The Relationship Between the Readability of Integrated Reports and Financial Performances of Enterprises: A Sectoral Research
Abstract
Businesses convey information about their activities to information users through various reports. The information transfer is provided by several reports such as financial, annual and sustainability reports. The reports both financial and not financial may cause informational convergence rather than supplying with those concerned that they want to get information about the business. In these days, integrated reporting system has appeared as a new reporting paradigm as a result of development of corporate reporting. Long and complex traditional reports prepared for information users are often criticized. Integrated reporting, current status and performance of enterprises; promises to convey information to users in a clear, understandable and plain language. In line with the goal of integrated reporting, the study aims to evaluate whether the reports published by enterprises preparing integrated reports are easy to read by means of Readable Pro text analyzing program. The integrated reports are analyzed. As a result of the analyses, the program sets off facility of reading score and readability score. Within research, thanks to readability score which is obtained by eight different hypothesizing, the relation between the facility of reading score and the businesses reports long and financial performance rates is analyzed per the facility of reading score which is obtained after whether there is a difference between readability score of integrated reports of businesses operating in different sectors.
References
- Agarwal, N. (2020). Integrated reporting and the readability of annual reports.Do investors care? Indian School of Business (ISB), Hyderabad; The University of Western Australia - UWA Business School,
- Akyüz, K. C., Yıldırım, İ. ve Akyüz, İ. (2020). Birleşik oran analizi (dupont) yöntemi ile kağıt ve kağıt ürünleri sanayi sektöründe performans ölçümü. Bartı Orman Fakültesi Dergisi, 22(1), 164-169.
- Alagöz, A., Allahverdi, M. ve Ortakarpuz, M. (2018). Entegre raporlamada içerik analizi: Ödüllü raporlar üzerine bir araştırma. Muhasebe ve Vergi Uygulamaları Dergisi, 11(3), 425–461.
- Alfiero, S., Cane, M., Doronzo, R. ve Esposito, A. (2018). The effect of national cultural differences of board members on integrated reporting. Corporate Board Role Duties and Composition, 14(1), 7–21.
- Ateşman, E. (1997). Türkçede okunabilirliğin ölçülmesi. Dil Dergisi, 58, 71–75.
- Aymen, A., Sourour, B. S. ve Badreddine, M. (2018). The effect of annual report readability on financial analysts behaviour. Journal of Economics,Finance and Accounting, 5(1), 26–37.
- Courtis, J. K. (1995). Readability of annual reports : western versus Asian evidence. Accounting, Auditing & Accountability Journal, 8(2), 4–17.
- Du Toit, E. (2017). The readability of integrated reports. Meditari Accountancy Research, 25(4), 629–653.
- Dubay, W. H. (2004). The principles of readability. 1–72.
- El-Haj, M., Alves, P., Rayson, P., Walker, M. ve Young, S. (2020). Retrieving , classifying and analysing narrative commentary in unstructured (glossy) annual reports published as PDF files. Accounting and Business Research, 50(1), 6–34.
- Ercan, C. ve Kestane, A. (2017). Kurumsal raporlamada yeni bir yaklaşım olarak entegre raporlama ve bir vaka çalışması. ASSAM Uluslararası Hakemli Dergi, 8(4), 13–29.
- Ertuğrul, M., Lei, J., Qiu, J. ve Wan, C. (2017). Annual report readability, tone ambiguity, and the cost of borrowing. Journal of Financial and Quantitative Analysis, 52(2), 811–836.
- Fried, A., Holtzman, M. P. ve Mest, D. (2014). Integrated reporting: the new annual report for the 21st century? Financial Executive, 30(4), 24+
- IIRC. (2013). International Integrated Reporting Framework.
- Kaya, H. P. (2015). Entegre raporlama sisteminin ortaya çıkış sebepleri ve şirketlere sağlayacağı faydalar. Muhasebe ve Denetime Bakış, 45, 113–131.
- Klare, G. R. (1975). Assessing Readability. Reading Research Quarterly, 10(1), 62–102.
- Li, F. (2008). Annual report readability, current earnings, and earnings persistence. Journal of Accounting and Economics, 45(2–3), 221–247.
- Lipunga, A. M. (2015). Integrated reporting in developing countries: evidence from malawi. Journal of Management Research, 7(3), 130–156.
- Loughran, T. ve Mcdonald, B. (2014). Measuring readability in financial disclosures. The Journal of Finance, 69(4), 1643–1671.
- Luo, J. hui, Li, X. ve Chen, H. (2018). Annual report readability and corporate agency costs. China Journal of Accounting Research, 11(3), 187–212.
- Melloni, G., Caglio, A. ve Perego, P. (2017). Saying more with less? Disclosure conciseness, completeness and balance in integrated reports. Journal of Accounting and Public Policy, 36(3), 220–238.
- Nilipour, A., De Silva, T. A. ve Li, X. (2020). The readability of sustainability reporting in new zealand over time. Australasian Accounting, Business and Finance Journal, 14(3), 86–107.
- Roman, A., Mocanu, M. ve Hoinaru, R. (2019). Disclosure style and its determinants in integrated reports. Sustainability, 11(7), 1–16.
- Sevim, Ş., Kestane, A. ve Yılmaz, N. D. (2017). Entegre raporlamanın yatırımcılar açısından analizi: entegre yatırım analizi algoritması. International Journal of Academic Value Studies, 3(14), 154–170.
- Solmaz, E. (2009). İlköğretim 4. ve 5. sınıf düzeyi Türkçe metinlerde cümle uzunluğu,kelime uzunluğu ve kelime hazinesinin okunabilirlik üzerine etkisi [Yiksek Lisans Tezi]. Gazi Üniversitesi.
- Stone, G. W. ve Lodhia, S. (2019). Readability of integrated reports : an exploratory global study. Accounting, Auditing &Accountability Journal, 32(5), 1532–1557.
- Temur, T. (2003). Okunabilirlik (readability) kavramı. Türklük Bilimi Araştırmaları, 13, 169–180.
- Topcu, M. K. ve Korkmaz, G. (2015). Entegre raporlama: Kavramsal bir inceleme. Dokuz Eylül Üniversitesi İktisadi ve İdari Bilimler Fakültesi Dergisi, 30(1), 1–22.
- Vitolla, F. ve Raimo, N. (2018). Adoption of integrated reporting: reasons and benefits - a case study analysis. International Journal of Business and Management, 13(12), 244–250.
- Weir, G. ve Ritchie, C. (2006). Estimating readability with the strathclyde readability measure. ICT in the Analysis, Teaching ve Learning of Languages, Preprints of the ICTATLL Workshop 2006. Glasgow, 25-32.
- Zakaluk, B. L. ve Jay Samuels, S. (1988). Readability its past, present and future, (Issue 6).
- Zamanian, M. ve Heydari, P. (2012). Readability of texts : State of the art. Theory and Practice in Language Studies, 2(1), 43–53.
- Zurel, S. (2014). Readability of annual reports: a comparison of American and French annual reports. Universiteit Gent.
Entegre Raporların Okunabilirliğinin İşletmelerin Finansal Performansları ile İlişkisi: Sektörel Bir Araştırma
Abstract
İşletmeler faaliyetlerine ilişkin bilgiyi çeşitli raporlar aracılığıyla bilgi kullanıcılarına iletmektedir. Bilgi aktarımını finansal raporlar, faaliyet raporları, sürdürülebilirlik raporları gibi çeşitli araçlarla sağlamaktadır. Hem finansal hem de finansal olmayan bilgilerden oluşan bu raporlar, işletmeler hakkında bilgi edinmek isteyen ilgililerin ihtiyacını karşılamakla birlikte bazen bilgi karmaşasına sebep olabilmektedir. Günümüzde bilgi karmaşıklığını gidermek amacıyla kurumsal raporlama gelişiminin sonucu niteliğinde yeni bir raporlama paradigması olarak entegre raporlama sistemi ortaya çıkmıştır. Bilgi kullanıcıları için hazırlanan uzun ve karmaşık geleneksel raporlar çoğunlukla eleştirilmektedir. Entegre raporlama bunların aksine raporu hazırlayan işletmelerin mevcut durumunu ve performanslarını; bilgi kullanıcılarına açık, anlaşılır, sade bir dille aktarmayı vaat etmektedir. Entegre raporlamanın bu hedefi doğrultusunda; çalışma entegre rapor hazırlayan işletmelerin yayımladıkları raporların kolay okunabilir olup olmadığını değerlendirmeyi amaçlamaktadır. Çalışmada öncelikle Readable Pro metin analizi programıyla entegre raporlar analiz edilmektedir. Analiz sonucunda program her bir rapora ait okuma kolaylığı puanı ve okunabilirlik derecesi oluşturmaktadır. Araştırma kapsamında sekiz farklı hipotez kurularak öncelikle farklı sektörlerde faaliyet gösteren işletmelerin entegre raporlarının okunabilirlik derecesinin sektörlere bağımlı olup olmadığını sonrasında elde edilen okuma kolaylığı puanları ile işletmelerin rapor uzunlukları ve finansal performans oranları arasındaki ilişki analiz edilmektedir.
References
- Agarwal, N. (2020). Integrated reporting and the readability of annual reports.Do investors care? Indian School of Business (ISB), Hyderabad; The University of Western Australia - UWA Business School,
- Akyüz, K. C., Yıldırım, İ. ve Akyüz, İ. (2020). Birleşik oran analizi (dupont) yöntemi ile kağıt ve kağıt ürünleri sanayi sektöründe performans ölçümü. Bartı Orman Fakültesi Dergisi, 22(1), 164-169.
- Alagöz, A., Allahverdi, M. ve Ortakarpuz, M. (2018). Entegre raporlamada içerik analizi: Ödüllü raporlar üzerine bir araştırma. Muhasebe ve Vergi Uygulamaları Dergisi, 11(3), 425–461.
- Alfiero, S., Cane, M., Doronzo, R. ve Esposito, A. (2018). The effect of national cultural differences of board members on integrated reporting. Corporate Board Role Duties and Composition, 14(1), 7–21.
- Ateşman, E. (1997). Türkçede okunabilirliğin ölçülmesi. Dil Dergisi, 58, 71–75.
- Aymen, A., Sourour, B. S. ve Badreddine, M. (2018). The effect of annual report readability on financial analysts behaviour. Journal of Economics,Finance and Accounting, 5(1), 26–37.
- Courtis, J. K. (1995). Readability of annual reports : western versus Asian evidence. Accounting, Auditing & Accountability Journal, 8(2), 4–17.
- Du Toit, E. (2017). The readability of integrated reports. Meditari Accountancy Research, 25(4), 629–653.
- Dubay, W. H. (2004). The principles of readability. 1–72.
- El-Haj, M., Alves, P., Rayson, P., Walker, M. ve Young, S. (2020). Retrieving , classifying and analysing narrative commentary in unstructured (glossy) annual reports published as PDF files. Accounting and Business Research, 50(1), 6–34.
- Ercan, C. ve Kestane, A. (2017). Kurumsal raporlamada yeni bir yaklaşım olarak entegre raporlama ve bir vaka çalışması. ASSAM Uluslararası Hakemli Dergi, 8(4), 13–29.
- Ertuğrul, M., Lei, J., Qiu, J. ve Wan, C. (2017). Annual report readability, tone ambiguity, and the cost of borrowing. Journal of Financial and Quantitative Analysis, 52(2), 811–836.
- Fried, A., Holtzman, M. P. ve Mest, D. (2014). Integrated reporting: the new annual report for the 21st century? Financial Executive, 30(4), 24+
- IIRC. (2013). International Integrated Reporting Framework.
- Kaya, H. P. (2015). Entegre raporlama sisteminin ortaya çıkış sebepleri ve şirketlere sağlayacağı faydalar. Muhasebe ve Denetime Bakış, 45, 113–131.
- Klare, G. R. (1975). Assessing Readability. Reading Research Quarterly, 10(1), 62–102.
- Li, F. (2008). Annual report readability, current earnings, and earnings persistence. Journal of Accounting and Economics, 45(2–3), 221–247.
- Lipunga, A. M. (2015). Integrated reporting in developing countries: evidence from malawi. Journal of Management Research, 7(3), 130–156.
- Loughran, T. ve Mcdonald, B. (2014). Measuring readability in financial disclosures. The Journal of Finance, 69(4), 1643–1671.
- Luo, J. hui, Li, X. ve Chen, H. (2018). Annual report readability and corporate agency costs. China Journal of Accounting Research, 11(3), 187–212.
- Melloni, G., Caglio, A. ve Perego, P. (2017). Saying more with less? Disclosure conciseness, completeness and balance in integrated reports. Journal of Accounting and Public Policy, 36(3), 220–238.
- Nilipour, A., De Silva, T. A. ve Li, X. (2020). The readability of sustainability reporting in new zealand over time. Australasian Accounting, Business and Finance Journal, 14(3), 86–107.
- Roman, A., Mocanu, M. ve Hoinaru, R. (2019). Disclosure style and its determinants in integrated reports. Sustainability, 11(7), 1–16.
- Sevim, Ş., Kestane, A. ve Yılmaz, N. D. (2017). Entegre raporlamanın yatırımcılar açısından analizi: entegre yatırım analizi algoritması. International Journal of Academic Value Studies, 3(14), 154–170.
- Solmaz, E. (2009). İlköğretim 4. ve 5. sınıf düzeyi Türkçe metinlerde cümle uzunluğu,kelime uzunluğu ve kelime hazinesinin okunabilirlik üzerine etkisi [Yiksek Lisans Tezi]. Gazi Üniversitesi.
- Stone, G. W. ve Lodhia, S. (2019). Readability of integrated reports : an exploratory global study. Accounting, Auditing &Accountability Journal, 32(5), 1532–1557.
- Temur, T. (2003). Okunabilirlik (readability) kavramı. Türklük Bilimi Araştırmaları, 13, 169–180.
- Topcu, M. K. ve Korkmaz, G. (2015). Entegre raporlama: Kavramsal bir inceleme. Dokuz Eylül Üniversitesi İktisadi ve İdari Bilimler Fakültesi Dergisi, 30(1), 1–22.
- Vitolla, F. ve Raimo, N. (2018). Adoption of integrated reporting: reasons and benefits - a case study analysis. International Journal of Business and Management, 13(12), 244–250.
- Weir, G. ve Ritchie, C. (2006). Estimating readability with the strathclyde readability measure. ICT in the Analysis, Teaching ve Learning of Languages, Preprints of the ICTATLL Workshop 2006. Glasgow, 25-32.
- Zakaluk, B. L. ve Jay Samuels, S. (1988). Readability its past, present and future, (Issue 6).
- Zamanian, M. ve Heydari, P. (2012). Readability of texts : State of the art. Theory and Practice in Language Studies, 2(1), 43–53.
- Zurel, S. (2014). Readability of annual reports: a comparison of American and French annual reports. Universiteit Gent.
Details
| Primary Language | Turkish |
|---|---|
| Subjects | Business Administration |
| Journal Section | Research Articles |
| Authors | |
| Publication Date | August 25, 2023 |
| Submission Date | December 9, 2022 |
| Published in Issue | Year 2023 Volume: 14 Issue: 39 |
