The macro impact of the sustainability accounting model on transparency

Abstract

Abstract: The study highlights that sustainability accounting views economic entities as social institutions that maintain a reciprocal relationship with society, whereby they influence societal conditions and are, in turn, influenced by them. Consequently, society requires access to information concerning the social and environmental consequences of organizational activities alongside their economic outcomes. Accordingly, the study seeks to clarify the concept of sustainability, examine the characteristic of transparency, and emphasize the significance of sustainability reporting through sustainability accounting systems, whether such disclosure is integrated into annual reports or presented separately in sustainability reports. Furthermore, the study aims to explore the macro approach and its role in reinforcing the importance of sustainability reporting and enhancing transparency. To achieve these objectives, the analytical approach was adopted, and a questionnaire was developed and distributed among the research sample. The analysis of the collected data led to several conclusions, the most significant of which is that the adoption of the macro approach requires directing accounting objectives toward influencing the behavior of individuals and economic entities in a manner that supports the implementation of specific economic policies. This is based on the view that the economic entity constitutes a fundamental component of the broader economic system and derives its significance primarily from the surrounding economic reality rather than from its independent existence.The study also recommends that financial statements should reflect the comprehensive performance of economic entities by encompassing economic, social, and environmental activities simultaneously. Such an approach is necessary because these dimensions are interconnected and complementary, collectively contributing to the achievement of sustainable development objectives.