Monday 19th February 2024
Sustainability reporting is critical to measuring sustainability performance, sharing sustainability impacts and understanding how sustainability can create value for stakeholders. As greenwashing continues to run rampant, it seems sustainability is becoming more of a trend, or a buzzword losing impact. Sustainability reporting provides the transparency needed to fight greenwashing and improve reputation and trustworthiness; it is essential in keeping businesses accountable for their environmental impact.For this reason, Recorra has released our first annual Sustainability Report for 2023, which is available to read here. This details all the work we have done in the past year, including waste streams recycled, Scope 3 carbon emissions and net emissions avoided, and our work with our charity partners. Why is sustainability reporting so important? We dive a bit deeper below:
Measuring Sustainability Impacts
Sustainability reporting is essential for measuring and assessing the environmental, social, and economic impacts of an organisation’s activities- which then allow companies to create the relevant goals, or ESG goals. These comprehensive insights provide stakeholders with an understanding of the company’s environmental footprint, impact on communities, and long-term viability, and encourage responsible business practices.
Transparency and accountability
Reporting on progress towards ESG goals fosters transparency by offering stakeholders – including customers, investors, employees, and the wider community – a detailed view of an organisation’s sustainability performance.
Providing information to internal and external stakeholders
A clear channel of communication with stakeholders is crucial for transparency and effective decision-making. Internally, reporting empowers employees with a clear understanding of sustainability goals, encouraging engagement and climate action. Externally, investors, customers, and regulatory bodies all benefit from transparency, enhancing stakeholder trust and facilitating informed decision-making. This contributes to the overall success and resilience of the business.
Stakeholder engagement
As consumers demands change, stakeholders are increasingly aligning themselves with more socially and environmentally responsible (‘sustainable’) organisations. ESG reporting is therefore a powerful way to engage with stakeholders and demonstrate a considerable commitment to more sustainable practices.
As customers become more cognisant of the environmental impacts of various industries, sustainability reporting is becoming increasingly important for businesses. Open and accessible reporting demonstrates to stakeholders how seriously an organisation takes their ESG commitments. We have outlined how sustainability reporting is an important multifaceted tool for an organisation to have in its toolbox. It offers a myriad of benefits, only a small portion of which have been addressed in this blog. Ultimately, they are becoming a cornerstone of responsible organisational citizenship and an important catalyst for positive change as a bridge to a sustainable future.
If you’d like to read Recorra’s first annual Sustainability Report for 2023, you can find it here.
