How Client Disclosure Reporting works
Where it all started…
Launched in 2015 by international change agency, Futerra, Client Disclosure Reporting (CDR) is now provided by the independent charity Futerra Solutions Union.
As an annual business reporting tool, Client Disclosure Reporting supports greater transparency across professional service businesses, and is a simple and effective way to understand and share the industries that make up your revenue without requiring any specialist skills or training to complete.
Key principles
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Universality
Client Disclosure Reporting can be used by any professional service business, whatever their industry or size, and wherever in the world they’re based.
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Comparability
All reports follow the same format and use the same metrics, making them easy to compare.
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Accountability
By analysing a business’s client industry mix, a Client Disclosure Report helps companies to identify any potential negative impacts of the work they do and the industries they work in, supporting them to align their business values with action.
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Objectivity
Because Client Disclosure Reporting uses recorded revenue figures, analysis is neutral and unbiased. Data collection methodology is clearly explained, and any potential bias is openly discussed and mitigated for whenever possible.
By keeping client and company data anonymous, and only publishing percentages of revenue not actual revenue figures, Client Disclosure Reporting helps businesses improve transparency and accountability while maintaining confidentiality.
To find out more about the methodology behind Client Disclosure Reporting, download our detailed guide here.
Benefits of Client Disclosure Reporting for professional service providers
Enhance reputation and trust
With ethical drivers becoming increasingly important in B2B and consumer decision-making, demonstrating your commitment to transparency and accountability has never been more important. Client Disclosure Reporting is an easy, and zero-cost way to show your stakeholders that you care about running your business in a transparent and ethical way.
Attract and retain talent and clients
Opening the doors of your business through Client Disclosure Reporting is a great way to differentiate your business — attracting and retaining clients and talent who are increasingly prioritising partners and employers who share their values.
Identify business opportunities
With 45% of professional services businesses still prioritising leads manually (Salesforce Trends in Professional Services, 2020), Client Disclosure Reporting can give you an edge over your competition. By analysing your business’s client and revenue mix, you’ll be able to more easily see gaps in your current client base, and identify new opportunities and areas for growth.
Reduce business risk
By understanding your client industry mix better, you can better mitigate against exposure to problematic industries, future-proof against potential risks, and reduce the risk of reputational damage.
Get ahead of reporting requirements
With some professional services businesses already facing mandatory reporting requirements, many others are seeing requests in RFPs and from existing clients to report on their voluntary commitments to environmental and social wellbeing. Quick and easy to complete, a Client Disclosure Report is a simple way to demonstrate your commitment to transparency and responsible business when you tender for work.
Visit our CDR reports page to find out how other businesses are already benefiting from Client Disclosure Reporting.
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55% of people will pay more for products and services from brands committed to positive social and environmental impact.
(Nielson, 2020)
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77% of organisations consider supply chain transparency to be important, but only 31% are satisfied with their current visibility into suppliers.
(Ivalua Report: Data Enabled Supple Chain Transparency, 2022)
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2 in 3 people say they are belief-driven buyers.
(Edelman Trust Barometer Global Report, 2021)
Benefits of Client Disclosure Reporting for client businesses and organisations
Build trust
Businesses and organisations today are facing a significant trust gap, as study after study shows declining levels of trust from investors, customers, and employees, at the same time as finding trust to be a more and more important factor in decision-making.
Demonstrate transparency
Stakeholders now demand more than just financial performance; they want businesses to actively address global challenges, and expect transparency on companies’ commitments to sustainability, environmental responsibility, social wellbeing, and ethical practices.
Visit our resources page for our guide on how to include Client Disclosure Reporting as part of your procurement process.
Simple and free to use
Asking your suppliers for a Client Disclosure Report as part of your procurement process is a simple way to build trust with stakeholders and to demonstrate your commitment to supply chain transparency and accountability, as well as reducing reputational risk by ensuring your own values are aligned with those of the companies you work with.
Plus, it’s free and easy for suppliers to complete, and it won’t get in the way of your existing procurement processes.
Ready to get started?
Visit our resources page where you’ll find everything you need to help you create your own Client Disclosure Report or Procurement Guidelines. You don’t need any specialist knowledge, and all the tools are free to download and use.
Or register with us for more information and FREE 121 support.