An update on progress post consolidation
By Janine Guillot
On August 1, 2022, I published a letter here about the consolidation of the Value Reporting Foundation — home to the SASB Standards, Integrated Reporting Framework, and Integrated Thinking Principles — into the IFRS Foundation. That was a remarkable milestone in the journey to embed sustainability information into capital markets infrastructure. I’m now writing to update you on the progress we’ve made post consolidation and a transition in my role.
Last year, I took on the role of Special Advisor to the Chair of the ISSB to help ensure the success of the ISSB and support the transition of the VRF into the IFRS. The goals of the IFRS/VRF consolidation were to 1) deliver on market demand for simplification, 2) secure the future of the SASB Standards and Integrated Reporting Framework, and 3) advance progress towards a global baseline of sustainability disclosure for investors. We’re proud to report that we’ve actively advanced these goals.
I’d like to highlight a few aspects of this progress. First, the ISSB, which is complete with 14 members, has taken its final decisions on all the technical content of its initial standards—General Requirements (S1) and Climate-related Disclosure (S2) and is targeting publishing the final standards towards the end of Q2.
Second, the concepts in the Integrated Reporting Framework are embedded in S1, and the Integrated Reporting and Connectivity Council is providing advice to the IASB and ISSB as needed to inform standard setting developments relating to the IR Framework. The ISSB is drawing on concepts in the Integrated Reporting Framework to describe the connectivity between sustainability and financial value creation, articulating how a company’s ability to deliver financial value to investors is inextricably linked to the stakeholders with whom it works and serves, the society in which it operates and the natural resources upon which it draws.
Thanks to our dedicated Board and staff, and the involvement of stakeholders around the world, the ISSB has made significant progress to date. As such, now is a fitting time for me to transition to a new role. At the end of March, I will step back from my special advisor position and full-time role at the IFRS Foundation to pursue the next phase of my professional life. To continue to support a smooth transition, I will join the Transitional Advisory Group of former VRF Directors who advise the IFRS Trustees on achieving the critical success factors related to the IFRS/VRF consolidation. I will continue to serve on the IFRS Foundation’s Integrated Reporting and Connectivity Council. I am also joining the boards of B Lab Global and the International Foundation for Valuing Impacts (IFVI).
The merger of the VRF into the IFRS Foundation was an important step in advancing global progress toward robust integrated reporting. I am immensely proud of the work we’ve accomplished together and will continue to be a lifelong champion for the ISSB and the value of the principles and concepts in the Integrated Reporting Framework.
To our many stakeholders who have participated in this evolution of the corporate disclosure landscape, thank you for your ongoing support. The ISSB has much important work ahead—I encourage your ongoing involvement as we move toward achieving a global baseline of sustainability disclosure for the capital markets and high quality integrated reporting.