Introduction
In the evolving landscape of corporate sustainability, the double materiality assessment has become a cornerstone for companies aiming to align with the Corporate Sustainability Reporting Directive (CSRD). This guide will walk you through the process of conducting a double materiality assessment with Greenly, emphasizing the features, benefits, and steps involved. By the end of this article, you'll understand how Greenly's comprehensive approach can save time, enhance reporting accuracy, and support your company in meeting CSRD requirements effectively.
1. Understanding Double Materiality
What is Double Materiality?
Double materiality is a regulatory requirement that obliges companies to assess and report on both financial materiality and impact materiality. Financial materiality focuses on how environmental and social factors affect the company's financial performance, while impact materiality looks at the company's impact on the environment and society.
2. The Greenly Approach to Double Materiality
Key Features of Greenly’s Double Materiality CSRD Offer
Comprehensive Framework: Greenly provides a structured approach to assess both impact and financial materiality, aligned with the European Financial Reporting Advisory Group (EFRAG) standards.
User-Friendly Platform: The platform is designed to be accessible and easy to use, involving various stakeholders within the company to provide high-level and qualitative information through dedicated forms.
Expert Support: Greenly’s team offers expert support throughout the process, from initial training to result analysis.
Regulatory Compliance: Ensures full compliance with European Sustainability Reporting Standards (ESRS), facilitating the determination of what data points must be collected for your CSRD report.
3. Steps in Conducting a Double Materiality Assessment with Greenly
Step 1: Onboarding and Training
The process begins with a comprehensive onboarding session, where Greenly’s experts provide training on the CSRD framework and the principles of double materiality. This step ensures all key stakeholders understand the goals and requirements of the assessment.
Step 2: Double Materiality Forms
Greenly’s platform guides you through filling out double materiality forms for each Environmental, Social, and Governance (ESG) topic. Each form includes questions tailored to assess both impact and financial materiality, ensuring comprehensive coverage of all relevant sustainability matters.
Step 3: Validation and Materiality Scoring
Once the forms are completed, Greenly’s team validates the data and calculates materiality scores using a proprietary scoring system. This step confirms the most critical ESG topics that need to be included in your CSRD report.
Step 4: Double Materiality Report
Finally, Greenly compiles the results into a comprehensive report, including a materiality matrix that visually represents the significance of each ESG topic. This report is designed to meet CSRD requirements and can be easily integrated into your company’s sustainability disclosures.
Conclusion
Conducting a double materiality assessment is a critical step for companies aiming to align with CSRD standards and demonstrate their commitment to sustainability. Greenly’s robust framework and expert support make this process efficient and effective, helping companies save time, enhance reporting accuracy, and build stakeholder trust. By leveraging Greenly’s tools and expertise, your company can navigate the complexities of double materiality assessments with confidence and clarity.