If you have a business out there, your targeted stakeholders, be they clients or investors, are not just interested in buying the products from the production line. Instead, they want to be associated with companies that are responsible, which means doing more to help the planet become a better place for all. Now, even the regulatory bodies have joined in and are demanding that companies must operate responsibly. In the EU, the Taxonomy regulation opened a new chapter of focusing on sustainability by helping stakeholders to easily review companies and determine if they are sustainable.
In other jurisdictions, such as the United States, Australia, Hong Kong, and Africa, the trend is the same: you need to adopt sustainability reporting. However, the process of sustainability can be challenging, especially to those who are just getting started. Even for large companies, the process often turns out challenging because the managers have a lot of things to handle for their enterprises. Since it is a crucial process for your business success, here are some useful considerations that you can use to make it simpler.
Select an Appropriate Sustainability Reporting Framework
The first step of making ESG sustainability reporting easy is to understand the guiding principles. These are the building pillars that ensure your ultimate report is useful and will have the intended impacts. The most important of these are materiality, accuracy, and verifiability. In addition, you need to identify the right framework to guide you and develop reports that are easy to use. Some of the top frameworks include:
● Global Reporting Initiative (GRI) Reporting.
● The Sustainability Accounting Standards Board (SASB) Framework.
● The Task Force on Climate-related Financial Disclosures (TCFD).
● Carbon Disclosure Project (CDP).
● Streamlined Energy and Carbon Reporting (SERC).
Work with a Sustainability Reporting Consultant
Once you have selected the right ESG sustainability reporting framework and clearly understand the process, it is time to get down to implementation. If you find it challenging to follow the process, it will be an excellent idea to bring on board a consultant. These are professionals with years of experience helping other brands achieve their sustainability goals. They help you to further appreciate sustainability and adopt the right strategies to make reporting work.
You can count on the sustainability reporting experts to help with company operations review, materiality assessment, and analysis. Ultimately, your business will be assured of getting a report that will make your stakeholders want to be associated with you.
Have the Right Sustainability Reporting Software
Another crucial item to help make sustainability reporting easy is the program you use. If you opt to do the whole process manually, there is a risk of getting it wrong because of the different parameters that are involved. For example, you might be tracking the company’s efforts on cutting down emissions, waste minimization, and support for social justice. Instead of doing a complex job manually or using standard programs, the best method is selecting good sustainability reporting software.
ESG reporting programs are developed to support courses for sustainability in companies. The best part of it is that you can automate the process of data collection and achieve high levels of accuracy in line with sustainability reporting principles. A good sustainability reporting program also allows you to automate the process, making it easy for you to pull out relevant information from the management system. Indeed, you can even create regular reports to assess progress and enhance verifiability.
Sustainability reporting has become the new tool that companies are using to redefine their operations and march to success. It creates a new way of thinking, helping companies to engage with their stakeholders and strengthening their brands. Although it can be challenging, you can simplify the process and avoid greenwashing by using the recommendations provided in this post. Visit Diginex.com to learn more about sustainability reporting and get the best app!
