The Role of Visual Aids in Corporate Annual Reports in Drawing Wider Audience Internally Mochammad Surjo Koentjoro 1


Figure 3. A photo of a Corporate Social Responsibility activity in an Annual Report



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Figure 3. A photo of a Corporate Social Responsibility activity in an Annual Report

Studies by Beattie and Jones (1999) also have shown that the use of financial graphs was another of the device used by the management to enhance the perception of their performance)

Figure 4. The use of financial graph to enhance the perception of the performance of the company
4.5.2. Communication’s command and instructive
function
This function enables the management to get the employees to work in sync with the company’s goals and objectives. This function concerns with the employees compliance to rules, standardized work practices, procedures, and work result criteria. Annual Repots do not have a very important role in this function due to their nature as media to report the performance of the company and the conducts of the management during the previous year.
4.5.3. Communication’s influence and persuasive func-
tion
Through influence and persuasion, the management with its position and authority could control information and behaviour of the employees by using sets of rules, norms, and responsibility. If an employee reads the Corporate Governance and the
About the Corporation sections of the Annual Report, then he will be able to seethe broader view of his or her environment, and finds his or her position within the organization, and can be motivated to work better to achieve his or her targets. The use of motivating slogans as the title of the Annual Report can influence an employee’s motivation to work better.
4.5.4. Communication’s integration function
Communication helps creating harmony among all members of an organization, so that everybody can work together to reach the objectives of the organization. It is related to the functional formal communication but also relational and social. With messages in the Company’s Profile, Vision and Mis-
sion, and Corporate’s Values sections which can motivate the employees and builds the sense of belonging. Lipton (1996) wrote that Vision is organizational goals that evoke powerful and compelling images, goals that are
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Advances in Economics, Business and Management Research (AEBMR), volume 41

massively inspiring, overarching, and long term. The vision statement may also contain a slogan, diagram, or picture – whatever grabs attention) Mission statement is a set of organizational goals that include both the purpose of the organization, its scope of operations, and the basis of its competitive advantage.
(9) Below are the Vision, Mission, and Values statements written in the 2016 Annual Report of PT. Lippo Cikarang,
Tbk.
1. Vision “To build a comprehensive township and
to create a conducive place to live, work and life-
style.”
2. Mission “To be Indonesia’s premier industry,
commercial and residential based urban devel-
oper by means of investing in infrastructure, pub-
lic facilities and town management components
to maintain high entry market levels, high added
value, high margins and strong competitive ad-
vantage in business.” It was declared the Vision and Mission was officially approved during a joint meeting between Board of Commissioners and Board of Directors on a certain date.
(17)
3. Values Customer Focus, Commitment to Excellence and Goals, Integrity, Innovation, Teamwork, Spirit of Learning. According to Peter Senge in “The Fifth Discipline The
Art and Practice of the Learning Organization (1990), Shared Values is one of the discipline that needs to be developed. The development of a shared vision is important in motivating the staff to learn, as it creates a common identity that provides focus and energy for learning. And a learning organization develops as a result of the pressures facing modern organizations and enables them to remain competitive in the business environment. (15) One step to develop a Shared Vision among employees is by shortening the distance between them. People’s distance from a source can have a major influence on the likelihood of their attending to a particular message. People are more likely to be exposed to sources that are closer in proximity.
(14)

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