Regulatory disclosure & risk

Reliably comply with regulatory requirements

Whether it’s the Corporate Sustainability Reporting Directive (CSRD), EU Taxonomy or Supply Chain Due Diligence Act – regulatory requirements for reporting and corporate management are on the rise, and are replacing the previously evolved practice of voluntarily applying selected frameworks such as GRI, DNK or TCFD. The standardization of report content, structures and processes is intended to increase comparability and quality of published information. It also means that the content becomes an auditable component in the context of publishing management reports. Our consultants will support you in reliably complying with regulations.

Standards & frameworks

Make sustainability performance transparent

Reporting standards, frameworks and ratings which illustrate sustainability performance are gaining in importance compared to their purely financial counterparts. Various voluntary initiatives and mandatory standards have developed over the past two decades; these offer companies the opportunity to make their activities transparent in every dimension of sustainability (ecological, social and governance). Our experience has found the most effective approach to be practical implementation of mandatory standards and the targeted selection of voluntary frameworks or ratings. It is important to keep tracking the project effort and benefits during this process. Our experts will support you in the following areas:

  • Performing a gap analysis and deriving action areas
  • Establishing new reporting and steering processes
  • Efficiently meeting expanded scopes for report content
  • Linking financial and non-financial information
  • Ensuring audit-proof documentation
  • Minimizing process complexity

CSRD and EU Taxonomy

Successfully integrate regulations into corporate management

EU Taxonomy and CSRD (Corporate Sustainability Reporting Directive) open a new chapter in sustainability reporting. A large number of mandatory qualitative and quantitative report elements as well as the announced audit obligation significantly increase quality requirements in terms of the information to be disclosed. To ensure that these do more than just fulfill the reporting purpose, we will support you with proven approaches to anchor the content of sustainability reporting as a valuable component of corporate management:

  • Defining goals and measures in line with the sustainability strategy
  • Integrating ESG risks and opportunities into risk management
  • Analyzing relevant sustainability impacts (materiality analysis)
  • Regulatory-compliant definition of KPIs to be reported
  • Optimizing the report structure and layout
  • Adjusting the reporting and closing process


Supply Chain Due Diligence Act (SCDDA)

Fulfill due diligence obligations along supply chains

German and Germany-based companies are also facing new regulatory requirements with the Supply Chain Due Diligence Act (SCDDA). As early as the 2023 financial year, German companies that have more than 3,000 employees will be obliged to fulfill and report on their due diligence obligations throughout the supply chain. Through the monitoring of breaches relating to forced labor, unfair working conditions, discrimination and environmental damage, the aim is to improve the human rights situation throughout the value chain. To meet due diligence obligations, it makes sense to integrate with internal sustainability management and ESG risk management. The central requirements of SCDDA are:

  • Setting up a risk management system 
  • Performing regular risk analyses
  • Determining preventive and corrective measures

ESG risk management

Effectively integrate sustainability into risk management

To continue to be successful in 2023, companies must manage not only economic but also ESG factors. For example, carbon pricing represents a sustainable cost factor that has direct P&L implications. This means that sustainability plays a central role in a holistic risk management approach. To manage ESG risks, we have developed the ESG impact analyzer: This tool gives you a current risk perspective of ESG trend developments and enables you to derive risk/return profiles. The ESG impact analyzer is based on these eight steps:

  • Stocktaking ESG risks
  • Recording ESG relevance
  • Analyzing risk impact
  • Assessing risks qualitatively and quantitatively
  • Determining the probability of occurrence
  • Deriving economic impacts
  • Quantifying P&L effects and determining value-at-risk

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