Aron Roopnarain, Marita E Pietersen
Abstract
The disclosure of useful information in integrated reports is essential for decision-making processes by stakeholders and other users. The objective of this research was to assess information disclosed about human capital performance (HCP) in integrated reports (IRs) of selected companies listed on the Johannesburg Stock Exchange (JSE) to determine best practices, as well as areas of development to enhance the disclosure of HCP in IRs. The study was conducted within an interpretive paradigm and followed an inductive research approach within a qualitative research design. In doing so the study allowed for the development and utilisation of an assessment tool for HCP, which can provide content to determine value creation of companies across different industries and product/ service specialisation. The HCP matrix is based on key elements which may be viewed as the primary considerations to assess HCP. The application of the HCP matrix on the companies in different industries allowed for observations and assessments to determine the type of information required to improve the disclosure of HCP in IRs. The findings indicated that the prioritising of HCP disclosure provides insights into the effective management of a company and may lead to value creation for a company.