Juliano Almeida de Faria

The determinants mostly disclosed by companies that are members of the Carbon Disclosure Project

Concerns about climate change as a result of anthropic actions have led to an increase in the volume of information disclosed about it in the reports of companies that are members of the Carbon Disclosure Project (CDP). In this context, the factors most disclosed remain obscure due to both the complexity of climate change impacts and the stakeholders’ different interests. This study aims to identify which factors are most disclosed in the reports of companies that are members of CDP. For this purpose, it is necessary to investigate if the factors indicated by managers and experts are the main ones disclosed in the reports of Brazilian companies that are members of CDP, as well as to identify which companies stand out in climate change disclosure based on these factors. To this end, 463 reports submitted by 48 companies between 2014 and 2016 were examined and 32 factors were investigated using the NVivo® software. Some companies submitted reports with unified titles, which reduced the sample. The results indicate that certain factors—prevention of pollution, prevention of loss, management of environmental assets, volume of greenhouse gas (GHG) emissions, and climate change strategy—account for 50.03% of the total volume of information disclosed about climate change. The main lesson learned from this research is that climate change mitigation strategy is strongly supported by the evidence of corporate annual reports, and it has relation with the following determinant factors: pollution prevention, loss prevention, environmental asset management, GHG emissions, and the strategy chosen by the companies to deal with climate change. Due to the low volume of research related to loss prevention and pollution prevention, we have identified that little attention has been paid to these items. Based on our results, we recommend that climate change mitigation strategies begin to consider these determinant factors in their structure because both have a strong influence in demonstrating how companies are managing these factors for stakeholders. Therefore, companies can benefit from this data to manage their resources for the maintenance of the social contract (legitimacy) through the factors most disclosed, especially companies with lower scores on the scale of ranking presented. Hence, stakeholders can have access to more information on strategies that mitigate climate change and help companies improve the disclosure of the actions that contribute to reduction of GHG emissions.

ENTERPRISE RISK MANAGEMENT AND PERFORMANCE IMPROVEMENT: A STUDY WITH BRAZILIAN NONFINANCIAL FIRMS

Purpose – This research aimed to study the relationship between Enterprise Risk Management (ERM) and performance improvement. Design/methodology/approach – A questionnaire was used as an instrument of data collection that was passed to managers of nonfinancial companies listed among the 500 largest and best firms in Brazil. The data from this study were analyzed with descriptive statistics and multivariate analysis of correlation and association. Findings – The results showed that the main drivers of risk management were regulation, stakeholder demands, and business competitiveness. Among the practices that have been used, managers spotlight the utility of basic methods, more subjective, while technical methods, more quantitative, were of secondary importance. It was evidenced that the risks were weighted in the main activities of the organization. As a result, it was demonstrated that improved performance is associated with the maturity level of risk management and the level of stakeholders’ involvement in risk management. Research limitations/implications – Other researches could examine how this process was developed in other countries and expand the number of organizations studied. Practical implications – This study provides empirical evidence about theorist assumptions about the relationship between ERM and performance improvement. Social implications – This study demonstrates the importance of human aspects for the processes of risk management and how external factors can influence this process. Originality/value – It gives a broader and deeper comprehension of the process of risk management at nonfinancial firms in Brazil.