MATERIALITY

DONE RIGHT
Book a 30-min materiality review

The steps

1

Impact materiality

3

The process

Coming soon:

Professional trainings for materiality

 

How materiality provides direction

Done right, materiality converts noisy stakeholder input and scientific thresholds into a clear plan of action. It shows which sustainability issues drive financial risk or create measurable value, where to focus data collection, which KPIs to track and what the Board needs to decide. The result: prioritised workstreams, board-ready metrics and a defensible evidence trail for reporting and investor dialogue.

Impact Materiality made measurable

Impact Materiality assessments are the basis of any sustainability strategy and governance. We combine quantitative approaches with feasible stakeholder input to assess the positive and negative impacts of your organization on society and the environment.

Our fact-based double materiality matrix shows how we can apply our science-based thresholds onto any impact materiality scale, giving you clear objective results on your impact material topics (C and A) as well as a fact-based process to determine your financial material topics (A and B).
The example shows how our fact-based impact materiality assessment can turn perception upside-down, saving you money, avoiding over- or under-estimating risks and opportunities.

This ensures that your impact materiality assessment is not just compliant (if relevant), but meaningful. It helps you prioritize actions, allocate resources, and communicate with confidence.

Under CSRD, not only missing out material impacts, but also the reporting on non-material topics is non-compliant. We help you get it right – what to focus on – and go beyond.
use impacts for csrd-reporting

Financial Materiality made measurable

Financial Materiality assessments are the basis of any (sustainability) strategy and governance. We connect quantitative approaches for Impact Materiality, with our expertise on how these can already be or become financially material with feasible stakeholder and expert input on your side to assess how sustainability topics affect your financial performance.

The aggregated view of PI’s Materiality Matrix presents the outcomes of a detailed materiality assessment in up to three dimensions.
The assessment of financial materiality typically also contains the change in relevance over time, also referred to as dynamic materiality.

This ensures that your Financial Materiality assessment is not just compliant to both your statutory and (if relevant) sustainability reporting requirements, but also meaningful. It helps you prioritize actions, allocate resources, and communicate with confidence.

Under CSRD, not only missing out material impacts, but also the reporting on non-material topics is non-compliant. We help you get it right – what to focus on – and go beyond.
Translate materiaity to value and risks

From materiality to strategy – turning insights into action

The process of combining quantitative impact analysis with stakeholder and expert insights to determine both your organization’s impacts on society, and the financial relevance of these impacts.

 

How to get clear view of how sustainability topics shape your financial performance:

1) Impact Materiality – Quantify your organization’s positive and negative impacts on society and the environment by obtaining the right information which informs the risk & opportunity assessment

2) Risk & Opportunity assessment – Use the impact materiality to understand which sustainability topics are, or will become, a risk or opportunity for the organization (i.e. financial effects)

3) Financial Materiality – Quantify in financial terms the sustainability topics that influence financial performance, both currently and in the future

4) (re-)Design Strategy – Determine the strategy that best matches your risks and opportunities

5) Monitoring & Reporting – Align materiality, management, and reporting to your strategic ambition, ensuring compliance and credibility

PI’s approach on how to influence the strategy design by structurally using the double materiality assessment in order to identify the risk & opportunity profile of the organization which then determines the strategic options to best choose from.
  • Significantly reducing disclosure scope while addressing most sustainability risks
  • Scoring on a scale that you choose:
    • Impact materiality is assessed based on science-based thresholds for climate, water, nature, and social topics to your chosen cut-off
    • Financial materiality is assessed based on the risk appetite of your CFO to the cut-off for financial materiality
  • Integration of stakeholder perception and expert input
  • Support in choosing the materiality definition that best suits your impacts, risks, and opportunity (IRO) profile and chosen sustainability strategy
  • Tailored approach that best fits the maturity of your materiality processes
  • Alignment with CSRD’s double and IFRS’s single materiality requirements

This ensures that your materiality assessment is not just compliant (if relevant), but meaningful. It helps you prioritize actions, allocate resources, and communicate with confidence.

Under CSRD, not only missing out material impacts, but also the reporting on non-material topics is non-compliant. We help you get it right – what to focus on – and go beyond.

Want to explore our materiality approach, or are looking for a professional materiality training?

contact us here