CSRD Compliance Timeline for Assurance
CSRD readiness: Move forward with confidence
Starting in 2024, the EU’s Corporate Sustainability Reporting Directive (CSRD) will come into effect, imposing stricter disclosure requirements on companies regarding their environmental, social and governance (ESG) performance compared to the existing Non-Financial Reporting Directive (NFRD). While companies currently reporting under NFRD will transition to CSRD when filing their 2024 financial year report, by 2028, over 50,000 companies with significant business in the EU, regardless of their headquarters’ location, will be obligated to disclose under CSRD.
At UL Solutions, our CSRD Advisory team and UL 360 sustainability software provide expert guidance to help you navigate the CSRD disclosure process. Whether you need assistance with the entire CSRD reporting process or only specific sections, we can help with:
Conducting ESG double materiality assessments
Strategizing about your sustainability goals, including targets and risk mitigation plans
Engaging with suppliers to understand their environmental and social impact
Collecting the required ESG metrics across your organization
Calculating scope 1, 2 and 3 carbon emissions
Setting carbon targets aligned with a 1.5-degree economy (e.g., approved by the Science Based Targets initiative)
Preparing the content of your ESG disclosure under CSRD, including both quantitative and qualitative data
Verifying your disclosure as required under CSRD*
*Verification projects are delivered independently of advisory services.
CSRD compliance timeline for verification
5 key benefits to proactive CSRD planning
Proactive planning plays a pivotal role in helping organizations meet CSRD requirements with the following benefits:
- Anticipating regulatory changes: Staying up to date with evolving CSRD regulations is essential to identifying upcoming regulatory changes, assessing their potential impact and preparing for compliance in advance.
- Resource allocation: Keeping compliant with CSRD regulations often demands significant resource allocation. Proactive planning helps to facilitate effective time, financial and personnel allocation for seamless integration of compliance practices into existing business practices.
- Process streamlining: By proactively mapping out workflows, identifying bottlenecks and establishing clear responsibilities, companies can create efficient processes, including technology solutions to simplify data collection, analysis and reporting that support compliance efforts.
- Risk mitigation: Noncompliance with CSRD regulations exposes companies to both financial and reputational risks. When you can identify and assess potential compliance risks, you can implement appropriate risk mitigation strategies that can help you avoid penalties and retain investor and public trust.
- Stakeholder engagement: Proactive planning encourages companies to engage with their investors, customers, employees and communities in a more meaningful way. By involving stakeholders in compliance efforts, companies can gain valuable insights, build transparency and foster trust-based relationships.
How we can help
UL Solutions can help move your CSRD compliance journey ahead in the following ways:
CSRD GAP ANALYSIS INITIAL DISCOVERY
Beneficial to companies with an ESG program already in place but need a better understanding of how to align their program with CSRD and outline the program gaps.
Beneficial to companies with no in-house expertise on ESG, no scope 3 carbon program and no completed ESG Double Materiality Assessment.
- CSRD training
- ESG double materiality assessment
- Carbon program
- ESG key performance indicators and methods
- Leading ESG data collection software
Beneficial to companies that understand what is needed to align with CSRD but require solutions to support specific CSRD topics.
- ESG performance benchmark
- ESG system gap analysis with ESG data management software
- Collect all of your data points into one software solution for streamlined CSRD reporting
- Validation and data integrity checks available across all metrics, allowing for assurance of data
- Management system procurement gap analysis
- CSRD data preparation workflows with UL 360 software
- Combine the quantitative data sets in system with qualitative disclosure statements, aligned to the CSRD / ESRS requirements for your business
- CSRD sustainability statement review
- Third-party verification of ESG statements
By working with our domain experts, you will discover which package or combination is best tailored to your company’s specific needs. Beginning your journey early can help pave the way to a smoother CSRD transition.
Expert services designed to help you
UL Solutions offers expert CSRD Advisory services and its award-winning UL 360 software to help you achieve compliance with CSRD. Our highly experienced CSRD team provides you with guidance on:
Compliance audits to identify areas of noncompliance, gaps in processes and potential risks that can proactively identify and rectify issues to help maintain a robust compliance framework.
Data management that offers accurate and comprehensive data collection and reporting to facilitate data gathering and analysis in order to implement data quality controls and maintain proper compliance documentation.
Education and training that helps to ensure employees are well-informed, understand their compliance obligations and stay updated on emerging best practices.
Collaboration and external partnerships with globally-recognized industry experts to gain insights on CSRD compliance and the guidance to navigate the complex regulatory landscape effectively.
CSRD advisory and software services sell sheet v3
Now is the time to create a robust CSRD compliance program that not only meets regulatory obligations but also demonstrates your commitment to ethical practices, sustainability and responsible business conduct.