ISSB: A Guide to understanding sustainability standards

<h2 id="">The ISSB: Understanding its importance and benefits for your company</h2><p id="">Today, the business world is increasingly committed to environmental care, with more companies adopting sustainable practices and demonstrating that protecting the planet is possible. This shift creates the perfect scenario for laws to evolve, paving the way for businesses to embrace sustainability. As part of this movement, new regulations, protocols, and standards have emerged to guide and support organizations in this process.</p><p id="">One notable framework is the <strong id="">ISSB</strong> (International Sustainability Standards Board), which offers valuable support for companies striving to achieve sustainability. Below, we’ll explain everything you need to know about the ISSB and how your company can apply its standards to unlock its full potential.</p><h2 id="">What is the ISSB?</h2><p id="">The International Sustainability Standards Board (ISSB) was established to assist in the creation of sustainability reports for businesses. It was launched in November 2021 due to the absence of a legal framework for corporate sustainability reporting.</p><p id="">The ISSB sets industry standards and practices to ensure high-quality and transparent information disclosure. Its standards are applicable to all businesses, regardless of sector. Furthermore, the ISSB works closely with the IASB (International Accounting Standards Board) to ensure seamless compliance with IFRS standards.</p><h2 id="">Key ISSB Standards</h2><p id="">The ISSB released its first standards in June 2023, which lay the foundation for this new approach to sustainability reporting. Known as <strong id="">IFRS Sustainability Disclosure Standards</strong>, these are the initial standards under the ISSB framework. Here’s an overview of the two main standards:</p><h3 id=""><strong id="">1. IFRS S1 - General Requirements</strong></h3><p id="">This standard integrates financial and sustainability information, requiring disclosure of risks and opportunities related to sustainability. By presenting these two aspects together, the standard highlights their interconnectedness.</p><h3 id=""><strong id="">2. IFRS S2 - Climate-Related Disclosures</strong></h3><p id="">This standard focuses on climate-related aspects, including opportunities and risks, and is structured around the following components:</p><ul id=""><li id=""><strong id="">Strategy</strong>: Companies must disclose their strategies for managing physical and transitional risks over the short, medium, and long term. Scenario analysis is crucial in this evaluation process, and companies should also report the current or anticipated financial impacts of climate change.</li><li id=""><strong id="">Governance</strong>: This involves evaluating and disclosing information about the company’s governance and oversight of climate-related strategies. It considers the competencies of leadership and staff regarding climate change issues.</li><li id=""><strong id="">Metrics and targets</strong>: Reports must detail sector-specific metrics, including Scope 1, 2, and 3 emissions, to assess the full impact across the value chain.</li><li id=""><strong id="">Risk management</strong>: Companies should provide information on climate-related risk management and how these efforts are integrated into existing risk actions. The report should also prioritize climate risks alongside other corporate risks.</li></ul><h2 id="">Benefits of applying ISSB Standards in your business</h2><p id="">Adopting the ISSB standards offers numerous advantages for businesses. Here are some of the key benefits:</p><ol id=""><li id=""><strong id="">Global standardization</strong>: The standards facilitate alignment with key frameworks like NDC (Nationally Determined Contributions) and GRI (Global Reporting Initiative), enabling a consistent approach across industries.</li><li id=""><strong id="">Reliable information</strong>: Companies can provide trustworthy insights into their climate-related risks and opportunities, with a framework for managing these across different time horizons.</li><li id=""><strong id="">Enhanced strategy monitoring</strong>: The standards ensure proper tracking and analysis of sustainability strategies, producing critical data for reporting.</li><li id=""><strong id="">Equivalence between financial and sustainability data</strong>: By placing sustainability and financial data on equal footing, ISSB standards ensure that both types of information receive the same level of importance among stakeholders.</li><li id=""><strong id="">Mandatory compliance in over 100 countries</strong>: Compliance is not only required but also enhances a company’s reputation. It reassures employees and consumers that the organization is actively contributing to environmental preservation.</li></ol><h2 id="">Final thoughts</h2><p id="">The ISSB standards represent a significant step forward in sustainability reporting, offering companies the tools to improve transparency, align strategies with global frameworks, and demonstrate their commitment to combating climate change. By adopting these standards, businesses can meet regulatory requirements while enhancing their reputation and fostering a culture of environmental responsibility.</p>

Explore the essential content of the International Sustainability Standards Board (ISSB).

Get to know your carbon footprint data in real time without technical knowledge

<p id=""><strong id="">Carbon footprint</strong> is an environmental indicator that quantifies the total amount of <strong id="">Greenhouse Gases (GHGs)</strong> issued, directly or indirectly, by an activity or entity. These gases, mainly the <strong id="">carbon dioxide (CO2)</strong>, methane (CH4) and nitrous oxide (N2O), trap heat in the atmosphere and contribute to <strong id="">Global Warming</strong>, which has a significant impact on climate and ecosystems.</p><p id="">Every action we take, from turning on a light bulb to producing consumer goods, generates a carbon footprint. For companies, understanding and managing their environmental impact is essential not only because of corporate responsibility, but also because of <strong id="">competitive advantages</strong>, such as:</p><ul id=""><li id=""><strong id="">Improve brand image and reputation</strong>: Consumers are increasingly aware of climate change and prefer companies with sustainable practices.</li><li id=""><strong id="">Access new markets and investors</strong>: Environmental regulations are increasingly strict and require companies to reduce their impact.</li><li id=""><strong id="">Optimize processes and reduce costs</strong>: Energy efficiency and waste reduction translate into economic savings.</li></ul><h2 id="">Tools for measuring Carbon Footprint: Towards business decarbonization</h2><p id="">Accurate measurement of the carbon footprint is the first step towards <strong id="">decarbonization</strong>. There are different approaches to calculating it, from manual methods to specialized digital tools.</p><ul id=""><li id=""><a href="https://www.manglai.io/carbon-calculator"><strong id="">Carbon Footprint Calculators</strong></a><strong id="">:</strong> These tools like Manglai's that you can find by making <a href="https://www.manglai.io/carbon-calculator" id="">Click</a>, available in versions <strong id="">global or specific</strong>, allow companies to obtain a general or detailed view of their emissions, identifying areas for improvement.<ul id=""><li id=""><strong id="">Global Calculators:</strong> &nbsp;They provide an overview of the company's emissions based on aggregated data such as total energy consumption.</li><li id=""><strong id="">Specific Calculators:</strong> They focus on specific areas or processes, such as production, transport or waste management, using more accurate data.</li></ul></li></ul><p id="">To ensure the accuracy of the calculations, it is essential to collect reliable data on the company's activities, such as the consumption of energy, water, raw materials and the generation of waste.</p><h2 id="">The SaaS revolution in Carbon Footprint management: Real-time data for decision making</h2><p id="">The platforms <strong id="">Software as a Service (SaaS)</strong> are transforming environmental management by providing carbon footprint data <strong id="">In real time</strong> in an accessible and easy to understand way. These solutions, hosted in the cloud, allow companies to:</p><ul id=""><li id=""><strong id="">Access information from anywhere and on any device</strong>.</li><li id=""><strong id="">Monitor emissions on an ongoing basis</strong>, identifying peaks and trends.</li><li id=""><strong id="">Evaluate the impact of emission reduction strategies</strong> immediately and make adjustments if necessary.</li><li id=""><strong id="">Compare historical data and analyze the evolution of the carbon footprint</strong> over time, making it easier to identify areas for continuous improvement.</li></ul><p id="">A leading SaaS solution in the market is <strong id="">Manglai</strong>, specialized in measuring the carbon footprint under the standards of <strong id="">Greenhouse Gas Protocol (GHG Protocol)</strong> And the norm <strong id="">ISO 14064</strong>. This platform offers an exhaustive and accurate analysis of emissions, facilitating strategic decision-making for decarbonization.</p><h2 id="">Maximize the impact of your Carbon Footprint strategy: Key tips</h2><p id="">Implementing a carbon footprint management strategy requires a comprehensive approach that involves the entire organization.</p><ul id=""><li id=""><strong id="">Form a specialized team:</strong> Having professionals with knowledge in environmental management, data analysis and sustainability strategies is crucial for the success of the project.</li><li id=""><strong id="">Set clear and measurable objectives:</strong> Define short, medium and long-term emission reduction goals, aligning them with business objectives.</li><li id=""><strong id="">Communicate progress in a transparent way:</strong> Share the results of the carbon footprint measurement and the actions implemented with your stakeholders, including employees, customers, investors and society in general.</li><li id=""><strong id="">Seek continuous improvement:</strong> Carbon footprint management is an iterative process that requires constant data analysis, the identification of new opportunities for improvement and the adaptation of strategies to the changing needs of the business and the environment.</li></ul><p id="">In conclusion, the measurement and management of the carbon footprint are key elements for the long-term sustainability of any company. By understanding their environmental impact and using the right tools, such as next-generation SaaS platforms, companies can move toward a more sustainable and competitive future.</p>

Measuring the carbon footprint is essential to reduce emissions. Discover real-time tools and strategies for companies

How to prepare for the CSRD: a guide for transportation companies

<p id="">To drive real change toward sustainability, the European Union introduced the <strong id="">Corporate Sustainability Reporting Directive (CSRD)</strong>. Effective as of January 2023, this directive provides businesses with the framework and tools necessary to embed sustainability into their operations.</p><h2 id=""><strong id="">Why measure carbon footprints in the transportation sector?</strong></h2><p id="">A <strong id="">carbon footprint</strong> measures the total greenhouse gases (GHGs), primarily carbon dioxide (CO2), emitted due to a company's activities. In transportation, the combustion of fossil fuels for vehicle propulsion is the main source of emissions.</p><p id=""><strong id="">Measuring carbon footprints allows companies to:</strong></p><ol id=""><li id=""><strong id="">Understand their environmental impact:</strong> Quantify GHG emissions associated with operations.</li><li id=""><strong id="">Identify areas for improvement:</strong> Pinpoint critical points in the value chain where emissions are highest.</li><li id=""><strong id="">Implement reduction strategies:</strong> Set emission reduction goals and design actionable plans.</li><li id=""><strong id="">Enhance corporate reputation:</strong> Demonstrate commitment to sustainability and transparency to stakeholders.</li></ol><h2 id=""><strong id="">CSRD requirements for transportation companies</strong></h2><p id="">The CSRD introduces specific reporting requirements aimed at standardizing sustainability data. These requirements ensure that reported information is comparable, reliable, and transparent.</p><p id=""><strong id="">Key CSRD requirements include:</strong></p><ol id=""><li id=""><strong id="">Standardized reporting:</strong> Sustainability reports must follow common EU standards.</li><li id=""><strong id="">Structured information:</strong> Data should be presented clearly and concisely, using a hierarchical format.</li><li id=""><strong id="">Independent verification:</strong> Reported data must be validated by an accredited third party.</li><li id=""><strong id="">Detailed disclosures:</strong> Reports must include information on:<ul id=""><li id=""><strong id="">Sustainable business models:</strong> How sustainability is integrated into strategy and operations.</li><li id=""><strong id="">Sustainability strategies:</strong> Plans to address environmental and social impacts.</li><li id=""><strong id="">Measurable goals:</strong> Targets for emissions reduction, renewable energy use, and waste management.</li><li id=""><strong id="">Policies:</strong> Internal sustainability policies.</li><li id=""><strong id="">Risk management:</strong> Identification and evaluation of sustainability-related risks and opportunities.</li></ul></li></ol><h2 id=""><strong id="">Tools for measuring carbon footprints in transportation</strong></h2><p id="">Technological advancements provide tools to measure and manage carbon footprints effectively. These solutions enable precise, real-time data collection and process optimization.</p><h3 id=""><strong id="">Carbon footprint management software</strong></h3><p id="">Specialized platforms like <strong id="">Manglai</strong> offer a range of features:</p><ul id=""><li id=""><strong id="">Automated emissions calculations:</strong> Integrate with company systems to calculate GHG emissions across the value chain.</li><li id=""><strong id="">Real-time data analysis:</strong> Continuously update emission metrics.</li><li id=""><strong id="">Customizable reports:</strong> Generate sustainability reports aligned with the CSRD and other global standards.</li></ul><p id=""><strong id="">Manglai</strong> specializes in the <strong id="">GHG Protocol</strong> and <strong id="">ISO 14064</strong>, providing reliable tools for transportation companies.</p><h2 id=""><strong id="">How to reduce carbon footprints in transportation under the CSRD</strong></h2><p id="">Transportation companies can adopt effective strategies to reduce emissions:</p><h3 id=""><strong id="">1. Route optimization and fleet management</strong></h3><ul id=""><li id=""><strong id="">Efficient route planning:</strong> Use fleet management systems to minimize travel distances and fuel consumption.</li><li id=""><strong id="">Fleet renewal:</strong> Gradually replace old vehicles with efficient models, such as electric or hybrid vehicles.</li><li id=""><strong id="">Preventive maintenance:</strong> Ensure vehicles operate efficiently to minimize emissions.</li></ul><h3 id=""><strong id="">2. Improved loading and unloading efficiency</strong></h3><ul id=""><li id=""><strong id="">Maximize load capacity:</strong> Optimize vehicle load capacity to reduce the number of trips.</li><li id=""><strong id="">Warehouse management:</strong> Implement systems to streamline loading and unloading, reducing idle times and related emissions.</li></ul><h3 id=""><strong id="">3. Adoption of clean technologies</strong></h3><ul id=""><li id=""><strong id="">Alternative fuels:</strong> Explore options like biogas, green hydrogen, or electricity.</li><li id=""><strong id="">Energy-efficient technologies:</strong> Use aerodynamic designs or energy recovery systems to enhance vehicle efficiency.</li></ul><h3 id=""><strong id="">4. Collaboration and digitalization</strong></h3><ul id=""><li id=""><strong id="">Collaboration:</strong> Partner with other companies to share resources, optimize routes, and reduce the number of vehicles on the road.</li><li id=""><strong id="">Digital solutions:</strong> Use digital tools to optimize supply chain management, from route planning to final delivery.</li></ul><h2 id=""><strong id="">Benefits of complying with the CSRD</strong></h2><p id="">Adopting sustainable practices under the CSRD offers significant competitive advantages:</p><h3 id=""><strong id="">1. Strengthened corporate reputation</strong></h3><p id="">In an era where sustainability is a key factor for consumers, companies committed to reducing their environmental impact enhance their brand image.</p><h3 id=""><strong id="">2. Attracting investment and funding</strong></h3><p id="">Investors and financial institutions increasingly consider <strong id="">ESG (Environmental, Social, Governance)</strong> criteria when making decisions.</p><h3 id=""><strong id="">3. Improved operational efficiency</strong></h3><p id="">Reducing carbon footprints often leads to operational efficiencies. Optimized routes, lower fuel consumption, and better fleet management translate into cost savings.</p><h3 id=""><strong id="">4. Talent attraction and retention</strong></h3><p id="">Younger workers value companies with clear sustainability goals. Complying with the CSRD and fostering responsible practices helps attract and retain top talent.</p>

We explain how transportation companies can prepare for the CSRD: requirements, tools, and key benefits.

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ISSB: A Guide to understanding sustainability standards

Get to know your carbon footprint data in real time without technical knowledge

How to prepare for the CSRD: a guide for transportation companies

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