Corporate governance reporting considered a 'box-ticking' exercise, finds research
ACCA Australia scores top 50 largest publicly-listed companies
14 May 2009
New research by ACCA has revealed that Australia's top 50 largest publicly-listed (ASX50) companies generally consider corporate governance reporting as merely a box-ticking exercise.
The Disclosures on Corporate Governance, which ACCA conducted in collaboration with Net Balance Foundation Ltd, assessed and scored the extent to which the ASX50 companies implement and report on corporate governance issues.
It found that while the ASX50 companies could be considered effective in meeting the criteria subject to ASX regulatory requirements, they often fell short when following international guidelines and global best practice in corporate governance reporting.
Michaela Campbell, head of ACCA Australia and New Zealand, commented on the findings and suggested why now would be a good time for the ASX50 companies to regard corporate governance as a key factor in their sustainability and performance agendas. 'Overall, the ASX top 50 are reporting on their corporate governance; however the emphasis is on meeting mandatory ASX requirements,' she said.
'They must support policies with strong leadership, accountability and a culture that fosters an ethical, sustainable approach to corporate governance.
'With the global economic downturn diminishing faith in corporations, there is a real opportunity for companies to go beyond the minimum and reinforce the very purpose of the governance - transparency, accountability, fairness and responsibility.'
The top 10 highest-scoring companies identified in The Disclosures on Corporate Governance survey are:
- ANZ Banking Group
- Westpac Banking Group
- BHP Billiton
- Qantas Airways
- Oz Minerals
- Rio Tinto
Download a copy of The Disclosures on Corporate Governance survey