When preparing an ESG report, it can be helpful to break the process down into smaller parts—otherwise, it can quickly feel overwhelming. At ESG365, we have developed a clear and structured plan that guides you through each phase of your ESG report, making the process both manageable and reliable.
Step 1: Use the Climate Compass for Climate Data in Your ESG Report
With the Climate Compass, developed by the Danish Business Authority, you can calculate your climate data (Scope 1, 2, and 3) and carbon footprint based on recognized emission factors collected, prepared, and documented by the Danish Energy Agency. The tool is free to use and is continuously updated and improved. Climate Compass is an integral part of the ESG reporting process at ESG365. We recommend calculating your climate data there first and then entering it into our software.
We have written an article about Climate Compass where you can learn more about the tool and its features.
Step 2: Complete the VSME Basic Module to Lay the Foundation for Your Report
Once you’ve compiled your climate data using Climate Compass, the next step is to start filling out your ESG report. With ESG365 software, you can easily complete the basic module according to the EU’s new voluntary standard, VSME. The basic module covers general company information and E, S, and G data such as energy, water, and resource consumption, workforce details, and any records of corruption or bribery. The data points in this module are relatively straightforward to collect.
We’ve hosted a webinar on the new VSME standard, which you can access here.
Step 3: Build on Your ESG Report with the Business Partner Module – an Extended VSME Module
After completing the basic module, you’ll have a solid foundation to move forward with the extended module, called Business Partner at ESG365. This module is particularly useful when responding to customer inquiries (due diligence). It requires additional details, including Scope 3 emissions. Many of the data requirements here are a deeper dive into what you provided in the basic module. Our webinar also covers this extended module.
Step 4: Showcase Your Unique Sustainability Efforts, Policies, and Certifications
Many industries have specific sustainability agendas. Your unique and potentially industry-specific initiatives should also be reflected in your ESG report. Towards the end of the reporting process, ESG365 lets you include your company’s special policies or certifications. You can also select relevant efforts aligned with the UN’s 17 Sustainable Development Goals (SDGs) and their 169 targets. This offers a great opportunity to create a fully personalized ESG report that reflects your company’s distinct agenda.
ESG365 offers workshops to help you connect your processes with the UN SDGs and incorporate them into your report. Learn more about our services here.
If you need help getting started with your ESG report, ESG365 has the expertise to assist you.
Article by Victoria Ørum, Communications Manager, ESG365.