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The organizations that comprise the infamous alphabet soup of reporting frameworks and standards each provide their own approach to the reporting of sustainable valuecreation and disclosure of climate-related risks, which makes deciding what reporting-related certification to pursue incredibly difficult.
Among the reasons suggested by the study of companies’ plans to meet the challenging CSRD reporting requirements were the widespread perception of benefits that can be derived from improved ESG reporting. Similarly, 88% said that integrated financial and ESG reporting will have a positive impact on long-term valuecreation.
Besides, Danone’s CEO stepped down after investors blamed him for failing to balance shareholder valuecreation and sustainability. The recently published Integrated Thinking Principles Prototype presents a philosophy focused on valuecreation overtime for the enterprise and its key stakeholders.
“Further enhancing and evolving the SASB standards will be a priority for the ISSB, as embedding the industry-based approach in the work of the ISSB is essential to delivering standards that support investors’ assessments of enterprise value across a broad range of sustainability issues,” said Emmanuel Faber, ISSB Chair. .
Consolidated ESG standards: Recently, four leading ESG standards organizations — GRI, the Sustainability Accounting Standards Board (SASB); CDP (formerly the Carbon Disclosure Project); the Carbon Disclosure Standards Board (CDSB); and the International IntegratedReporting Council (IIRC) — declared their intent to collaborate.
The standards build on the previous work of the Climate Disclosure Standards Board (CDSB), the Task Force for Climate-related Financial Disclosures (TCFD), the ValueReporting Foundation’s IntegratedReporting Framework, industry-based SASB Standards and the World Economic Forum’s Stakeholder Capitalism Metrics.
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