THE FRC is to explore how companies can use digital media in their corporate reporting to improve investors’ access to information.
The project will be undertaken by the Financial Reporting Lab and will initially review how companies currently use a wide range of digital media, including websites, videos, apps, social media platforms and blogs in their external communications to investors, and how investors use what is produced.
This initiative is the first part of a series of three projects on corporate reporting in a digital world. Over the next 18 months the lab plans to investigate the current state of corporate reporting through digital media, barriers to the use of digital media in reporting and how companies might make the most of technological opportunities.
Sue Harding, director of the Financial Reporting Lab said: “This project doesn’t signal the end of reporting by companies on paper, but rather is designed to look forward to the opportunity digital methods may offer. Many companies have already begun to innovate in the area of digital reporting, and the Lab can uniquely add to the debate by helping companies and investors explore what is best in current practice as well as looking towards a vision of what reporting might look like in the future to better meet their needs.”