We have designed a structured CSRD implementation process that will guide you through five necessary steps towards CSRD compliance. By following these steps, you will establish a robust CSRD reporting foundation.
The first step of the process ensures clarity of your ambition level, to tailor the CSRD implementation specifically to your needs. It will also help you utilise potential commercial opportunities.
Steps two and three involve preparing a double materiality assessment and identifying material CSRD reporting gaps. Both steps are conducted in a manner that aligns with the ambition level set in step one and meets regulatory requirements.
In step four, a detailed implementation plan is designed. A key aspect of the action plan is addressing how to close the identified material CSRD reporting gaps, such as preparing emissions reporting on scope 1, 2, and 3, or developing specific policies.
Regardless of the ambition level for your ESG reporting, implementing CSRD will inevitably involve several subprojects, such as data management, software selection, EU Taxonomy reporting, emissions reporting, goal setting, building templates, etc. We support you from cradle to crave.
Phase 1
Ambition level
Phase 2
Double materiality assessment
Phase 3
CSRD gap analysis
Phase 4
Action plan
Phase 5
Implementation
Whether conducted as part of a CSRD or ESG strategy project, the double materiality assessment holds significant regulatory and commercial importance.
We possess extensive expertise in conducting materiality assessments in accordance with ESRS standards and accompanying guidance from EFRAG. Taking an audit perspective, we ensure the preparation of a fully compliant documentation package that aligns with the requirements for auditors, both under current and forthcoming assurance standards.
Given the great insights the materiality assessment provides into the business, value chain, stakeholders, and peers, we will guide you on strategic opportunities that will be identified during the process.
The EU Taxonomy presents a comprehensive and complex reporting framework applicable to companies within the scope of CSRD and SFDR. It requires companies to identify and analyse economic activities, including both financial data and technical performance criteria.
Navigating the EU Taxonomy demands expertise in financial reporting and IFRS. As such, its implementation requires great knowledge of both financial and sustainability reporting frameworks.
With our extensive experience in EU Taxonomy implementation, we leverage existing data and processes. Our services include initial taxonomy screenings, computation of KPIs, preparation of reporting schemes, development of reporting policies and preparation of underlying documentation.
Stakeholders demanding sustainability information increasingly expect increased accuracy and reliability. As a company, navigating these external expectations alongside legal requirements, such as external assurance for CSRD reports, is crucial to build trust in disclosed information.
Given the complexity of ESG reporting requirements, coupled with often inaccurate and incomplete data, the risk of non-compliance with CSRD and other frameworks is significant. This can result in costly overruns with your auditors, the risk of receiving a qualified assurance opinion, and diminished trust.
Drawing on our extensive knowledge of assurance requirements, we offer assurance services to efficiently mitigate these risks.
Through pre-assurance, we assess your readiness for assurance, by evaluating an agreed-upon scope of disclosed information on various dimensions including precondition, criteria, documentation, processes, controls, systems, and governance. Our findings are summarised in a comprehensive management report, providing an overview of necessary improvements.
The scope of pre-assurance might include metrics, KPIs, materiality assessments, policies, targets, and more. It could also be as straightforward as testing a prepared double materiality assessment.
To fulfill CSRD reporting requirements and meet the increasing stakeholder demands for greenhouse gas emissions, decarbonisation strategies and actions, it is imperative to initiate the calculation of carbon emissions across scopes 1, 2, and 3. Establishing robust carbon accounting processes ensures an accurate and complete reporting of emissions inventories in alignment with regulatory requirements.
Based on your emissions inventory, we conduct analysis to pinpoint opportunities for targeted reductions within scopes 1, 2, and 3. Our services include calculating baseline data, setting targets, and developing your decarbonisation strategy.
To achieve carbon emission targets, we collaborate closely with technical experts to deploy optimal solutions. This enables us to assist you with both carbon removal and carbon offsetting projects, ensuring the adoption of the most effective approaches.
To achieve performance improvements and effectively implement and integrate CSRD and other data-intensive reporting frameworks, your organisation must establish robust tools and processes for data management.
The landscape of tools and software solutions is vast and rapidly evolving, ranging from standalone software offerings to ERP add-ons, full ESG platforms, and niche solutions. In our view, no single system exists that can comprehensively address all requirements across the entire value chain.
Whether as part of a broader CSRD implementation or focused on specific areas like carbon accounting, we provide guidance and support in selecting and implementing the appropriate solutions for data management, reporting, and performance management.
We maintain objectivity towards any software solution, offering advice and support based on a thorough analysis of your current IT landscape and strategy, existing software vendors, data integration capabilities, scalability, and pricing considerations.
We advise and support in formulating a clear and comprehensive ESG strategy that builds trust and credibility with customers, investors, employees, and other stakeholders. We work closely together with companies to gain a deep understanding of operations and stakeholder expectations, allowing us to deliver tailored advisory services.
Based on a materiality assessment, we identify the key ESG factors with the potential largest impact on the long-term success of a company. We help integrating the ESG considerations into decision-making processes to mitigate risks and capitalise on opportunities. Clear KPIs need to be defined to enable you to measure the effectiveness of your strategy.
We help create a compelling narrative for your sustainability strategy and offer guidance on how to effectively communicate it to stakeholders.
1. Ambition
Setting the level of ambition and ensure commitment with executive management.
2. Priority
Based on the materiality assessment, priority is given to the ESG areas that can have the greatest impact on the company’s long-term succes – both risks and opportunities.
3. Baseline
Collection and evaluation of data to support priorities and baseline determination.
4. Goal setting
Setting specific, measurable and time-limited ESG targets for the prioritised areas. Roadmap defined to implement the strategy targets.
5. Communication
Development of a concise and compelling narrative that conveys the purpose, values, and goals of the ESG strategy. Integrate the plan into the company’s overall strategy. Communicate remotely.
The CSRD reporting requirements will notably influence the structure and content of the annual report as we know today. Companies in scope of CSRD shall prepare and publish an integrated report covering the sustainability report, the financial statements, and the management review. Stakeholders will increasingly seek information on how companies align their business strategy with both financial and non-financial performance.
Integrated reporting is still in its early stages and remains an area of ongoing development. Leveraging our collective expertise in reporting, auditing, and financial communication, we assist companies in developing integrated annual reports that not only ensure regulatory compliance but also provide a comprehensive overview of performance, progress, positions, and strategic initiatives.
We assist companies in communicating with the financial markets to improve market visibility, transparency, and coverage. Leveraging our extensive background in equity research and asset management, we provide guidance to Investor Relations professionals and Executive Management on their continuous interactions with both the investment and sell-side communities.
Our services encompass market intelligence, development of narratives for earnings results, equity stories, preparing stock exchange announcements, and creating content for annual reports and other investor-focused materials.
Additionally, we offer fully, or partially outsourced Investor Relations services or on-demand support as needed.
Examples of Investor Relations (IR) services:
- Enhancing Equity Story
- Preparing C-level executives for announcements and investor events
- Creating Q&A materials
- Conducting market sounding
- Providing support for Capital Markets Days
- Producing sections for annual and interim reports
- IR training and coaching
- Fully or partially outsourced IR services
- Developing IR strategies
We assist Investment Funds, Asset Managers, and Private Equity firms in identifying, developing, and integrating ESG criteria into both the business operations and the investment decision-making processes. Furthermore, we ensure compliance with the disclosure requirements stipulated in the Sustainable Finance Disclosure Regulation (SFDR) for market participants and at the investment product level.
Focused Expertise
With a solid background from audit and financial industries, our advisors offer focused expertise in ESG reporting, assurance, financial communication, and strategy development.
Agility
NORD advise excels in agility, providing tailored services, quick response times, flexible pricing, ensuring seamless alignment with clients' objectives and timelines.
Personalised Services
Our approach ensures personalised attention, bespoke services, and direct engagement with senior advisors, fostering trust and valuable relationships with our clients.
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