How will AI text generation and processing impact sustainability reporting? Critical analysis, a conceptual framework, and avenues for future research

Purpose: The ability of generative AI tools such as ChatGPT to produce convincing, human-like text has major implications for the future of corporate reporting, including sustainability reporting. As the importance of sustainability reporting continues to grow, we critically analyse the benefits and pitfalls of automated text generation and processing.

Design/approach/methodology: We develop a conceptual framework to delineate the field, assess the implications, and form the basis for the generation of research questions. We use Alvesson and Deetz’s critical framework, considering insight (a review of literature and practice in the field), critique (consideration of the influences on the production and use of non-financial information, and the implications for assurers of such information) and transformative redefinition (considering the implications of generative AI for sustainability reporting and proposing a research agenda).

Findings: We highlight the implications of generative AI for sustainability accounting, reporting, assurance, and report usage, including the risk of AI facilitating greenwashing, and the importance of more research on the use of AI for these matters.

Originality: We critically analyse the potential use of AI for sustainability reporting, construct a conceptual framework to delineate the field, and develop a research agenda.