GreenFlex Sustainable development strategy and roadmap CSRD and double materiality

Complying with the CSRD directive

You need to comply with the CSRD and European regulations. GreenFlex, your partner to help you address your sustainability challenges: environmental, social and governance.  This is an opportunity for your company to put sustainability and resilience at the heart of your business model.

You would like to carry out your non-financial reporting with a dual materiality analysis (financial and impact) as part of the CSRD.

Which companies are concerned by CSRD

A new non-financial reporting obligation

The CSRD (Corporate Sustainability Reporting Directive) is a European regulation designed to strengthen extra-financial reporting by companies. The reporting covers environmental, social and governance issues.

Companies must publish a sustainability report indicating the impact of their economic activity on the environment and society on the one hand, and the effect of social, economic and environmental issues on their sustainability on the other. This is known as dual materiality.

Who is concerned?

The CSRD is expected to affect 45,000 companies in Europe, including large companies and those exceeding 2 of the following 3 criteria:

  • 250 employees
  • Turnover of €50 million
  • 25 million euros balance sheet

Preparing your CSRD reporting

We can help you implement your CSRD obligations (publication of environmental, social and governance data) using a balanced, strategic, and sustainable approach. To carry out your dual materiality analysis across the entire value chain, including your stakeholders, we identify and then assess:

  • the negative and positive impacts (impact materiality) of your company on its stakeholders and the environment
  • the risks and opportunities (financial materiality) associated with ESG issues for the economic sustainability of your company.

The concept of double materiality is more recent and stems from the ESRS (European Sustainability Reporting Standards), which set out the standards for sustainable development.

Double materiality has thus become a tool for non-financial accounting.

Focus on simple materiality and the principle of double materiality

Materiality is an accounting tool that measures a company’s financial performance. By extension, in CSR, materiality is used to prioritise the positive and negative externalities that can have an impact on a company’s activities.

Simple materiality corresponds to financial materiality and reflects the opportunities and risks facing a company.

With the aim of optimising risk management and identifying new opportunities, our recommendations are aimed at improving operational resilience and increasing transparency, particularly financial transparency, for all your stakeholders.

This analysis will enable you to identify the most important topics that you need to include in your sustainability report for each ESRS (the ‘data-points’ and ‘disclosures requirements’).

The dual materiality analysis is an opportunity to update or develop your CSR strategy, an essential step before creating your roadmap.

Beyond the regulatory compliance exercise, our approach aims to initiate a reflection on your business model and on the way in which your stakeholders are taken into account throughout the value chain, as part of a sustainable development approach.