Telefónica is in second place in the TRAC-SPAIN 2022 produced by Transparency International Spain (TI-E), which uses 100 indicators to evaluate the company’s commitment to transparency in ethical and compliance aspects.
Our score is 77 out of 100, higher than any other company in our sector
Out of Ibex-35 companies, only eighteen companies obtained a high or very high score. Out of the companies with the five highest scores, Telefónica and Indra belong to the Technology and Telecommunications sector.
Telefónica obtained an above-average score in all the dimensions assessed.
Results at a glance
- In the Organisational/Market Transparency (TO/M) section, we obtained the highest score.
- In terms of transparency regarding Anti-Corruption Programmes, our level of commitment was ranked as high, exceeding the average for our sector (70%).
- In the regulatory compliance (CN) dimension, we obtained 71% in terms of the transparency of our programme. Only 15 companies achieved 50% or more, with an average score of 47%.
- In Human Rights, we obtained the third-highest score with 79%.
- In the CbCR dimension, which measures a company’s basic tax and accounting information in relation to each jurisdiction in which it operates, our level of compliance was classed as high.
In the special section on information submitted by companies, TRAC-Spain includes our initiatives “Human Rights by Design: Responsible Design” and “New challenges in compliance after the pandemic: digitalisation and awareness”.
Regarding the methodology
The overall objective of this study is to promote an improvement in corporate transparency and accountability among large, listed companies with international and global business activity.
TRAC- ESPANA is the first report produced in Spain using the TRAC (Transparency in Corporate Reporting) evaluation methodology
This methodology has been implemented since 2008 and has been applied globally and nationally in more than 20 countries.
The analysis measures the level of companies’ commitment to transparency in anti-corruption, respect for and protection of human rights, regulatory compliance, organisational/commercial structure, and country-by-country accounting and tax reporting, with the aim of driving an improvement in corporate transparency in the accountability of large, listed companies in relation to the dimensions intrinsic to all corporate ethics.
Why is transparency important?
Corruption and poor transparency remains one of the biggest obstacles to achieving the SDGs and the 2030 Agenda. It is a global problem that requires a multilateral, holistic and coordinated response, a collective approach to prevention and action.
For this reason, according to Transparency International, companies have a very important role to play as agents of change in acting responsibly within a responsible governance model.
According to Jaime Silos, director of corporate development at Forética, the ten countries with the best transparency scores are growing 20% faster than the rest of the advanced economies. Extrapolating this to the business world, the commitment to transparency represents a safe investment with enormous potential.
> You can read the full report here: Corporate Reporting Transparency Report HR-TRAC 2022