Mutual contributions between local NGOs and companies: a credibility factor for social reporting based on three pillars

There is constant criticism of the quality of the extra-financial information disclosed to stakeholders, including NGOs. The lack of credibility of social reporting has as much to do with financial issues as with the operationalization of sustainable development. The collaboration of NGOs at the territorial and local levels with companies is little discussed in empirical research, as is their mutual contribution to the credibility of social reporting. Our qualitative research brings together sustainable development experts and representatives of local NGOs within a space of dialogue. These confrontations bring out reflections that will help companies improve the quality of their social reporting. From a managerial point of view, we show that credibility is based, on the one hand, on close collaboration between companies and local NGOs along three dimensions: a collaborative stance, common means and objectives, and shared values. On the other hand, we show that NGOs contribute through their actions to the construction of the content of social reporting. Our academic contribution concerns the credibility of social reporting, which is based on three pillars: its instrumentalisation, its construction and the disclosure of information.