New trends will find place in Annual Reports
Governance’ will become extremely important in the next orbit; processes checks and balances will become imperative and will cascade down to all levels ensuring fair and transparent practices. Secondly, focus will be laid on ‘risk management’. It starts with acknowledging the possible business / function specific risks that an enterprise is likely to face followed by mitigating those risks as investors will demand that all risks are managed proactively. The third influencer of organizational performance will be the ‘environmental impact’. Companies are today far more aligned with their commitment to the society and are moving beyond the clichés of conservation of water, pollution control, et al, and moving toward tangibles like return of unused products, minimizing consumption of power, et al. Fourth among many other factors would be ‘social responsibility’ of the companies. Enterprises will have to demonstrate that they care for safety, welfare, public health and are actively contributing to the well being of the social ethos. These new trends in corporate management will certainly find place in the Annual Reports since they are becoming crucial for the business continuity.