Table A3. Integrated reporting scoring...

Table A3.

Integrated reporting scoring index

Guiding principle	Question of interest	Metric	Weighting	Literature reference
Strategic focus and future orientation	Does the integrated report disclose how an organisation uses various capitals to achieve its strategic objectives in future and create value? (IIRC 2013)	Does the integrated report include a measure of performance, i.e. return on equity?	0.25	Sun (2021); Kılıç and Kuzey (2018); Nakib and Dey (2018); Zhou et al. (2017)
		Does the integrated report disclose a firm’s innovative practices?	0.25	Cooray et al. (2020); Kılıç and Kuzey (2018); Nakib and Dey (2018)
		Does the integrated report disclose how value is created for the employees? This could be disclosure related to staff or employee development initiatives.	0.25	Terblanche and De Villiers (2018); Ahmed Haji and Anifowose (2016); Rivera-Arrubla et al. (2017); Lee and Yeo (2016)
		Does the integrated report disclose how value is created for its customers or clients? Customer or client satisfaction.	0.25	Terblanche and De Villiers (2019); Haji and Anifowose (2017); Rivera-Arrubla et al. (2017); Lee and Yeo (2016)
			1
Connectivity of information	Does the integrated report provide a link between the content elements? (IIRC 2013)	Does the integrated report disclose an analysis of past, present and future performance?	0.25	Erin and Adegboye (2022); Hoang et al. (2020); Zhou et al. (2017)
		Does the integrated report describe how the six capitals (human, intellectual, financial, manufactured, natural, social and relationship) are used to create value and connected to one another?	0.25	Cooray et al. (2020); Erin and Adegboye (2022); Hoang et al. (2020); Lee and Yeo (2016)
		Does the integrated report disclose financial (quantitative) and non-financial (qualitative) information?	0.25	Cooray et al. (2020); Hoang et al. (2020); Kılıç and Kuzey (2018)
		Does the integrated report disclose board and other related management information, for example, governance structures, management remuneration information and other management information?	0.25	Cooray et al. (2020); Hoang et al. (2020)
			1
Stakeholder relationships	Does the integrated report disclose how key stakeholders’ needs are met? (IIRC 2013)	Does the integrated report describe the stakeholder engagement process and how value is created for providers of financial capital?	1	Erin and Adegboye (2022); Hoang et al. (2020); Zhou et al. (2017)
Materiality	Does the integrated report disclose relevant matters which may have an ability to affect an organisation’s ability to create value? (IIRC 2013)	Does the integrated report disclose a materiality determination process or material issues process?	0.33	Cooray et al. (2020); Nakib and Dey (2018); Rivera-Arrubla et al. (2017); Lai et al. (2016)
		Is the material issues identification and approval process described?	0.33	Erin and Adegboye (2022); Haji and Anifowose (2016)
		Are those charged with governance of the firm actively involved in the materiality determination process?	0.33	Nakib and Dey (2018); Rivera-Arrubla et al. (2017); Lee and Yeo (2016)
			1
Conciseness	Is the integrated report clear and concise, with easy language? (IIRC 2013)	Is the integrated report 157 pages or shorter?	0.50	Ernst and Young (2019); Tirado-Valencia et al. (2020)
		Does the integrated report include graphics or tables or infographics to describe the firm’s operations?	0.50	Cooray et al. (2020); Pistoni et al. (2018); Rivera-Arrubla et al. (2017)
			1
Reliability and completeness	Reliability – is the integrated report reliable? (IIRC 2013)	Has the integrated report been audited by an auditor?	0.33	Cooray et al. (2020); Pistoni et al. (2018); Rivera-Arrubla et al. (2017); Sofian and Dumitru (2017)
		Has the integrated report been signed off by the board or does the integrated report provide a discussion of the approval process?	0.33	Haji and Anifowose (2017); Sofian and Dumitru (2017)
	Is the integrated report complete? (IIRC 2013)	Does the integrated report consider what other firms in the same industry are reporting?	0.33	Kılıç and Kuzey (2018); Stent and Dowler (2015)
			1
Consistency and comparability	Is the integrated report consistent? (IIRC 2013)	Has the reporting policies of the firm and KPI’s reported been consistently presented from one period to the next?	0.33	Erin and Adegboye (2022); Sun (2021); Cooray et al. (2020); Nakib and Dey (2018)
	Is the integrated report comparable? (IIRC 2013)	Does the integrated report make use of ratios to report information?	0.33	Cooray et al. (2020)
		Does the integrated report provide segment or regional reporting?	0.33	Cooray et al. (2020); Sofian and Dumitru (2017); Stent and Dowler (2015)
			1
		Sub-total for guiding principles	7
Content element	Question of interest	Metric	Weighting	Reference
Organisational overview and external environment	What does the organisation do and what are the circumstances under which it operates? (IIRC 2013)	Is the description of the scope and boundary of the firm described in the integrated report?	0.50	Cooray et al. (2020); Dey (2020); Kılıç and Kuzey (2018); Lee and Yeo (2016)
		Does the integrated report provide the firm’s mission and vision statement or a disclosure of its culture, ethics and values?	0.50	Cooray et al. (2020); Dey (2020); Hoang et al. (2020); Lee and Yeo (2016)
			1
Governance structure	How does the organisation’s governance structure support its ability to create value in the short, medium and long term? (IIRC 2013)	Does the board consist of nine or more members?	0.33	Cooray et al. (2020); Dey (2020); Hoang et al. (2020; Fasan and Mio (2017); Lee and Yeo (2016); Kramer (2006)
		Is the average board age equal to or greater than the mean of the average board age?	0.33	Alfiero et al. (2018); Hidalgo et al., 2011
		Does the board consist of three or more women?	0.33	Terblanche and De Villiers (2019); Kılıç and Kuzey (2018); Alfiero et al. (2018)
			1
Business model	What is the organisation’s business model? (IIRC 2013)	Is the firm’s business model described in the integrated report?	1	Sun (2021); Dey (2020); Kılıç and Kuzey (2018); Zhou et al. (2017); Lee and Yeo (2016)
Strategy and resource allocation	Where does the organisation want to go and how does it intend to go there? (IIRC 2013)	Are short, medium and long term strategies of the firm disclosed in the integrated report?	0.33	Cooray et al. (2020), Kılıç and Kuzey (2018); Lee and Yeo (2016)
		Does the integrated report include a disclosure of the firm’s competitive advantage?	0.33	Cooray et al. (2020), Dey (2020)
		Is the resource allocation plan described and disclosed?	0.33	Cooray et al. (2020)
			1
Risks and opportunities	What are the specific risks and opportunities that affect the organisation’s ability to create value over the short, medium and long term, and how is the organisation dealing with them? (IIRC 2013)	Are risks or challenges and opportunities or strengths disclosed in the integrated report or is risk management disclosed?	1	Cooray et al. (2020); Hoang et al. (2020); Dey (2020); Kılıç and Kuzey (2018); Zhou et al. (2017); Lee and Yeo (2016)
Performance	To what extent has the organisation achieved its strategic objectives for the period and what are its outcomes in terms of effects on the capitals? (IIRC 2013)	Are financial KPI’s disclosed in the integrated report?	0.50	Cooray et al. (2020); Dey (2020); Hoang et al. (2020; Kılıç and Kuzey (2018); Lee and Yeo (2016)
		Are non-financial KPI’s disclosed in the integrated report?	0.50	Cooray et al. (2020); Dey (2020); Hoang et al. (2020; Kılıç and Kuzey (2018)
			1
Outlook	What challenges and uncertainties is the organisation likely to encounter in pursuing its strategy, and what are the potential implications for its business model and future performance? (IIRC 2013)	Is the firm’s strategy to address future uncertainties outlined or disclosed in the integrated report?	1	Cooray et al. (2020); Dey (2020); Hoang et al. (2020); Kılıç and Kuzey (2018); Lee and Yeo (2016)
Basis of presentation	How does the organisation determine what matters to include in the integrated report and how are such matters quantified or evaluated? (IIRC 2013)	Is reporting boundary disclosed in the integrated report?	0.50	Cooray et al. (2020), Dey (2020)
		Does the integrated report include a summary of frameworks or methods used to evaluate material matters?	0.50	Hoang et al. (2020), Lee and Yeo (2016)
			1
		Sub-total for content elements	8
Overall IRSCORE total (seven guiding principles plus eight content elements). The final IRSCORE comprised of 50% of guiding principles score and 50% of content elements score			15

Guiding principle	Question of interest	Metric	Weighting	Literature reference
Strategic focus and future orientation	Does the integrated report disclose how an organisation uses various capitals to achieve its strategic objectives in future and create value?(IIRC 2013)	Does the integrated report include a measure of performance, i.e. return on equity?	0.25	Sun (2021); Kılıç and Kuzey (2018); Nakib and Dey (2018); Zhou et al. (2017)
		Does the integrated report disclose a firm’s innovative practices?	0.25	Cooray et al. (2020); Kılıç and Kuzey (2018); Nakib and Dey (2018)
		Does the integrated report disclose how value is created for the employees? This could be disclosure related to staff or employee development initiatives.	0.25	Terblanche and De Villiers (2018); Ahmed Haji and Anifowose (2016); Rivera-Arrubla et al. (2017); Lee and Yeo (2016)
		Does the integrated report disclose how value is created for its customers or clients? Customer or client satisfaction.	0.25	Terblanche and De Villiers (2019); Haji and Anifowose (2017); Rivera-Arrubla et al. (2017); Lee and Yeo (2016)
			1
Connectivity of information	Does the integrated report provide a link between the content elements?(IIRC 2013)	Does the integrated report disclose an analysis of past, present and future performance?	0.25	Erin and Adegboye (2022); Hoang et al. (2020); Zhou et al. (2017)
		Does the integrated report describe how the six capitals (human, intellectual, financial, manufactured, natural, social and relationship) are used to create value and connected to one another?	0.25	Cooray et al. (2020); Erin and Adegboye (2022); Hoang et al. (2020); Lee and Yeo (2016)
		Does the integrated report disclose financial (quantitative) and non-financial (qualitative) information?	0.25	Cooray et al. (2020); Hoang et al. (2020); Kılıç and Kuzey (2018)
		Does the integrated report disclose board and other related management information, for example, governance structures, management remuneration information and other management information?	0.25	Cooray et al. (2020); Hoang et al. (2020)
			1
Stakeholder relationships	Does the integrated report disclose how key stakeholders’ needs are met?(IIRC 2013)	Does the integrated report describe the stakeholder engagement process and how value is created for providers of financial capital?	1	Erin and Adegboye (2022); Hoang et al. (2020); Zhou et al. (2017)
Materiality	Does the integrated report disclose relevant matters which may have an ability to affect an organisation’s ability to create value?(IIRC 2013)	Does the integrated report disclose a materiality determination process or material issues process?	0.33	Cooray et al. (2020); Nakib and Dey (2018); Rivera-Arrubla et al. (2017); Lai et al. (2016)
		Is the material issues identification and approval process described?	0.33	Erin and Adegboye (2022); Haji and Anifowose (2016)
		Are those charged with governance of the firm actively involved in the materiality determination process?	0.33	Nakib and Dey (2018); Rivera-Arrubla et al. (2017); Lee and Yeo (2016)
			1
Conciseness	Is the integrated report clear and concise, with easy language?(IIRC 2013)	Is the integrated report 157 pages or shorter?	0.50	Ernst and Young (2019); Tirado-Valencia et al. (2020)
		Does the integrated report include graphics or tables or infographics to describe the firm’s operations?	0.50	Cooray et al. (2020); Pistoni et al. (2018); Rivera-Arrubla et al. (2017)
			1
Reliability and completeness	Reliability – is the integrated report reliable?(IIRC 2013)	Has the integrated report been audited by an auditor?	0.33	Cooray et al. (2020); Pistoni et al. (2018); Rivera-Arrubla et al. (2017); Sofian and Dumitru (2017)
		Has the integrated report been signed off by the board or does the integrated report provide a discussion of the approval process?	0.33	Haji and Anifowose (2017); Sofian and Dumitru (2017)
	Is the integrated report complete?(IIRC 2013)	Does the integrated report consider what other firms in the same industry are reporting?	0.33	Kılıç and Kuzey (2018); Stent and Dowler (2015)
			1
Consistency and comparability	Is the integrated report consistent?(IIRC 2013)	Has the reporting policies of the firm and KPI’s reported been consistently presented from one period to the next?	0.33	Erin and Adegboye (2022); Sun (2021); Cooray et al. (2020); Nakib and Dey (2018)
	Is the integrated report comparable?(IIRC 2013)	Does the integrated report make use of ratios to report information?	0.33	Cooray et al. (2020)
		Does the integrated report provide segment or regional reporting?	0.33	Cooray et al. (2020); Sofian and Dumitru (2017); Stent and Dowler (2015)
			1
		Sub-total for guiding principles	7
Content element	Question of interest	Metric	Weighting	Reference
Organisational overview and external environment	What does the organisation do and what are the circumstances under which it operates?(IIRC 2013)	Is the description of the scope and boundary of the firm described in the integrated report?	0.50	Cooray et al. (2020); Dey (2020); Kılıç and Kuzey (2018); Lee and Yeo (2016)
		Does the integrated report provide the firm’s mission and vision statement or a disclosure of its culture, ethics and values?	0.50	Cooray et al. (2020); Dey (2020); Hoang et al. (2020); Lee and Yeo (2016)
			1
Governance structure	How does the organisation’s governance structure support its ability to create value in the short, medium and long term?(IIRC 2013)	Does the board consist of nine or more members?	0.33	Cooray et al. (2020); Dey (2020); Hoang et al. (2020; Fasan and Mio (2017); Lee and Yeo (2016); Kramer (2006)
		Is the average board age equal to or greater than the mean of the average board age?	0.33	Alfiero et al. (2018); Hidalgo et al., 2011
		Does the board consist of three or more women?	0.33	Terblanche and De Villiers (2019); Kılıç and Kuzey (2018); Alfiero et al. (2018)
			1
Business model	What is the organisation’s business model?(IIRC 2013)	Is the firm’s business model described in the integrated report?	1	Sun (2021); Dey (2020); Kılıç and Kuzey (2018); Zhou et al. (2017); Lee and Yeo (2016)
Strategy and resource allocation	Where does the organisation want to go and how does it intend to go there? (IIRC 2013)	Are short, medium and long term strategies of the firm disclosed in the integrated report?	0.33	Cooray et al. (2020), Kılıç and Kuzey (2018); Lee and Yeo (2016)
		Does the integrated report include a disclosure of the firm’s competitive advantage?	0.33	Cooray et al. (2020), Dey (2020)
		Is the resource allocation plan described and disclosed?	0.33	Cooray et al. (2020)
			1
Risks and opportunities	What are the specific risks and opportunities that affect the organisation’s ability to create value over the short, medium and long term, and how is the organisation dealing with them? (IIRC 2013)	Are risks or challenges and opportunities or strengths disclosed in the integrated report or is risk management disclosed?	1	Cooray et al. (2020); Hoang et al. (2020); Dey (2020); Kılıç and Kuzey (2018); Zhou et al. (2017); Lee and Yeo (2016)
Performance	To what extent has the organisation achieved its strategic objectives for the period and what are its outcomes in terms of effects on the capitals?(IIRC 2013)	Are financial KPI’s disclosed in the integrated report?	0.50	Cooray et al. (2020); Dey (2020); Hoang et al. (2020; Kılıç and Kuzey (2018); Lee and Yeo (2016)
		Are non-financial KPI’s disclosed in the integrated report?	0.50	Cooray et al. (2020); Dey (2020); Hoang et al. (2020; Kılıç and Kuzey (2018)
			1
Outlook	What challenges and uncertainties is the organisation likely to encounter in pursuing its strategy, and what are the potential implications for its business model and future performance? (IIRC 2013)	Is the firm’s strategy to address future uncertainties outlined or disclosed in the integrated report?	1	Cooray et al. (2020); Dey (2020); Hoang et al. (2020); Kılıç and Kuzey (2018); Lee and Yeo (2016)
Basis of presentation	How does the organisation determine what matters to include in the integrated report and how are such matters quantified or evaluated? (IIRC 2013)	Is reporting boundary disclosed in the integrated report?	0.50	Cooray et al. (2020), Dey (2020)
		Does the integrated report include a summary of frameworks or methods used to evaluate material matters?	0.50	Hoang et al. (2020), Lee and Yeo (2016)
			1
		Sub-total for content elements	8
Overall IRSCORE total (seven guiding principles plus eight content elements). The final IRSCORE comprised of 50% of guiding principles score and 50% of content elements score			15

Source(s): Adapted from IIRC (2013)

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