The sustainability landscape is continuously evolving, and while having sustainability data assured used to be a “nice to have,” it is soon to become the standard for environmental, social and governance (ESG) reporting. Investors, regulators and other stakeholders, including customers and employees, are paying even more attention to organizations’ ESG disclosures and performance. At ISOS Group, we apply AccountAbility’s Assurance Standard, AA1000AS v3, which was specifically developed for assuring sustainability data. This standard applies system-level and metric-specific approaches to sustainability assurance. We walk through our approach and recommendations in this blog.
Congratulations to all of the organizations that reported on their sustainability performance, especially those that pursued external assurance of their data. ISOS Group is proud to have supported its largest number of clients through this assurance season and we appreciate your cooperation with us in an ever-evolving space.
In preparing for assurance in 2024, here are some things to consider…
As demands for more in-depth and detailed sustainability reporting continue to increase from investors, regulators and other key stakeholders, it is ever more apparent that companies benefit from identifying those topics that are most impactful, or material, to their business. At ISOS Group, we closely monitor trends and changes that alter the sustainability analysis and reporting landscape, including those that affect materiality assessments.
Companies are under pressure to reduce their greenhouse gas emissions and disclose environmental impacts throughout their value chain. Compliance with US and European legislation requires companies to report on their environmental and social metrics, including supply chain, operations, and distribution, and understanding reporting frameworks and standards can benefit companies by improving environmental sustainability management, reducing costs, and enhancing reputation.
In late September, The SEC published a sample letter to companies regarding climate change disclosure, specifically regarding Risk Factor and Management’s Discussion and Analysis (MD&A) disclosures.
