Environmental, social, and governance (ESG) data is increasingly becoming important for businesses of all sizes and industries.
These datasets are key for analysing and monitoring the impact of a company on the environment and society, including employees and suppliers.
But it also provides insight into a company's financial health, including its risk management practices, accounting policies, and transparency.
By tracking and reporting your company's ESG performance, you can demonstrate your commitment to sustainability, enhance credibility towards your stakeholders, and ultimately increase your company's financial performance.
However, managing ESG data manually can be time-consuming, prone to errors, and challenging to communicate and disseminate.
You can use a spreadsheet. You can use an online database. Maybe you use the software that your company already has for managing its finances.
All these tools are fine, but none of them is as effective at managing ESG data as a specialised digital tool that is specifically designed for ESG data management.
What is an ESG digital software?
An ESG data management software is a tool that helps you measure, track and report on your organisation's environmental impact, social responsibility and governance practices.
Instead of doing the work manually, the tool automatically follows and analyses the information to then create digital reports you can share with your stakeholders.
How can an ESG digital software help your organisation?
Digital software systems like those developed by Apiday can make it easier and more efficient for you and your organisation to access, analyse, and report your company's ESG data in a way that is both efficient and fast.
And there are many ways it does so! Here are the top 5 main ways an ESG digital tool can improve your organisation’s ESG data management system:
ESG data is often reported inconsistently or inadequately, making it difficult to integrate with other company data and in comprehensive reports.
A digital software can help you to input, store, and track your ESG data in a consistent and standardised manner, helping to ensure the accuracy of your data.
The similar type of information is collected in the same way each time, which helps to minimise inconsistencies.
ESG data management software helps you cut down on time spent on tasks like searching for documents, and sending emails to your team to find where document X or information Y is stored.
For instance, Apiday’s software allows you to easily access and analyse your ESG data, saving you time and effort compared to manually tracking and analysing this data.
This makes life much easier for everyone involved in the process.
3. Transparency and traceability
When information is digitised, it's easy to pass around and refer back to it.
Not only that, but if someone else needs access to the information, like investors or even customers, they can have it immediately—there's no need to go through a pile of documents or request a meeting in order to get something from another person.
Everyone has full transparency into how everything works, which leads to more accurate reporting and better overall communication within the company.
An ESG digital tool allows you to generate reports based on specific parameters. If you want to see how environmental projects were handled, or if you want to put up together a report for a specific regulation, you can get that information easily.
It can help you generate reports on any of your ESG performances, which can be useful for complying with regulations and reporting requirements.
5. Continuous improvement
Another benefit of having access to all this information is that you'll have access to more insights about your organisation as a whole and about specific topics as well.
This kind of insight can help you get better at continuous improvement, which is one of the most important parts of ESG data management—you want to constantly improve your integrated approach to sustainability so that you're always meeting or exceeding regulations.
If you track and analyse your ESG data over time, you will see trends that point to areas for improvement and use this information to make continuous improvements in your ESG performance.
Using a digital software for ESG data management will enable you to accurately, efficiently, and transparently track and report on your organisation’s environmental, social, and governance performance.
By doing so, you can demonstrate your commitment to sustainability and potentially improve your organisation’s resilience to future ESG uncertainties and shocks.
So what are you waiting for? Start today!
Try Apiday and discover how our AI-powered ESG software can help you save time, and efficiently improve your performance!