Systematic review of integrated reporting: recent trend and future research agenda
Journal of Financial Reporting and Accounting
ISSN: 1985-2517
Article publication date: 14 June 2021
Issue publication date: 12 July 2022
Abstract
Purpose
Integrated reporting (<IR>) promotes transparency in corporate reporting and communicate detailed information on how a firm creates value in the short, medium and long-term. The purpose of this paper is to systematically review <IR> to provide insights into theories, determinants, consequences, contingent variables and methods that have been used in previous studies.
Design/methodology/approach
The study was based on a systematic review of 17 articles published between 2017 and 2020.
Findings
Nine theories were used in prior studies. Board size, diversity, independence, level of activity of the board, the establishment of Higher Education Institutions (before or after 1992), adoption of IR framework, size, institutional ownership, sustainability committee and the use of non-financial performance measures in executives’ compensation contracts and separate risk management committees are determinants of <IR>. Further, the positive impact of <IR> on information asymmetry, market valuation of environmental, social and governance performance, financial performance, intellectual capital, sustainability embeddedness and organisational change, external sense of legitimacy and reputation, revenue growth, corporate environmental performance and circular economy-related information, with mixed findings for analyst earnings forecast accuracy, company value and market value. Only three studies used moderating and mediating variables to examine <IR>. Quantitative research approach and secondary data are most preferred by <IR> scholars.
Research limitations/implications
Some papers may have been omitted unintentionally, although the author did his best to include most of the prior published articles using a rigorous methodology.
Practical implications
This paper set out future research agenda on how <IR> research could be enhanced.
Originality/value
Contrary to prior systematic reviews that consider individual constructs/concept, the review herein adopts a comprehensive approach and considers moderating and mediating variables aside from theories, effects and determinants of integrated reporting.
Keywords
Citation
Nwachukwu, C. (2022), "Systematic review of integrated reporting: recent trend and future research agenda", Journal of Financial Reporting and Accounting, Vol. 20 No. 3/4, pp. 580-598. https://doi.org/10.1108/JFRA-10-2020-0308
Publisher
:Emerald Publishing Limited
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