Sustainability Reporting:

Principles and Practices

Group 7

Yatharth Meena - 205

Lakshya Chandrakar - 374
Himanshu Tiwari - 327
Pranav Salhan - 346
Sambhav Shakya - 487
Aakash Shah - 383
Akef Bilal - 385
Janvi - 329
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Introduction to Sustainability Reporting

• Disclosing environmental, social, and governance (ESG) impacts of an organization's activities

• Measuring and reporting metrics on:
- Environmental footprint
- Social impacts
- Governance & ethics
• Importance
-Provides transparency into impacts on societal sustainability
-Supports stakeholder decision-making
-Signals commitment to sustainable development
-Embeds sustainability into strategy and culture
-Meets demands for credible ESG performance data
Why Sustainability Reporting Matters?
• Helps businesses identify and communicate impact on pressing
environmental and social challenges

• Crucial for:
- Risk management
- Investor communication
- Business strategy alignment with sustainable development goals
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History and Evolution

1990s
- Beginnings in voluntary
environmental reporting
- Focus on environmental data
like emissions, resource usage,
pollution
Early 2000s
- Corporate social responsibility
reporting emerges
- Expands scope to employee
relations, community impact
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2010s
- Integrated reporting combining
financial and CSR data
- Links sustainability with
business value creation

Today
- Comprehensive ESG reporting framework
- Wide range of interconnected issues
- Environmental: climate change, nature loss
- Social: human rights, inclusion, equity
- Governance: ethics, accountability,
transparency

Key Frameworks and Standards
Global Reporting Initiative (GRI)
- Most widely adopted global standards
- Cover environmental, social, and economic issues
- Can be classified as Universal, Sector and Topic
Standards.
6
Sustainability Accounting Standards Board (SASB)
- Focuses on financially material sustainability factors
- Tailored to 77 industries for their sustainability related issues
- On an average each standard has 6 disclosure topics and 13
metrics.
- Can be easily used with other standards.

Key Frameworks and Standards
Task Force on Climate-related Financial
Disclosures (TCFD)
- Established by financial Stability Board
- Address business risks and opportunities from climate
change’s point of view
- Provide recommendations across 4 key areas- Governance,
Strategy, Risk Management and Metrics & Targets
7
Principles for responsible investments (PRI)
- United Nations-backed PRI advocates ESG factors in global
investments.
- PRI aids investors in ESG integration for improved returns
and risk management, without profit motive
- Consists of 6 priciples
 Step-by-Step Guide to Creating a Report 8

Dissemination and
Feedback
Verification
and
Assurance Drafting the
Report Data Collection
and Analysis
Materiality
Assessment
Planning and
Stakeholder
Engagement
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Challenges in Sustainability Reporting

Transparency
Vs Stakeholder Demonstrating
Competitiveness Engagement Progress

Evolving Resource
Data Accuracy Regulations Intensity

01 02 03 04 05 06

Case Studies
• Microsoft shows innovation through its Microsoft
Sustainability Calculator data visualization platform that
tracks progress towards carbon, water, waste and
ecosystem goals. The dashboard visually maps out
sustainability metrics across its operations and supply
chain. This enables enhanced transparency for
stakeholders while demonstrating commitment through
data-driven insights.
• Unilever demonstrates effective stakeholder
engagement through its Unilever Sustainable Living Plan
Advisory Panel that provides input on material
sustainability topics to cover in its reporting. The panel
includes external experts like NGOs, civil society groups
and academics that advise Unilever leadership. This
ensures its reporting addresses diverse stakeholder
concerns and evolving sustainability contexts.
• Procter & Gamble offers robust verification through
10
detailed account assurance processes conducted by
independent external assessors. Its 2022 report attained
third-party validation across key metrics like greenhouse
gas emissions, water usage and waste disposal to verify
data accuracy. The company also pursuits constructive
feedback on improving disclosure through avenues like
its annual stakeholder panel event.
In this way, companies like Microsoft, Unilever and P&G
showcase leading practices in innovation, stakeholder
inclusivity and rigorous assurance that strengthen
sustainability reporting effectiveness.
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The Future of Sustainability Reporting

Greater integration Leveraging AI and Stronger focus on Overall more Enhanced

with financial data analysis climate-related mandatory regulation comparability and
reporting technologies disclosures decision usefulness

• Connecting ESG • Automating data • Aligned with TCFD • EU rules coming into • Harmonized metrics and
performance with business collection from disparate recommendations effect in 2024 consistent methodologies
value and risk systems • Scenario planning for low- • Global baseline of • Linkage to UN Sustainable
• Mainstreaming non- • Sophisticated contextual carbon transition sustainability reporting Development Goals
financial factors into insights from big data • Climate risks and standards
investor decisions analytics opportunities portfolio
analysis
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Conclusion
Drives long-term sustainability
• Embeds ESG factors into business strategy and culture
• Catalyzes improvements on material issues
Enables innovation
• Identifies sustainability challenges as innovation
opportunities
• Creative solutions for products, services and business
models
• Signals transparency and commitment to stakeholders
• Manages risks and reputation effectively
Requires continual refinement
• Regularly review reporting focus areas
• Adapt to emergent sustainability context
• Leverage latest standards and technologies
Fundamentally integrates sustainability performance with
business value

Builds stakeholder trust

THANK YOU !!!