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Non-financial reporting and SMEs: A systematic review, research agenda, and novel conceptualization

Published online by Cambridge University Press:  01 September 2023

Silvia Lisi ,
Benito Mignacca Open the ORCID record for Benito Mignacca [Opens in a new window]  and
Michele Grimaldi
Silvia Lisi
Affiliation:
Department of Enterprise Engineering, University of Rome Tor Vergata, Roma, Italy
Benito Mignacca*
Affiliation:
Department of Civil and Mechanical Engineering, University of Cassino and Southern Lazio, Cassino (FR), Italy
Michele Grimaldi
Affiliation:
Department of Civil and Mechanical Engineering, University of Cassino and Southern Lazio, Cassino (FR), Italy
*
Corresponding author: Benito Mignacca; Email: benito.mignacca@unicas.it
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Abstract

Policymakers, academics, and practitioners are increasingly discussing non-financial reporting (NFR) initiatives, i.e., reporting initiatives that are related to environmental and social matters. The implementation of NFR initiatives in the context of small and medium-sized enterprises (SMEs) is a key topic. Based on a systematic literature review, this article first synthesizes what we know about the mechanisms underlying NFR initiatives implemented by SMEs. A thematic analysis led to the identification and examination of drivers, enabling factors, and challenges for NFR initiatives. Relevant drivers include legitimacy-based motivations, competitive advantage, and stakeholder engagement. Enabling factors include specific guidelines and tools for NFR. Lack of capabilities and lack of standardization are significant challenges. Second, drawing on the thematic analysis and on what we do not know about NFR in the context of SMEs, a novel conceptualization of NFR as a process characterized by three main phases is presented. Last, this article suggests future research opportunities.

Keywords

non-financial reportingsmall- and medium-sized enterprisessustainability reportingnon-financial disclosurecorporate reporting

Information

Type
Research Article
Information
Journal of Management & Organization , Volume 30 , Issue 3 , May 2024 , pp. 600 - 622
Copyright
© The Author(s), 2023. Published by Cambridge University Press in association with the Australian and New Zealand Academy of Management

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