Accounting, Finance and the ESG Agenda

BMAN75042 Accounting, Finance and the ESG Agenda 15 Semester 2 Postgraduate Taught Level 7 Marie Dutordoir Unit coordinator 1 FHEQ level (Framework for Higher Education Qualifications) ' Masters/Integrated Masters P4 ' European Credit Transfer & Accumulation System Rating : 7.5 This course provides a comprehensive overview of state-of-the-art research on the role of ESG in accounting and finance. Drawing from seminal and recent studies, we introduce the key concepts, frameworks, methodologies and findings in this area. The course is applied in nature and will articulate the policy and practical implications of ESG-related accounting and finance research for various stakeholders. This course provides a comprehensive overview of state-of-the-art research on the role of ESG in accounting and finance. Drawing from seminal and recent studies, we introduce the key concepts, frameworks, methodologies and findings in this area. The course is applied in nature and will articulate the policy and practical implications of ESG-related accounting and finance research for various stakeholders. <ul><li>Provide a comprehensive overview of research on the role of ESG in accounting and finance;</li><li>Introduce key concepts, frameworks, methodologies and findings related to the role of ESG in accounting and finance;</li><li>Equip students with a critical mindset to understand and evaluate ESG-related research in accounting and finance, and with a set of practical skills to undertake their own research in this area</li></ul> The intended learning outcomes are highly useful for a range of employment settings, not just roles closely associated with Sustainability (e.g. Corporate Sustainability Officer) but virtually any role in accounting, finance, or general management. Nowadays, it is crucial for anyone active in the world of accounting or finance, be it as an investment banker, fund manager, CFO, consultant, accountant, auditor, general manager, or other, to have an ability to reflect on and evaluate questions at the interface of ESG and accounting/finance and to evaluate research and media articles in this area. This is what this course offers, through the various intended learning outcomes. We strongly hope the course will equip participants with the tools not only to be successful at job interviews in their desired area of employment (these interviews will almost certainly touch upon ESG elements) but also to thrive in the associated roles (which will most definitely include an ESG element).  Evaluate the main theoretical viewpoints on the relation between ESG and accounting and finance Evaluate the key methodologies used in accounting and finance to examine research questions on ESG in its entirety, and on individual elements of ESG (e.g. environmental performance, employee satisfaction, inequality within the firm,…) Describe the main empirical findings on the relation between ESG (in all its dimensions) and accounting and finance Critically engage with theories of the role of ESG in accounting and finance Evaluate the strengths and weaknesses of key methodologies used in accounting and finance to examine research questions on ESG, and reflect critically on various metrics of ESG performanceDesign and develop new research hypotheses on the role of ESG in accounting and finance and suggest associated suitable methodologies to test these Communicate theory and evidence-based arguments on the role of ESG in accounting and finance through academic and business writing and a presentationResearch, synthesise and critically analyse ESG data and corporate financial and accounting data from published literature, databases and internet sourcesIdentify the practical implications of research on the role of ESG in accounting and finance for a range of stakeholders, e,g, corporate managers, investors, supply chain partners, and policy makers Communicate and debate effectively and respectfully about topics related to the role of ESG in accounting and finance, taking different viewpointsDevelop effective team dynamics while working on research related to the role of ESG in accounting and finance  Develop skills in using accounting and financial data from mainstream databases available at University to address research questions on the role of ESG in accounting and finance Apply a growth mindset and reflect on further opportunities for learning, going beyond the strict course material but using the vast and ever-growing amount of literature available on ESG, accounting and finance.  Syllabus (indicative curriculum content):To support the lectures, we will use a set of academic research papers from top accounting and finance journals. Both older, seminal articles and recent articles will be covered. We will also include material from the business press, e.g. FT.com and The Economist, and provide mini cases drawn from actual events.  We will summarize key insights from this material on lecture sheets (Powerpoints or other suitable format).  The unit will consist of ten synchronous in-person three-hour interactive lectures with workshop elements (e.g. case discussions and debates) embedded in them.  The tentative structure is (this is still subject to changes):Lecture 1: Introduction, terminology, overview of the course Lecture 2: ESG and shareholder value I Lecture 3  ESG and shareholder value II Lecture 4: ESG and corporate finance decisions Lecture 5: ESG and asset pricing Lecture 6: Overview of financial databases and Q&A on team work Lecture 7: ESG and corporate disclosure I Lecture 8: ESG and corporate disclosure II Lecture 9: Team presentations of group work Lecture 10: Debriefing from the team presentations and revisionThe unit will be supported by e-learning materials, including: - preparation questions for each lecture (provided on Blackboard before each lecture with answers submitted on TurnitIn and discussed at the beginning of the next lecture)  - actively monitored discussion forums on Blackboard (one related to the lectures, and one related to the team assignment) 2 Written assignment (inc essay) 50% 6 Project output (not diss/n) 50% Debriefing in final Lecture + team-based extensive feedback on BlackboardGeneral feedback on Blackboard. Some individual feedback on script   N The course will rely on carefully selected academic papers underpinning the topics studied in the lectures. Examples of the type of articles we could use are:- Berg, F., Koelbel, J. F., & Rigobon, R. (2022). Aggregate confusion: The divergence of ESG ratings. Review of Finance, 26(6), 1315-1344- Lins, K. V., Servaes, H., & Tamayo, A. (2017). Social capital, trust, and firm performance: The value of corporate social responsibility during the financial crisis. the Journal of Finance, 72(4), 1785-1824.- Quattrone, P. (2022). Seeking transparency makes one blind: how to rethink disclosure, account for nature and make corporations sustainable. Accounting, Auditing & Accountability Journal, 35(2), 547-566.- Uddin, S., Siddiqui, J., & Islam, M. A. (2018). Corporate social responsibility disclosures, traditionalism and politics: A story from a traditional setting. Journal of Business Ethics, 151, 409-428.The list of articles will be amended each year as we wish to be responsive to current developments in research at the interface of Accounting and Finance/ESG.  We will also include extra readings for those students who wish to delve more deeply into a certain topic.  Lectures 30 0 120 ENHANCEMENT OF DIGITAL LITERACY  The course will mostly enhance the “information, data and media literacies” element of digital literacy, by encouraging students to use a wide range of financial databases available at university, and by enabling them to critically evaluate media articles around ESG, accounting and finance. The course will use digital learning environment Blackboard, but students are free to use their preferred tools for (digital) communications within their teams. We require that team communications are traceable, conducted in English, and happen in a respectful manner.STATEMENT TO SUPPORT EQUALITY,DIVERSITY AND INCLUSIONIn the development of this course, we strive to create a supportive, open-minded and inclusive learning environment that values the diversity of our MSc student body.  To accommodate our students’ different learning styles and abilities, the course adopts various teaching and learning strategies, including interactive learning throughout the in-person lectures, extensive course materials (slides and academic articles plus extra readings), lecture podcasts, and a monitored discussion forum on Blackboard. In terms of content, the course provides a mix of theoretical frameworks, case studies (including cases on ethical issues such as recent social violations in the supply chains of fast fashion companies), and exercises that give students hands-on experience with the topics discussed.  We encourage active engagement during the lectures using a range of tools, such as group work, discussions, and student presentations. We always aim for everyone’s voice to be heard, and emphasize that all discussions need to be taking place in a respectful, safe, and encouraging atmosphere.