you engage with them?
- Have you considered the business opportunities and risks arising from megatrends?
- How well do you understand your competitive position in the market?
- How do you assess materiality?
Cumulative benefits to your reporting:
- Stakeholder engagement process
- Value chain map
- Analysis of operational context and competitors
- Materiality matrix
Stage 2: Determine your stakeholder value proposition and refresh your strategy
Guiding questions:
- How do you define value for your stakeholders?
- How do you create value for your stakeholders?
- Is your strategy resilient for the short, medium and long term?
- Should you refresh your strategy and goals to reflect all your material issues?
Cumulative benefits to your reporting:
- Definition of value
- Improved risk reporting
- Value creation process
Stage 3: Align your internal processes to your strategy
Guiding questions:
- How does your organisational culture and behaviour support delivery of your strategic objectives?
- Is your integrated management information enabled by systems and processes?
- Can you link your strategic objectives to your suite of management information?
Cumulative benefits to your reporting:
- Value drivers
- Qualitative disclosures of connectivity
- Insight into cultural alignment
- Relevant KPIs
- The first three stages enable reporting disclosures as highlighted as well as contributing to the overall operational benefits listed below.
Stage 4: Develop your integrated dashboard
Guiding questions:
- Can you communicate to the rest of your organisation how your strategy delivers value to stakeholders?
- Can you ensure that your management information provides holistic insight to the board and other decision makers?
- Do you make decisions based on holistic management information?
- Do you have the right data to drive your decisions?
- How do you evaluate your impact and is it incorporated into your dashboard?
Cumulative benefits to your reporting:
- Connected insights into (predictive) relationships between stakeholder value and impact
- The integrated dashboard breaks down silos between different departments, clarifying how each department contributes to business benefits
- Reduced reporting burden as the integrated dashboard combines several (pre-existing) reports into one overarching report with factual (vs. intuitional) stakeholder value
- Communication tool (internal and external) on how the organisation creates the value that stakeholders are looking for
- Aligned internal and external reporting, improving the efficiency of external reporting processes at the end of the year
- Measurement of impact: Total Impact Measurement and Management
Stage 5: Integrate your reporting for a better investor dialogue
Guiding questions:
- Within your existing reporting process, have you nominated a multidisciplinary steering group?
- Has the board provided the steering group with a clear vision? What story is to be told?
- Have you nominated one responsible writer?
- Have you started on a blank page and determined the scope and boundaries?
- Are you using the connectivity matrix as the storyline?
- Is there a clear communication plan for how to improve the use of the annual report within your investor dialogue?
Cumulative benefits to your reporting:
- External reporting becomes more valuable for your investor dialogue, and for the dialogue with other stakeholders
- Your external reporting becomes the solid basis for continuous and fundamental improvement of your reporting and alignment of internal and external reporting
Source: PwC
