Given the rapidly evolving market, how are participants addressing aligning to one or many frameworks? – Navita
Year 2022 was a record year as companies across the S&P 400, 500, and 600 stepped up transparency and reporting by publishing corporate sustainability reports (CSRs) in droves and taking the often resource- intensive steps to align with external frameworks and standards. Several frameworks reported unprecedented adoption rates last year.
While the major uptick in transparency is driven in part by stakeholder expectations for greater visibility into
ESG metrics, it’s also a sign of increased ESG maturity among leading companies, particularly the S&P 500, (most of which were disclosing some form of detailed ESG information as of 2021.)
As a result, the last several years have marked rapid growth in the integration of ESG into organizations’ strategy and goal setting. As companies aim to share their progress, they are recognizing that the reporting
on an effective ESG strategy includes the adoption of voluntary ESG reporting frameworks.
ESG reporting frameworks adoption by a particular company depends on the metrics material to the company’s industry and operations as well as external forces such as customer data requests or investor expectations. Riveron(https://riveron.com/posts/framing-it-up-everything-you-need-to-know-about-esg-framework- adoption-trends-in-2022-and-beyond) tracked alignment with the following five leading frameworks/standards among the S&P 400, 500, and 600 in 2022: