Reporting Nonfinancials

Acknowledgments.

Introduction: Goodwill and Blue Skies?

Getting a Grip on Nonfinancials.

Closing the gap between book value and market cap.

Step 1: Classifying nonfinancials.

Step 2: Adjusting to regional priorities.

Step 3: From consciousness to action.

PART I: THE WHY.

1 True and Fair View?

The Glaring Deficiencies of Financial Reporting.

The old economy’s reporting paradigm.

Change reporting, not accounting.

Getting form to follow function.

Nonfinancials: The overheads of the 21st century.

2 Open Sesame?

Nonfinancial Reporting between Pressures, Paradoxes and Potentials.

Pressures: Regulators, investors and public opinion.

Paradoxes: A singular lack of clarity and concreteness.

Potentials: Professionalisation on the march.

PART II: THE WHAT.

3 Competitive Value.

Brands, Customers and Markets.

A. BRANDS: ENGINES OF GROWTH AND REPUTATION.

Calculating brand value....

...and reporting on brand equity.

Rescuing the brand: Reporting as a part of crisis management.

Strategies for product....

...and corporate brands.

B. CUSTOMERS: THE KEY ENTREPRENEURIAL ASSET.

Customer orientation: Beyond lip worship.

Customer loyalty: Beyond retention.

Customer satisfaction: Early warning system or success barometer?

Customer commitment: Showing true grit.

C. MARKETS: TARGETING NICHES, SEGMENTS AND SECTORS.

Marketing metrics: From market share....

...to sectorial insights.

Marketing strategy: Between brand positioning....

...and financial results.

SUMMARY OF COMPETITIVE VALUE.

4 Management Value.

Strategy, Governance and Outlook.

A. STRATEGY: AN AMALGAM OF PROCESSES AND VISIONS.

Systematising strategy: Concentrating on targets....

...and on market trends.

Strategy as a structured process....

...and as an exercise in restructuring.

Strategy derived from the vision of a leader....

...and his insights on markets – or hers.

B. GOVERNANCE: SHADES OF TRANSPARENCY.

Regional pressures and structural differences.

Are governance premiums sufficient incentives for coherent reporting?

Reporting approaches: Between formalism....

...and hardcore information.

C. OUTLOOK: FORECASTING AS THE ULTIMATE CHALLENGE.

Between expectations and regulations.

Inputs and outputs: Systematising forecasting.

Uncorking the champagne – or biting the bullet.

Paths to growth and glory: Unorthodox approaches.

SUMMARY OF MANAGEMENT VALUE.

5 Human Resources Value.

Productivity, Motivation and Potential.

Can people be capitalised? Ambitious concepts, modest results.

Leveraging human resources: Pinpointing indicators....

...and reporting coherently.

A. PRODUCTIVITY: PROMOTING EFFECTIVITY AND EFFICIENCY.

Ways to productivity: The cultural factor.

Factual approaches: From basic documentation....

...to a strategic overview.

Focusing on the essentials.

B. MOTIVATION: WILD CARD FOR EXCELLENCE?

Corporate culture: The backbone of motivation.

Mobilising employees: Between satisfaction....

...and engagement.

C. POTENTIAL: PROTECTING PROPERTY AND HARNESSING TALENTS.

Exploiting intellectual property: Defensive and offensive approaches.

Managing diversity: Qualitative solutions....

...and quantitative evidence.

Training: An investment in superior performance.

SUMMARY OF HR VALUE.

6 Ethical Value.

CSR, Sustainability and Stakeholder Dialogue.

Good ethics=superior financial performance?

Evolution of reporting: From accounting to assurance.

A. CORPORATE SOCIAL RESPONSIBILITY: CHARITY OR POLICY?

Reporting trends: Quantity and quality on the rise?

Concretising commitment....

...and concentrating on core business.

An emphasis on issues....

...and on mission.

B. SUSTAINABILITY: BETWEEN TRIPLE BOTTOM LINE AND REALISTIC TARGETS.

Reporting between minimalist requirements and maximalist demands.

From triple bottom line....

...to challenges and dilemmas.

Setting targets and executing strategies.

C. STAKEHOLDER DIALOGUE: CONFLICT-SHOOTING OR WIN–WIN STRATEGY?

Curing corporate myopia.

Systematising processes, developing indicators.

Addressing specific issues....

...and systematising consultation.

Ethical value: A must or a sham?

SUMMARY OF ETHICAL VALUE.

PART III: THE HOW.

7 Says Who?

Addressing Stakeholders and Facing Issues.

Low standards of accountability....

...and cultural proclivities.

Focusing on audiences: Communities, employees....

...the financial community.

...and NGOs.

Focusing on specific issues....

...and tackling general concerns.

Dialogue as an ongoing process.

Dialogue perspectives: From evasiveness to civic sense.

8 New Wine in New Bottles?

Strategy, Structure and Style.

Strategy: From fundamental questions to an integrated approach.

Structure: The road to clarity and materiality.

Style: From story-telling to substance.

Coherence, brevity, accountability.

Bibliography.

Index.