Beyond Climate Targets: Exploring When and How Female Directors Influence Corporate Decarbonization Transparency

Business Strategy and the Environment, Journal Year: 2025, Volume and Issue: unknown

Published: Feb. 6, 2025

ABSTRACT The 2015 Paris Agreement established an international commitment to limit global warming 1.5°C, which requires climate neutrality through deep cuts in greenhouse gas emissions. In pursuit of this goal, companies worldwide are adopting decarbonization strategies that increasingly aligned with principles transparency and accountability. This study examines a sample 6575 large analyze the impact board gender diversity on climate‐related disclosures. Our findings show presence at least one female director increases corporate regarding targets, timelines, strategic levers, performance metrics. Thus, challenges critical mass theory by demonstrating even single adds unique value promoting sustainability transparency. Furthermore, we contextual factors—such as industry environmental sensitivity, regional regulatory frameworks business opportunities—moderate influence directors These advance governance research providing multidimensional understanding how drives transparency, particularly sustainability‐sensitive industries environments. On practical level, highlight gender‐diverse boards for managers, investors, policymakers seeking enhance accountability align goals. By underscoring transformative role transparent responsible practices, contributes actionable insights transition net‐zero economy.

Language: Английский

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Resisting sustainability reporting regulation in Europe: stakeholders’ barriers to the adoption of the corporate sustainability reporting directive

Management Decision, Journal Year: 2025, Volume and Issue: unknown

Published: Feb. 26, 2025

Purpose This research explores barriers associated with the implementation of sustainability reporting regulation (SRR) in Europe, focusing on stakeholders’ resistance to transitioning from Directive 2014/95/EU (the NFRD) 2022/2464/EU CSRD). Design/methodology/approach SRR feedback collected during a public consultation conducted by European Commission was qualitatively and quantitatively analysed employing qualitative content analysis, iterating multiple regression models relying normativity concept innovation theory (IRT). Findings The results revealed both psychological functional that negatively affect agreement transition NFRD CSRD might result sub-optimal normative outcomes CSRD’s regulatory innovations. Research limitations/implications provides important insights for policymakers regarding ways address Arising legislation’s recent introduction, currently limited empirical evidence warrants further long-term impact these barriers. Practical implications study offers meaningful practical improve acceptance SRR, including but not aligning new regulations existing practices, offering training financial incentives highlighting tangible benefits overcome perceived value gaps. Originality/value introduces IRT as framework investigate identifies success. provide comprehensive understanding how such early stages normativity.

Language: Английский

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Common ownership and investor‐focused disclosure: Evidence from ESG financial materiality

Business Strategy and the Environment, Journal Year: 2024, Volume and Issue: unknown

Published: Oct. 12, 2024

Abstract In this study, we investigate whether information demands made by common agents, specifically institutional owners, drive firms to adopt a reporting framework that enhances the comparability and financial materiality of environmental, social, governance information. Using sample 3659 unique US from 2015 2021, collected data on adoption Sustainability Accounting Standards Board's framework—identifying first movers, followers, non‐adopting firms—and their levels ownership. Our results are robust across changes in ownership, various combinations fixed effects, application an instrumental variable approach. findings support idea investors' demand drives sustainability ownership such disclosure alleviating concern over proprietary costs revealing sensitive study offers new insights into patterns intra‐industry behavior better understanding how group increasingly significant market participants (i.e., owners) influences firms' commitment investor‐focused disclosure.

Language: Английский

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Investigating the antecedents of Sustainable Development Goals disclosure via social media: Evidence from water companies

Corporate Social Responsibility and Environmental Management, Journal Year: 2024, Volume and Issue: unknown

Published: Dec. 5, 2024

Abstract This study extends academic knowledge on the sustainable development goal (SDG) disclosure practices of water companies via social media. The ultimate paper's is to examine possible determinants such practices. A manual content analysis was conducted a sample 64 Spanish companies' official Twitter accounts determine SDG level. Based legitimacy theory, different regression models were estimated identify financial and governance explanatory factors level provided by Twitter. Results reveal that are still slow realise potential media increase their engagement with stakeholders legitimise position in society concerning commitment achieving SDGs. More profitable less government ownership larger boards appear more prone disclose information.

Language: Английский

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Are Environmentally Sensitive Firms More Likely to Release Corporate Environmental Disclosures? Evidence From Environmental Risk Management

Business Strategy and the Environment, Journal Year: 2025, Volume and Issue: unknown

Published: Jan. 26, 2025

ABSTRACT This study examines the environmental risk management practices of US firms operating in environmentally sensitive industries. Using two proxy variables for ex ante policy risk—firm‐level toxic chemical emissions and climate‐related keywords annual financial statements—we demonstrate that facing high tend to increase frequency length their voluntary sustainability reports. Additionally, we find proactive disclosures significantly mitigate firm‐level systematic (beta) associated litigation risk. reduction is more pronounced among with substantial green innovations stronger corporate governance practices. Overall, this highlights causes consequences reports, focusing on how manage through these publications.

Language: Английский

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Readiness for Mandatory Climate‐Related Disclosures: A Tri‐Jurisdictional Analysis of Governance Attributes in Australia, New Zealand and the United Kingdom

Business Strategy and the Environment, Journal Year: 2025, Volume and Issue: unknown

Published: Feb. 3, 2025

ABSTRACT We evaluate the preparedness of companies in Australia, New Zealand and United Kingdom to comply with emerging mandatory climate‐related disclosures (CRDs) aligned TCFD recommendations, using their Carbon Disclosure Project (CDP) information. Our analysis also examines corporate governance attributes influencing readiness disclose such The findings reveal a strong integration Governance aspect TCFD‐recommended disclosure, an 86% alignment between CDP theme. However, lower is observed for Strategy (50%) Metrics Targets (49%), highlighting need immediate improvements these areas. Firms more gender‐diverse boards presence sustainability committee demonstrate greater CRDs consistent recommendations. These insights shed light on firms' CRD across jurisdictions, especially considering new IFRS standards. results underscore urgent enhance competencies Targets, where weakest. Practically, by documenting insights, we provide managers early guidance implications current practices. This relevant firms subject to, or soon be impacted by, regulations jurisdictions. hold paramount significance managers, policymakers regulators.

Language: Английский

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The Mediating Role of Financial Reporting Quality in the Relationship Between CEO Power and Carbon Emission Disclosures: Evidence From Vietnamese Companies

Business Strategy and the Environment, Journal Year: 2025, Volume and Issue: unknown

Published: Feb. 10, 2025

ABSTRACT This study investigates the impact of chief executive officer (CEO) power on carbon emission disclosures (CDI) and mediating role financial reporting quality (FRQ) in this relationship. We employ two‐step system generalized method moments (Sys‐GMM) estimator to examine relationship between CEO CDI FRQ. utilize a dataset Vietnamese listed firms 2015 2022, totalling 494 firm‐year observations. further perform battery robustness tests. find that positively influences CDI, indicating CEOs may enhance transparency bolster their reputation. However, our results also reveal negative FRQ, supporting notion powerful might prioritize personal interests at expense integrity. Additionally, we demonstrate FRQ mediates suggesting while promote environmental disclosure' transparency, they concurrently engage earnings management practices diminish research contributes literature by providing empirical evidence facilitating both an emerging market context. The highlights offering new insights into governance mechanisms influence corporate transparency.

Language: Английский

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The Impact of Bank Riskiness on the Quality of ESG Disclosure: Empirical Evidence From European Banks

Business Strategy and the Environment, Journal Year: 2025, Volume and Issue: unknown

Published: Feb. 12, 2025

ABSTRACT The present study aims to inquire into the relationship between bank risk profile and ESG disclosure score. A sample of 50 listed banks from 28 European countries was analyzed in timespan 2012–2018. Results revealed a positive score, confirming likelihood predatory increasing their mitigate impact risk‐taking activities improve reputation toward customers. Theoretical practical implications arose study, suggesting that greater attention should be given management due relevance financial institutions for stability system prevent them assuming misconduct.

Language: Английский

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Double materiality concept in practice: impact in a construction company

Management Decision, Journal Year: 2025, Volume and Issue: unknown

Published: Feb. 19, 2025

Purpose The primary aim of this paper is to explore the practical application double materiality (DM) assessment process and identify potential problems challenges that may arise. Design/methodology/approach This research entails a single case study one leading Polish construction companies. Using internal documentation, records, analyses assesses DM implementation in company was an early adopter concept. Findings results indicate complex project, covering specific stages posing various challenges, such as establishing objective criteria for selecting thresholds. Other issues include need weight stakeholder opinions appropriately determine reporting boundaries. problem discretionary judgements assessments also observed. Practical implications provides insights practitioners involved sustainability reporting. Originality/value One novelties it presents authentic concept, which designed according European Sustainability Reporting Standards requirements.

Language: Английский

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Sustainability Reporting Assurance in Italian Listed Companies: Understanding the Role of CEO Characteristics

Business Strategy and the Environment, Journal Year: 2025, Volume and Issue: unknown

Published: Feb. 25, 2025

ABSTRACT Building upon the upper echelons theory, this study investigates effects of CEO characteristics—in terms age, gender, and human capital (legal background, educational level, industry expertise)—on CSR reporting assurance. Using a combination GMM logistic regression, it analyzes sample non‐financial Italian publicly listed companies. The results reveal that older CEOs, female those with higher legal prior experience in firm's are more likely to engage Consequently, our findings offer both academic practical insights. This research contributes existing literature on governance antecedents reporting, while addressing gap context, which has been underexplored. Furthermore, holds implications for company decision‐making selection as well accounting firms other certification bodies evaluating how executive characteristics influence sustainability

Language: Английский

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