Double materiality - a comprehensive overview
Determining double materiality involves a series of technical steps that are challenging to execute with a spreadsheet. Read our comprehensive overview of the process and how our software helps to facilitate this in a pragmatic manner.
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Double materiality
The core concept of CSRD: double materiality. By objectively assessing the magnitude of impacts, risks, and opportunities, you determine the double materiality of sustainability themes. This determines which topics and data points will be included in your CSRD report.
Determining the materiality of sustainability themes is not new, but for the CSRD, it goes a step further than before. While in the past, the focus was simply on assessing how important the organization and its stakeholders considered certain themes (a subjective evaluation), the CSRD leaves no room for such subjective assessments.
Now, it’s about objectively assessing impacts, risks, and opportunities. Yes, we can still incorporate input from stakeholders for this purpose, but ultimately, it’s not about their opinions.
Get a demo account
Get a demo account to gain direct access to the Ecocharting CSRD platform. Explore its comprehensive functionalities:
- Stakeholder engagement
- Double materiality assessment
- ESG data collection
- Reporting & publishing
In practice
How to assess double materiality
The process of determining double materiality begins with an internal assessment of impacts, risks, and opportunities. To secure approval from your accountant, it’s crucial that you don’t overlook any aspects. For validation, you can engage with stakeholders, for instance, by discussing your shortlist with them.
Once your list of impacts, risks, and opportunities is complete, you assign scores to determine their relative significance. Using a formula and your predefined thresholds, the materiality of the themes is determined. This process dictates which data points you will report on.
ESG topics
Possible datapoints
Types of impacts & scores
CSRD & Ecocharting
Join our next webinar to learn about CSRD and how Ecocharting can help you in your journey towards sustainability.
- Roadmap CSRD & the fit with Ecocharting
- Ecocharting software: setup, costs, timeline
- Double materiality Deep Dive
- F.A.Q. and Q&A
Ecocharting Software
Get started and assess double materiality digitally
In our software, all CSRD topics are ready to be assessed for double materiality. Follow our step-by-step process, and the relevant data points will automatically come into focus.
Roadmap CSRD
Our most up-to-date whitepaper. Discover a complete overview of the regulations and the steps to be taken:
- How to engage with whom and when?
- Which datapoints belong in the report?
- How to determine materiality?
- What is the role of digitisation and automation?
Start CSRD preparations today using Ecocharting.
Get access to our comprehensive CSRD platform by creating your personal demo account today.
