Navigating ESG Reporting:
How to ensure reliable reporting?
Listed and large companies are preparing themselves for reliable reporting on environmental, social and governance (ESG) matters following the EU’s Corporate Sustainability Reporting Directive (CSRD). Although most companies already reported in some way on sustainability by reference to a variety of frameworks and standards, the CSRD aims to improve the quality and consistency of this reporting and requires compliance thereof.
But how does your company ensure that ESG reporting is complete, accurate and ready for disclosure? Let’s explain by an example.
The example for reliable reporting
Imagine you are a project team member involved in the implementation of ESG. Being such a team member, your first step will be to understand the CSRD and the associated European Sustainability Reporting Standards (ESRS). Following, you will identify the ESG issues that are most relevant to your business and stakeholders and explain the related impact your company has on people and the environment.
Subsequently, the crucial task of setting clear ESG goals and targets (key performance indicators or kpi’s) , aligning them seamlessly with your company’s overall strategy and stakeholders’ expectations. For your company, this may look like the following:
Reliabel reporting and collection data
By setting kpi’s, your company will have to gather the data to be able to report and disclose this to your stakeholders. This may involve collecting data internally from various business units and departments, as well as from external sources such as suppliers and customers. This data collection of course requires an adequate accounting system to effectively manage and track ESG data across the organisation.
In addition, the collection of data requires setting clear and unambiguous policies, procedures, instructions and definitions, which are easily accessible and periodically updated to reflect recent developments in the area of ESG accounting and reporting. Do you already have a strategic plan in place to effectively navigate this process and achieve reliable reporting on ESG?
Reliable Reporting and the Fidugius solution
Most of our clients that already make use of the Fidugius Accounting & Reporting Manual for their financial accounting and reporting processes decided to also use our solution to communicate on their ESG accounting and reporting requirements.
They recognise the importance of a solution that is easy to maintain, provides a clear structure, has a strong Q&A and allows users with multiple ways to actively participate in setting the keeping the content accurate, complete and up-to-date. But most importantly, it supports reliable reporting!
Finally, about reliable reporting
For years, our customers benefited of our solution for their financial accounting and reporting by means of an efficient closing process and consistency in their reporting ensuring accurate and timely reporting. We have now tailored our solution to also facilitate ESG accounting and reporting. Interested to learn how your company can benefit from our solution, please reach out to us and we are happy to tell you more how to achieve reliable reporting.
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