ESG REPORTING
She says the convergence between financial and non-financial information “ brings rigour to the disclosures . However , I would caution against confusing ESG controller / reporting with the role of a CSO , and I believe more work and discussions are needed to avoid decoupling data from strategy ”.
IBM ’ s Shim says she has experienced various operating models , ranging from a Centre of Excellence combining sustainability and finance skills to having part-time or dedicated resources within the Controllership function .
“ Right now , the ESG Controller role signifies the importance of getting a handle on the right data and enabling reporting and compliance ,” she says . “ But that ’ s not where it will stay . Moving forward , I think it ’ s clear that ESG Controllers will be instrumental in ‘ actioning ’ this data , embedding it into processes both to support meeting sustainability targets and as part of good business practices .”
Shim adds that every organisation is on its own journey , and whether or not they need distinct sustainability and financial controllers depends on many factors . Regardless of where they are , the collaboration between sustainability , finance , and many other internal stakeholders will be critical to ensure compliance and drive business value .
Microsoft ’ s Sekol backs up the importance of business value , adding that it is the “ crux of the issue ”. He says ESG Controllers aligning with the disclosures may report on
90 April 2024