BAO5522: Evaluation of Analysis and Reporting on SCA Performance

This report evaluates SCA's performance reporting based on the PWC Value Framework, analyzing the company's 2017 annual report. It assesses various strategic and performance elements, including competitiveness, regulatory compliance, technical aspects, strategy and objectives, business model, governance, risk management, remuneration, financial and physical assets, customer relations, people and culture, innovation, brand and intellectual assets, process and supply chain, operational performance, economic performance, social responsibility, environmental impact, and segmental reporting. The report identifies strengths and weaknesses in SCA's disclosures, noting good alignment with the PWC framework in some areas but limitations in others, particularly regarding competitive advantage risks and geopolitical information. The accessibility and comprehensiveness of the reported information are also evaluated, highlighting areas where SCA provides clear explanations, historical metrics, and benchmarks, while also pointing out areas needing improvement. Desklib provides similar solved assignments and past papers for students.

Running head: EVALUATION OF ANALYSIS AND REPORTING
Evaluation of Analysis and Reporting
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Table of Contents
Executive Summary:..................................................................................................................3
PWC Value Framework Elements:............................................................................................5
Value Framework Element: Competitive:.................................................................................5
Value Framework Element: Regulatory and Geopolitical:........................................................6
Value Framework Element: Technical:.....................................................................................8
Value Framework Element: Strategy & Objectives...................................................................9
Value Framework Element: Business Model...........................................................................11
Value Framework Element Governance:.................................................................................12
Value Framework Element: Risk Management.......................................................................14
Value Framework Element: Remuneration..............................................................................17
Value Framework Element: Financial Assets:.........................................................................18
Value Framework Element: Physical Assets:..........................................................................20
Value Framework Customers:..................................................................................................22
Value Framework Element: People and Culture......................................................................23
Value Framework Element: Innovation G & S:.......................................................................25
Value Framework Bands and Intellectual Assets:...................................................................27
Value Framework Element: Process and Supply Chain..........................................................28
Value Framework Element: Operational Performance............................................................29
Value Framework Element: Economic Performance:..............................................................31
Value Framework Element: Social..........................................................................................32

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Value Framework Element: Environmental.............................................................................34
Value Framework Element: Segmental...................................................................................35
Material Matters Critique:........................................................................................................37
References:...............................................................................................................................38

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Executive Summary:
The framework of PWC offers the insight of both the external and the internal decision
making. It requires more complete and associated set of information to obtain a sustainable
creation of value and provide decision regarding the organizations current performance and
future prospects. The present study is aimed at assessing and evaluating the nature as well as
the quality of SCA performance reporting of the company’s health as well as the overall
organizational performance defined under the PWC framework.
To conduct an analysis of the SCA Annual 2017 to determine how each element of
framework was measured based on the level of comprehensiveness and how the company
disclosed the information on the report. The result obtained from the study stated the depth
and the breadth of disclosure was in consistent with the framework of the PWC. The report
would focus on the areas of
Strategic Elements:
a. Strategy
b. Business Model
c. Governance
d. Risk
Performance Elements:
a. Economic
b. Segmental
The study also discovers greater amount strategic elements relating to resources and
relationship framework element.
Further conclusion:

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Alignment to PWC integrated reporting framework:
The degree of disclosure made by the SCA from the 2017 reporting is in compliance with
organizational health and performance elements that are contained in the PWC Value
framework. The framework provides the readers to establish a greater extent of
comprehension while determining the organizations performance.
Accessibility:
The majority of PWC framework is easily accessible in the report as in many occasions it was
presented with qualitative and graphical representation.
Comprehensiveness:
A greater amount of insight is provided for the understanding of the users of the SCA in key
business areas this includes;
 Communications and performance targets
 Offering historical metrics to enable trend assessment
 Offering benchmark to provide the perspective of environment
Limitations:
The study that is performed possess limitations and this includes;
a. Deeper level of reporting relating to the risk of competitive advantage
b. The study is largely dependent on the research interpretation

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PWC Value Framework Elements:
Value Framework Element: Competitive:
Report Extract: (Page 13, SCA Annual Report 2017)
Report Critique
Reporting Characteristics that drive “Competitive” element:
a. Clear explanation of the competitive strategies to increase the efficiency and create
growth

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Analysis and Accessibility:
The company has made intensive investment to improve the competitiveness. The
company’s competitive strategies are easily accessible and is communicated extensively
(Scott 2015). SCA has created value through strategic and careful application of the
investment. The strategies are aligned to develop the products and trim down the costs as this
helps in maintaining the competitiveness and profitability of the company. The company has
created a higher level of competitiveness to deliver the higher quality products that are in
demand.
Comprehensiveness:
The competitiveness element of the SCA is unmistakably lay down the growth
objectives of the company to increase the revenue of the company and profits each year
(Robson, Young and Power 2017). The company further takes steps in communicating how
well it has achieved a mix of organic growth following the cost reductions and higher degree
of competitiveness that drives growth in profitability.
Conclusion and Strength
CSA competitiveness policy of the business is extensively communicated and it is
prominent with the reporting element. The competitiveness policy of the SCA is clearly
articulated and prominent with the information that is provided in the report (Schaltegger and
Burritt 2017). It helps in offering a significant amount of depth in how the management of the
company operate or manages its business to improve profitability and cutting down costs.
The performance is interrelated with the objective of SCA goals. The overall quality of the
competitiveness reporting is good.

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Value Framework Element: Regulatory and Geopolitical:
Report Extract: (Page 139, SCA Annual Report 2017)
Reporting Critique:
Reporting characteristics that drive the Regulatory and Geopolitical framework
element:
a. Auditors examining the statement of the corporate governance
b. Undertaking the guidelines and instructing the directors in matters to measure the
SCA company accountings.
c. Conducting audit in compliance with the generally accepted accounting principles
Extensiveness & Accessibility:
The company provides legal and regulatory requirements regarding the responsibility
of the auditors (Macve 2015). The regulatory and geopolitical requirements include
examinations of the corporate governance structure. The majority of the information is based
on the audit of the administrations, discharge of opinions with reasonable degree of assurance
from the managing director and board of directors.
Comprehensiveness:

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The comprehensiveness of the geopolitical information is not stated and the
regulatory information is limited to only internal audit procedures (Williams 2014). There is
an absence of the geopolitical information with limited number of regulatory information
regarding the assessment of the corporate governance statement.
Conclusion & Strength:
Whilst there is no such existence of information of the geopolitical information in the
annual report, however there is a significant detail regarding the regulatory and legal
requirements. The overall quality of the regulatory reporting of CSA is bad.
Value Framework Element: Technical:
Report Extract: (Page 18, SCA Annual Report 2017):
Reporting Critique:
Reporting characteristics that drive the Technical framework element:
a. The company provides information relating to the technical upgrades of the sawmills
that have assisted in creating business values
b. The company has also established a technical environmental network to widen the
treatment of technology.

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Extensiveness & Accessibility:
There is no such information relating to the technical related aspects in the 2017
annual report of the SCA (Warren and Jones 2018). Being the global firm the company has
not reported much regarding the technical information with the quality of the reporting.
Comprehensiveness:
There is no such detail incorporation of the information in the annual report regarding
the technical aspects (Hoyle, Schaefer and Doupnik 2015). The report at no stage provide
technical information relating internal system and procedures.
Conclusion:
Notably, the information of technical aspect is not expressed strategically and the
quality of the reporting in technical areas is ugly.
Value Framework Element: Strategy & Objectives
Report Extract: (Page 10, SCA Annual Report 2017)

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Reporting Critique:
The characteristics of report that drives the strategic & objective element of framework
are;
a. Clear and precise explanation of the strategic objectives and goals
b. Short, medium and long term business targets
Extensiveness and Accessibility:
The corporate and strategic objectives of SCA are accessible easily and
comprehensively (Balakrishnan, Watts and Zuo 2016). SCA has comprehensively
communicated both the qualitative as well as quantitative characteristics throughout its
annual report of 2017. The strategy communicated by the company possess prominent
information for the readers.
Comprehensiveness:

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The strategic review conducted by the Chief Executive is associated with the growth
of the organizations, financial models and customer emphasis (Henderson et al. 2015). It
places emphasis on the reporting of;
a. Company’s long term strategy and market presence
b. Operations inside the macro-economic and competiveness
c. Return on sales and return on capital employed
By placing focus on the previous year performance, the chief executive has offered a
qualitative view of growth outlook for the overseas expansion as well.
Conclusion and Strength:
SCA Company’s objective are communicated extensively and measured in the annual report.
While there is a lower amount of emphasis has been placed by SCA on the long run
performance, the quality of information and strategic objective is presented in a good manner.
Value Framework Element: Business Model
Report Extract: (Page 6, SCA Annual report 2017)

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Reporting Critique:
Reporting Characteristics that drive the element of Business Model:
A clear explanation has been provided by the business to create value in context of the
interrelated business performance element.
Extensiveness and Accessibility:
The business model of the company is precisely communicated through the entire
page diagram inside the integrated value chain and value creation that is easily accessible
through the contents of reference page (Lee and Parker 2014). Each of the culture element
provides an indication that where additional information on the topic that can be sought
inside the report.
Comprehensiveness:
The graphical representation of the SCA business model lay down the objective of
growth with production facilities located close to the forest holdings. It takes the further steps
by contributing towards the sustainable society with a mix of organic growth (Lins, Servaes

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and Tamayo 2017). To support the business model of SCA the company has listed
interrelated performance elements to further offer the organizations drive towards sustainable
growth.
Conclusion & Strength:
The business model of SCA is clearly articulated and prominent with the report. It
provides a significant depth in the SCA management of business operations (Wang, Dou and
Jia 2016). The objective of SCA is interrelated with the performance that drives the growth
towards the sustainable expansion. The quality of reporting the business model is good.
Value Framework Element Governance:
Report Extract: (Page 55, SCA Annual Report 2017)
Reporting Critique:
Reporting characteristics that drive PWC Governance framework element:
a. The governance report of SCA provides operating structures and process
b. Reporting transparency depth

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c. Details of administration regarding the board of directors, company auditors and
committee
Extensiveness and Accessibility:
The governance report of the SCA is communicated under the corporate governance
segment of the report that is easily accessible through the content page (Dutta and Patatoukas
2016). This helps in demonstrating the degree of accountability and degree of transparency to
all the readers of report. The report corporate governance report evidently explains the
structure of governance and its interdepending sub-committee.
Comprehensiveness:
The breadth of the information and gravity of transparency that is contained inside the
corporate governance report s higher across the areas that are prescribed inside the
framework of PWC (Qiu, Shaukat and Tharyan 2016). The examples are listed below;
Sub-Report Depth and transparency of reporting
Corporate governance report(Summary) a. Compliance with the code of
conduct
b. Total number of board meetings
c. Activities of board all through the
year
Nomination Committee a. Provides amendments to the
constitution of board
Remuneration Committee Report a. Details regarding the committee
members
b. Key issues and activities that are

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undertaken
Conclusion and strength:
The corporate governance report provides the commitment and accountability as well
as the transparency of reporting to shareholders (Kim, Kim and Qian 2018). The corporate
governance report offers wide range of information on how the organization performed
against the accountabilities. The overall quality of reporting of SCA Governance is good.
Value Framework Element: Risk Management
Report Extract: (Page 50, SCA Annual Report 2017)
Reporting Critique:
Reporting characteristics that drive PWC Risk Management framework element:

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a. Communicating the structures and procedures that details the process through which
SCA measures and manages its risks.
Extensiveness and Accessibility:
Risk and Risk Management is the section in which SCA reports its risk management.
The risk management can be accessed easily thorough the content page (Saeidi et al. 2015).
The risk management of SCA provides as four page updates to offers its readers with the
easily understandable tables that provides explanations relating to the risk faced and how they
are administered.
Comprehensiveness:
SCA has extensively communicated the risk faced by the business and uncertainties in
its operations (Lu et al. 2014). The table below provides the breadth of the reporting that is
associated with the SCA business strategy;
Depth of reporting Communication Description of focus
Strategic objective Qualitative Area of emphasis on the
organizations business
model
Risk description Qualitative Qualitative business risk
description
Movement Qualitative Management perception on
how to pre-mitigate the risks
Probable Impact Qualitative Qualitative description of
impact

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Mitigations Qualitative Mitigation of SCA risk
addressed in the report
Apart from the description of risk management strategies the shortfall that has been
identified is the movement metric reporting. The year on year comparison also lacks in this
respects.
Conclusion and Strength:
SCA communication relating to the risk administration is outlined clearly and it is
addressed inside the annual report (Flammer 2015). The table provides an outlines of the
business principles risks and uncertainties to its readers comprehensively. The quality of
reporting for SCA risk is good.
Value Framework Element: Remuneration
Report Extract: (Page 88, SCA Annual Report 2017)

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Reporting Critique:
Reporting characteristics that drive PWC Remuneration framework element:
SCA provides communication on how the company’s senior management are rewarded.
This includes;
a. Value
b. Business impact
c. Justification
Extensiveness and Accessibility:
The remuneration of the senior executive plans and policies are communicated
elaborately all through the remuneration committee reports (Trumpp and Guenther 2017).
The reference to the remuneration committee report can be easily access through the contents
page.
Remuneration Committee Report comprises of the following;
a. The statement of the chairman providing the overview of performance
b. Policies regarding the fair remuneration
c. Yearly remuneration report that covers the incentive plan
Comprehensiveness:
The remuneration report of SCA is in agreement with the objectives stated by the PWC
element of remuneration (Lin, Chang and Dang 2015). The details are enumerated below;
a. Yearly incentives based on the size and performance metrics
b. Salary descriptions based on yearly review process
c. Benefits offered by SCA

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The remuneration charts of SCA offers the estimations of probable future value and
rewards for the executive directors of the company with potential split among the numerous
elements of different performance scenarios namely the fixed, on-target and maximum
(Tricker and Tricker 2015).
Conclusion and Strength:
The remuneration policies and performance of the SCA is clearly explained inside the
remuneration committee report. The report significantly provides the depth of reporting on
how the senior executives are reported. The overall quality of SCA remuneration reporting is
good.
Value Framework Element: Financial Assets:
Report Extracts: (Page 78, SCA Annual Report 2015)
Reporting Critique:
Reporting characteristics that drive PWC Financial Assets framework element:
a. Value of the financial assets includes the financial instruments, interest rate, debts and
securities
b. Legal ownership

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c. Financial health
Extensiveness and Accessibility:
In contrast to the other framework of the PWC framework the information relating to
financial assets is considered to be difficult to access and it is reported in spares (Armstrong
et al. 2015). The first time information relating to financial assets is provided in context of
the financial instrument that is referred inside the notes section in page 66 of the report. For
an international firm, it is necessary to provide an extensive information on the financial
assets and policies such as debts and other financial instrument that is used.
Comprehensiveness:
The financial instrument notes provide the details regarding the organizations treasury
policy that looks to reduce the financial risks and make sure that appropriate level of liquidity
of the company’s operations and strategic objectives (Du Plessis, Hargovan and Harris 2018).
They also explain that there are derivative financial instruments that is used and no trading or
speculative business transactions are taken in the financial instrument.
There is no such reporting of currency risks or targets indicators of the past
performance is provided of the financial assets.
Conclusion and strength:
SCA financial assets are communicated poorly and are measured inside the financial
statement and notes and more widely inside the document. The company has placed less
focus on reporting of performance of assets and plays a vital part in the establishing the
health of the organization. The overall quality of the reporting of asset information is ugly.

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Value Framework Element: Physical Assets:
Report Extract (Page 93, SCA Annual Report 2017)
Reporting Critique:
Reporting characteristics that drive PWC Environmental framework element:
a. Disclosure relating to current and future value
b. Disclosure of Asset efficiency and effectives
c. Disclosure relating to asset book values
Extensiveness and Accessibility:

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Explanation relating to the physical assets measurement techniques that is used in the
SCA annual report is accessed easily by referring to the accounting policies on the content
page (Ioannou and Serafeim 2017). The accounting policies on page 93 places primary
emphasis on the yearly amended standards and the interpretation, recognition of assets and
financial supporting computations.
Comprehensiveness:
The SCA reporting of property, plant and equipment is viewed as extensive. The below
stated points are communicated below for each assets types;
a. Techniques of assets valuation which includes historical costs following the
subtraction of impairment and depreciation
b. Depreciation and amortisation of assets based on the projected economic life
The reporting however lacks the reporting of the depreciation rates that is used based on
the scrap or the re-sale value.
Conclusion and strength:
The company has significantly communicated details to support its computation of
fixed assets. Overall quality of the SCA physical asset information is considered as good for
the readers.
Value Framework Customers:
Report Extract: (Page 84, SCA Annual Report 2017)

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Reporting Critique:
Reporting characteristics that drives the PWC customer framework element:
a. Total number of customers and breadth of customer’s base
b. Relationship with vital customers
Extensiveness and Accessibility:
There is not such specific mentioning of customers within the Annual report of SCA.
The company has provided a country wise segment information representing customers in the
market and this is easily accessible (Berger, Imbierowicz and Rauch 2016.). Major part of
customer’s information is provided based on geographical basis.
Comprehensiveness:
Widely speaking, the comprehensiveness of the geographic segments is viewed to be
extensive. The below listed are the key quantitative performance measures;
Customer based geographic revenue
expansion
Revenue growth analysis provided

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a. Yearly change in net sales
b. Percentage of the overall SCA
revenue
Conclusion & Strength:
The presentation of the customer specific information is not included into the annual
report, however the report provides a significant details of the geographical trends, locations
and outlook for the customers. The overall presentation of the SCA customer reporting can be
considered as bad.
Value Framework Element: People and Culture
Report Extract: (Page 33, SCA Annual Report 2017)
Reporting critique:
Reporting characteristics that drives the PWC “People and Culture” framework
element:
a. Extent of worker’s competency
b. Workers motivations and encouragement
c. Opportunity for growth

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d. Culture involving the ways through which the employees communicate and co-
operate
Extensiveness and Accessibility:
Under the operations segment of the SCA report, that can be easily accessed through
the contents page there are number of measures highlighted by SCA regarding the People &
Culture performance component (ArAs 2016). This comprises of;
a. SCA policies of diversity and inclusion policy
b. Gender equality plans where women can join SCA internally or externally
c. SCA company ethics that details the integrity and accountability
d. Development of people that is linked with the strategy of the organization forming the
vital part of the organic expansion strategy.
Comprehensiveness:
The breadth of the people and culture reporting is considered to extensive as the
information provided is both the quantitative and qualitative that is associated with the
performance of SCA (Davies 2016). The company provides that 20% of the women are
involved in the senior management. The company has reported the gender ratios with 18%
share of women in the group.
Conclusion and strength:
The reporting of SCA people and culture information is termed as good. The quality
of information has depth and it is in the direction of the performance and values that are
created through their numerous policies.

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Value Framework Element: Innovation G & S:
Report Extract: (Page 12, SCA Annual Report 2017)
Reporting Critique:
Reporting characteristics that drives the PWC “Innovation G & S” framework element:
a. Newness in the quality of the product and services
b. Innovations in procedures and systems
Extensiveness and Accessibility:
SCA push towards being the global leader is markedly expressed inside the
company’s business performance strategy and it is extensively communicated all through the
document however there is no such specific reference to the innovations that is made by the
company in the contents page.
Comprehensiveness:
The innovations section of the chief executive strategic review is the most
comprehensiveness and consolidated reporting of SCA innovation performance (Cheng,

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Ioannou and Serafeim 2014). The company however at no stage providers any budgeting or
the target information to lend support in their reporting of innovation performance. There is
no such reporting of innovation in the internal system and procedures.
Conclusion and strength:
SCA innovations towards the goods and service is lacks the coverage of measurement
against the business performance. There is no such focus is placed on the long run or midterm
business targets. The company has though expressed innovations strategically but the quality
of reporting is ugly.
Value Framework Bands and Intellectual Assets:
Report Extract: (Page 10, SCA Annual Report 2017)
Reporting Critique:
Reporting characteristics that drives the PWC “Innovation G & S” framework element:
a. Repute and brand identification value

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b. Building and promoting brand value and protection as well
c. Utilisation of intangible assets
Extensiveness and Accessibility:
The company has surprisingly reported very little on the brand recognition and has no
such reporting of the intellectual property assets. The only reference that is made is the by
addressing under the “value building” is related to the company strong development of the
brand among the customers and shareholders (Larcker and Tayan 2015). The information is
not easily accessible to the readers.
Comprehensiveness:
The SCA research and development and intellectual property strategy does not takes
into the consideration any performance related information (De Villiers, Rinaldi and
Unerman 2014). It has not reported any specific protection to the intellectual property and
building competitive advantage through patent and technology.
Conclusion:
The overall quality of reporting for SCA Brands and Intellectual Assets is considered
to be Ugly.
Value Framework Element: Process and Supply Chain
Report Extract: (Page 125, SCA Annual Report 2017)

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Reporting Critique:
Reporting characteristics that drives the PWC “Processes & Supply” framework
element:
Internal processes and supply chain attributes:
Extensiveness & Accessibility:
The company has included very minimum amount of process and supply chain
information (Papa, Peters and Schacht 2016). The company has not addressed any clear
supply chain information. In respect to the internal procedure of SCA internal procedure the
company has not reported any substance related to processes and supply chain.
Comprehensiveness:
SCA did not reported any form of process and supply chain performance however
some elements were present in the annual report that would provide value to the readers;

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a. Efficiency in the delivery of manufacturing procedure
b. Lead time involved in delivery
c. Reduction in the overall expenditure
d. Total number of key suppliers or the raw materials
Conclusion & Strength:
The SCA process and supply chain reporting is considered as ugly since the company
has not included in the annual report to increase the organizations value and reporting to
users.
Value Framework Element: Operational Performance
Report Extract: (Page 23, SCA Annual Report 2017)
Reporting Critique:
Reporting characteristics that drives the PWC “Operational Performance” framework
element:
a. Quality of products and services
b. On time delivery
c. Adjusted EBITDA
d. Number of Employees

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Extensiveness and Accessibility:
The organizations performance indicators offer higher level of overview regarding the
operational performance of the SCA (Lueg et al. 2016). While the PWC framework reference
details provides the details metrics on the cost information that were more suited to the
internal management report as opposed to the public nature of the yearly report studied.
Comprehensiveness:
SCA provides significant details relating to the nature of the performance and some of
them is stated below
Comment Performance of the KPI inside the reporting
period
2016 Target The target is used to measure the
performance
Remuneration link The performance indicators provides the
computation of the annual bonus plan
Conclusion and Strength:
It can be stated that SCA has not provided in depth reporting as prescribed by the
PWC framework but the operational performance reporting of the company was good.
Value Framework Element: Economic Performance:
Report Extract:

32EVALUATION OF ANALYSIS AND REPORTING
Reporting Critique:
Reporting characteristics that drives the PWC “Economic Performance” framework
element:
Communication of economic performance that includes, financial statements, income
statement, consolidated balance sheet and free cash flows.
Extensiveness and Accessibility:
SCA financial performance has been reported in the annual report and it is easily
accessible within the yearly report. The company vital performance metrics has been
communicated in the page 8 that draws the attention of the readers with additional details in
the financial statement sections (Council 2015). To support the financial performance each
accounts of company is provided in the notes section and scattered throughout the report.
Comprehensiveness:
Each of the financial performance statements provides a comparative understanding of
current and previous year performance that allows the readers to understand the trends in
performance (Yermack 2017). To offer more granular view an insight into the financial
performance statement is constructed that includes the next additional information;

33EVALUATION OF ANALYSIS AND REPORTING
a. Breaking down of revenue for each geographic segment
b. Financial adjustment
c. Taxation implications
d. Information supporting contributions from the acquisitions
Conclusion and strength:
The economic performance of the SCA has been evidently stated and prominent with
the annual report (Soltani and Maupetit 2015). It provides the readers to gain a significant
understanding into the business performance that is supported by complementary the
financial notes. The overall quality of SCA reporting is of economic health is considered as
good.
Value Framework Element: Social
Report Extract: (Page 41, SCA Annual Report 2017)
Reporting Critique:
Reporting Characteristics that drive “Social framework element:
a. Value and results that the SCA creates in respect of the social performance
Extensiveness & Accessibility:

34EVALUATION OF ANALYSIS AND REPORTING
SCA reporting of the social element creates an effect as the portion of the broader
corporate social responsibility report.
Comprehensiveness:
SCA has reported four areas of environmental performance which includes
 Health and safety
 Incidence of injuries
 Diversity
 Its people
Conclusion and strength:
The company has included the elements of social performance in its corporate
responsibility report to state the commitment of the organizations towards the social
performance and its transparency. While the measures are reported but it is not reported
against the target benchmarks. This provides the readers with the little measures and the
overall quality of social performance information is bad.
Value Framework Element: Environmental
Report Extract: (Page 130, SCA Annual Report 2017)

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Reporting Characteristics that drive “Environmental” element:
a. Value and results that the SCA creates in respect of the environmental performance
Analysis and Accessibility:
Identical to the social framework element, SCA reporting relating to its environmental
impact in included as the portion of the broader corporate social responsibility report in page
130 of the annual report (Christensen et al. 2015). The most significant aspects of the
environmental reporting is the environmental attributes is the full one page carbon footprint
information relating to the emission of carbon that were incurred and related to the
commentary.
Comprehensiveness:
The organization reports on the five main areas of its environmental performance
a. The qualitative outlook of the CSA environment strategy
b. The impact of the SCA products that has on the environment
c. The impact that manufacturing operations creates on the environment

36EVALUATION OF ANALYSIS AND REPORTING
d. Environmental administration system of implementing controls on process to reduce
the organizations performance impacts
e. A full page information on the carbon footprints.
Conclusion and Strength:
The report provides a depth in reporting of each product segment that contributes to
the overall fuel emission of the company. The environmental reporting is held as the element
that is used to improve the segmental reporting and the overall quality of the reporting of
CSA is good and provides a better value to the reader.
Value Framework Element: Segmental
Report Extract (Page 9, SCA Annual Report 2017)
Reporting Critique:
Reporting Characteristics that drive “Segmental” element:
SCA segmental performance are comprehensively stated in the annual report based on
geographical reporting and business units which places emphasis on the internal value
creation and operating performance.

37EVALUATION OF ANALYSIS AND REPORTING
Analysis & Accessibility:
The product segment of SCA is comprehensively communicated both in terms of
qualitative and quantitative all through the annual report (Trotman, Carson and Gibbins
2015). Performance relating to each segment is evidently presented in the annual report in the
very first section of the report.
Comprehensiveness:
Each segmental sector review encompasses the following information:
Depth of reporting Description of focus
Performance indicators Growth in revenue
Growth in profitability
Segmental revenue growth
Performance Annual segmental performance
Geographic trends Underlying overall growth drivers
Conclusion and Strength:
The details that has been provided by CSA in each of the product segment is referred
as very extensive. It offers its readers with the good mix of the historical context,
performance targets, relevance to the organizations performance and future outlook to the
readers to create value. The quality of segmental reporting information is considered as good.

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Material Matters Critique:
The concept of materiality can be defined as the understanding of the information that
requires to be disclosure as the omission or the misstatement of information which would
misinform the stakeholder namely the investors (Downs 2017). CSA has addressed what its
investors is required to know in the two following ways;
a. The inclusion of the highlights section at the commencement of the report which
offers the shareholders with the brief snapshot of the vital performance metrics
namely the financial and the operational which is designed in a manner that would
attract the attention of readers.
b. CSA has addressed information which is important for the shareholders such as the
corporate social responsibility and the vitality of its business success.
The approach undertake has created a better reader oriented focus and has streamlined the
information to increase the comprehension.

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