A fascinating insight into global economics
Posted on Monday 26th October 2015
The Centre for Islamic Finance at the University of Bolton was delighted to welcome Paul Druckman, CEO of the International Integrated Reporting Council, as the latest speaker in their series of lectures.
Having served as President of the Institute of Chartered Accountants of England and Wales, as a member of the City Takeover Panel and Chairman and non-executive director of a number of companies, Paul Druckman is well known and respected throughout the business and accounting profession.
On Thursday, 22nd October, hot from taking part in a business meeting for the G20 in Turkey, Paul gave a University of Bolton audience a fascinating insight into global economic governance.
In a lecture full of innovative ideas and challenges, Paul centred on the importance of integrated reporting, which focuses on six sources of value in an organisation: financial, manufactured, intellectual, human, social and relationship, and natural capital.
The IIRC was founded with a vision to align capital allocation and corporate behaviour to wider goals of financial stability and sustainable development through the cycle of integrated reporting and thinking, and grew out of the Prince of Wales' Accounting for Sustainability Project, where Paul chaired the Executive Board.
In Paul's lecture he stressed the importance of value creation.
He went on to talk about the narrow viewpoint of business, often focusing purely on the balance sheet and short term profits.
Said Paul: 'Business has traditionally had hindsight and oversight, where is the foresight and insight that we need to understand business?'
He recalled the head of consumer goods company Unilever, who have their roots in Bolton, telling an investor that he didn't want short term asset traders, he wanted long term asset holders. He added that profit is a core indicator of value but not the only core principle of creating value through a compan's business model.
Serving on the Centre for Islamic Finance's international advisory board, Paul is seeking the support of the Centre to raise these issues and promote the tools to combat them, with the development of integrated reporting in the Islamic world.
For further information on the Islamic Finance MBA, please visit the University website at www.bolton.ac.uk/IslamicFinance, call on 01204 903806 to speak to a member of the MBA team or write directly to the Director of the Centre for Islamic Finance, Professor Mohammed Abdel-Haq at firstname.lastname@example.org.