From tick box to strategic compass
The double materiality assessment (DMA) determines which sustainability topics you report on – and, in turn, which data you need to collect, which systems you require and how your governance should be set up. Done well, the DMA is more than a reporting exercise: it becomes a strategic instrument that delivers value well beyond compliance.
The European Sustainability Reporting Standards (ESRS) require an assessment from two perspectives. First, impact materiality: what is your organisation's impact on people and the environment – both positive and negative, actual and potential? Second, financial materiality: which sustainability risks and opportunities affect your organisation's financial position?
Only topics that are material from at least one of these perspectives need to be reported. But the assessment itself must be methodologically sound, internally validated and documented in a way that meets the auditor's requirements.
The revised ESRS allow for a simplified approach, starting from your business strategy and business model. But even a simplified DMA calls for a step-by-step process and audit-ready documentation.
A good DMA is not a purely internal exercise. It calls for sector and value chain analysis, external stakeholder engagement and a decision-making process that is documented step by step.
We use a five-stage approach:
A robust DMA is the shortest route to a CSRD report that stands up to scrutiny – substantively, methodologically and from an assurance perspective. We guide you through the entire process, from initial scoping to a validated and documented final result.
Leave your email and we'll contact you for a casual call with an expert.
