Beyond Excel - Part 1: Transform your CSRD Reports with Dual Materiality and Microsoft Sustainability Manager & PowerApps

Double Materiality as a Key to Business Resilience

Dual Materiality is not just a regulatory requirement, but a strategic compass. Analyzing both the company's ESG impacts on its environment (inside-out) and the financial risks derived from ESG factors (outside-in) allows for prioritizing actions with the highest sustainable ROI.

The depth of the analysis depends on the scope in the value chain:

• Companies with superficial analysis identify immediate risks.

• Those who audit suppliers and stakeholders discover opportunities for innovation and long-term cost reduction.

Example: A manufacturer that evaluates its supply chain under this approach can mitigate future emissions fines (financial impact) while reducing its environmental footprint (ESG impact ).

CSRD and Double Materiality: An Inseparable Binomial

The CSRD report requires that Double Materiality be the focus of disclosure. Each Sector Standard (NEIS) must reflect:

1. IROs (Impacts, Risks and Opportunities) linked to material issues.

2. Clear connection between external impacts (e.g. climate change) and their financial materiality (e.g. adaptation costs).

Our experience with more than 300 CSRD and NFIS reports reveals a common mistake: approaching materiality as a checklist, not a strategy map.

The report should demonstrate how the findings guide decision-making.

Digitizing Double Materiality with Microsoft Sustainability Manager

Saying goodbye to endless Excel spreadsheets is possible. With Microsoft Sustainability Manager and the Dual Materiality ESG solution powered by Hanasaki , we offer:

• Scalable modules: Compatible with existing systems (ERP, ESG platforms), allowing for gradual implementation.

• Standardized templates: Based on the analysis of more than 300 reports, with predefined Material Issues to speed up the process.

• Migration of historical DMAs: We import your Double Materiality Assessments from Excel into a digital environment, centralizing data and facilitating its updating.

Key Benefit : Full traceability to meet CSRD and turn data into competitive advantage.

Ready to transform your ESG approach? Talk to our experts and learn how our integrated solution drives data-driven decision-making.