Non-Financial Reporting in Sustainable Production and Consumption Systems
Non-Financial Reporting (also known as Sustainability Reporting) is part of the new business paradigm of the 21st century – it looking at the business in a more holistic manner, taking into account not only financial performance, but also crucial environmental and social impacts.
Customers are becoming more interested in the sustainability practices of companies, while financial institutions are also focusing on their long-term Integrated Valuation methods. Non-Financial Reporting is a great way for companies to build their credibility through transparency, to mitigate risks and to create market value.
Global Reporting Initiative (GRI) have developed the GRI Standards aimed at facilitating investors, governments and civil society organizations a common understanding and grounds for a pertinent comparison across corporate performance, no matter the industry or business model. At the core of the reporting process lies the assessment of materiality, in other words, of what the company and its stakeholders believe to be the core sustainability impacts of a company. This is done through a process of stakeholder consultation – both within the company and outside it. The GRI reporting framework also integrates corporate social responsibility practices and procedures, with a company’s business strategy, as well as its risk management policy.
The challenge of Non-Financial Reporting work
Developing a non-financial report requires time investment from engaging with stakeholders, as well as gathering company KPI in materiality-relevant areas. Managing all these streams of data and integrating them in a coherent, easily communicable report can be a challenge for many stakeholders who have not gone through their first reporting cycle.
Our consultants, experienced professionals and certified in GRI Standards, can help you overcome these challenges.
How our Non-Financial Reporting Service help you
Our Non-Financial Reporting Services is specifically dedicated for companies to
> Demonstrate and communicate the sustainability impacts and competitive sustainability positioning of their company with their clients and financial institutions
> Reduce long-term sustainability risks for their business through a roadmap mitigation plan
Our approach to Non-Financial Reporting
The process of preparing a GRI Non-Financial Report entails:
- Stakeholder engagement process (examples of stakeholders include: investors, employees, public authorities, non-governmental organizations, sub-contractors);
- An analysis of risks and opportunities, as well as a materiality matrix;
- Agreement on the report content and material key performance indicators;
- Content development using company KPI in materiality areas;
- Assurance and service validation (GRI Reporting Services);
- Report launch, stakeholder validation
- Evaluation and preparation for the new reporting process.