What is ESG reporting?
ESG stands for Environmental, Social, and Governance, and ESG reporting is defined as “the disclosure of environmental, social and corporate governance data. As with all disclosures, its purpose is to shed light on a company’s ESG activities while improving investor transparency and inspiring other organizations to do the same”.
ESG reports commonly cover each topic area (environmental, social and labor, and governance), and for each, include information on:
- Assessed risks
- Actual impacts
- Quantitative and qualitative assessment of the company’s ESG activities (for instance, any policies, programs or actions that you have implemented to improve your impacts).
There are many different ESG reporting frameworks in use, but the most common frameworks are the Global Reporting Initiative (GRI), the Task Force on Climate-related Financial Disclosures (TCFD), the Sustainability Accounting Standards Board (SASB), and the United Nations (U.N.) Sustainable Development Goals (SDGs).
Why is ESG reporting important?
Historically, ESG reporting has been voluntary. However new legislation will make comprehensive ESG reporting mandatory for larger companies.
For example, the EU Corporate Sustainability Reporting Directive (CSRD) will require companies to set targets and disclose progress across 10 topical areas (from biodiversity to marine impacts to climate change) — with data expected on 2024 impacts across multiple tiers of their value chain.
For facilities and manufacturers, this means that your brand partners may soon be requesting more data from you across a much wider range of sustainability topics.
How can I use Worldly data for ESG reporting?
The Higg Index tools, available on Worldly, can help your business collect value chain data to disclose impacts for ESG reporting.
- 作为品牌，使用Higg Facility Environmental Module (FEM)和Facility Social and Labor Module (FSLM)建立供应链参与基础设施，这对于识别、监控和纠正实际和潜在危害至关重要——同时收集所需的主要制造数据，以展示朝着目标取得的进展；
- 作为一个工厂，使用Facility Environmental Module (FEM)来量化您的环境影响，并规划您的做法以减轻风险和减少影响。使用Facility Social and Labor Module (FSLM)来跟踪您的社会影响以及为提高工人福祉而实施的政策和做法。
- Whether you are a facility or brand, you can use the Higg MSI (Materials Sustainability Index) and Higg PM (Product Module) to measure the footprint of your products and analyze where the environmental hotspots are across your product’s lifecycle.
- 最后，Higg 品牌和零售模块（BRM）提供行业特定的内容指导，以支持公司进行信息披露，并可作为准备就绪清单，帮助企业应对 CSRD 等法规。
总而言之，Worldly帮助您收集所需的数据，作为确定相关可持续发展主题的输入；为影响改进设定目标；以及报告您在ESG环境和社会领域的进展。
Worldly 平台功能并非设计用于撰写报告本身，或作为特定法规的合规保证工具。