The School recognises the importance of ongoing research to maintaining its leadership position in the industry. Research contributes to new knowledge and the application of existing knowledge to new circumstances – it strengthens our teaching and ensures that our students have access to the latest and most relevant thinking in the field of accountancy.
The School has prepared a technical report outlining areas which those charged with governance should be considering in the context of the ongoing COVID-19 pandemic. These include:
This report is complemented by a more detailed analysis of the financial reporting implications of COVID-19 with a specific focus on companies that are required to report financial results to the JSE or other stakeholders. Examples include the impairment of non-financial assets, modifications to contracts with customers, and amendments to share-based payment arrangements.
A short review of assurance developments and the tax relief available to companies is also provided. The report concludes with an explanation of integrated thinking. The case for a more holistic approach to business management is made followed by practical recommendations on how to promote an integrated thinking mindset.
Accounting governance and integrated thinking in the context of COVID-19
Most of the prior corporate governance research is based in an Anglo-Saxon setting with the result that we know very little about the history, application and consequences of corporate governance (or the lack thereof) in Africa. This is true even for South Africa despite its status as one of the largest and most developed capital markets in Africa.
There has been some research on the political and institutional forces which have contributed to the development of codes on corporate governance in South Africa. The evolution of African governance has also been touched on. Research by Harvey Pamburai, Chamisa and Ntim et al. confirms that the relationship between good governance and firm value documented by the international literature holds in a South African setting. The link between corporate governance and corporate social responsibility has also been considered, although to a lesser extent.
This project complements the prior South African-specific research. It provides a detailed account of the history of corporate governance in South Africa, which draws on both the academic literature and South Africa’s codes of best practice.
At the same time, it provides the first accounts of corporate governance in South Africa over an extended period (1994-2018) and an analysis of the similarities and differences in King Codes. This includes a review of some of the most recent trends in South African corporate governance, a review of the internal and external factors which influence governance practices and preliminary evidence of the benefits of good governance.
The International Integrated Reporting Council (IIRC) defines an integrated report as:
A concise communication about how an organization’s strategy, governance, performance and prospects, in the context of its external environment, lead to the creation of value over the short-, medium- and long-term.
Per the IIRC, the objectives of integrated reporting are to:
Aspects of financial reporting dealt with in this research
The School has contributed significantly to two books on integrated reporting:
Two practitioner-focused reports dealing with integrated thinking and reporting have been prepared. These can be downloaded free of charge below.
Research contacts:
Warren Maroun, Yvette Lange and Dannielle Cerbone
South Africa is one of the most biologically diverse regions on earth. It includes nine terrestrial biomes which are home to millions of species. The country boasts several pristine wilderness areas where large numbers of birds, reptiles and mammals (including the iconic Big 5) live with little or no human intervention. Examples include the world-famous Kruger National Park (in the north-east), Addo Elephant Park (in the south-west) and Kgalagadi Transfrontier Park (in the north-west). Nevertheless, South Africa’s flora and fauna are under threat due to expanding human populations, incorrect management of natural resources and the effects of climate change.
This research project complements the work being done on integrated thinking and reporting. It includes the following:
This project forms part of an international collaboration coordinated by Professor Jill Atkins, a Chair in Financial Management at the Sheffield University Management School and a visiting professor at the University of the Witwatersrand’s School of Accountancy.
The School has contributed significantly to the following publications:
Research contacts:
Jill Atkins and Warren Maroun
International Financial Reporting Standards (IFRS) and International Financial Reporting Standards for Small- and Medium-sized Entities (IFRS for SMEs) are used by South African companies to prepare financial statements.
This ongoing research project deals with:
Short Webinars dealing with Stokvels amid COVID-19 and personal finance and budgeting are available here.
Research contact:
Wayne van Zijl
The School has been actively involved in a long-term project investigating cultural variables that influence students’ academic performance. The research project was initiated by one of South Africa’s accounting bodies which were unable to determine the reasons for differences in the pass rates between black and non-black students in professional examinations.
The research project explores possible drivers of academic performance including:
The research was prompted by the call for more ‘African’ research problems to be investigated and the criticism that institutions of higher learning remain too ‘western-focused’.
Research contacts:
Andres Merino, Michele Aucock, Lanelle Willmott and Lelys Madock