ESRS Standard
ESRS Standard
ESRS 2 - General Disclosures
ESRS 2 - General Disclosures
4. the disclosures required in this section should be read in conjunction with, and reported alongside, the disclosures required by ESRS 2 on Governance (GOV), Strategy (SBM) and Management of Impacts, Risks and Opportunities (IRO).
6. in describing the process for identifying material impacts, risks and opportunities related to governance, the company discloses any relevant criteria used in the process, including Site, activity, sector and structure of the transaction.
Examples from past practice
Examples from past practice
Examples serve only as an indication of how a disclosure requirement has been reported by other companies to date. Audited ESRS reports are not yet available. There is no guarantee of accuracy and completeness.
G1.IRO-1 - Process description of materiality analysis
Identification and assessment of material topics
To identify key Impacts, Risks and Opportunities (IROs) in the area of corporate governance, an analysis of geographical regions with potentially increased impacts and risks related to Corruption, Bribery and Human Rights violations was conducted.
Approach to materiality assessment
The methodology and criteria for assessing materiality were based on the requirements of ESRS 1 and comprised two key dimensions, namely Impact materiality and Financial materiality. The assessment methodology applied was systematically documented and closely aligned with regulatory requirements to ensure a sound and transparent prioritization of topics.
Assessment of the identified topics
Our assessment of the identified topics was carried out to the best of our knowledge and belief. Quantitative and qualitative thresholds and time horizons were used, which are based on our existing risk management system. This enables a close link between sustainability risks and overarching corporate risks.
Basis of the analysis
The analysis was based on internal guidelines, the TCFD assessments for 2021 and 2023 and a comprehensive review of our risk inventory. The process also included input from stakeholder representatives and the evaluation of relevant documents. An issue was classified as material if at least one associated risk or opportunity exceeded the defined threshold.
Validation and decision-making
The results of the assessment were validated in a final workshop in which our managers and financial management were involved. Key decisions were made as part of the process, including
the selection of stakeholder representatives,
the evaluation and categorization of the topics,
the final validation during the workshop.
Control mechanisms and documentation
Internal control mechanisms were used throughout the entire process. An issue was only included in the assessment if it was identified by a stakeholder representative and a risk or opportunity was associated with it. The assessment was carried out strictly in accordance with ESRS requirements and each decision was fully documented.
Further development and integration
There is currently no established process for integrating the results into our risk management or control system. However, the implementation of such a process is planned. At the same time, we are committed to reviewing and refining the methodology annually in order to take account of new trends, framework conditions and regulatory changes. A regular, comprehensive review ensures that the methodology remains effective and relevant.
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