The Role of the Management Accountant in the Early Implementation of CSRD - The Case of SKF

Abstract

Introduction: The sustainability reporting landscape is being changed by a new EU directive known as CSRD. Its implications are still unknown as well as how companies are doing to handle such a transition. Therefore, the purpose of the thesis is to investigate how a management accountant is handling the implementation of CSRD through organization, communication, and performance measurements. It is also to investigate the rationales behind the choices made. Frame of Reference: The tasks of the management accountant are expanded upon, especially in the area of implementing change and sustainability. When implementing change, there are specific aspects within the area of organization, communication and performance measurements to consider for those responsible. Method: The thesis conducts as a single-firm case-study to investigate CSRD. It utilizes triangulation with interviews, observations, and document review. These findings are then discussed with relevant academic literature. Findings: The analysis describes the empirical findings in chronological order to showcase a timeline of the actions taken in the CSRD implementation. It follows the structure of the report and showcases the chronological events in the areas of organization, communication, performance measurement and the rationales behind the choices made. Discussion: The areas of organization, communication, performance measurements and rationales are discussed utilizing the academic literature. There are several nuances gained to each area as CSRD’s complexity highlights issues both previously addressed and not addressed by literature. Overall, legitimacy theory and its concepts gain further support as it enables the events to be understood and theorized. Conclusion: CSRD has great consequences for corporations and the responsible management accountant as they need to change how they operate with regards to organizational features, communication, and performance measurements. These areas are complex on their own and setting an adequate ambition is something which the corporation has to tackle, where organizational identity comes into place as a central component.