Microsoft launched an ESG reporting tool to simplify sustainability disclosures for businesses. The Project ESG Reporting (preview) tool is part of Microsoft’s Cloud for Sustainability suite. It helps create consistent and compliant ESG reports by offering templates based on different frameworks and standards.
According to Brandon Potter, director of Microsoft Cloud for Sustainability, ESG reporting can be complicated because there is no global standard. This makes it hard for companies to know what metrics to report and how to organize their disclosures.
The Project ESG Reporting tool aims to solve this problem by allowing businesses to create, complete and approve reports that follow multiple ESG standards across quantitative and qualitative metrics. The tool comes with customizable templates that will enable companies to input different data types, from numbers to detailed text. They can also reuse the templates for future reports, simplifying the reporting process over time.
Companies can bring in their templates and use the tool’s collaboration features to ensure accurate and consistent data. “The solution focuses on multiple areas that simplify the challenges inherent in reporting across industries. This includes reducing complexity, enhancing efficiency, and providing greater transparency,” Porter added.
Some of the key features include user-friendly templates, workflow management, and options to expand and customize the reporting process. Microsoft has also added new features to its Sustainability Manager, such as a data trail capability that allows companies to track specific information flow from start to finish, providing them a path across different periods and organizational hierarchies.
“Having a data trail helps companies more easily handle the constantly changing regulatory requirements for data traceability and auditability. For auditors, investors, and stakeholders, it also builds trust,” explained Porter.
The alternate emissions feature in Microsoft Sustainability Manager empowers companies to quantify their emissions accurately using diverse calculation methodologies. The tool generates alternative emission reports tailored to the requirements of different regulatory bodies or regional reporting standards. Users can configure multiple emission calculation methodologies for each emission category (Scope 1, Scope 2, Scope 3) and its underlying activity data.
Such capabilities enable the generation of parallel emission reports for different regulatory bodies, regional standards, and customer requests. Users will also be able to filter emission records based on approach or calculation methodology and visualize the alternate results according to methodology or purpose.
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Microsoft Adds ESG Reporting, Scope 3 Emissions To Sustainability Platform
