G4 vs G3 final presentation Second Comment Period
•Download as KEY, PDF•
1 like•2,418 views
The document discusses the G4 next reporting guidelines from CRT-Japan. [1] It focuses on materiality and how organizations influence upstream and downstream entities. [2] There are four main aspects and issues: 1) Application levels were wrongly understood previously, 2) More clarity is needed on content and boundaries, 3) Supply chain disclosure needs to be improved, 4) Governance needs to be better linked to sustainability. [3] The G4 guidelines aim to make reporting more user-friendly and focus on defining material impacts throughout an organization's entire value chain.
Recommended
Recommended
More Related Content
What's hot
What's hot (20)
Similar to G4 vs G3 final presentation Second Comment Period
Similar to G4 vs G3 final presentation Second Comment Period (20)
More from Guillermo Juárez Salinas
More from Guillermo Juárez Salinas (9)
Recently uploaded
Recently uploaded (20)
G4 vs G3 final presentation Second Comment Period
- 1. G4 next reporting guidelines CRT-Japan July 2012
- 2. Focus of G4 Materiality • Reflect significant economic, environmental, and social impacts • Influence the assessments and decisions of stakeholders • Organization’s influence on upstream and downstream entities
- 3. Main aspects and issues 1. Application levels wrongly understood 2. Clarity needed on content and boundaries 3. Supply chain disclosure 4. Link governance and sustainability
- 4. Application levels wrongly understood Main aspects and issues
- 5. Application Levels Discontinued and replaced in G4 by criteria to claim preparation “in accordance with”
- 6. In accordance criteria 1. All of the Profile Disclosure Items 2. Disclosures on Management Approach and Core Indicators related to all of the material aspects 3. All disclosures identified in any applicable GRI Sector Supplement(s) 4. A GRI Content Index as specified in the GRI Guidelines 5. A statement, signed by the highest governance body or Chief Executive Officer (CEO)
- 7. Clarity needed on content and boundaries Main aspects and issues
- 8. Topics, Categories, Aspects, Disclosures on Management Approach and Performance Indicators Content and Boundaries Organization’s overall performance impacts throughout its entire value chain
- 9. UPSTREAM DOWNSTREAM Value chain Parties linked by activities, products, services and relationships
- 10. Supply chain disclosure Main aspects and issues
- 11. Supply chain practices disclosure • Supplier selection • Supplier management • Product and service design • Certifying and auditing suppliers • Supplier termination • Procurement practices
- 12. Link governance and sustainability Main aspects and issues
- 13. Highest governance body’s role in: • Setting purpose, values and • Sustainability reporting strategy • Evaluating economic, • Risk management environmental and social performance • Under-represented social groups • Remuneration and incentives • Its own performance • Clawback evaluation
- 15. G4 user friendly guidance vs. G3 Technical Protocol for Defining Report Content and Boundaries Split of indicator protocols into standard disclosures and guidance Web-based platform
- 16. Conclusions • Application levels wont be perceived as a reward system is a turning point (PR perspective) • More demanding in therms of materiality, value chain but: - Only in therms of awareness for the self understanding of why or why not - Not more information but more quality • An insightful reporting process to understand the role of companies in a more sustainable world
Editor's Notes
- \n
- \n
- \n
- \n
- \n
- 1. All of the Profile Disclosure Items.\n2. Disclosures on Management Approach and Core Indicators related to all of the material Aspects 7 identified by applying the Technical Protocol: Defining Report Content and Boundaries.\n3. All disclosures identified in any applicable GRI Sector Supplement(s).\n4. A GRI Content Index as specified in the GRI Guidelines.\n5. A statement, signed by the highest governance body or Chief Executive Officer (CEO), that the 11 report has been prepared in accordance with the GRI Guidelines and that it is a balanced and reasonable presentation of the organization’s economic, environmental and social impacts.\n
- \n
- \n
- \n
- New and amended disclosures\nDefinitions:\nSUPPLY CHAIN \nThe part of the value chain which consists of the sequence of suppliers and activities that provides materials, products or services to an organization.\n\nSUPPLIER \nAn organization or person that provides materials, products or services directly or indirectly to another organization. In GRI’s Framework, the term ‘supplier’ includes but is not limited to: \n\n• Brokers: Persons or organizations that buy and sell goods or assets for others, including contracting agencies that supply labor. \n• Consultants: Persons or organizations that provide expert advice and services on a legally-recognized professional and commercial basis. Consultants are legally recognized as self-employed or are legally recognized as employees of another organization. \n• Contractors: Persons or organizations working onsite or offsite on behalf of an organization with a relationship determined by a contract. A contractor may hire their own staff directly and/or hire sub-contractors or independent contractors. \n• Distributors: Agents that supply goods to retailers. \n• Home workers: Persons at home or in other premises of their choice, other than the workplace of the employer, who perform work for remuneration and which results in a product or service as specified by the employer, irrespective of who provides the equipment, materials or other inputs used. \n• Independent contractors: Persons or organizations working for an organization, a contractor, or a sub-contractor, with a relationship determined by a contract. Independent contractors do not have an employment relationship with the organization. \n• Primary producers: Persons or organizations that grow, harvest, or extract raw materials. \n• Wholesalers: Sellers of goods in large quantities to be retailed by others. \n• Sub-contractors: Persons or organizations working onsite or offsite on behalf of an organization that have a direct contractual relationship with a contractor /sub-contractor but not necessarily with the organization. A sub-contractor may hire their own staff directly or hire independent contractors. \n\n\n
- For specific actions related to the supply chain, explain practices for: \n• Supplier selection; list the economic, environmental and social criteria used when selecting new suppliers; and describe how the use of these criteria is encouraged within the organization \n• Supplier management; explain how expectations are established and defined in contracts with suppliers to promote improvement in economic, environmental and social performance (including targets and objectives); how suppliers are incentivized and rewarded for economic, environmental and social performance; and feedback and dialogue mechanisms for suppliers \n• Product and service design; identify changes, and describe their outcomes and progress \n• Certifying and auditing suppliers; list the type, system, scope, frequency and current status of certification and audit \n• Supplier termination; describe systems in place to assess the potential economic, environmental and social impacts of terminating a relationship with a supplier, and strategy to mitigate the impacts \n\n\nProcurement Practices \n[Disclosure] \nReport policies and practices used to select locally-owned suppliers, either organization-wide or for specific locations. \nReport policies and practices used to promote economic inclusion when selecting suppliers. \nReport how relationships with suppliers are maintained to enable improvement in economic, environmental and social performance. \nReport actions taken to identify and adjust the organization’s procurement practices that affect suppliers’ performance. \nReport how dialogue with suppliers is used to identify how procurement practices affect their performance. \nReport the rationale and methodology for tracing the source, origin or production conditions of raw materials and production inputs purchased. \n[Guidance] \nForms of economic inclusion may include but are not limited to: \n• Suppliers owned by women \n• Suppliers owned or staffed by members of vulnerable, marginalized or underrepresented social groups \n• Small and medium sized suppliers \n\nThe procurement practices that affect suppliers’ performance may include but are not limited to: \n• Lead times \n• Ordering and payment routines \n• Purchasing prices \n• Changing or cancelling orders \n\n
- \n
- \n
- \n
- \n
- \n
- Integrated Reporting is a new approach to corporate reporting that demonstrates the linkages between an organization’s strategy, governance and financial performance and the social, environmental and economic context within which it operates.\n\nThe G4 aims to offer guidance on “How to link the sustainability reporting process to the preparation of an integrated report aligned with the guidance to be developed by the International Integrated Reporting Council (IIRC)”.\n
- \n