The pillars of internal control and risk management systems in relation to financial reporting: The perspective of the Polish and German capital markets

• Main Author: Jacek Gad
• Format: Article
• Language: English
• Published: Rada Naukowa SKwP 2016-09-01
• Series: Zeszyty Teoretyczne Rachunkowości
• Subjects: kontrola nad sprawozdawczością finansową;sprawozdawczość finansowa;WIG 30;DAX;financial reporting;control over financial reporting
• Online Access: http://journals.indexcopernicus.com/fulltxt.php?ICID=1212002
• ISSN: 1641-4381; 2391-677X

This article aims to identify, based on the reporting practices of companies listed on the Polish and Ger- man capital market, the pillars of internal control and risk management systems in relation to financial reporting. The survey examined disclosures concerning the control systems over financial reporting included in consolidated annual reports drawn up in 2013 by WIG 30 and DAX companies. Eleven main categories of information were identified. They were presented within disclosures about control systems over financial reporting. The research results indicate that the examined companies presented largely similar information on the control systems over financial reporting. It seems, however, that in the case of the DAX companies, the practice of reporting in the area of disclosures about control over financial reporting has been developed to a greater extent, i.e., the repeatability of certain items is greater. The disclosures presented by the DAX companies are more transparent compared to the disclosures presented by the WIG 30 companies. The results of research on the transparency of disclosures of companies listed on the Polish and German capital markets are consistent with the dimensions of the national cultures presented in the literature.