The aim is to create a common framework to harmonise investor reporting on engagement, which would save time if this framework were widely adopted.
Furthermore, the reporting effort can be streamlined by integrating various indicators into the engagement activity tracking system used by the investor or engagers. A robust tracking system is central to the effectiveness and quality of an engagement policy; the reporting effort required will therefore directly contribute to the robustness of the investor’s engagement approach.
Guidelines have been drawn up by the FIR to facilitate understanding of the reporting template, which does not require complex development (see pp. 21 and 31 of the report + Excel guidance currently being developed).
Finally, measuring influence is only required for closed objectives, and evidence of influence is only required for engagements with at least a ‘probable’ level of influence, precisely to avoid excessive reporting burdens.
Whilst the VOICE method necessarily involves a reporting effort (notably, for example, regarding the monitoring of the various objectives and the measurement of influence), it enables engagers to showcase and compare their engagement activities with their stakeholders.