Best Practices for Reporting on Sustainability Progress

Sustainability Reporting 🌍 Sustainability reporting is evolving from a compliance-driven exercise into a strategic tool for decision-making and long-term value creation. A well-structured approach ensures that reporting is not just about disclosure but about driving measurable impact. Defining the purpose and scope is essential to establishing credibility. Aligning with leading frameworks and setting clear objectives ensures that reporting serves both regulatory requirements and business strategy. Stakeholder engagement is more than a formality—it is a critical input for identifying risks, opportunities, and material sustainability issues. Proactive dialogue with key stakeholders strengthens both relevance and accountability. Materiality assessments should go beyond traditional risk mapping. A dynamic, double-materiality perspective helps organizations understand not only how sustainability issues impact business performance but also how business activities affect society and the environment. Metrics and indicators must be both quantifiable and decision-useful. Aligning with frameworks such as ISSB ensures that sustainability data is integrated with financial reporting, improving comparability and investor confidence. Data integrity is non-negotiable. Establishing rigorous collection and validation processes enhances accuracy, reduces greenwashing risks, and strengthens the foundation for credible reporting and informed decision-making. Analyzing results is about more than tracking progress. Benchmarking against industry peers, setting science-based targets, and embedding insights into corporate strategy transform reporting into a driver of continuous improvement. A sustainability report should not be an endpoint but a catalyst for action. Integrating findings into core operations, governance, and investment decisions ensures that sustainability commitments translate into real-world impact. #sustainability #sustainable #business #esg #climatechange #reporting

A high-quality #Sustainability report is one that adheres to recognized #standards, enhancing comparability across companies. It should clearly define its scope, covering operational activities or the entire #valuechain, and specify the standards followed, including any external #assurance. Crucially, it should articulate the reasons behind the selection of #material issues for reporting, how the company is managing these issues, and its performance over time. This approach demonstrates commitment and provides insight into the company's progress and areas for improvement. Additionally, including performance relative to set targets offers valuable insight into whether the company is on course to meet its objectives. Releasing sustainability reports in tandem with #financial statements, reflecting the same reporting period, underscores the interconnectedness of financial and #ESG performance, offering a comprehensive view of the company's overall health and strategic direction.

Most teams misuse sustainability frameworks without understanding them. I have noticed a trend across many sustainability teams. Everyone is always doing the same things: - Copying old reports without context - Using frameworks as checklists - Reporting numbers without real meaning But why follow a pattern that brings no clarity. Deep understanding always creates stronger and more honest reporting. Here is why each framework matters and what great teams actually do: 1. GRI – The impact clarity framework - Companies understand their real impact on people and planet. - Reports become transparent, structured, and trusted. 2. IFRS S1 & S2 – The financial connection framework Shows how climate and sustainability shape financial results. Helps investors understand risks and long-term performance. 3. TCFD – The climate strategy framework Explains climate risks affecting business operations. Helps leaders build resilient long-term plans. 4. SASB – The industry-specific framework Focuses ESG reporting on what truly matters financially. Allows fair comparison across companies in the same sector. 5. UN SDGs – The global purpose framework Links company actions to goals people understand. Helps show contribution to global development. 6. UN Global Compact – The ethics framework Demonstrates commitment to human rights and integrity. Builds stakeholder confidence in responsible practices. 7. CDP – The credibility framework Provides trusted climate and water disclosure data. Required by many global supply chains. 8. SBTi – The science alignment framework Ensures climate targets match scientific pathways. Proves real, measurable commitment to emissions reduction. 9. TNFD – The nature risk framework Helps assess impacts on land, water, and biodiversity. Supports better planning for nature-related risks. 10. CSRD / ESRS – The compliance framework Required for companies active in EU markets. Sets the world’s highest standard for structured reporting. Great sustainability teams: - Understand frameworks, not just reference them - Apply them with purpose, not box-ticking - Use them to tell a clear and honest story Clear understanding builds trust, drives action, and makes reporting real. #sustainability #esg #sustainabilityreporting #gri #issb #ifrs #tcfd #sasb #ungc #sdgs #cdp #sbti #tnfd #csrd #esrs #impact #transparency #climaterisk #businessstrategy #sustainablegrowth

📢 𝗣𝗦𝗜: 𝗣𝗿𝗮𝗰𝘁𝗶𝗰𝗮𝗹 𝗦𝘂𝘀𝘁𝗮𝗶𝗻𝗮𝗯𝗶𝗹𝗶𝘁𝘆 𝗜𝗻𝘀𝗶𝗴𝗵𝘁𝘀:  𝙍𝙚𝙜𝙪𝙡𝙖𝙩𝙤𝙧𝙮 𝙘𝙚𝙧𝙩𝙖𝙞𝙣𝙩𝙮 𝙘𝙖𝙣 𝙙𝙧𝙞𝙫𝙚 𝙘𝙤𝙣𝙛𝙞𝙙𝙚𝙣𝙘𝙚. On July 3, 2026, the European Commission (EC) finalized two delegated acts (DAs) that revise the European Sustainability Reporting Standards (ESRS) and establish a voluntary reporting standard. This 𝘏𝘦𝘢𝘥𝘴 𝘜𝘱 https://lnkd.in/gcNUJsY9 discusses these DAs as well as other recent legislative developments related to the proposed omnibus legislation. 𝙒𝙝𝙖𝙩 𝙣𝙤𝙬? With these important developments, in addition to a number of other reporting requirements with differing timelines, U.S. entities can consider the following: 🌍Reevaluate whether E.U. subsidiaries and groups are still within the scope of the CSRD and EUT and the related reporting deadlines. 🌍Reassess conclusions regarding enterprise-level reporting — Entities that do not have E.U. subsidiaries with a CSRD reporting obligation at the subsidiary level (Article 19a & 29a) may still have an enterprise-level reporting requirement (Article 40a). 🌍Reevaluate global reporting strategy — Entities should evaluate how E.U. reporting efforts may align with other jurisdictional or voluntary frameworks. This approach can promote consistency, comparability, and efficiency across sustainability disclosures. 🌍Assess the revised ESRS — Entities should consider how the revised ESRS may affect past, current, and planned future readiness efforts. For example: ✍Consider the revised double materiality assessment top-down guidance to determine the entity’s approach to reporting and compliance readiness, whether for voluntary or regulatory disclosures. ✍Assess the potential effects of the emphasis on the fair presentation framework and materiality as an overall filter of information. ✍Consider engaging an assurance provider to identify potential gaps in processes, evidence, and documentation through a readiness engagement in advance of required assurance. 🌍Monitor the development of the ESRS-TC — Entities that plan to report at the enterprise level in accordance with Article 40a should monitor the development of the EFRAG third-country standards. 🌍Develop plans for voluntary reporting — Entities that are no longer required to report under the CSRD may wish to consider implementing the voluntary reporting standards to respond to value chain partners that are required to report under the CSRD. 🌍Develop an approach for EUT reporting — Entities reporting on the 2025 financial year should consider the option to apply amendments starting from the 2025 or 2026 financial year. Those that are still preparing for their first year of EUT reporting should assess requirements under the amended EUT. 🌍Increase internal capacity and awareness — Entities should communicate how the changes to the CSRD, EUT, ESRS, and CSDDD could affect planned actions and the responsibilities of internal stakeholders, executives, and the board of directors.

If you are going to say sustainability matters to your company, do it right or don't do it at all. Based on our time in the trenches working with companies to help them be sustainable, here are some tips we suggest sustaina-curious companies follow: 👍 DO focus on what matters to you. What aspects are most important to you: energy efficiency, waste reduction, or supply chain sustainability? 👍 DO use data-driven metrics. Establish goals based on measurable data and quantitative key performance indicators. 👍 DO try to align with global frameworks like the global reporting initiative (GRI), SASB, or the UN’s sustainable development goals (SGDs). 👍 Do meaningfully and sincerely involve your stakeholders—employees, investors, customers, and the community—in your sustainability journey. 👍 DO be honest about both your successes and areas needing improvement in your reporting. Highlight case studies but also be transparent about where you are falling short and what you're doing to improve. 5 don'ts: 👎 DON'T greenwash by exaggerating your sustainability achievements or using misleading claims. If you inflate your progress without backing it with data, you risk losing credibility. 👎 DON'T make sustainability only a PR exercise.  The goal of a sustainability report is transparency and accountability, not just marketing. 👎 DON'T cram your report with jargon. Make sure non-experts can understand your goals and progress. 👎 DON'T ignore bad news. Acknowledge the areas where your company has room for growth and improvement. 👎 DON'T forget to set clear goals for the future. Without outlining a roadmap for the future, you may lack long-term credibility. This list is by no means exhaustive but rules of thumb. Anything you'd add, Marc Ross Steven Fish Jake Mitchell, Master of Environmental Management Emily Backus Nathan Kerns Michael Markarian Kevin Bernard Gretchen Schimelpfenig, PE Juan Argüelles Ortiz Laura Brenner Kimes Lynn Ricci Margeaux Bruner, M.S., POPM Tara Gupta Annie Davis Khadijah Tribble Brad Peirce Harry Etra? #sustainability #ESG #CSR #reporting #transparency #governance

For those in my network working on Sustainability reporting: You know the feeling. We are already deep in the data for the 2026 cycle. Today, we’re releasing the AI Playbook for Sustainability reporting to hopefully make it a bit easier. At Google, we know that high-quality data is the foundation of high-impact climate action. But we also know the workload is immense. This playbook shares actual step changes you can implement right now like data validation, claims verification, and accessibility. By sharing these tools, we hope you and your teams can spend less time wrangling data and more time acting on it. Take a look here: https://goo.gle/3YAtDLS I’d also love to hear other ways that you and your teams are using AI for sustainability reporting. Share what you’ve learned in the comments, and I’ll make sure to share it back with our team. 👇

When it comes to sustainability reporting, the landscape can seem overwhelming with multiple frameworks and standards available. This comparison chart highlights the key features of major sustainability disclosure frameworks like 𝐆𝐑𝐈, 𝐄𝐒𝐑𝐒, 𝐈𝐒𝐒𝐁, 𝐒𝐀𝐒𝐁, 𝐓𝐂𝐅𝐃, and the Integrated Reporting Framework—each with its unique scope, focus, and application. 𝐊𝐞𝐲 𝐇𝐢𝐠𝐡𝐥𝐢𝐠𝐡𝐭𝐬: 𝐀𝐩𝐩𝐥𝐢𝐜𝐚𝐛𝐢𝐥𝐢𝐭𝐲 𝐚𝐧𝐝 𝐀𝐮𝐝𝐢𝐞𝐧𝐜𝐞: GRI and ESRS: Broadly cover stakeholders, focusing on economic, environmental, and social impacts. ISSB, SASB, and TCFD: Cater more to investors, emphasizing financial materiality and decision-useful data. 𝐌𝐚𝐭𝐞𝐫𝐢𝐚𝐥𝐢𝐭𝐲 𝐅𝐨𝐜𝐮𝐬: GRI and ESRS embrace double materiality (financial + impact materiality), addressing both the financial performance and societal impact of organizations. ISSB, SASB, and TCFD primarily focus on financial materiality, aligning closely with the needs of investors. 𝐂𝐨𝐯𝐞𝐫𝐚𝐠𝐞 𝐚𝐧𝐝 𝐒𝐜𝐨𝐩𝐞: Frameworks like GRI and ISSB are globally applicable, while ESRS is EU-focused, reflecting regional compliance needs for large companies and listed SMEs. While GRI and ESRS are expansive, covering everything from social to governance impacts, TCFD and SASB emphasize climate-related risks and sector-specific insights. Choosing the right framework depends on your organization’s goals: - GRI and ESRS: Ideal for businesses aiming for holistic stakeholder engagement and broader transparency. - ISSB, SASB, and TCFD: Best for organizations targeting investor confidence and financial markets. Sustainability reporting is not just a regulatory requirement; it's an opportunity to build trust, demonstrate accountability, and align with global best practices. By understanding the nuances of these frameworks, businesses can tailor their strategies to resonate with their key audiences while addressing the world's most pressing challenges. #Sustainability #ESG #Reporting #Corporate #Transparency #Frameworks #Materiality #ClimateAction

Thinking about starting your first ESG reporting exercise, or updating an existing one? Here are the steps many teams wish they had clarified before they began. Before you draft or refresh your ESG report, make sure these five foundations are in place. 1️⃣ Know your purpose Who is this report for? Investors, regulators, employees, lenders, tenants, or peers. Your purpose drives what you disclose, how you communicate it, and where it lives. Even mature programs benefit from resetting the purpose before adding another page. 2️⃣  Identify material topics Materiality defines what truly matters to your business and stakeholders. Without it, reports turn into unfocused checklists. 3️⃣ Engage stakeholders Confirm who your stakeholders are today and what they expect to see. When refreshing a report, start this process again. Priorities shift quickly. 4️⃣ Prepare resources and expertise Ensure the right subject matter experts and internal owners are identified before data collection begins. 5️⃣ Gather reliable data Strong reporting depends on credible data. Weak inputs produce weak disclosures. Once these pieces are in place, you can move into reporting and align with a relevant framework such as GRI, the most widely used standard for annual sustainability reporting. We now offer tailored Workforce ESG and Sustainability Education to help organizations engage and upskill their teams at scale. Learn more at https://lnkd.in/gc-3i7We #ESGReporting #Sustainability #CorporateLeadership #Materiality #StakeholderEngagement