

Selecting the right ESG reporting solution has become a crucial decision for companies aiming to manage their sustainability reporting obligations efficiently.
With the regulatory landscape evolving rapidly, particularly under the EU’s Corporate Sustainability Reporting Directive (CSRD), organisations must ensure they have a robust solution in place to streamline data collection, manage reporting complexities, and remain compliant.
Drawing from hands-on experience supporting firms across industries, Greenomy has answered 11 key questions every organisation should ask when evaluating ESG reporting software.
1. Does the ESG reporting solution fit your budget?
The first step is understanding whether the platform aligns with your organisation’s sustainability reporting budget. In some cases, securing additional funding may be necessary, particularly when demonstrating the strategic importance of accurate ESG reporting and the risks associated with non-compliance.
With the CSRD requiring limited assurance audits from the outset and moving to reasonable assurance in future years, companies face increasing scrutiny. Non-compliance could lead to fines or even imprisonment in certain jurisdictions, making early investment in a robust ESG reporting solution essential.
2. Does the solution meet current and future regulatory requirements?
The regulatory landscape for ESG reporting continues to evolve rapidly. A future-proof ESG reporting solution should adapt seamlessly to changes in frameworks such as CSRD, the EU Taxonomy, and the upcoming Omnibus regulation.
The team at Greenomy, for instance, continuously monitors regulatory updates and incorporates them into its platform. This means companies can stay compliant. This helps teams focus on sustainability performance rather than getting caught up in regulatory complexities.
3. Is the ESG reporting solution user-friendly?
Effective ESG reporting requires input from multiple departments—finance, HR, sustainability, risk, and operations—all of which may lack deep sustainability expertise. A user-friendly platform ensures that all contributors, regardless of experience, can easily provide accurate data.
Key features to look for include an intuitive interface, interactive workflows to guide users through data entry, built-in regulatory guidance, and multilingual support for global teams.
4. Can the ESG solution easily integrate with existing systems?
Most companies already manage significant ESG-related data in ERP, CRM, and HR platforms. Manually transferring this data to a standalone ESG platform is both inefficient and error-prone.
A robust ESG solution should offer seamless integration with these systems, enabling automated data imports and updates. This ensures data accuracy, reduces duplication, and streamlines annual updates.
5. What is the scope of its data collection and consolidated reporting capabilities?
A robust ESG reporting solution should handle the complexities of consolidated reporting, especially for organisations with multi-tiered structures. It should support configuration of intricate hierarchies, such as ‘groups of groups’, while also allowing for detailed data management on individual sites or business units.
6. Does the ESG solution offer automation features?
Automation is a key driver of efficiency in ESG reporting. Advanced solutions offer features like AI-assisted data collection, automatic consolidation of quantitative data, and the ability to reuse validated qualitative data across reporting cycles.
Automation not only saves time but also reduces human error, ensuring data accuracy. Platforms that leverage AI to pre-fill responses or generate reports based on existing data further enhance efficiency.
7. Is the ESG reporting software customisable?
While ESG reporting guidelines provide clear support, they do not cover every sustainability issue relevant to every industry. Customisation is therefore essential, particularly for companies operating in sectors with unique ESG risks.
The ideal ESG reporting solution should allow companies to tailor frameworks, and capture sector-specific data points, ensuring reports reflect both regulatory requirements and business-specific sustainability issues.
8. What level of support does the ESG reporting solution offer?
Companies at different stages of their ESG journey will need varying levels of support. Some may only require regulatory updates, while others—particularly those new to sustainability reporting—may need hands-on guidance throughout the process.
It’s important to assess whether the vendor offers training, dedicated customer success support, and access to ESG experts. Comprehensive onboarding and ongoing assistance can help internal teams gain confidence and become self-sufficient over time.
9. How secure is the ESG reporting software?
ESG data often includes confidential financial, environmental, and operational information. Security must be a top priority, with the platform adhering to industry standards such as ISO 27001 and SOC 2.
Access controls should ensure only authorised users can view or edit sensitive data, and all data transfers must be encrypted. Strong security not only protects corporate information but also supports compliance with data protection laws.
10. Does the ESG reporting software provide audit-ready reports?
With external assurance becoming mandatory under CSRD, companies need audit-ready ESG reports. A well-designed platform should allow users to attach supporting evidence directly to reported data points, creating a clear audit trail.
The software should also log all changes, ensuring accountability and transparency. Features like read-only access for auditors can further streamline the assurance process, reducing friction and enhancing confidence in the final report.
11. Is the ESG reporting solution scalable?
As regulatory demands increase and companies’ sustainability ambitions evolve, ESG reporting solutions must be able to scale accordingly. Whether expanding data coverage, accommodating new regulations, or supporting growing teams, scalability is key.
The ideal solution will handle increasing data volumes, seamlessly integrate future frameworks, and support complex organisational structures without compromising usability or performance. AI-powered features can further enhance scalability by automating data collection, validation, and reporting processes as requirements evolve.
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