Corporate Sustainability Reporting: The Role of Transparency in Environmental and Social Impact

Abstract

Objectives: To investigate the importance of disclosure transparency in corporate sustainability reports. To study how companies report environmental and social impacts and how accountability systems influence organizations.   Methods: Analyzing transparency through multiple frameworks. Reviewing regulatory changes and company-level reporting practices to assess their impact on sustainability accountability.   Results: Significant progress has been made in sustainability reporting, but challenges remain in achieving comprehensive transparency for accurate corporate performance evaluation. Key elements for effective transparency include: Materiality determination, Data quality standards, Verification and comparability requirements, Global regulatory requirements offer advantages for businesses that adopt transparent sustainability reporting, supporting broader sustainability goals and potentially enhancing market performance.   Conclusion: Genuine corporate sustainability reporting can be advanced by focusing on core transparency elements and improving regulatory compliance. Practical recommendations are provided for both practitioners in sustainability reporting and policymakers, along with suggestions for future research to enhance corporate reporting practices.