Accounting Theory Research Assignment -

This assignment is based on the case study entitled "Scaling-up for Sustainability: Integrated Reporting of Takeda Pharmaceutical" published in Sage Business Cases.

Assessment details

Assume that you are a graduate accountant at Takeda Pharmaceutical Company Limited, and as part of the graduate program you have been assigned to work with Koichi Kaneda, a senior director. In recent months, many listed companies including some Australian listed companies have sought Kaneda's advice about integrated reporting. In response to this demand for information, Kaneda has tasked you to write a report for Chief Executive Officers of Australian listed companies explaining how a move from traditional corporate reporting to integrated reporting can benefit their company and its stakeholders. Your report should specifically address the following:

1. The capacity of traditional corporate reporting to assist corporations to meet the current social and environmental challenges. [Note traditional corporate reporting includes the preparation of financial statements and standalone corporate social responsibility (CSR) reports, and reporting using sustainability tools (e.g. the Global Reporting Initiative (GRI), Greenhouse Gas Protocols, the Carbon Disclosure Project)] [Approximately 450 words]

2. What is integrated reporting and how integrated reporting can address the limitations of traditional corporate reporting? [Approximately 450 words]

3. How does integrated reporting differ from other forms of nonfinancial reporting e.g. CSR reporting, reporting using sustainability tools, the EU Directive on the disclosure of nonfinancial information? [Note: In particular, demonstrate the conceptual differences between integrated reporting and GRI G4 reporting] [Approximately 400 words]

4. Advantages and disadvantages (or costs and benefits) associated with integrated reporting, and theoretically informed arguments as to how the company may benefit on balance, by adopting integrated reporting. [Note: refer to theories in accounting that explain why companies may adopt integrated reporting and based on those theories predict how the company might benefit by adopting integrated reporting] [approximately 550 words]

5. How relevant is integrated reporting to various stakeholder groups of listed companies (e.g., retail investors, institutional investors, lenders, environmental lobby groups, customers etc.). Your answer to this part should draw on theories explaining market reactions to corporate reports and capital markets research on the use of accounting and non-accounting information. [Approximately 400 words]

Additional guidance -

In this research assignment you will be providing your personal view based on research evidence, theory and original thought.

In your assignment, you are expected to draw on:

• relevant accounting theories
• the International Integrated Reporting Framework issued by the IIRC
• scholarly articles from academic journals
• reports issued by professional accounting bodies, accounting firms (particularly, the Big 4), regulatory bodies, the IIRC, the GRI and other organisations
• official websites of professional accounting bodies, accounting firms (particularly the Big 4), regulatory bodies, the IIRC, the GRI and other organisations
• media reports on integrated reporting

Sustainability and integrated reporting is covered in Chapter 9 of your textbook. The theoretical knowledge necessary to successfully complete this research assignment is not confined to one or few topics but spread across many topics in this unit. The theoretical knowledge provided in Chapters 7, 8 and 10 of your text book are particularly relevant to this assignment.

Objectives of the Assignment -

There are two objectives for this assignment. The first objective is to assist you achieve the following Unit Learning Outcomes (ULOs) and the Course Learning Outcome (CLO) of the Masters of Practicing/Professional Accounting degree. The assignment marking rubric attached to this document explains how your achievement of these ULOs, and CLO will be assessed.

• Apply dominant theoretical perspectives in accounting research to explain and interpret the selection and application of specific accounting rules, principles, practices and processes by preparers of accounting information.
• Apply knowledge of accounting theory and research to predict market reactions and possible behavioural responses of users of accounting information to the release of accounting information using various theoretical perspectives.
• Apply knowledge of research principles and methods to plan and execute a piece of research with some independence as preparation for research higher degrees.

The second objective of this assignment is to assist you develop effective written communication skills, analysis skills and the ability to work independently.

Attachment:- Assignment Files.rar