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What is Sustainability Management Reporting?

  • February 20, 2017

Sustainability management reporting is information that’s been published by an organization about the economic, environmental, and social impacts of their daily operating activities and decisions. It is the primary platform companies have for measuring and communicating their sustainability performance and establishing new benchmarks moving forward.

Included in these reports are:

  • How the company’s core business strategy, decisions, and operating activities are tied to a sustainable global economy
  • Comprehensive information about the company’s values and governance model
  • Public sustainability goals and benchmarks

There was a time when only green and very progressive companies routinely reported on their sustainability performance. However, expectations for corporations have grown substantially in recent years, paving the way for sustainability management reporting to become a best practice that is embraced by companies around the globe.

Fortunately, sustainability management reporting does more than meet new expectations for corporate responsibility. It’s also known for delivering a number of important organizational benefits, including:

Better decision-making.

Because sustainability reporting ensures that business leaders consider the impact of their decisions and are transparent about their effects, the practice inevitably leads to better decision-making and improved outcomes.

Increased revenue.

When companies demonstrate a commitment to sustainability and environmental business opportunities through their reporting practices, their reputation in the marketplace improves. This, combined with the development of new products and services that are aligned with sustainability initiatives, tends to drive revenue growth.

Enhanced efficiency and reduced costs.

Through the process of reporting, many companies see their core operations shift organically towards more sustainable practices. When this occurs, they tend to experience increased efficiency and reduced costs across the board.

Effective risk mitigation.

The world is moving full speed ahead towards sustainability. As such, new social and environmental regulations are going to continue to emerge, which inevitably put companies at risk. With sustainability management reporting, organizations can keep tabs on an ever-changing landscape, ensuring that they are complying with existing regulations while preparing for new ones.



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