ThinkTWENTY20

The European Commission (EC) announced in July 2020 that the European Financial Reporting Advisory Group (EFRAG) is to develop recommendations for non-financial reporting standards. It is envisaged that non-financial reporting standards will include elements of what is normally referred to as ESG reporting.

As set out earlier in the year, the EC is taking an in-depth look at non-financial reporting, including reviewing the Non-Financial Reporting Directive (NFRD). Under that directive, large companies have to publish reports on the policies they implement in relation to environmental protection, social responsibility and treatment of employees, respect for human rights, anti-corruption and bribery, and diversity on company boards (in terms of age, gender, educational and professional background).

EFRAG will mobilise a balanced and broad task force, taking into account a wide range of stakeholders and expertise, to prepare technical advice. The recommendations must build on existing standards and frameworks, and will be developed in close association with existing standard setting organisations.

We all know that the post-covid world will be different than it was before. What we don’t know exactly is how different, or precisely what the changes will be. Some of the changes in behaviour will last. Others not. Some will lead to further changes.

Jim Carroll gives us some facts to ponder:

• “you won’t be going to a conference, event, or corporate off-site for a long, long time
• even so, you don’t like the virtual events you’ve been to so far – they’re pretty bad, too long, are boring and often devoid of content
• and yet, organizations and associations have a crushing, relentless need to bring their people, teams and members together in the relentless pursuit of new knowledge and new connections.”

For more on these views, check out this website. https://jimcarroll.com/2020/07/daily-inspiration-right-now-your-speed-matters-more-than-your-plan-think-fast-move-faster/

Clearly there is some reconciliation needed here. And further changes will be needed to accomplish this. And there is not much time to adapt. As Jim says,” act fast.”

There is an excellent series going on CNBC at http://www.cnbc.com/interrupted which will help businesses with finding a focus of the change they need. It could be better, faster online service, changing products, streamlining supply chains, or something else.

There is no one change that will fit all businesses. But change is needed, And fast!

By John McAlister and Shelley Thomson

There is no doubt the accounting industry has been in a constant state of disruption for more than a decade. As a result, there’s a good chance you have responded in one of the following ways…

• It's a buzz word, it's not real, and eventually, the talk will fade;
• It’s the new way of life;
• I'll ignore it, and it will go away;
• I’m terrified and don’t know what to do to keep up;
• I’m excited about the challenges ahead;
• It will never affect me;

These are all common reactions that you might also feel regularly, and perhaps many more.