The non-financial reporting practices of co-operative managed enterprises in South Africa

Abstract

Orientation: This paper reports on how co-operative managed enterprises in South Africa address non-financial reporting requirements. Research purpose: The purpose of the study is to obtain a deeper understanding of the non-financial reporting practices followed by co-operatives in South Africa, from the perspective of stakeholders. Motivation for the study: The benefits of co-operative enterprises can only be fully realised if the non-financial reporting is effective in describing whether the values and principles unique to this type of enterprise have been met. Although the non-financial reporting practices of co-operatives have been the subjects of many international studies, limited research has been performed from a South African perspective. Research design, approach and method: A case study approach was employed in which semi-structured interviews were conducted. Three co-operatives were selected as the case studies, and interviews were held with stakeholders, including management, employees and suppliers. A thematic analysis was performed by means of ATLAS.ti, where a codebook was developed and used to analyse interview data and to develop a findings framework. The findings were documented with reference to the framework. Practical/managerial implications: The research demonstrates that the relevance, reliability, quality and completeness of non-financial information are influenced by the co-operative’s age, size, industry, level of stakeholder participation and the reporting guidance by the co-operative preferred. Contribution/value add: This study illustrates how improving the quality of non-financial reporting of co-operatives in South Africa could enhance the achievement of their goals.

Keywords

• corporate social responsibility
• governance
• integrated reporting
• management reporting
• non-financial reporting
• sustainability reporting.