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Students Assignment Help June 25, 2016

Financial or Non-Financial Disclosure of Stockland Stapled

Assignment Question: Company Research

Select one of the following companies:

• AGL energy ltd

• Caltex Australia ltd

• Stockland Stapled (recommended)

• Telstra Corp Ltd

• Qantas Airways Ltd

Student should apply accounting theory to the selected company disclosure and reporting in term of their environment and social responsibility including conceptual framework, ethics in workplace, CSR and corporate governance.Student should consider issues such as whether financial or non-financial disclosure are more important, or whether different types disclosures, or if more or less disclosure is available, or if the disclosure should be regulated. Student should find it useful to consider the most recent GRI index (G4) and ISO14000, ISO26000, ISO50001.Student should review the most recent annual report with the disclosure on the company website and any supplementary reports.

Assignment Answer: Company Selected Stockland Stapled


It has been said that there has been reason behind the each and every action performed by the human being. A person cannot performed any performed any action without any solid reason. In case of accounting and finance or matter related to that, a person or accountant must be careful or cautions while performing any financial transaction. There must be proper reporting of all the work performed by the company as company is responsible to its stakeholders. Apart from the financial context company must be responsible while taking non-financial decisions. Company must be socially responsible and must follow all the ethics while taking any important decisions.

Accounting deals with the financial transactions therefore it is essential that every accounting work must be based on some reasoning. Accounting Theory is the conceptual framework that explains with the reason or logic behind every accounting transaction. It is true that Generally Accepted Accounting Principles cannot be altered or changed but they can be reframed as per the changing needs of society or current economy requirement. Accounting Theory elaborates that it should be the responsibility of the company to report all working performed by the company in the past time period, to report it in front of the stakeholders or any associated persons. Accounting theory can be defined as set of broad principles and rules having logical reasoning, framed to provide the framework where the accounting practice can be governed and where the development of new principles and rules can take place.

In this report a review of company has been done to argue on the financial disclosure and other regulatory reporting such as environment and social responsibility including conceptual framework, ethics in workplace, CSR and corporate governance. For this purpose a company called Stockland Stapled is selected and all its reports are discussed in detail to throw the light on the above requirements. Accounting Theory is applied to discuss the financial reporting done by the company. Other reporting of the company will also be discussed with their specified headings.

Company Overview

Stockland is one of the most famous and diversified property groups in Australia that owns, controls and built a wide range of public as well as private assets such as shopping centers, office and industrial assets, residential communities and retirement villages. The Stockland Corporation deals in the development and regulation of real estate projects in countries like Australia, New Zealand and United Kingdom (Annual Report, 2013). The core business of the company is to invest in real estate assets like retail, office, industrial, and office park properties, and also includes residential properties and retirement living facilities. All these activities are regulated through extensive planning and high profile management facilities. In addition to these company offers services like property trust management and other management services related to property. Stockland Group was founded in year 1952 and it has clear vision to “Not merely achieve growth and profits but to make a worthwhile contribution to the development of our cities and great country”. Company vision is very much clear and it leads to long term development and provides meaningful objective to the management. Company has long and very proud history in the field of infrastructure development.

There have been places that expressively fulfil the needs daily requirements of the customers and communities. Stockland is one of the largest builders in the retail shopping malls. Company owns, manages and has developed finest retails mall in Australia (Annual Report, 2013). Stockland is the leading residential developer and company focuses in delivering the wide range of master plan communities in the growing sector of Australia. Stockland has established retirement living centers in 5 states of Australia and looking forward for more investment in this segment. On the analyzing the annual report of year 2013 it can be concluded that the financial results in this year is not satisfactory. There has been prolonged downfall in the Australian residential market and other related impairments. Despite that the residential land market has hit the financial results of the company, the Commercial Property and Retirement Living has performed exceptional well in this difficult market conditions (Annual Report, 2013).


Importance of Accounting Theory while reporting on social responsibility and on corporate governance

Accounting theory and accounting practices are closely related to each other. There are defined ways, following which company has to make their disclosures and report on the various requirement like corporate social responsibility, sustainability reporting and financial disclosures. Accounting theories are developed through analyzing, observing, evaluating, scanning, recording, and scrutiny of the day to day accounting practices. Day to day accounting practices must be performed by through successful application of defined and generally accepted theories and principles. These theories and principles changes whenever there is change is economy change in society beliefs, and socio economic changes of any country. It should also be report that there will be change in reporting format if there is change in the accounting practices or any practices.

Companies are responsible to disclose the activities performed by them in relation to corporate sustainability, environment sustainability, and social responsibility. Sustainability accounting has originated 20 years back and it has been considered as subcategory of the financial accounting. It aims on the disclosure requirement of non-financial information on the company performance to the external parties like stakeholders mainly customers, creditors and capital holders (Annual Report, 2013). The non financial disclosure contains the information related to the activities that has impacted the environment, society, economic performance of company. The requirement of sustainability disclosure is mandatory and it contrast with managerial accounting. Managerial accounting is used to regulate the internal decision making and creation of new policies that wide impact on the company performance.

Disclosures of financial as well as non financial information is mandatory and it is considered as the most important for reporting of various activities performed by the company in respect to the financial position, environment and social responsibility. It considers most important conceptual framework of like corporate social responsibility, corporate governance and ethic at workplace. All this disclosures are important for the stakeholders as well as any person connected with the organization. In addition to financial and non financial disclosures, there is needed to make disclosure regarding the other important matters that has wide impact on the organization performance and its reporting requirement (Annual Report, 2013).


Sustainability Disclosure made by Stockland

It is the belief of the company that they plays important role in the development of the sustainable communities for the future. For Stockland sustainability is ensuring we leave the communities where we operate, and the environment that they enjoy, in great shape for future generations (Sustainability Review, 2013). GRI establishes the guidelines to make presentation of sustainability reports. G4 is the fourth generation of GRI’s Guidelines that aims to help the reporter to prepare the meaningful sustainability reports and to robust the reporting standard practice. Stockland has successfully incorporated these guidelines while preparing their sustainability report (New G4 Content Index Tool and other useful G4-related resources, 2014). This has helped the company to give a new structure in the reporting standards. Company follows this through bringing change in the design, operative methods and other regulatory framework on the basis of what has been suggested by the stakeholders.

As on the basis of report of year 2013, company has refreshed the current stakeholder engagement plan template in order to bring some changes or further refine, enhance, and embed the approach of stakeholder’s engagement with the company (Corporate social report, 2013). Company has put the continued focus on professional development that includes training of assets and development teams to ensure better reliability on the stakeholders. In future company has planed to hold the professional development workshops in all states in the next 12 months in order to understand the needs of the society and to gather any new suggestions on the developing and maintenance of buildings (Sustainability Review, 2013). In year 2014 company has planned to introduce the new rigour testing process to evaluate the effectiveness of our engagement is currently under development. Stockland has effectively disclosed all information related to the requirement of the sustainability. Company publishes its annual sustainability report that contains all the major activities performed by the company in relation to the objectives for promoting sustainability in the organization.

Sustainability accounting leads the company’s strategy to the sustainable framework through disclosing the information on the three dimensional levels like environment, economical and social. In real terms it is difficult to put or follow all the policies that simultaneously promote goals related to environment, economy and social needs. In relation to satisfaction of retailer, shopper and tenant, company has addressed key areas of feedback in order to better meet the customer’s needs. In order to provide important to the tenants company has conducted the office and industrial tenant survey (Annual Report, 2013). As per the future plan company will conduct the transactional data centre analysis on all our regional and sub-regional centers. In order to capture the valuable retailer data and other insights company has planned to use the LFR and VCAD tools in alignment with our CRM system. Company has taken all possible measure to maintain the satisfaction across the Commercial Property business. Stockland has put focus on the development of house and land packages that match the requirement and purchasing power for new house buyers (Sustainability Review, 2013).


Sustainability accounting has not only lay emphasis on the creation of value but also leads to the risk mitigation that is connected to the environmental and social needs of sustainable development. Stockland has followed the international reporting format to report the activities it has taken for the sustainability development. It has helped in recognizing the financial information and also helps to extent it to the social and environmental level. As there is no set reporting format to report on the sustainability, it majorly depends on the factors, reporting standards and other regulations and guidelines. Stockland has taken care of all the reporting standards while preparing its report on the sustainability development.

In order to provide the lifelong learning and prosperity company has decided to design a framework that delivers improved education and learning opportunities in backwards parts of Australia. In this context company has able to deliver the wide range of education facilities to the children at various levels. This step has contributed in economy development of country and has also able to increase the customer image. In order to consider the health and well being of the employees at workplace, company has taken various new measures that help in gaining the complete satisfaction of the employees.

Sustainability accounting is also necessary as it help in put the check on the company activities taken to secure the natural resource management. Stockland has taken the significant steps to control the CO2 emissions. In order to conserve the biodiversity company has take use of alternative ownership and management models to ensure areas of biodiversity retained through master planning processes. Management has reported all the major areas on which various steps have been taken. It includes biodiversity, water, any change to climate and energy and any other necessary activities. Company has taken significant steps to lower the consumption of water through use of highly advance technology.

In order to make the whole process energy sufficient company has decided to monitor the level of consumption of energy through use of internal systems like as Activa, JDE and BMM and CCAP tool. Company has successfully incorporated the Commercial Property climate resilience assessment tool in the major of process of D-Life planning (Sustainability at Stockland, 2013). This has helped in adapting the climate change in successful manner. ISO 50001 is related to energy management and using the guidelines helps company to save money as well as helps in conserving the resources. Stockland has successfully able to establish the energy management system (EnMS) using the guidelines given in ISO 50001 (ISO 50001 – Energy management, 2014).

It has seen that in some countries there has been no government requirement for companies to prepare and publish the sustainability report. On the talking about the Australia government it is seen that there is statutory requirement to develop and publish the sustainability as well as CSR reports to the public. There are established set of guidelines and framework given by Organization for Economic Co-operation and Development (OECD) and GRI. Company that fails to report as per the set guidelines of OECD and GRI will definitely reduces their credibility.


Corporate Social Responsibility

Every company is liable to report on the measures taken to give some contribution in fulfilling the social responsibility. Corporate social responsibility is referred to as corporate social regulation that must be integrated into the business model. On reviewing the corporate social reporting done by the Stockland, it can be said that company has followed all the guidelines established by the OECD and GRI in making the Corporate Social Report 2013. ISO 26000:2010 is the most important standard that provides guidance rather than requirements. This ISO is related to social responsibility and it helps the organizations to translate the principles into effective actions and shares best practices that are related to social responsibility. Stockland takes use of ISO 26000:2010 to implement the changes in the social responsibility. CSR is essential as it helps to look over the non financial performance of the company in field of corporate social liability (ISO 26000 – Social responsibility, 2014).

Stockland has maintained the strong balance and taken all possible steps to remain at A credit rating. Company has prudent cost management policy and operational capability that helps in reducing the overheads by around 10%. Company has met all the criteria of the ISO regulation while taking its activities. It helps the company to successfully contribute a lot in the corporate social responsibility. In year 2013 the customer satisfaction of the company has increased to 71 %, a total increase of 3 % from past level. Management has implemented the measures that help in understanding of the customer needs. Product innovation, value and convenience are some of the measures taken by the company to bring customers satisfaction. Sustainable development and management of resources has become the core competencies of the company and many significant have taken to achieve it.


Management at Stockland takes the governance responsibility very seriously. Board believes that they have mix of experience and skills to oversee the high standard of corporate governance, integrity and accountability required of a professional and ethical organization. Company has taken possible measures to adhere the principles and recommendations of the ASX Corporate Governance Council in establishing the corporate governance in the management. Corporate social responsibility is something bigger than accountability. Accountability is the part of the corporate social responsibility. Moreover it comprises of three main tools i.e. accounting, auditing, and reporting. GRI is the most important stakeholder that establishes the public reporting guidelines or frameworks at international level (New G4 Content Index Tool and other useful G4-related resources, 2014). There are many international level measures adopted by the Stockland in their reporting requirement to align with the GRI regulation framework (Annual Report, 2013). Socially Responsible Investing (SRI) is also closely linked to CSR and it requires various standards to be followed with aim to achieve set requirements of ISO14000. ISO 14000 is the set of tool that helps in addressing the various aspects environmental management (ISO 14000 – Environmental management, 2014). Stockland has taken all the steps to identify and control the environmental impact and improving the environmental performance.

Ethics at workplace

Stockland is one of the organizations that value their employees more than the any stakeholder. Company follows complete requirement of workplace ethics and take all possible measure to establish them. Workplace ethics and behavior are a crucial part of the corporate social responsibility and it is essential to make the company profitable. It helps in achieving the high morale and teamwork among the workers. Stockland is accountable to report on the ethics it has established at the workplace. Company takes the complete responsibility of the workers and helps to promote good ethics and behavior at the workplace.


In last it can be concluded that it is essential for all the companies to report financial as well as non financial matter to their stakeholders through using the guidelines and reporting standards established by various governing bodies ay international as well as at national level. In this report we have successfully examined the reporting of financial as well as non financial information by the Stockland company. On successfully examination of all the reports it has found that company fulfils all the requirements set by various standards farmed by OECD and GRI. Company also follows various ISO standards to implement changes in the social responsibility.



Annual Report 2013. Stockland . [Online]. Available at: https://investor.stockland.com.au/phoenix.zhtml?c=173099&p=irol-reportsannual [Accessed on: 24 September 2014].

Corporate social report. 2013. Stockland . [Online]. Available at: https://www.stockland.com.au/reports/2013/index.htm [Accessed on: 24 September 2014].

ISO 14000 – Environmental management. 2014. [Online]. Available at: https://www.iso.org/iso/iso14000 [Accessed on: 24 September 2014].

ISO 26000 – Social responsibility. 2014. [Online]. Available at: https://www.iso.org/iso/home/standards/iso26000.htm [Accessed on: 24 September 2014].

ISO 50001 – Energy management. 2014. [Online]. Available at: https://www.iso.org/iso/home/standards/management-standards/iso50001.htm [Accessed on: 24 September 2014].

New G4 Content Index Tool and other useful G4-related resources. 2014. [Online]. Available at:-

https://www.globalreporting.org/information/news-and-press-center/Pages/New-G4-Content-Index-Tool-and-other-useful-G4-related-resources.aspx [Accessed on: 24 September 2014].

Sustainability at Stockland. 2013. [Online]. Available at: https://www.stockland.com.au/about/sustainability.htm [Accessed on: 24 September 2014].

Sustainability Review. 2013. Stockland . [Online]. Available at: https://www.stockland.com.au/sustainability/2013/performance-priorities-and-targets.htm [Accessed on: 24 September 2014].