In accompany with the trend of integrated reporting, there lies a fragmented establishment in standards of reporting by non-accountancy and accountancy organizations for guiding non- finance based reporting. When applied in Australia, the landscape of fragmented regulation will lead towards high cost of compliance for meeting the several standards of best practice. Corporate reports have ended up becoming backward looking, long and disconnected, with the ill- equipment for reflection of value drivers, intangible assets and extremely general for meeting each and every need of the stakeholder (Simnett, 2011). The struggles regarding legitimacy, and limits regarding legitimacy, have been creating opportunities in Australia for new models of reporting, innovations of institution, and new setters of standard for emergence.
There might be an acquiring, maintenance, loss and regain of significant audience exercising evaluation and judgment for determining acceptability related to a base of knowledge or settler of standard in Australia (Romi, 2014). Further ahead, the setters of standard will organize activities for the establishment of legitimacy by significant authority, procedural due process, and substantive due process. Hence, a number of factors will be considered to enjoy maximum scope of success.
Overall, it can be stated that the company of RIO Tinto will enjoy higher scope of clarity and integrity by the adoption of integrated reporting. The process of adoption will involve two main phases that are phase of emergence and the phase of implementation. The first one will be inclusive of documentation in association with the needs of integrated reporting frame and making a move towards emergence after the inertia (Simnett, 2011). The second phase will involve networking of key actors, mobilizing resources, and interacting in the space of regulation for changing institutions.