CIMA F2 Syllabus D. Integrated reporting - Six Capitals - Notes ^{1 / 1}

So these are the resources and relationships of the business (we use these as inputs)

Then the organisations activities convert them to outputs - which will increase / decrease these capitals
< IR > defines six capitals, however, not all capitals are equally relevant or applicable to all organisations
< IR > is not required to adopt the six categories or be structured in line with the capitals
Instead the capitals act as a guideline to ensure organisations consider all forms of capital they use or affect.

Financial - eg, debt, equity or grants
Manufacturing - buildings, equipment, infrastructure - roads, bridges. If an organization were to implement an advanced information technology system, manufactured capital would be affected the most.
Human - people’s competencies, capabilities.
Fully understanding the role of human capital in the value creation process requires integrated thinking. This is because human capital is important for increasing the stock of other capitals – through the development of knowledge, systems, procedures, protocols and relationships.
Social - shared norms, common values and behaviours,
Intellectual - eg intellectual property (patents, copyrights, software, licences
Natural - air, water, land, minerals, Biodiversity, eco-system