Providing one of the most widely used ESG frameworks in the world, the Global Reporting Initiative (GRI) is an independent international body that maintains the GRI standards. Their definition of an ESG reporting principle is:
“A concept that describes the outcomes a report is expected to achieve, and that guides decisions made throughout the reporting process around report content or quality.”
In other words, the principles are guidelines that enable companies and public agencies to guarantee that their ESG reports are reliable and acceptable within cooperating ESG frameworks. There are two subgroups of GRI reporting principles, one for defining report content and another for covering report quality.
Principles for report content include:
- Stakeholder Inclusiveness
- Sustainability Context
- Materiality
- Completeness
Principles governing report quality include:
- Accuracy
- Balance
- Clarity
- Comparability
- Reliability
- Timeliness
It’s possible to include each of these aspects in your company’s ESG reporting efforts with the help of dedicated experts retained on staff. However, because ESG frameworks vary across the board and are in a constant state of change, relying solely on human resources can lead to human error. This includes misinterpretation of data, accidental omissions, and inaccuracies.
Many companies have found that a more reliable, practical approach is to use ESG reporting software, such as Convene ESG. These systems incorporate a variety of tools and techniques which make it possible to identify and align relevant topics and aspects. Convene ESG reporting software produces error-free, lucid reports ready for submission to regulatory bodies and stakeholders alike, ensuring you meet the principles of ESG.
ESG Reporting Principles: Content
Two of the most challenging GRI reporting principles to adhere to are stakeholder inclusiveness and sustainability context. It can be difficult to present the relevant data to all stakeholders in such a way as to make the information both understandable and accurately placed within the broader context of sustainability.
ESG reporting software suites like Convene ESG address this concern by incorporating tools to construct simple narratives that accompany and explain quantitative data. For example, ESG reporting software will translate raw data into easy-to-read graphs and explanatory statements to help readers quickly grasp the most pertinent points in annual or periodic reports.
Reporting software can also enumerate and map out the material topics relevant to your company. This feature will make it easier to drive compelling sustainability insights and narratives with accurate and complete data. The software translates topical data to the frameworks in which you’re working and will reduce the risk of missing major materiality topics.
As a result, reports produced through ESG software will satisfy the requirements of all regulatory agencies and keep investors, employees, and the public apprised of efforts to maintain and build on company-wide sustainability.
ESG Reporting Principles: Report Quality
ESG report quality principles serve as a guideline to ensure data is presented appropriately and accurately.
To that end, accuracy and balance are among the most important factors to consider. Balance, in this context, refers to presenting both negative and positive aspects of a company’s ESG reporting in order to create an accurate assessment of overall performance.
Collaborative ESG reporting platforms allow a variety of individuals and entities to submit evidence to support data validation. This makes it possible to collect information from a wide assortment of sources with minimal manual effort and to ensure the highest possible level of accuracy in finished reports.
A related ESG principle is clarity, or making compiled data understandable to the widest number of stakeholders possible. Unlike time-consuming and resource-intensive human data processing, ESG software makes it possible to translate information into easily-understood graphs, tables, and dashboards and to distribute them quickly and dependably to all stakeholders.
Furthermore, inputting ESG reporting data into a comprehensive software platform can significantly reduce the amount of effort and investment involved in upholding the comparability and reliability elements of the sustainability reporting principles. Instead of relying on paper files and individual digital documents, you can centralise data in a single reliable system to:
- Monitor ESG performance in real-time, providing the flexibility to achieve sustainability targets;
- Track industry-wide and company-specific trends;
- Measure your performance against your competitors;
- And quickly recall preceding information for reporting and setting new sustainability goals.
All your ESG Reporting Requirements. One All-Inclusive Software.
Ready to take the next step in adopting and upholding key reporting principles? Then request a demo of Convene ESG today. This full-service ESG software suite is tailored to satisfy every requirement in the world’s most widely used reporting frameworks.
Visit this page to request a free demo today, and find out more about how Convene ESG can help you uphold the GRI reporting principles for standout reports.
