CSRD is coming, sooner or later, based on the size of your company. But even though your deadline might seem far away still, there is no time like the present to start preparing and collecting insights. A foundational part of the reporting process is the conduction of a double materiality assessment (DMA).
What is a double materiality assessment?
The double materiality assessment is the foundation of your CSRD report. Without it, there is no deciding what to include and report on. It includes:
- Impact Materiality: How a company’s actions affect external stakeholders and the environment.
- Financial Materiality: How ESG factors influence the company’s financial performance, identifying risks and opportunities.
Based on the assessment, a company defines the points of the ESRS that should be included in their annual report.
When it comes to certain parts of the DMA, such as your own workforce (S1), you and the people in your organisation are the experts. But in other areas, getting outside help is the way to go. And S2 Workers in the value Chain is no exception. Collecting insights from your supply chain does not have to take ages nor involve invoices with a lot of zeros to expensive consultant. Here, we propose you look to your supply chain partners to gain insights on areas you might not be able to shed light on by yourself.
How do you engage your supply chain?
So how do you go about it? First – find your form of communication. Having a direct link to your suppliers and a structured way to collect and store data is crucial.
Second step is asking the right questions and collecting the right data. In the initial process, try steering away from too definitive questioning. Stay curious and interrogative, and save the hardcore data collection for later.
How can Qarma support you?
With our Audit & Supplier Compliance tool in Qarma you can connect with your supply chain and optimize your data collection
By conducting and analysing assessments through Qarma you don’t just have quickly accessible data. You also have data you can trust. With Qarma you can enrich and validate your data with in-app pictures and videos, that simultaneously maps the location of where the image or video was taken.
When the times comes, and you move on to your due diligence and data collection, your suppliers will be able to work in a system that they know and are familiar with. And so will you.
Book a demo here to learn more.
