Australian Red Cross: Accountability Amidst Wars, Disasters and Loss of Life
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100 Years of Annual Reporting by Australian Red Cross: Accountability amidst Wars, Disasters and Loss of Life JONATHAN LANGTON This thesis is submitted in total fulfilment of the requirements for the degree of Doctor of Philosophy Federation Business School Federation University Australia PO Box 663 University Drive, Mount Helen Ballarat, Victoria 3353 Australia Submitted in December, 2018 ii ABSTRACT Purpose This critical interpretive and historical case study of Australian Red Cross extends from the organisation’s beginning in 1914 through to the present day. The overarching purpose is to reveal and analyse the annual reporting practices of one of Australia’s oldest and most important humanitarian organisations in the discharge of accountability over the course of a century. Design/methodology/approach A Political Economy of Accounting theoretical framework guides the content analysis and interpretation of findings. Background While the review of literature acknowledges the annual report as a crucial element in the discharge of accountability, studies investigating the evolution of annual reports of International nongovernmental development and humanitarian aid organisations (INGDHOs) over extended periods of time appear to be absent from the literature. Findings The annual reports were found to be responsive to the changing social, political, economic and institutional environment, casting doubt on any claims to objectivity in organisational management’s disclosures, including assertions regarding unadulterated adherence to its Fundamental Principles. Furthermore, sources of pressure from the wider environmental context impacted upon the development of accountability regimes and shaped the way in which organisational management reported to stakeholders. These regimes evidence the alignment of mission preservation and emotive disclosures with strategic priorities. Implications This study extends understandings of how INGDHOs discharge accountability through annual reporting practices. It provides a more holistic framework for understanding the role of accountability in organisational management reporting, the development of accountability regimes and the implications for organisational and social functioning. iii Originality/value (significance) The contribution is distinctive not only for the context and extensive period covered, but also for the significant institutional setting of Australian Red Cross – encompassing deep social, political, economic and institutional changes. This adds to the extant literature and provides significant insights into the contested interplay between annual reporting practices and accountability regimes. iv STATEMENT OF AUTHORSHIP Except where explicit reference is made in the text, this thesis contains no material published elsewhere or extracted in whole or in part from a thesis by which I have qualified for or been awarded another degree or diploma. No other person’s work has been relied upon or used without due acknowledgement in the main text and bibliography of the thesis. Signed: Signed: Dated: 11/11/2018 Dated: 12/12/2018 Jonathan Langton Dr Abdel Halabi CANDIDATE PRINCIPAL SUPERVISOR v vi ACKNOWLEDGEMENTS First and foremost, to the love of my life – my precious wife Kerry Anne. An amazing mum, friend, businesswoman, entrepreneur and fellow academic. A kindred-spirit, who has always believed in me, is a relentless support and someone I just love hanging out with … to much more of that in the future. To my precious family, who mean the world to me. Jontee, a gifted entrepreneur, film maker and loyal son – looking forward to catching many more waves together. Jossiah, a soul mate and fellow adventurer. Emily, a tenacious princess unstoppable in all aspects of life. Cody Maverick, a trailblazer who loves life and people … Mum (Anne) and Dad (Pastor Keith Langton), you have instilled in me a heritage that is beyond this world and a family legacy that I treasure … thank you. My second mum, Mary who provided a haven away from home. For the academic and professional guidance in seeing this PhD to completion. Professor Garry Carnegie, who started this journey with me as my undergraduate lecturer many years ago, never forgot a student’s name and was the inspiration behind the initial concept of this study and catalyst behind my transition from the corporate world to academia. Dr Abdel Halabi, who stepped in towards the end and provided invaluable advice to see this project to completion as my Principal supervisor. Professor Brian West, my Principal Supervisor up until the 11th hour, who epitomised the professionalism of ‘old school’ academia from a by-gone era and is a gentleman and a scholar of the highest calibre. My heartfelt thanks for sticking by for the entirety of this journey, even in retirement. vii Moira Drew, my contact and archivist at Australian Red Cross, who helped find records when all hope was lost. To my colleagues and friends at Federation Business School – merci beaucoup. In particular to Associate Professor Bob O’Shea who was a great support and confidant in his role as Executive Dean, and Associate Professor Jerry Courvisanos for his practical advice and encouragement as Associate Dean - Research. Jonathan Langton was supported by an Australian Government Research Training Plan (RTP) Fee-Offset Scholarship through Federation University Australia. A professional editor was used prior to the submission of this thesis in accordance with Federation University guidelines. viii DEDICATION To the fallen, those left behind, the generations that will follow and the One who oversees the matter … Ecclesiastes 3:8 ix x CONTENTS List of Figures xv List of Tables xvii List of Abbreviations xix Preface xxi CHAPTER ONE: INTRODUCTION 1 1.1 A scenario for investigation 3 1.2 Scope and purpose of the study 5 1.3 Methodology 6 1.4 Structure and outline of the thesis 7 CHAPTER TWO: LITERATURE REVIEW: ACCOUNTABILITY REGIMES, ANNUAL REPORTING AND HUMANITARIAN INGDOS 11 2.1 Perspectives on accountability 12 2.1.1 Disciplinary perspectives on accountability 12 2.1.2 INGDO accountability 17 2.1.3 Humanitarian accountability 21 2.1.4 Underlying frameworks - determinants of accountability 23 2.1.5 Summary 25 2.2 Annual reporting in the third sector 25 2.2.1 Origins – private and public sector reporting 26 2.2.2 The importance, relevance and usefulness of annual reports 29 2.2.3 Third sector reporting 33 2.2.4 Studies concerning the content of INGDO (humanitarian) annual reports 38 2.2.5 Summary 40 2.3 Summary and conclusions 40 2.3.1 Research issues and contributions 40 2.3.2 Research questions 42 CHAPTER THREE: CONTEXT – AUSTRALIAN RED CROSS AND HUMANITARIAN AID IN AUSTRALIA 45 3.1 Case context 45 3.1.1 International development and humanitarian aid in Australia 46 3.1.2 International nongovernmental organisations 48 3.1.3 Institutional setting 49 3.1.4 Temporal phases grounded in the wider social, political and economic context 50 3.1.5 Summary 53 xi 3.2 Case entity 54 3.2.1 Australian Red Cross 54 3.2.2 A global presence - the International Red Cross Red Crescent Movement 57 3.2.3 Summary 58 3.3 Discussion and summary 59 CHAPTER FOUR: RESEARCH METHODOLOGY 61 4.1 Epistemology 61 4.2 Theoretical perspective (research paradigm) 63 4.2.1 Critical Inquiry 63 4.2.2 Theoretical framework – Political Economy of Accounting 65 4.2.2.1 Introduction 65 4.2.2.2 Political Economy of Accounting 67 4.2.2.3 Justification for the use of Political Economy of Accounting 71 4.3 Methodology 73 4.3.1 Case studies 74 4.3.2 Case based accounting research 74 4.3.3 Historical case-based accounting research 76 4.3.4 Case study justification 77 4.3.5 Case study – Australian Red Cross 79 4.4 Research methods – Data collection and analysis 80 4.4.1 Qualitative method 80 4.4.2 Data collection – accessing the archive 81 4.4.3 Data analysis 84 4.4.4 Sample examination of annual reports 85 4.4.5 Content analysis 86 4.4.6 Application of content analysis to Australia Red Cross’s annual reports 87 4.4.7 Descriptive Narrative, Discussion and Analysis 91 4.5 Concluding Remarks 93 CHAPTER FIVE: DESCRIPTIVE NARRATIVE – PART I 95 5.1 WWI (1914 – 1920) 96 5.1.1 Layout, format and structure 96 5.1.2 Themes and emerging topics 97 5.1.3 Visual elements of content and discourse 106 5.1.4 Financial reports, disclosures and allied information 108 5.1.5 Summary 112 5.2 Inter-war period (1921 – 1939) 112 5.2.1 Layout, format and structure 113 5.2.2 Themes and emerging topics 115 5.2.3 Visual elements of content and discourse 123 5.2.4 Financial reports, disclosures and allied information 125 5.2.5 Summary 128 xii CHAPTER SIX: DESCRIPTIVE NARRATIVE – PART II 131 6.1 WWII (1940-1945) 131 6.1.1 Layout, format and structure 131 6.1.2 Themes and emerging topics 133 6.1.3 Visual elements of content and discourse 140 6.1.4 Financial reports, disclosures and allied information 142 6.1.5 Summary 146 6.2 Post-war reconstruction and regeneration (1946-1964) 146 6.2.1 Layout, format and structure 147 6.2.2 Themes and emerging topics 149 6.2.3 Visual elements of content and discourse 158 6.2.4 Financial reports, disclosures and allied information 160 6.2.5 Summary 164 CHAPTER SEVEN: DESCRIPTIVE NARRATIVE – PART III 167 7.1 Global focus – Domestic challenges (1965-1984) 167 7.1.1 Layout, format and structure 167 7.1.2 Themes and emerging topics 169 7.1.3 Visual Content and Discourse 175 7.1.4 Financial reports, disclosures and allied information 176 7.1.5 Summary 180 7.2 International development (1985-2000) 181 7.2.1 Layout, Format and Structure 181 7.2.2