Published date: Dec 07 2023

Journal Title: KnE Social Sciences

Issue title: The International Conference on Environmental, Social and Governance (ICESG 2022)

Pages: 686–709

DOI: 10.18502/kss.v8i20.14632

Dayana Mastura BaharudinUniversiti Sains Malaysia and Universiti Teknologi PETRONAS

Maran MarimuthuUniversiti Teknologi PETRONAS

Suhaily ShahimiUniversiti Malaya

Haslindar IbrahimUniversiti Sains Malaysia

The purpose of this study is to examine the impact of the integrated Business Model disclosures on the financial performance of the top 30 Malaysian PLCs, moderated by a 50% presence of Independent Board of Directors as proposed by the Malaysian Code of Corporate Governance 2017 (MCCG 2017). The paper’s design will adhere to the purposive sampling methodology, utilizing descriptive statistics, multiple regression analysis, and quantitative content analysis derived from the International Integrated Reporting Council (IIRC)’s Integrated Report, along with previous studies. This approach aims to analyze the annual reports and integrated reports, aiming to explore the Integrated Business Model disclosures within the top 30 Malaysian PLCs. The originality of this paper lies in the design of the new Independent Board of Directors Scoring Index, which aims to identify the best disclosures among the top 30 Malaysian PLCs. This scoring index could prove beneficial to both academicians and practitioners, extending its utility beyond the Top 30 PLCs. The study serves as a systematic review of recent research developments in Integrated Business Model disclosures within the Integrated Report and the Annual Reports of the top 30 Malaysian PLCs.

Keywords: ESG, Circular Economy, Governance, Integrated Report, Business Model, Independent Board of Directors

[1] Clayton AF, Rogerson MJ, Rampedi I. Integrated reporting vs. sustainability reporting for corporate responsibility in South Africa. Bulletin of Geography. Socio-economic Series. 2015;29(29):7–17.

[2] Bradley, B, ESG Investing for dummies, John Wiley & Sons, 2021

[3] Donovan & Ho. Advocates and Solicitors. Malaysia - Introduction to the LEAP Market. 2017 Dec 22. Retrieved from http://www.conventuslaw.com/report/malaysiaintroduction- to-the-leap-market/

[4] Ernst, Young. The concept of ’capital’ in Integrated Reporting. EY. 2013.

[5] Flower J. The International Integrated Reporting Council: A story of failure. Crit Perspect Account. 2015;27:1–17.

[6] Ho S. Bursa announces new sectors for Main Market companies. 2018 Sep 24. Retrieved from The Edge Markets: http://www.theedgemarkets.com/article/bursaannounces- new-sectors-main-market-companies

[7] IIRC. Capitals background paper for Integrated Reporting. Association of Chartered Certified Accountants (ACCA) & Netherlands Institute of Chartered Accountants (NBA). IIRC; 2013.

[8] International Integrated Reporting Council. Towards Integrated Reporting, Communicating Value in the 21st Century. IIRC; 2011.

[9] Malaysian Institute of Accountants and The Association of Chartered Certified Accountants. MIA-ACCA Integrated Reporting Survey. MIA and ACCA; 2016.

[10] PricewaterhouseCoopers. The state of Integrated Reporting in Malaysia, An analysis of the Bursa Malaysia’s top 30 companies’ annual reports. Kuala Lumpur: PwC. 2014.

[11] Ritchie, Kyle J, and Freed , Eric Corey, Circular Economy for dummies, John Wiley & Sons, 2021

[12] www.capital.com.my. Ace Market - Bursa Malaysia. 2016 March 17. Retrieved from https://capital.com.my/investors-funds/public-listing-ipo/ace-market-bursamalaysia/

[13] Nilsson A. A touch of Integrated Reporting. An exploration of large Swedish companies’ compliance with the IIRC’s six capital. University of Gothenburg; 2016.

[14] Zahid M, Ghazali Z. Corporate sustainability practices among Malaysian REITs and property listed companies. World Journal of Science. Technology and Sustainable Development. 2015;12(2):100–118.

[15] International Integrated Reporting Council. New Malaysian Corporate Governance Code calls on companies to move towards Integrated Reporting. IIRC; 2017.

[16] International Integrated Reporting Council. The International Integrated Reporting Framework. IIRC; 2013.

[17] Chaudhuri K, Kumbhakar SC, Sundaram L. Estimation on firm performance from a MIMIC model. Eur J Oper Res. 2016;255(1):298–307.

[18] Richard PJ, Devinney TM, Yip GS, Johnson G. Measuring Organisational Performance: Towards Organisational Best Practice. J Manage. 2009;3(3):718–804.

[19] Ernst,Young. The ’ Business Model’ concept in Integrated Reporting. EY. 2013.

[20] IIRC. Business Model background paper for Integrated Reporting. Chartered Institute of Management Accountants (CIMA). IFAC & PwC. IIRC; 2013.

[21] Soyka PA. The IIRC Integrated Reporting Framework: Toward Better Sustainability Reporting and (Way) Beyond. Environmental Quality Management, Winter 2013. Wiley Periodicals Inc; 2013.

[22] Adams C. The International Integrated Reporting Council: a call to action. Crit Perspect Account. 2014;27:23–28.

[23] Thomson I. ’But does sustainability need capitalism or an integrated report’ a commentary on ’The International Integrated Reporting Council: A story of failure’ by Flower, J. Critical Perspectives on Accounting. 2014.

[24] IIRC. Capitals backgroud paper for Integrated Reporting. Association of Chartered Certified Accountants (ACCA) & Netherlands Institute of Chartered Accountants (NBA). IIRC; 2013.

[25] International Integrated Reporting Council. Towards Integrated Reporting, Communicating Value in the 21st Century. IIRC; 2011.

[26] Kaye T. In The Black Leadership Strategy Business. 2018, Aug 1. Retrieved from Rebuilding Trust Through Integrated Reporting: https://www.intheblack.com/articles/2018/08/01/rebuild-trust-integratedreporting

[27] Saleem, S. Malaysia’s Economic Challenges: Implications of Ringgit’s Fall. S Rajaratnam School of International Studies Commentary. 2015 Aug.