Sustainability_6inta_02_07_sustainabilityreportprinciples.docx

REACTION PAPER 7

TOPIC 8 : “SUSTAINABILITY REPORT PRINCIPLES” BY : GROUP 2

 DINI RAHMADIANTI (1610531008)  BELINDA NABILA (1610533020) “GRI 101: Foundation 2016 is the starting point for using the GRI Standards. GRI 101 can be used by an organization of any size, type, sector, or geographic location that wants to use the GRI Standards to report about its economic, environmental, and/or social impacts.” It is the fact that GRI 101 is the base of the entire GRI standards since its discussed about the Reporting Principles, the using of GRI Standards for sustainability reporting, and Making claims related to the use of the GRI Standards. This standard is designed to improve global comparability and the quality of information about economic, environmental and social impacts so as to enable greater organizational transparency and accountability. Sustainability reporting based on Standards GRI must provide a balanced and reasonable representation of the organization's positive and negative contributions to sustainable development goals. Hence we think that Information available through sustainability reporting enable internal and external to form opinions and to make informed decisions about organizational contributions on sustainable development goals. The GRI standard is structured as a series of interrelated standards. These standards have been developed primarily to be used together within help organizations prepare sustainability reports based on Reporting Principles and focus on material topics. In our view, Preparing reports in accordance with the GRI Standards shows that the report provides a complete and balanced picture of the organization's material topics and related impacts, and how those impacts are managed. As we mentioned earlier, there are three sections on this fondation which are Reporting Principles for defining report content and report quality, the basic process for using the GRI Standards for sustainability reporting, and the ways that the GRI Standards can be used and the specific claims, or statements of use, which are required for organizations using the Standards. “An organization is required to apply the Reporting Principles if it wants to claim that sustainability reports have been prepared in accordance with the GRI Standards” we do agree with these statement since the Reporting Principles are fundamental to achieving high-quality sustainability reporting. The Reporting Principles are divided into two groups: the principle for defining report content and principles for defining report quality. The Reporting Principles for defining report content help organizations to decide which report content will be included in the report. This involves consideration of activities, impacts, and expectations substantive

organization, as well as the interests of its stakeholders. The Reporting Principles for defining the quality of reports guide choices to ensure the quality of information in sustainability reports, including the appropriate presentation. Quality information is important to enable stakeholders to make valid and reasonable judgments regarding an organization, and to take appropriate action. “There are 4 principles on determining the contents of the report which are Stakeholder inclusiveness, Sustainability Context, Materiality and Completeness”. Contrast with the principles on determining the quality of report, the principles on this type of principle are Accuracy, Balance, Clarity, Comparison, Reliability and Punctuality. It is important that organizations that use the GRI Standards to prepare sustainability reports understand and implement ten Reporting Principles in defining content and quality report. The basic process for using the GRI Standards for sustainability reporting, “This section describes the basic process for sustainability reporting using the GRI Standard“.

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organization that wishes to claim its sustainability report has been prepared in accordance with the GRI Standards is required to comply with all the requirements in this section. We agree because These principles guide choices about the selection and quality of information in the report. “The reporting organization must identify its material topics using the Reporting Principles to determine the contents of the report”. Also, Reporting organizations must determine boundaries for each material topic. Material topics are topics that have prioritized the organization to be included in sustainability report. This priority setting is done use the principles of Stake Inclusivity Interest and Materiality. There are two basic approaches to using the GRI Standard: First, Using the GRI Standard as a series to prepare the appropriate sustainability report with Standards. Second, Use the chosen Standard, or part of its contents, to report specific information For each method of use of this Standard, there are related claims, or statements of use, set out in this Standard. All material published along with disclosures based on the GRI Standards is always referred to using one of these claims. This ensures transparency about how the Standards have been implemented. Hence those 10 principles must be followed by the organization through those three sections as the steps of defining the report content because the aim is to present organizational performance in relation to the concept broader sustainability. Whteher the pronciples for defining report content or principles for defining report quality just same importance. Between them must be ellaborated each other in order to raise the report that qulfill the GRI. The GRI Standards have been developed primarily to be used together to help an organization prepare a sustainability report that is in accordance with the Standards. This provides a full and balanced picture of the organization’s economic, environmental, and social impacts, and how it manages

these impacts. Selected GRI Standards, or parts of their content, can also be used to report specific information, without preparing a report in accordance with the Standards.