INSTITUTIONAL TRANSFORMATION OF REPORTING TO ENSURE SUSTAINABLE DEVELOPMENT OF ORGANIZATIONS IN THE CONTEXT OF GLOBAL INSTABILITY

Abstract

The article addresses the institutional transformations necessary for achieving sustainable development in organizations under the conditions of global instability. The primary aim of the study is to analyse the needs and requirements for corporate reporting and their influence on organizational transformation. The focus is placed on integrating transparency principles into strategic management, developing dynamic capabilities, and overcoming challenges associated with phenomena such as greenwashing, bluewashing, and window dressing. The relevance of the topic stems from the increasing regulatory requirements, heightened stakeholder expectations, and the pressing need to enhance trust in corporate reporting. The methodological foundation of the research encompasses a systematic approach, theoretical analysis of existing sources, logical generalization, and elementary theoretical evaluation. This approach has allowed for the identification of critical issues, such as insufficient integration of sustainability principles into internal processes and the lack of alignment between declared goals and actual performance. The study particularly highlights the limitations of formalized reporting practices that fail to deliver meaningful organizational change. The findings confirm that sustainability reporting is a crucial communication tool for organizations to strengthen trust, enhance reputation, and attract investment. To address existing barriers, the study proposes key measures, including the implementation of independent audits, fostering a culture of openness, optimizing management structures, and adopting innovative technologies. Special emphasis is placed on the harmonization of international reporting standards, which is crucial for creating unified approaches to the evaluation of non-financial performance indicators. The practical significance of the article lies in providing actionable recommendations for organizations aiming to improve reporting transparency, ensure adaptability to changes, and meet the demands of sustainable development. The proposed approach facilitates the integration of institutional transformations into corporate strategies, enabling organizations to achieve long-term competitiveness and resilience in dynamic environments.