Why should you even bother with sustainability reporting?

Why should you even bother with sustainability reporting?
Why would you even spend so many resources on reporting your sustainability?


Sustainability reporting has become an integral part of doing business for many companies worldwide. For some it was necessary because of regulation, for some it was a voluntary choice. It involves companies publicly disclosing information about their environmental and social impact, risks, and opportunities. But why do so many companies spend valuable time and resources on sustainability reporting? In this article, we’ll explore the reasons behind the rise of sustainability reporting and its benefits for companies.

Why do they do it?

  1. Easy. First and foremost, sustainability reporting helps companies meet their legal obligations and regulatory requirements. Many countries have introduced laws and regulations that require companies to disclose information about their environmental and social impact. This includes greenhouse gas emissions, waste management, and water usage, among other things. By complying with these requirements, companies can demonstrate their commitment to sustainability and avoid potential penalties and reputational damage.
  2. Another important reason for companies to engage in sustainability reporting is to improve their sustainability performance. By tracking and measuring their environmental and social impact, companies can identify areas where they can improve and make changes to their operations that will reduce their impact and costs. This process can lead to increased efficiency, reduced waste, and lower energy consumption, which in turn, can improve the company's bottom line.
  3. Sustainability reporting can also help companies communicate their sustainability story to stakeholders, such as employees, customers, investors, and the wider public. By providing transparent and reliable information about their sustainability performance, companies can build trust with stakeholders and enhance their reputation. In addition, sustainability reporting can also provide valuable insights for stakeholders who are looking for ways to invest in companies that are taking action on sustainability issues.
  4. Sustainability reporting can also help companies align with international sustainability goals, such as the United Nations’ Sustainable Development Goals (SDGs). These goals provide a framework for companies to measure and report on their sustainability performance and contribute to the global effort to create a more sustainable future. By reporting on their progress towards these goals, companies can demonstrate their commitment to sustainability and encourage others to follow their lead.
  5. Finally, sustainability reporting can also help companies manage their sustainability risks and opportunities. For example, reporting on the impacts of climate change can help companies understand the risks they face and the opportunities they can leverage. By incorporating sustainability considerations into their decision-making processes, companies can better manage risks and seize opportunities, leading to long-term business success.

In conclusion

There are many compelling reasons for companies to engage in sustainability reporting. From meeting legal obligations and improving performance, to communicating with stakeholders, aligning with sustainability goals, and managing risks and opportunities, sustainability reporting is an important tool for companies looking to create a more sustainable future. Whether you are a large corporation or a small business, there is no reason not to take action on sustainability and start reporting on your sustainability performance today.

Want to get started?

Are you still unsure, how your sustainability reports should look, what metrics you should measure? Greenifs is your first stop. It will help you understand all of the different points that make up sustainability reports and allow you to construct a comprehensive report by guiding you through all the necessary steps with ease.