Non-Financial Reporting as a Tool for Measuring the Social Activity of Domestic Enterprises

• Main Author: О. В. Наmкаlо
• Format: Article
• Language: English
• Published: State Statistics Service of Ukraine, the National Academy of Statistics, Accounting and Audit (NASAA), the National Academy for Public Administration (NAPA) under the President of Ukraine 2017-12-01
• Series: Статистика України
• Subjects: non-financial reporting, reporting standards, social activity, social responsibility, stages of enterprise development.
• Online Access: https://su-journal.com.ua/index.php/journal/article/view/151
• ISSN: 2519-1853; 2519-1861

The research is devoted to the peculiarities of the formation of non-financial reporting as one of the tools for measuring the social activity of enterprises. The financial stability and successful business of enterprises is conditional on non-financial indicators and business orientation, ranks, reputation, openness and social responsibility. Non-financial reporting or a CSR report is an effective tool for measuring the performance of enterprises, a basis for the development and implementation of various strategic projects and programs. Information from non-financial reporting allows for assessing the effectiveness of management at an enterprise by economic, environmental and social component, their interdependence and contribution in achieving the main goal, and for subsequent goal setting and more effectively management of change. It means that the report in question serves as the main platform for communicating the results and impacts (positive or negative) of sustainable development. It shows the real effort of an enterprise in creating social, environmental and economic benefits. However, domestic enterprises do not have sufficient experience in the field of socially responsible business and need to create their own internal concept of corporate social responsibility considering international trends, which determines the relevance of this study Various international non-financial reporting standards are analyzed; it is demonstrated that the most popular mechanism for regulating non-financial reporting is the Global Reporting Initiative (GRI), which defines a set of indicators measuring the social, ecological and economic component of the economic activity of enterprises The mechanism for making up a non-financial report by phase of the enterprise development is built. The use of the proposed mechanism in making up non-financial reporting will enable to set up an effective link between the enterprise and the stakeholders, and to determine the strategic directions of the enterprise's activities in the context of its development.