The general idea of a professional course is that it provides complete knowledge. Then, why do students join the BRSR course after completing CA? SEBI recently made it mandatory to submit BRSR for companies performing well in the capital market. The members of ICAI learn the post-CA courses to understand the specialised knowledge. Practical knowledge is essential to understanding different domains of finance. The different certification courses offered by ICAI to its members are certificate courses on fundamental and technical analysis of stocks, equity research, financial markets and securities laws, ADR, concurrent audit of banks, BRSR, cooperatives and NPO, Enterprise risk management, derivatives, forensic accounting and fraud detection, forex and treasury management, Indian accounting standards, GST, internal audit, wealth management and financial planning, public finance and government accounting. CA degree is sufficient to get a job. The courses offer domain knowledge which comes from experience. Employers these days do not want to train the employees in the functionalities and technicalities. They want the employees with ready to use attitude. The job market competition urges educational institutes to introduce new courses. These courses make them industry-ready. The blog content is worth reading for a chartered accountant and student of chartered accountancy course. It provides insights into the course and the job opportunities for this area of expertise.
What is BRSR?
BRSR propagate the performance, and value chain partners, map the responsibility and check the standardised disclosures on ESG parameters. The companies should link the performance with core elements. The principles of the business will be evaluated in the following nine ways: transparent, ethical and accountable, sustainable and safe products and services, respect the value chain among employees, show interest to all of the stakeholders, promote the human rights, protect the environment, influence the regulatory policy and public with transparency, equitable development and inclusive growth, and provide value to the customers, ICAI provides the course through online mode with the digital learning platform. Professionals with experience in risk management, assurance providers, and project appraiser in the sustainability area are eligible for pursuing this course. Students need to answer 60 MCQs and one case study.
What skills are required to prepare for BRSR?
The BRSR serve as the non-financial sustainability data for the stakeholders. The document work toward social development goals. The long term objective of the business intrigue the stakeholders. BRSR course, ICAI train the professional with the required skill for understanding the format of BRSR. SEBI made BSBR mandatory in the year 2022. The ESG complaints of the company reach the stakeholders. And these setbacks demand the recognition of the company. The BSBR gives the recognition to the company that the company is working with the ESG standards. BSBR report is essential to overcome the practical difficulties. The professional with an understanding of the long term goals prepares the BSBR with intensive knowledge.
Guidelines of SEBI for BRSR format
The details of the social process of business are gender ratio, women representatives in the management, turnover rate, welfare benefits, median wages, training, occupational health, and safety measures. The environmental projections are waste disposal, air pollution emission, life cycle management, raw material management, 3R practices, resource usage, gas emissions, and sustainable production. The governance-related actions are anti-bribery, anti-corruption, grievance redressed, regulatory authority’s actions, details about conflict of interest, timely submission of documents, and stakeholder engagement. The general guidelines of SEBI are as follows:
• The report should follow international frameworks such as TCFD, SASB, and GRI. The information in the annual report and sustainability report is different. If the information mentioned in the annual report is repeated with the sustainability report the page number reference can be provided.
• The report is prepared on a stand-alone basis and consolidated basis. The entity should maintain consistency with the report published periodically.
• If the BSBR report is not applicable, the reason for the same need to be provided. The report describes the risk factors for the business. And also it creates long term value for the business. The BSBR report is not possible for the service sector. It is associated with manufacturing companies.
• The financial year of the report is the reporting period.
• The documents and the web links of the documents should be clear and complete.
• The complaints with solid details need to be explained with the nature and reasons for not solving the pending complaints.
• The entity should follow the prescribed disclosures. And apart from those details if anything related to sustainability is required, that has to be added.
• The general disclosures are details of business processes, details of products and services, details of the workers and employees, the turnover rate for workers and permanent employees, participation of women employees, details of a subsidiary company or joint venture, grievance mechanism for stakeholders, and the details of sustainability issues.
• The disclosures about the gender of the employees and transgender employees are necessary.
What is the difference between BRR and BRSR?
• BRSR is now levied over the top 1000 companies, and in future, it will be expanded to the unlisted companies. BRR is only for the top 1000 companies as per the market capitalisation.
• The disclosures related to BRSR are added to the annual report and the 1MCA21 portal. The disclosures of the BRR would be added to the annual report of the company.
• BRSR report measures the quantitative and qualitative disclosures. BRR report measures the quantitative disclosures.
• BRSR report has two types of formats. They are comprehensive and lite. Comprehensive is for large companies with more details. Lite is for small companies with fewer details. BRR has a single template for all types of companies.
The changes with the reporting models improve the standards. BRSR expresses the performance with financial activity, non-financial activity and ESG standards. The parameter for measuring performance brings transparency and stability to the business.