a)
In carbon offsetting, the main benefactors would be the governments and regulators since they would have more control over the emission of carbon.
On time performance in the commercial sector would be of great benefit to shareholders and investors since they would get returns promptly
Regional route development would benefit the community most. Whereas, career development will see the employees and unions both get a win. Operational and flight safety is an added advantage for the guests.
b)
The trend of growth in the carbon regulation and community sponsorship by the company has been on an exponential rise due to increased pressure of social responsibility
c)
Critical Thinking
Analysis
Atkins and Maroun’s article on the integrated reporting that was being quickly adopted by South African companies provides insight into the various dimensions associated with choosing this type of financial reporting framework in business in modern times. In this research paper, the researchers concluded that many South African companies were for the idea of integrated reporting which deals with both financial and non-financial aspects of the information given to the various stakeholders. The idea of giving a "softer" touch on financial reporting is appealing to many potential stakeholders (Atkins & Maroun, 199). However, not all is perfect since the adoption of integrated reporting has setbacks such as being too lengthy.
Evaluation
An integrated report is a relatively new framework introduced in 2013 and is aimed at changing the way that companies relay financial information to the public and its investors. Integrated reporting is seen as a way of disclosing information on risks and opportunities to investors, a way of balancing financial and non-financial information and a tool for planning for many companies (Atkins & Maroun, 203). Integrated reports incorporate a mixture of financial and non-financial information to present comprehensive and full details to the reader. It has been noted that a more open company attracts more investors since the value addition process on investments is fully disclosed creating a feeling of security among the stakeholders.
Integrated reporting provides a link between ethical, social, cultural and political influences on a business model. This diverse information provided for in this framework allows for clear oversight of operations and paves the way for sustainable development in the company. An integrated report can capture all the various externalities and how it will change the operation of the business. With this knowledge, companies can make more accurate predictions of the trend of value added to its functioning. The extra information, in turn, encourages more investors to get on board since they can see how much better planned the company is when it regards all factors in its operations (Australia, 1).
The main problem, as stated in the article, was that many people found the reports to be too long and redundant. For a more traditional investor looking for a particular piece of information about a company, the lengthiness might be deemed as a big nuisance. In the effort to integrate as much information about the situation of the company, many reports run the risk of being too long and complicated to be practical (Cappelletti and Carlo, 4969). This problem is addressed by hiring a more efficient team to write up these reports and make sure it is structured and comprehensive enough to be both informative and brief. The benefits that this new approach brings to reporting should not be hindered by too much jargon and technical terms that make it a dull read (IFRS, 1).
Answer
Integrated reports may soon be the new frontier in dispensing financial information. Virgin Australia should adopt it in order to be more efficient and take advantage of a much better framework.
Works Cited
Atkins, J., and W. Maroun. "Integrated reporting in South Africa in 2012." Meditari Accountancy Research 23.2 (2015): 197-221. Web. <10.1108/medar-07-2014-0047>.
Australia, Virgin. "Financial Report." Virgin Australia | Book Flights & Holidays with Virgin Australia. N.p., 2015. Web. 14 Mar. 2016.
Cappelletti, Giulio, Giuseppe Ioppolo, Giuseppe Nicoletti, and Carlo Russo. "Energy Requirement of Extra Virgin Olive Oil Production." Sustainability 6.8 (2014): 4966-4974. Print.
IFRS. "Conceptual Framework." IFRS - Home. N.p., 2015. Web. 14 Mar. 2016.
Reporting, Integrated. Integrated Reporting. N.p., 2015. Web. 14 Mar. 2016.
