Eight Steps of the Reporting System

① State your corporate vision and values

② Identify key stakeholders and critical success factors

③ Have a dialogue with stakeholders

④ Determine Key Performance Indicators (KPI) and adapt management information system to incorporate these

⑤ Monitor performance

⑥ Develop action plan to improve performance

⑦ Prepare, verify and publish report

⑧ Consult stakeholders about performance and revisit vision and values

 

 
 

The Copenhagen Charter, a management guide to stakeholder reporting, was launched at the third international conference on social and ethical accounting, auditing and reporting, 1999. It was published jointly by Ernst & Young, KPMG, PricewaterhouseCoopers and the House of Mandag Morgen. The process is envisaged as a feedback loop involving eight steps.

  

 
   

The basic assumption underlying the Charter is that the process of stakeholder dialogue and reporting must be embedded throughout the organization.

 

  

 
 

The process of stakeholder dialogues must be embedded in the vision, mission, and values of the company, and in management and corporate governance systems. The vision, mission and values are both the foundation of the reporting process and the outcome of it, in that stakeholder reporting enables management to test that they meet stakeholders' expectations.