Overview
Materiality assessment is a vital process in sustainability reporting that helps organizations identify and prioritize the most significant issues affecting their stakeholders. By understanding what matters most to stakeholders, companies can align their strategies with societal expectations and enh...
Key Terms
Example: Climate change is a material issue for companies in the energy sector.
Example: Employees, customers, and investors are all stakeholders.
Example: Annual sustainability reports detail a company's impact on the environment.
Example: Companies assess risks related to climate change to mitigate potential financial losses.
Example: Many companies use GRI standards to report their sustainability efforts.
Example: SASB standards help investors understand the sustainability risks of companies.