tower , which enables you to collect and transform all the data you need for your ESG reporting ; that can come from SAP systems as well as non-SAP systems . So that ’ s the first thing .
The other thing is we obviously have a lot of data for systems around procurement , supplier management , real estate , HR , and even travel and expenses . These contain a lot of information that is relevant for ESG reporting and , in turn , relevant for sustainability . We can take this data and put it into our sustainability control tower reporting tool ( or any other reporting tool the bank might use ). So if the bank is making use out of our reporting , they can pull the data straight from the control tower and use it for ESG reporting . And what ’ s great is that the more you use , the more you benefit because you have a bigger dataset available , making it easier for you .
Q . SO THE CUSTOMER WANTING TO INVEST IN ESG PRODUCTS BENEFITS , THE BANKS BENEFIT . ARE THERE ANY DRAWBACKS OR LIMITATIONS IN USING THESE TOOLS OR IN IMPLEMENTING THEM ?
» With ESG being all the hype at the moment , we need to be careful that there is no kind of greenwashing going on . The systems will deliver you the results together as an input , but we need to keep a close eye on the data itself , one the quality of it . To take an example : let ’ s say there ’ s an oil and gas company that is also the greenest company in the world . If that happens you know that something with the data may not be right . The downside is that everyone stretches the ESG rules to their own advantage at the moment , wanting to get to the highest
ESG standard as possible . It ’ s good that people think green , but we need to make sure the data stays reasonable .
Q . WITH PRODUCTS SUCH AS THESE THAT SAP OFFERS , WHY ISN ’ T EVERY BANK JUMPING ON THE BANDWAGON ?
» Absolutely . I wish I could say that every bank is jumping on the standard software train , but you know banks – and traditionally larger banks – have strong inhouse development teams that produce a lot of the solutions themselves . But what I see in the next step is that they will replace some of their homegrown solutions with our standard solutions over time . It ’ s good for the industry to have more of a standardised approach . You see , the real challenge over time will be maintaining all of this sustainability framework . That is where we at SAP can help . sustainabilitymag . com 27