In the realm of sustainability, the Corporate Sustainability Reporting Directive (CSRD) and European Sustainability Reporting Standards (ESRS) are currently at the forefront of discussions among professionals. These new mandates require EU-based companies to adopt comprehensive reporting protocols, adhering to the European Financial Reporting Advisory Group’s (EFRAG) stringent guidelines. This shift has propelled the need for robust solutions to achieve compliance seamlessly.
Enter Position Green, a pioneering force in the FinTech sector, offering a software solution engineered specifically for the ESRS framework. This tool, infused with the knowledge of seasoned sustainability advisors, promises to streamline the compliance journey. Felicia Gustafsson, Group Product Manager, alongside Olivia Krall, Manager and Sustainability Advisor, highlight the deliberate decisions shaping this innovative product.
At the core of Position Green’s offering is the double materiality assessment feature, a critical element for ESRS compliance. This functionality aids businesses in documenting crucial sustainability concerns and reporting obligations. It ensures a hassle-free integration of material disclosures into a company’s reporting framework, all the while preparing them for the mandatory assurance procedures with comprehensive documentation and traceability. The result? A smoother annual review and adjustment process for material topics and disclosures.
The development of this feature was methodical, grounded in the specifications of ESRS 1 and the recommendations of EFRAG. Position Green’s software ensures complete compliance through mandatory input fields, while also offering flexibility with optional fields that draw from the company’s advisory expertise. This approach ensures that companies report on all essential matters, backed by best practices.
An innovative aspect of the software is its embedded impact materiality scoring system, based on internationally recognized frameworks like the UN Guiding Principles for Businesses and Human Rights and the OECD Guidelines for Multinational Enterprises. This scoring mechanism evaluates the severity of impacts on a scale, considering their scope, remediability, and likelihood. It’s a testament to Position Green’s commitment to integrating human rights due diligence into their platform.
Furthermore, the software includes a financial materiality scoring methodology, aligning with ESRS mandates and incorporating Position Green’s advisory insights. This evaluates the potential financial impact of sustainability matters, factoring in their size and the likelihood of occurrence. Such a comprehensive scoring system ensures that companies can prioritize issues effectively, enhancing their sustainability reporting.
Position Green’s software stands as a beacon of assurance in the ESRS compliance landscape. Its development, anchored in ESRS and EFRAG guidelines, has received the nod of approval from certified auditors. By leveraging this double materiality assessment tool, companies are well-equipped to fulfill their reporting obligations confidently.
For those eager to enhance their ESRS reporting capabilities, Position Green extends an invitation to discover their software’s full potential. With no obligations attached, interested parties can contact the team for a demo, showcasing how Position Green can elevate their sustainability reporting practices.
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