Islamic Reporting Initiative

IRI

Founded	2015, Dubai, United Arab Emirates
Type	not-for-profit organization
Purpose	CSR and Sustainability reporting
Headquarters	Dubai, United Arab Emirates
Region served	Islamic countries and member countries of the Organisation of Islamic Cooperation (OIC)
Membership	72 members in 2015
Official languages	English, Arabic
Founder	Daan Elffers
Advisory Council	H.E. Dr Taher Shakhshir, Minister of Environment, The Hashemite Kingdom of Jordan,^[1]
Affiliations	Organisation of Islamic Cooperation (OIC), Stichting IRI Reporting Standard, Netherlands, Public Benefit Organization (ANBI)= RSIN #855822247
Website	http://islamicreporting.org/

The Islamic Reporting Initiative (IRI) is a not-for-profit organization leading the creation of the IRI framework; the guiding integrated Corporate Sustainability and Social Responsibility (CSR) reporting framework based on Islamic principles and values that works towards achieving international standards of best practice. The framework will enable organizations to inclusively assess, report, verify and certify their CSR and philanthropic programs supporting the United Nations Sustainable Development Goals.

Founded on 4 April 2015, the IRI seeks to make CSR reporting standard practice in organizations across the Islamic world and OIC countries in particular. The IRI is headquartered in Dubai, UAE, and (as of 2015) has members in more than 40 countries.^[2] In 2015, the IRI was commended by the Organisation of Islamic Cooperation (OIC), the second largest inter-governmental organization after the United Nations, with membership of 57 states over four continents.^[3]

Overview

The IRI was created in response to research that identified low rates of CSR reporting despite a prevalence of CSR practice in organizations where Islamic principles and values are an important element of corporate culture. Such findings indicate that existing sustainability reporting standards, such as the Global Reporting Initiative (GRI) and ISO Standards, among others, are not always as practical or relevant in a local and cultural context.

The IRI is a culturally-responsive reporting framework based on Islamic principles and values and the embedded widespread practice of philanthropy. Such values shape organizational cultures and ground CSR as an economic and moral initiative, founded on the understanding that an organization aspires to be a ‘good corporate citizen’. The framework will be compatible with elements specific to the culture, such as Zakat and other organizational codes of conduct. At the same time, the IRI framework will be compatible with Sharia compliant finance, one of the fastest growing types of finance:^[4] between 2009 and 2013 Islamic banking assets grew at an annual rate of 17.6%, and are expected to grow annually by an average of 19.7% until 2018.^[5]

The IRI deems the need for CSR reporting to be culturally-responsive in order to maximize the nuances that lend themselves to the overall ambition of CSR and to maximize stakeholder engagement. With CSR reports primarily used by stakeholders, it is important that the motivations for CSR practice are framed within the local context and use a language that is familiar, meaningful and relatable to culture.^[6] Once such a framework "fits into its place", it creates stable, flourishing and interconnected economic, social and cultural environments.

The IRI enables CSR and sustainability metrics to be incorporated into wider business practice through the integrated nature of the framework. CSR and sustainability reporting is a modern concept encouraging businesses and institutions to report on their social and environmental performance.^[7] The combination of non-financial and financial metrics provides an additional layer of information important to stakeholders and investors in the measurement and management of risk.^[8]

Governance

The IRI was founded by Daan Elffers, CEO of EMG Group, as part of the advisory firm’s own CSR program. EMG Group’s advisory board is chaired by H.H. Prince Pieter-Christiaan of Orange-Nassau, van Vollenhoven^[9] and other members include prominent financier Gerrit Heyns^[10] and the former Danish Minister of Environment, Ida Auken MP.^[11] The IRI Advisory Council includes H.E. Dr Taher Shakhshir, Minister of Environment, The Hashemite Kingdom of Jordan,^[12] Thoraya Al Awadhi, Founder and CEO of the Thoraya Al Awadhi Group of Companies and President of the Rotary Club of Dubai,^[13] and Dr. Yacoub Nasereddin, Chairman of the Board of Trustees of the Middle East University in Jordan and Founder and Chairman of the Board of Directors of YAN Group.^[14]

The foundation for the IRI "Stichting IRI Reporting Standard" was founded on 15 December 2015.^[15] The board members of the foundation for the IRI are its founder Drs Daan Elffers, senior academic Dr Abdel-Aziz Sharabati and the award-winning entrepreneur Ms Amal Daraghmeh-Masri.^[16]

The IRI collaborates with a global network of governmental, corporate and not- for-profit organizations across the Islamic world, referred to as members. The IRI has members from over 40 countries, and include DQS Certification and Auditing (Germany),^[17] the Social Stock Exchange (London, United Kingdom),^[18] the International Medical Centre (IMC, Saudi Arabia),^[19] and Glowork (Saudi Arabia).^[20] The IRI has more than 20 media partners, including Middle East Business News and Magazine (Palestine)^[21] and Business Islamica (United Arab Emirates).^[22] The Middle East University in Jordan is one of the first members of the initiative.^[23]

As the framework develops, the IRI global network of users will, in disclosing their CSR and sustainability data, be actively engaged in advancing the IRI framework in line with international best practice.

Publicity

On 7 December 2015, the IRI was commended by the Organisation of Islamic Cooperation (OIC) for its work towards making business in the Islamic world more sustainable and prosperous:
"The OIC commends the IRI in its efforts in promoting economic, social and environmental prosperity in a manner that is not only impact-oriented and sustainable but culturally-relevant and responsive."^[24]

Events

In 2015, the IRI has been active at the following international events:

Global Islamic Economy Summit in Dubai, United Arab Emirates
World Bank Symposium in Istanbul, Turkey
Green Business Summit in Istanbul, Turkey^[25]
Global Ethical Finance Forum in Edinburgh, Scotland^[26]
Enterprise 2020 Summit in Brussels, Belgium

Media coverage

In 2015, the IRI contributed to the 2015 Islamic Finance Development Report,^[27] published by ICD - Thomson Reuters, and has been featured in ‘Making It’,^[28] the United Nations Industrial Development Organization (UNIDO) quarterly magazine.

On 12 May 2015, Middle East Business News and Magazine featured an article about IRI titled "New CSR Reporting Standard in the Middle East".^[29]
On 18 September 2015, Edie.net published an article "Islamic Reporting Initiative: Aligning local culture with CSR".^[30]
On 9 November 2015, Business Islamica magazine featured a special feature article about IRI titled "Creating a Legacy of Corporate and Organizational Sustainability".^[31]
On 13 February 2016, IRI founder Daan Elffers was featured in Saudi Gazette newspaper, interviewed by Faiza Rizvi, under the title "Philanthropy, CSR and economic growth".^[32]
On 24 February 2016, Saudi Arabia CSR experts talked about the IRI in the daily news program "Thaqafa Alyoum" on Al Thaqafiya national television.^[33]^[34]
In January 2016, the International Organisation of Employers included the IRI in their "Corporate Social Responsibility for ALL Project- Sustainability Reporting Handbook for Employers’ Organisations".^[35]

The IRI has contributed to, and been part of academic studies into the effect of CSR on business performance in the MENA region (pending publication).

References

This article is issued from Wikipedia - version of the 11/13/2016. The text is available under the Creative Commons Attribution/Share Alike but additional terms may apply for the media files.