‍What is CSRD and why is it so important?

Die CSRD, which replaces the previous Non-Financial Reporting Directive (NFRD), requires companies to report comprehensively on their sustainability activities. It affects not only large, capital market-oriented companies, but also many small and medium-sized companies. The reporting requirements are far-reaching: From reducing greenhouse gases to social responsibility and corporate governance — the entire value chain must be taken into account.

The reporting requirement will officially come into force from 2025. But anyone who thinks they still have enough time until then to postpone implementation is making a big mistake. The CSRD is more than just a new reporting requirement — it requires far-reaching adjustments in corporate strategy, data management and operational processes.

Why you need to start right away

1. The effort is bigger than you think

The CSRD requires that companies Data from various areas Compile — from supplier information to emissions data and social indicators. It is not enough to use simple tools. New processes must be established, responsibilities defined and the entire value chain must be recorded. Such changes take time, and it is advisable to start early.

2. The requirements are complex

The Directive is not only demanding in terms of content, but also requires companies to have a double materiality assessment (DMA) carry out. This requires an assessment of both the financial impact of sustainability risks on the company and the impact of the company on the environment and society. Such an analysis is complex and requires a precise database.

3. Your reputation and competitiveness are at stake

Companies that start implementing CSRD at an early stage have the opportunity to become Pioneers to be noticed. However, a poor or late report can damage reputation and result in losses for customers and investors. At a time when sustainability is becoming increasingly important for buying and investment decisions, poor reporting can have a massive impact on your market position.

4. Time is running out

The first CSRD reports must be published in 2025 for fiscal year 2024. That may sound like a lot of time, but collecting, analyzing, and consolidating the necessary data can take months. Anyone who is still waiting runs the risk of not being finished in time and thus risking penalties or a loss of image.

Use our leading CSRD tool: Try our dual materiality analysis module for free

We understand that carrying out the double materiality analysis represents a particular challenge. That's why we have a special module developed, which makes this process much easier for you. Our tool is market-leading and was developed to meet the complex requirements of CSRD.

The best thing about it: You can use our module Try it free of charge for two weeksto see for yourself how efficient and powerful our solution is. It not only helps you with structured data collection, but also guides you step-by-step through the entire analysis — from data collection to final reporting.

The next steps: What you should do now

1. Start with an inventory: Check which sustainability data is already available and which still needs to be collected.
2. Perform a double materiality analysis: Use our leading CSRD tool to ensure that you accurately capture the relevant topics for your company and stakeholders.
3. Involve all departments: Sustainability reporting affects the entire company — from IT to the finance department.
4. Use appropriate processes and tools: Don't rely on outdated systems — use specialized software to implement CSRD efficiently.

Conclusion: Act now before it's too late

The CSRD is not simply a new regulation — it is a necessary transformation for companies that want to remain successful in a sustainability-conscious world. Delays in implementation can cost you not only time and money, but also your reputation. Start now and use our leading tool for double materiality analysisto optimize your reporting and stay connected.

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