Structuring and Organizing Financial Reporting Governance Using Metamodeling Approach

Financial Reporting Governance (FRG) encompasses the processes that ensure financial reporting is accurate, transparent, and compliant with regulations. A variety of models, policies, procedures, frameworks, and processes have been established to organize, manage, structure, share, and reuse knowledge within the FRG domain from multiple perspectives. However, these existing works are often tailored to specific scenarios, leading to a lack of a unified abstract model that organizes and structures FRG domain knowledge comprehensively. This paper aims to create a novel high-level abstract model for FRG domain knowledge, employing Model Driven Engineering (MDE) and metamodeling, which we refer to as the Financial Reporting Governance Model (FRGM). The FRGM comprises ten abstract components: corporate governance structures, auditing and financial controls, compliance and regulatory framework, transparency and accountability, risk management, stakeholder engagement and communication, performance measurement and financial reporting, cultural and ethical considerations, technology and innovation training and development. Each of these components represents a semantic knowledge area, complete with definitions, relationships, attributes, and operations. The capabilities and effectiveness of the FRGM are validated through vertical transformation, ensuring that solution models derived from the FRGM are practical and relevant. Ultimately, the FRGM addresses issues of heterogeneity and interoperability within the FRG domain.