The document discusses complex risks that are difficult to manage using standard risk management approaches. It notes that while humanity is good at mitigating isolated and easily managed risks, we are less competent at dealing with complex risks that have feedback loops, tipping points, and unclear cause-and-effect relationships. Managing such complex risks can be problematic when direct intervention is difficult. The presentation then discusses different levels of complexity in problems, from simple to organized complexity to disorganized complexity. It covers next steps and results from the Project ReportingNZ survey on various topics related to environmental, social and governance reporting.

1. Presentation to XRB on Project
ReportingNZ
Wednesday 2 May 2018
Wendy McGuinness

2. 2
Cones of plausibility

3. 3
Risk management
‘Humanity has become remarkably adept at understanding how to
mitigate countless conventional risks that can be relatively easily isolated
and managed with standard risk management approaches. But we are
much less competent when it comes to dealing with complex risks in
systems characterized by feedback loops, tipping points and opaque cause-
and-effect relationships that can make intervention problematic.’
Source: World Economic Forum. (2018). The Global Risks
Report 2018, p. 6. Retrieved 30 April 2018 from
www3.weforum.org/docs/WEF_GRR18_Report.pdf.

4. Complex and simple problems
Problems of simplicity Problems of organised
complexity
Problems of disorganised
complexity

5. Next steps

6. Performance detail disclosures Source: Survey Insights

7. Requirement levels of EER Source: Survey Insights

8. Statistics disclosures
Source: Survey Insights

9. Content disclosures
Source: Survey Insights

10. Guidance issuers Source: Survey Insights

11. Independent assurance of EER
Source: Survey Insights

12. Project ReportingNZ publications

13. EER frameworks
Source: ReportingNZ 2018 Worksheet

14. Political donations
Source: ReportingNZ 2018 Worksheet

15. Gender diversity
Source: ReportingNZ 2018 Worksheet

16. Gender diversity
Source: ReportingNZ 2018 Worksheet

17. Gender diversity
Source: ReportingNZ 2018 Worksheet

18. Health and safety
Source: ReportingNZ 2018 Worksheet

19. Health and safety
Source: ReportingNZ 2018 Worksheet

20. Environmental information
Source: ReportingNZ 2018 Worksheet

21. Carbon emissions
Source: ReportingNZ 2018 Worksheet

22. Water information
Source: ReportingNZ 2018 Worksheet

23. Thank you

24. [[Slide template]]
Source: ReportingNZ

25. Preparers’ Survey results
0 2 4 6 8 10 12 14 16
Accommodation
Agriculture, forestry and fishing
Arts and recreation services
Construction
Electricity, gas, water and waste services
Health care and social assistance
Manufacturing
Mining
Retail trade
Wholesale trade
Transport, postal and warehousing
Information media and telecommunications
Financial and insurance services
Rental, hiring and real estate services
Professional, scientific and technical services
Administrative and support services
Public administration and safety
Education and training
Industry types [72 respondents]