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Trends in 2011 – Sustainability Reporting

By: Kristin Gumper | 01/10/2011

Looking ahead to 2011, sustainability reporting is on the rise. Novus International, Monsanto Company and Anheuser-Busch InBev are regular sustainability report developers. Every year, hundreds of companies are joining the movement.

Standing Partnership is proud to be among them.

Our team recently had the pleasure of helping our client, The Doe Run Company, complete its inaugural Sustainability report. This labor of love used the internationally recognized Global Reporting Initiative guidelines, affectionately known as the GRI.

GRI is the world's most widely used sustainability reporting framework. The GRI gives corporate entities a guide for reporting sustainability practices. It outlines subject matter topics companies can pick from, then outlines necessary data to substantiate these claims. Companies who choose to report must also commit to report on these same indicators year over year, whether performance is good or bad.

Having been through this process (with additional plans in the works for 2011), I know GRI/sustainability reporting can be a daunting task. The indicators are complex and it takes diligent research and discussion to break it all down. It also requires a tremendous commitment from the reporting organization.

I can say with confidence that I believe in sustainability reporting. It gives companies a forum for discussing not only their achievements, but also their challenges. It also gives companies a place to explain why they make certain business decisions...for example...outlining that being sustainable isn't about just being environmentally friendly. Instead, for many companies, sustainability means making business decisions that balance environmental, economic and social priorities, so that companies can stay in business.

In today's business climate, the trend will continue. In addition, the Securities and Exchange Commission recently announced its support of GRI for disclosing climate-related impacts, and Deloitte, Ernst & Young LLP and KPMG are in the process of sponsoring plans to boost U.S. reporting.

Here are some guidelines to consider as you think about sustainability reporting:

1.     Take a look at your current annual reporting initiatives... are you sharing hard numbers already in respect to HR, environmental and business performance? If so, you're not far from an introductory report, known as a GRI-Level C, Self-Declared. This level requires reporting on 10 performance indicators, three of which must be related to social, environmental or economic impacts.

2.     Before jumping in, ensure that this information is important to your audiences. Do consumers really want to know about your carbon footprint, or your employee development programs? For companies under scrutiny, a GRI can be a valuable tool in a reputation management toolbox.

3.     GRI reporting requires A LOT of transparency... be sure your company's leadership team is open to sharing the level of detail required.

4.     Introductory GRI reporting covers environmental, social and economic indicators. So, consider appointing a team to help gather data to support these subjects. A good core team will include representatives from environmental, legal, accounting, HR, and sales/marketing.

5.     To streamline the data gathering process, develop templates to help your team gather the right data from the get-go. Use this data to inform your stories.

6.     Develop a timeline to guide the process. Keep the timeline tight, rather than allowing time lags between assignments. This will keep the team and company leadership engaged and on track.

7.     Take a look at the GRI website, find your industry and download the GRI reports of others that have gone before you. Combine your favorite aspects to create your report. To view a GRI report that Standing helped produce in collaboration with Doe Run, the largest integrated lead producer in the Western Hemisphere, visit: http://sustainability.doerun.com/.

8.     When producing your report, consider going beyond the traditional print format, and hosting it online. A customized WordPress site has many benefits - it's searchable, allows companies to begin building a library of content, and can be built by an outside design firm (thereby taking the burden off of your own IT department).

9.     After the report is completed, you're finished right? Wrong. Host a lessons learned meeting to ensure next year's process is even better.

10.  Finally, announce your final product... Make sure internal and external audiences know why the company embarked on this process, why it's important to the company, and how it benefits each audience.

Has your company already tackled GRI reporting? What else have you learned from the process?

Posted in Sustainability