DISCLOSURE OF CORPORATE RISK INFORMATION: EVIDENCE FROM AWARD-WINNING ORGANIZATIONS IN MALAYSIA
DOI:
https://doi.org/10.24191/VoA.v22i2.13434Keywords:
Resource-based View, Content Analysis, Corporate Risk, DisclosureAbstract
Global crises heighten information asymmetry and intensify stakeholders’ demand for decision-useful corporate risk disclosures. This study examines how Malaysian award-winning firms communicate corporate risk information by analysing the annual reports of publicly listed companies that won the 2021 National Annual Corporate Report Awards (NACRA). Using content analysis, we apply a 134-item Modified Corporate Risk Disclosure Index (MoCorDi), developed by integrating prior risk-disclosure indices with NACRA reporting criteria and grounded in the resource-based view. The results indicate that, on average, the sample discloses 83 of the 134 risk items (62%), suggesting that even firms recognised for reporting excellence provide only moderate coverage of risk information. The findings provide a benchmark for boards and preparers to strengthen the completeness and consistency of risk reporting, and offer evidence that can assist regulators and policymakers (e.g., the Securities Commission Malaysia) in refining guidance aimed at improving corporate preparedness for future pandemics and other systemic disruptions. MoCorDi also offers a practical tool for monitoring risk-disclosure practices across firms, sectors, and over time.
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