INSIGHT #5
Companies are turning to sustainability software solutions to centralise data collection and streamline reporting
KEY FINDING
Over half of respondents prefer a software solution that covers multiple aspects of reporting.
Organisations are adopting specialised software for sustainability reporting
Most respondents (94%) plan to adopt third-party software for sustainability reporting, and three-quarters of respondents are already implementing tools for supply chain data collection. Only 5% of organisations are still using legacy systems for EU CSRD reporting, reflecting a broader shift towards more specialised, modern solutions.
Sustainability data and reporting solutions being explored or planned
A third-party dedicated software for sustainability
Standard tools, such as spreadsheets and collaboration tools
An in-house purpose-built sustainability software platform
Not sure; haven't considered that yet
Supply chain monitoring and compliance solutions being explored or planned
Deploying a software platform that allows for complete supply chain data collection and reporting
Asking vendors to self-report sustainability data
Not collecting supply chain data yet
Choosing software that aligns with EU CSRD and double materiality
With over 1,100 data points, EU CSRD reporting is extensive. While point solutions can address specific gaps, respondents indicated a strong preference for comprehensive software tools. The software needs to handle the full complexity of EU CSRD and other sustainability reporting requirements effectively.
Focus areas for ESG reporting solutions
Roughly two-thirds of respondents searching for software solutions to comply with EU CSRD are also searching for a consultancy to support data collection and reporting.
This suggests that many organisations see value in combining technology with expertise to meet EU CSRD requirements.
Software and consultancies are playing a key role in helping organisations navigate EU CSRD reporting
With the EU CSRD introducing additional reporting requirements, the complexity of compliance has increased. As a result, many organisations are combining consultancy expertise with software solutions to ensure both quality and efficiency in their disclosures.
