F2 Integrated reporting and sustainability reporting

* value creation
* Capitals (stock of value)
* Value creation process

Integrated thinking is the active consideration of relationships between operational/functional units and capitals of an organisation to guide decision-making for value creation in the short, medium, and long term.

Because it combines strategy, governance, performance, and social/environmental/economic context into a single comprehensive report.

Supporting local businesses for community wellbeing, even if it is not the cheapest option, demonstrates value beyond profits.

Value creation is the process by which an organization transforms capitals (resources and relationships) through its business activities and outputs, leading to increases or decreases in those capitals. It goes beyond financials, affecting the external environment and stakeholders.

Capitals are the resources and relationships an organization uses and affects. They are sometimes referred to as stocks or values.

International Integrated Reporting Council

To establish integrated reporting and thinking as part of mainstream business practice, for both public and private sectors, aligning capital allocation and corporate behavior with financial sustainability.

To provide guidance for producing integrated reports that connect various aspects of an organization and explain how value is created across multiple capitals.

It aims to change how companies are managed and report to multi-stakeholders by focusing on how different units and capitals relate and interact.

Providers of financial capital, as well as multiple other stakeholders.

* Financial
* manufactured
* intellectual
* human
* social
* natural.

It promotes coherence by connecting information across different capitals, making reporting more efficient and meaningful.

stocks of value that increase or decrease depending on what the business does. Spending on staff training would increae human capital but decrease financial capital