ACC706 JB Hi-Fi Accounting Reporting System - Assignment Solution

• Introduction

Accounting reporting systems have emerged over the years and aspect of social and environment reporting are considered as core perspectives of contemporary reporting systems. The underlying report has focused on investigating the integrated reporting system and CSR framework with respect to JB Hi-Fi. The company is considered as one the leading player of retailing sector of Australia and is recognized for its social as well as environmental contribution. Success of company is witnessed by the notion that it has expanded largely over the past few years and is now the 7th most successful retailer across the world. The integrated reports of company show sound financial position of JB Hi-Fi. The social and environmental statements of JB Hi-Fi also make important aspect of integrated reporting and provide information about social contribution and environmental sustainable of company. The report has chosen news story of Probono Australia which highlights that based on workplace giving program, company is saving around $8 million, based on the notion that its workers feel proud and become more engaged with their job, thus lowering training and motivational expenses of company. The report has focused on CSR framework by highlighting the economic, environmental, ethical and philanthropic responsibilities of organization. Moreover, to explain CSR framework legitimacy theory and enlightened self-interest theories are identified and news report of JB Hi-Fi is being analyzed in the light of these theories. The analysis has shown that company is well complied with these theoretical concepts and thus social reporting of company is effective. 

• Body of Analysis

• Context of JB Hi Fi

JB Hi-Fi is considered a renowned retailing brand which is based in Australia and it serves Australia and New Zealand. JB Hi-Fi was established in Melbourne in 1973 and was sold by found in 1983 to Richard Bourus, who has expanded it to 10 stores in Melbourne as well as Sydney. The company was sold to private equity in 2000 and has listed in ASX in 2003 (JB Hi-Fi, 2019). The company has expanded substantially over the years and as of year 2018 it has 193 stores in Australia and 15 stores in New Zealand. JB Hi-Fi is also engaged in online sales, which makes it accessible for consumers in focused markets (JB Hi-Fi, 2019). JB Hi-Fi is considered as leading seller of consumer electronics, telecommunication products and services, home appliances, kitchen accessories, software and musical instruments. Based on this diverse product range, it can be considered that JB Hi-Fi is a complete solution for all consumer goods. Recently JB Hi-Fi has been announced as 7th largest seller of electronics and home appliances, across the world (JB Hi-Fi, 2019).  

The retailing industry is highly competitive and sustainability has been considered as one of the most desired aspect of this sector. The results of Corporate Reputation Index from many years have indicated that JB Hi-Fi has remained the leading retailer in terms of CSR (corporate social responsibility) ratings. This evidence of CSR rating of company provides insight of the fact that JB Hi-Fi is maintaining effective relationship with its stakeholders (Bayne, Purchase and Tarca, 2019). Shareholders, community, customers, employees and environment are considered as core consideration by JB Hi-Fi and company maintains both internal as well as external communication with these stakeholders to keep them informed (JB Hi-Fi, 2019). Social and environmental reporting of company is considered as its core focus and company has formulated different social programs through which it is giving back. JB Hi-Fi’s helping hand program, workplace giving program, donation boxes in stores, fundraising campaign and employer leadership group are considered as some most famous program through which company is fulfilling its social responsibility (JB Hi-Fi Report, 2018). 

• Newspaper Story 

The report has considered as recent story published by Carter (2018) in Probono Australia. The story has highlighted the workplace giving program of JB Hi-Fi, by stating that based on this giving back program JB Hi-Fi has saved $8 million on recruitment and training of its staff. The reason of this saving is linked with the notion that community contribution of company enables the staff to feel proud of JB Hi-Fi it leaves positive impact on overall work culture of company. Consequently, the engagement of workers improves which then leads to enhanced rate of return for JB Hi-Fi. Based on helping hand initiative of JB Hi-Fi, which was established in 2008, company offer opportunity to its workers for donating to nine different charity partners on regular basis (Carter, 2018). The news has furthered that this program of company not only develops a social case but also an economic case. The philanthropic contribution of company is thus acknowledged and this can be linked with aspect of social accounting, which is considered as core requirement for contemporary organizations to succeed within industry (Castka et al., 2004).