The International Integrated Reporting Council (IIRC) and the Sustainability Accounting Standards Board (SASB) last week announced their intention to merge into a unified organisation.
The Value Reporting Foundation will merge the SASB and IIRC into a credible, international organisation that maintains the Integrated Reporting Framework, advocates integrated thinking, and sets sustainability disclosure standards for enterprise value creation.
The new organisation will provide investors and corporations with a comprehensive corporate reporting framework across the full range of enterprise value drivers and standards to drive global sustainability performance.
Robert K. Steel, Chair, SASB Foundation Board of Directors said: “Information is the lifeblood of good decision making. Capital markets are hungry for information linked to enterprise value creation, but they cannot easily digest what comes from a fragmented reporting landscape. This merger is an important step towards businesses and investors communicating with clarity and ease about the issues that matter most to financial performance.”
Barry Melancon, Chair, IIRC Board said: “The <IR> Framework and the SASB Standards are complementary. Integrated reporting describes all relevant value creation topics and the approach to integrating them in corporate thought and reporting. SASB provides the precise definitions of the data that should be reported for these topics in each industry. Organisations globally already use both to communicate effectively with investors about how sustainability issues are connected to long-term enterprise value, with these endeavours ultimately benefiting other key stakeholders. Under the Value Reporting Foundation, we will link the concepts between the <IR> Framework and SASB Standards even further”.
The merger will also advance the work of CDP, CDSB, GRI, IIRC and SASB in the Statement of Intent To Work Together Towards Comprehensive Corporate Reporting, which outlines a vision for a comprehensive corporate reporting system.