GRI and its Framework for Sustainability Reporting

In the landscape of corporate sustainability, the Global Reporting Initiative (GRI) stands out as a guide towards improved transparency, accountability, and measurable impact, for organisation. As of 2019, 90% of S&P 500 companies published sustainability reports, showing an increased understanding of the economic importance of structured ESG reporting. The GRI provides a set of applicable and comparable standards for said reports.

The international, independent non-profit organisation GRI, established in 1997, developed the world’s most widely used sustainability reporting framework. GRI is currently used by over 10.000 reports in over 100 countries and plays a pivotal role in shaping the manner in which organisations communicate their economic, environmental and social performance.

GRI empowers businesses to articulate their sustainable efforts, fostering a global culture of responsible business practices through accurate and standardised ESG reporting.

At its core, the GRI Framework is a comprehensive set ofStandards which enables any organisation – large or small, private or public – to understand and report on their impacts on the economy, environment and people in a comparable and credible way. This structured approach to reporting on various sustainability aspects, increases company’s transparency on their contribution to sustainable development.

The standards are not only highly relevant to companies but are also relevant to many stakeholders such as investors, policymakers, capital markets, and civil society. The standards are regularly reviewed to ensure that they reflect the global best practices for sustainability reporting, and help organisations respond to emerging information demands from stakeholders and regulators.

One of the key strengths of GRI is the emphasis that its Framework sets on transparency and accountability. By encouraging organisations to disclose relevant information in a standardised manner, GRI helps the various stakeholders make informed decisions. Transparency also fosters trust and credibility between the many stakeholders, including investors, consumers, and employees, and the organisation, creating a positive feedback loop, driving organisational success.

Continuous improvement is a further key strength of GRI. The initiative continuously adapts to emerging trends and global challenges, as well as refines its standards to meet the evolving needs of businesses. This commitment to staying at the forefront of sustainability reporting, ensures that GRI offers organisations the most efficient tools to address contemporary issues such as climate change, social inequality, and ethical business practices.

GRI standards are an interconnected system divided into three categories: universal, sectors, and topics. The universal standards are applicable to all organisations, while the sector and topic standards must be chosenspecifically to their circumstances.

The combination of these sets allows an inclusive picture of an organisation’s material topics, the related impacts, and how these are managed.

In conclusion, GRI serves as a pivotal element in the realm of sustainability reporting, providing organisations with the tools needed to navigate the complexities of the modern business landscape. It is most likely, that in the future, we will see GRI continue to play a critical role in fostering a global culture of sustainable business practices, helping organisations thrive while contributing to a more sustainable and equitable future.

Shani Terblanche, Communication Associate