Choosing the right sustainability reporting standard depends on several factors, including the company's industry, stakeholder expectations, and the specific sustainability issues that are most material to the business. Companies should consider the following when selecting a reporting standard:
Industry Relevance: Some standards, like SASB, offer industry-specific guidelines, making them particularly useful for certain sectors. Stakeholder Needs: Understanding the information needs of key stakeholders, such as investors, customers, and regulators, can guide the choice of reporting framework. Comprehensiveness: Frameworks like GRI provide extensive guidelines covering a wide range of sustainability issues, which can be beneficial for comprehensive reporting. Regulatory Requirements: In some regions, specific reporting standards may be mandated by law or regulation.