Your expert for questions
Benjamin Lösken
Director, Sustainability Services at PwC Germany
Tel.: +49 160 5364533
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Implementing sustainability reporting with SAP ERP data
Effective sustainability reporting starts with analyzing ESG-relevant data in your SAP ERP system: Since 2024, companies operating in Europe have been required to disclose their sustainability measures in accordance with the Corporate Sustainability Reporting Directive (CSRD) in various waves and report them in a standardized manner. This requires reliable and meaningful data – ideally automatically retrievable from the SAP ERP system and verifiable on an annual basis. The ESG Preparation Analysis provides direct insight into the status quo of your SAP ERP system and shows which data is already available for CSRD reporting. Based on this, companies can derive specific recommendations for improving ESG data quality in the SAP ERP system.
“Companies that adapt and optimize their ERP data landscape early on not only ensure regulatory compliance but also gain a competitive advantage through transparent and credible sustainability reporting.”
Advantages of the ESG preparation analysis
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Innovations bring uncertainties
Legislators and standard setters are picking up the pace, but much remains unclear for companies when it comes to implementing sustainability reporting. Where to start? How to proceed?
The required data usually comes from different systems. The requirements for sustainability reporting are extensive, and the exact scope of reporting is specific to each company and not clearly defined.
Our Global CSRD Survey from 2024 shows that up to 60% of companies see data availability and quality as the biggest challenges in CSRD implementation. Almost 70% of the companies surveyed currently use Excel spreadsheets for their sustainability reporting.
Data in focus
Future CSRD reporting will include a wide range of different data points that companies will be required to report on. The ESG preparation analysis that we offer in cooperation with our technology partner IBIS Prof. Thome AG helps companies optimize their reporting. The application allows data from the central SAP ERP system (ECC or S/4HANA) to be checked to see whether it can be used as a basis for sustainability-related key figures and provides specific recommendations for each sustainability aspect based on your system usage. For example, it shows whether processes and data for energy consumption or waste management are already available in the system and where existing processes can be adapted, optimized, and completed.
How many tons of goods are produced and transported via which distribution channels, and how much CO2 is emitted in the process? Are energy materials maintained in the SAP system? Our ESG preparation analysis provides answers to these and other typical questions in no time at all. The analysis also shows when external data sources are required that need to be integrated via interfaces to enable efficient and, ideally, automated sustainability reporting.
Our project approach follows three steps:
Identification and evaluation of the ESG information currently available for the sustainability report (according to CSRD / ESRS and EU taxonomy) in your SAP ERP system based on traffic light logic. The analysis establishes a link to the ESRS, and the disclosure requirements contained therein. This includes, for example, the question of what form of energy data is currently available in the system for reporting in accordance with ESRS E1-5.
Quick overview of general data availability in the SAP ERP system per ESRS standard.
We identify gaps and potential for improvement in your sustainability reporting and help you increase the transparency and accuracy of your sustainability data. We also analyze your existing processes, and the functions used regarding ESG content to create a solid data basis for meaningful key figures.
Detailed insights into the data situation per reporting requirement of the ESRS standards.
We provide specific recommendations for improving the use of the SAP ERP system with regard to ESRS-relevant data, in particular which SAP functions, tables, and fields should be used to set up efficient CSRD reporting.
A summary overview shows the current capability of your SAP ERP system for ESG reporting in accordance with CSRD, broken down by ESRS topics
