Public sector and third sector category
CDSB is an international consortium of business and environmental non-governmental organisations. It is committed to advancing and aligning the global mainstream corporate reporting model to equate natural capital with financial capital. CDSB aims to harmonise all these different interests in the one place with its framework.
There was a gap in the market. Investors are increasingly aware of, and concerned with, the impact of environmental factors on future company valuations. There is also an increasing need for standardisation in the environmental reporting domain. With the huge infrastructure set up to manage financial capital, it is more important to equate the way natural capitals are managed.
CDSB helps companies to improve their reporting and investors to understand what information is material to them. It also supports mandatory approaches by working with governments and securities regulators to support the implementation of reporting regulation. Efforts are made to advance and align environmental information in mainstream annual reports while operating in a collaborative rather than a competitive environment. Finance professionals were, and are, crucial partners of CDSB and have been paramount to their success.
The sustainability and corporate reporting worlds do not naturally speak to each other. It is difficult to address the complexity of the non-financial reporting world without getting lost in ‘the noise’. The language of finance is so different from the emerging language of sustainability. CDSB has to try and counter this by focussing on the ‘why’ and the purpose of reporting by providing an appropriate framework. It is a question of accommodating both languages by managing to standardise the language used.
CDSB has delivered something of vital importance that others have spoken about but not acted upon for years. The organisation has worked effectively as part of a collaborative network and acted as a catalyst for the development of a broad reporting framework. This framework demonstrates how traditional financial measures and new – primarily environmental – data can coexist for organisations and the institutions that invest in them.