The EU’s Corporate Sustainability Reporting Directive on sustainability isn’t only about disclosure; the CSRD fundamentally changes the way companies should think about their impact and the visibility they have into their value chains. About 50,000 businesses will be required to do what only leading companies are doing today.

Because of new reporting standards set by the European Union, businesses listed in the bloc or have significant operations there – regardless of where they're based – will need to report more about their non-financial performance, beginning with the 2024 fiscal year in some cases. 

The sharing of all of this information will oblige the in-scope companies to analyze sustainability issues such as climate change, biodiversity loss and violation of labor and human rights; relate them to the company's opportunities and risks, as well as its impacts on society and the environment (IRO); and set strategies for managing IROs.