Sustainability reporting is a new trend in the business world that benefits everyone. It has grown so much that there are now organisations such as the GRI and the Global Reporting Initiatives that offer sustainability reporting frameworks and certification programmes for companies.
Is this a requirement?
Managers must now communicate within a socially responsible decision-making framework. From this perspective, all decisions and impacts (positive and negative) that affect any or all of the company’s stakeholders must be taken into account and reported in the company’s performance reports.
What is the purpose of reporting?
Reporting has become a “strong indicator” for companies with a long-standing commitment to good governance and social and environmental economy activities. In situations where human-nature conflicts, rapid urbanisation and environmental sustainability clash, companies can play a challenging and responsible role by adopting a mature and conservative attitude to the way the world works. At the same time, they achieve high levels of success and satisfaction when their reports clearly show that they have achieved high environmental preservation goals.
Why benefit from Sustainability Reporting
There are many reasons why companies should go benefit from a sustainability reporting (see also on this website), but we will focus on some of them to give you the full picture and the opportunities it offers!
– To protect the company’s reputation and brand
– To increase business opportunities by creating a sustainable product or service that will last over time.
– Because there is now legislation requiring it: we are required in more and more countries (such as Canada, France, etc.) to introduce legislation requiring companies to report on their environmental performance
– To ensure the accuracy of the financial valuation of company assets
But also :
- To be able to attract new investors and capital
- To stay ahead of environmental regulatory requirements
- Better risk management
- To be able to receive real value and better terms from the financial sector
- Contribute to the reputation and trust of customers and business partners in their company
- Improve staff retention and motivation by inviting them to take an interest in the initiative
- Be able to identify your development strengths and weaknesses
- Gain a competitive advantage over other companies that are less involved.
- We could go on, but you get the idea! There are many reasons to report on sustainability.
What are the other benefits to the company?
Another aspect of sustainability reporting is that it not only provides companies with statistics on their initiatives, but also information relevant to the non-profit or non-governmental organisations associated with these initiatives. It provides a better understanding of the indicators that influence the final sustainability outcome and is an excellent tool for knowledge sharing and analysis.
This kind of initiative benefits everyone and not only improves visibility of the means of production, but also enables one’s company to become a strong link in sustainable development in line with increased productivity
And the best part is that it doesn’t take much time, effort or money! In fact, it can be quite beneficial for your company and for its future in a more responsible and well managed world!